CCJ and Default - want to clear up my credit

ammytitchh

Hey,

I just wanted some advice basically Im 22 and i have a CCJ on my name from 2014/15 and i also have a default from a bank which is quite a small amount of money and im about to start paying this off. The CCJ is for about £1200 so im wondering if i should start making payments towards this or just wait. I have made no contact with them at all as i didnt even realise i had it. My credit score is really low and i just want to start getting it higher.

Any advice is appreciated, thank youu!
Ammytitchh :A

sourcrates

Hi,

If you didn't realize you had the CCJ, then obviously you didnt receive the pre-action letter, or the claim forms off the original creditor either.

Have you moved and not updated your address with the creditor ?

That is the usual reason for a judgement in default, it could be there still writing to an old address trying to chase you up.

National_Debtline

Hi there and welcome to MSE,


Unfortunately, claim forms only have to be sent to the last known UK address, so if you had moved, that could be why the paperwork was missed. If you don't dispute the debt, then there is no reason not to make payments. If you do dispute it then it would be great if you could post more details about why and then we can advise you about the set aside process.

As far as your credit file is concerned, the default and CCJ will show for 6 years from the date they were entered. CCJs are only removed if they are paid in full within 1 month of the judgement date, or if they are successfully set aside.


To improve your history you can look to settle the debts. A settled CCJ is better than one in default and the older information gets on your file the less impact it should have to your overall rating. Future lenders don't see your 'score' so don't worry about that. They will see your credit history and your file is influenced by things such as your age, whether or not you are on the electoral role (if you aren't, you should be), any financial associations you have etc. Ensure you check all 3 files periodically as they can hold slightly different information.


Laura
@natdebtline

ammytitchh

Thanks for the replys, yes i moved house and didnt update my address stupid i know but i was only 18. Im not on the electrical role either so that might be why aswell, I cant do anything on credit while i have these two debts and im looking to pay off one this month then try and tackle the ccj. I will have to pay it in installments. So does that mean even if i pay off and settle everything i could still not be able to get any credit until after 6 years from the date i got these? Thanks again

macman

It doesn't mean you won't get any credit, but it reduces in number those who are willing to lend to you, and makes the rates higher if they will, as you have a higher risk of defaulting.