Life after being discharged from bankruptcy

samanthat86

Hi,

I hope someone can help me with my question(s).

I was declared bankrupt in January 2017 and discharged in January 2018 so I have now been discharged for nearly 13months. What happens now I am discharged?

I had a large amount of debt (approx. £70k) which was from credit cards, loans, payday loans and my (at the time) current account. I have had to move back to my mums house with my 3 year old son but I am hoping to move out in July this year. Unfortunately, my only option is privately renting.

What can I do to increase my credit rating? I cannot apply or upgrade my basic account to a current account yet, I cannot apply for ANY credit and can't even apply for my own phone contract.

When I move out in July, I will 100% fail a credit check which I've seen might mean I either cannot move out, will need a guarantor and / or will need a bigger deposit.

I am much better with my finances now and just want to work on increasing my credit rating.

Any help is appreciated.

Sam

New_and_Improved_Me

You could try going direct to a private landlord.


But you wuld need to be working and be able to pay a deposit and prove your income.


Some Private LL would take you, if you have a job even with bad credit.

TheGardener

There are simple ways to improve your credit history and make you more attractive to LLs:
1. Make sure you are on the electoral Roll at your current address
2. If you have rented before - if you paid your rent on time and looked after the rental - then ask for ask for references, LLs want to know you will pay the rent and not trash the place.
3. Do a credit file clean up - the process is explained here
4. Once your 'clean up' is done apply for a credit building CC like Vanquis. Spend little and often and ALWAYS pay of the full balance each month.
5. Make sure your management of you bank account and any other bills like mobile phone are squeaky clean always.

Why do you say you can't apply for a mobile or CC? Most ex BR's can?

maxmycardagain

can you apply for welfare housing?

samanthat86

Yes, I work full time and have done before, during and after my bankruptcy. I'm saving now for a deposit and should be ready by July. Maybe going to a private landlord is the option

samanthat86

@TheGardener

I am on the electoral roll
I've never rented before

My bank account is a basic bank account so I don't have any overdraft or anything. My current mobile is in my mums name.

I can't get one due to my poor credit rating. More thank likely won't be able to get a Vanquis or Capital One CC either as I had debt with both and they were included in my bankruptcy.


In response to Welfare housing, do you mean a council property? I can't do this because you have to have lived in my borough for 10 years (I've been there 18 years but had a 2 year gap) which means I can't apply for council housing and plus my earnings are too high they will just direct me to private renting.

amizaki

Hi, to apply for council housing you have to be in the same council for last 3 years.....and, earnings not matter as you are not claiming benefits in fact it will be better for affordable house..

maxmycardagain

amizaki wrote: »

Hi, to apply for council housing you have to be in the same council for last 3 years.....

different councils have different rules, some only require a "local connection" i.e. family schools or work

and its not often now council housing more likely a housing association like..

Bromford
Midland Housing
Orbit
etc

some platforms operate across suppliers and areas

https://www.homesdirect.org.uk/

samanthat86

in my borough it is 10 years for council and thr waiting list is so long I'd be waiting forever and if I go homeless they direct me to private renting due to my earnings

amizaki wrote: »

Hi, to apply for council housing you have to be in the same council for last 3 years.....and, earnings not matter as you are not claiming benefits in fact it will be better for affordable house..

TheGardener

amizaki wrote: »

Hi, to apply for council housing you have to be in the same council for last 3 years.....and, earnings not matter as you are not claiming benefits in fact it will be better for affordable house..

Most councils would expect a single, working person to find accommodation in the private sector - she'd be incredibly lucky to be offered social housing this side of a 10 year wait.


OP - Have you done the credit file clean up yet?

samanthat86

I had actually started the cleanup a couple of weeks ago. I've only started with sending emails but it is working so far. I had approx. 10 creditors still sitting on my credit file and they are slowly dropping off. Some have said I need to call so will get to them gradually :-)

TheGardener wrote: »

Most councils would expect a single, working person to find accommodation in the private sector - she'd be incredibly lucky to be offered social housing this side of a 10 year wait.


OP - Have you done the credit file clean up yet?