Maximise Credit Score with one off opportunity

SimplyRed1001

I recently inherited enough money to pay off all my debt; credit card and 0% balance transfer totalling £8k and my over draft of £1.2k. I plan to be applying for my first mortgage in 6 months time or more.

My credit score is high fair / low good depending on which report u look at. I've no missed or late payments in the last 6 years and nothing such as IVA etc.

What's the best way to use my inheritance for my credit score please?

1. Pay it all of now?

2. Pay the OD now and continue my regular affordable payments on CC and 0% BT but immediately pay what the remainder would be in six months (bringing the balance to zero just before applying for mortgage and retaining a recent good credit history on 2 accounts)?

3. Pay the OD and CC (interest on CC is approx 23%) and continue my regular affordable payments on 0% BT but immediately pay what the remainder would be in six months (bringing the balance to zero just before applying for mortgage and retaining a recent good credit history on 1 account)?

4. Something I haven't thought of?

TIA

robber2

Option 3 sounds the best but I would also suggest you read post #3 below to better understand the pointlessness of your 'credit score'



https://forums.moneysavingexpert.com/discussion/4974939/what-your-credit-score-really-means


Rob

[Deleted User]

Don't worry about the score. It's all about account management, and your score won't track that.

Clear your debts as soon as you can

Maintain credit history by sensible use of a credit card. Clear in full each month

Sncjw

I would pay it off all of it not for imaginary score but for your affordability for mortgage. They will take off the amount of debt you have off the mortgage amount so you will have less of a mortgage.

Be better to have all of the mortgage you can get.

Clear the debt.

maxximus75

Pay off any debts which have interest immediately.


Consider paying off others 2 months before applying for a mortgage.