So annoyed at myself :(

Legacy_user

I knew I had adverse credit but have avoided looking at my report for a few years now, just burying my head in the sand. Tonight I logged on and faced it. Put it this way, my score is double figures. It’s bad. I’m so angry with myself. How could I be in my 30s with a family and still be in rented housing with 6 defaults?? I’m furious with myself for being so irresponsible. My total debt owed against these defaults is about £2000. Not a lot I know but nevertheless the defaults are there and I’ll be pushing 40 before they drop off. I’m on a good salary and kids have just started school so my horrendous childcare bills are now gone but I could honestly cry, I’m so regretful. All I want to do is buy a house with my partner and my chances are ruined.

[Deleted User]

Ignoring the score, what actually appears on each of your three files? Default dates, amounts etc.

System

£665 - Sept 2012
£345 - Feb 2013
£73 - Sept 2014 (paid)
£731 - March 2016
£185 - March 2017
£800 - July 2017

I'm clearly just blooming terrible at keeping on top of things. It really shouldn't be this difficult, I know. Having young children just threw a spanner in the works and we've lived hand-to-mouth for a few years. Now we're starting to see a light at the end of the tunnel in terms of outgoings but there's so much mess to clear up and the damage has been done.

[Deleted User]

But you can repair some of the damage by settling them, and two will drop off in the next year.

Save hard for a large deposit and engage a mortgage broker when the time comes.

System

I've settled the smallest one this week as you can see. I will settle the rest one chunk at a time and hopefully save alongside that. How far in the past will the defaults need to be, do you know?

DCFC79

MissSJL wrote: »

I've settled the smallest one this week as you can see. I will settle the rest one chunk at a time and hopefully save alongside that. How far in the past will the defaults need to be, do you know?

Your first 2 that are due to drop off first may not have much of an effect but thats a may mind, you would be better off either paying them off or ask for a settlement.

As ZX says save your deposit for say 2-3 years and your last 3 defaults will be even older.

[Deleted User]

There's no absolute answer. The older the better. The larger the deposit the better. The lower the ratio of loan to income the better.

A decent broker will lay out your options. But use a proper one. Not your bank or the bloke in the estate agents.

System

DCFC79 wrote: »

Your first 2 that are due to drop off first may not have much of an effect but thats a may mind, you would be better off either paying them off or ask for a settlement.

Do you mean if they fell off without being settled they'd still have an effect on my file?

Fireflyaway

Try not to stress. I'm similar age to you and still renting and I too have a rubbish credit score because of defaults!
My advice is remember things will get better. Your childcare bills will stop at some point. No reason why your income won't improve either.
I went from a score of 94 to 350 in a year just by not borrowing and paying bills on time. OK 350 is still low but its not the end of the world. Now you are renting from a landlord. Those with a mortgage are pretty much renting off the bank! Miss a few payments and you can still lose the house. This country is very snobby about home ownership. Yes long-term its better, but what's to say you might have to wait a bit to get a mortgage but then you might have a bigger deposit or be able to overpay each month. Good things come to those who wait!
Remember credit scores are not a marker of success or even wealth. You could be a millionaire and still have a low score. Are you a good parent? A good partner? Do you work hard? Are you honest? That's the important stuff.

DCFC79

MissSJL wrote: »

Do you mean if they fell off without being settled they'd still have an effect on my file?

Well I meant ask for a settlement, pay it as they they will still be on your file.

In 2 years time the 3 defaults from 2016 and 2017 will be older then and wont have as much impact as they do now.

cjmillsnun

Don't worry about the numbers on the "score" as no lenders see it. What matters are the defaults, lenders see that.

2 are set to drop off the file soon, and probably have little effect on how lenders see you.

The ones from last year and 2016 will hurt you significantly. It is important to get these ones satisfied as quickly as possible. They will remain on your file for some time to come so showing these as satisfied will help a lot.

A quick win would be to deal with the £185 first, then look to pay off the other two.