How do I get a credit rating again

gsimpson29554

Hi I’m not sure if this is the right place to ask just looking for some advice on how to build up a good credit rating. I had debt for many years and entered into an insolvency agreement which is paid off now, I have no other debt and have savings of £4000 in my bank now. I am just wondering what would be my best way to start to build up my credit rating ??? Thanks

[Deleted User]

Start by getting copies of your three credit files.  Ignore the ratings they give, but look at what appears. 

Ultimately, you want the negative stuff to drop off and build positive history via sensible management of credit lines, being on the ER, and so on.  One of the easiest ways of demonstrating good credit behaviour is to use and clear a credit card in full each month. 

Fighter1986

Also make sure your old debts now show £NIL balances against them when you obtain your credit files. These aren't always updated when you complete your insolvency.

You may need to write to each lender including proof that your insolvency is satisfied, asking they update your credit files to mark the accounts with £NIL balances. This process takes upto eight weeks.

Once this has been completed and you can see on your credit files that the accounts now show £NIL balances, follow zx81's advice.

A credit card used a little bit from time to time and paid in full each month is the best way to, over time, build a positive credit history.

Keep the number of accounts you hold to a minimum - don't amass multiple lines of credit. One will be fine. A contract mobile phone and regular current account with overdraft that you never use can contribute towards a good overall picture over time too.