Very Poor Credit Rating - Recovery time?

Milotti

Hi All,

First time posting on MSE forum so apologies if not the right place. Fairy simple question but struggling to find answers online.

I was fairy wreckless with finances throughout university and had a poor credit score. Since finishing two years ago ive been on top of things and bought a home with gf.

More recently, I took out a credit builder card with capital one and maxed it out. My score is now 220. I signed up for electoral roll and will pay off credit card on the 28th.

How long will it take to get to a good score, provided I dont pick up my credit card again and meet all bills on time. Electoral roll registration at my address is noted on my credit report but length of time is listed as a negative.

Mindful that I will nees to get a new car in next year or so for work. APR quotes at the mo are over 20%

Any advice much appreciated! Just a rough time frame would be great if nothing else. Many thanks

[Deleted User]

Your score is fictional, so it doesn't matter what it is. It's just a comedy gimmick that only you see.

Just make sure you manage your credit well, clearing your credit card in full each month. Stop maxing it out.

Time will do the rest. Use the time to save for a car.

Milotti

Any ideas on time?

[Deleted User]

A year. Maybe 2. Maybe 3.

Milotti

Ok thanks for your help

Willing2Learn

Milotti wrote: »

... I took out a credit builder card with capital one and maxed it out...

Milotti wrote: »

...How long will it take to get to a good score, provided I don't pick up my credit card again...

Deleted_User wrote: »

Just make sure you manage your credit well, clearing your credit card in full each month. Stop maxing it out.

As zx81 says, you should continue using your credit card. Just only spend on the card for stuff that is within your monthly budget. (Stuff such as groceries and monthly travel costs). Then pay off the monthly balance in full every month. Direct Debit is the best method for payment of the card.


Lenders score you against their own independent criteria and policies, using the data within your credit file, added to the data you submit in an application for credit. If you use your credit card responsibly, remain on the Electoral Register, then your credit worthiness according to lenders will improve over the next six months to a year.

richiejones

Hi all,

Hoping people can clarify what happens at 6 years and 1 day for bankruptcies in the UK. Does your credit file automatically delete all reference to your bankruptcy and accounts associated with it? Does your credit ratting surge if you've got nothing but good credit history for past 6 years with 14 positives and 0 negatives listed?

I've also got 3 accounts associated with the bankruptcy that have default dates listed slightly later (weeks) than the date of the bankruptcy. Majority all have same default date of 03/09/13. I've tried changing the 3 outliers but with no joy.

Any advice? Should I just try again?

Thankyou everyone

Milotti

Brilliant, willing2learn thanks for the guidance

[Deleted User]

richiejones wrote: »

Hoping people can clarify what happens at 6 years and 1 day for bankruptcies in the UK. Does your credit file automatically delete all reference to your bankruptcy and accounts associated with it? Does your credit ratting surge if you've got nothing but good credit history for past 6 years with 14 positives and 0 negatives listed?

No, but lenders will view you far more positively, which is what matters.

[Deleted User]

richiejones wrote: »

Hi all,

Hoping people can clarify what happens at 6 years and 1 day for bankruptcies in the UK. Does your credit file automatically delete all reference to your bankruptcy and accounts associated with it? Does your credit ratting surge if you've got nothing but good credit history for past 6 years with 14 positives and 0 negatives listed?

I've also got 3 accounts associated with the bankruptcy that have default dates listed slightly later (weeks) than the date of the bankruptcy. Majority all have same default date of 03/09/13. I've tried changing the 3 outliers but with no joy.

Any advice? Should I just try again?

Thankyou everyone

Defaults and bankruptcies will drop off 6 years from the date of issue.

You don’t have a credit rating

Anthorn

Milotti wrote: »

Any advice much appreciated! Just a rough time frame would be great if nothing else. Many thanks

The time frame is relative to who is viewing your credit history which in turn is relative to what you've applied for.

As others have posted, your defaults will drop off your credit history 6 years after the default dates. So therefore after 6 years or so you should have a clean credit history if you've been playing the credit game correctly. If after 6 years or so you have recurring late payments, recurring missed payments or even worse, new defaults you will have wasted your time.

After my credit being completely shot to pieces it took me 10 years to get an Amex Platinum charge card which I got last week, my credit card applications result in the advertised APR and credit acceptances overall are pretty much two a penny. But uh-oh that Metro Bank rejection last year still haunts me.

So in conclusion you could have a long and bumpy road ahead of you depending on your goals. Good luck.