Credit Score affected by small unauthorised overdraft

onetee

Hey, 

I suspect I already know the answer to this but thought I'd check on here just in case. I stopped using an old bank account of mine in 2020 and paid it back to zero. Unfortunately a payment I forgot to transfer took the balance below 0. I cleared it but incurred a fee, that I didn't notice, that took me below again. Being slack I didn't notice it for 5 months at which point I cleared it closed the account. 

I've just looked at my credit report and noticed it. Is there any chance I can do anything to clear this? Like I say I suspect I already know the answer

Thanks in advance

CliveOfIndia

You can't remove the negative marker as it's a accurate record of the facts.  But 1 minor negative mark in an otherwise unblemished history will have a negligible impact, and will diminish over time - especially if superseded by plenty of positive marks.

Ignore your score as it has no bearing on any lending decisions, and is not even seen by lenders who look at your report.  All they see are the factual data.

onetee

Thanks for that. I've noticed I've not been able to a get accepted for a couple of things recently that I didn't think I'd have a problem with. I assumed that might be the reason

CliveOfIndia

It's possible that this is the cause, but it's hard to say for certain.  Have you checked all three of your credit files?  As I say, ignore the score, but do check that all the data is correct, and that there are no other negative markers recorded.

Is your address recorded correctly, are you recorded as being on the Electoral Roll?

What sort of "things" have you been refused for?  It could just be something as simple as you don't match their target customer profile, or maybe any existing debt in relation to your income is considered too high in their view.  Or it could just be a "thin" credit file, i.e. not much past history available to allow them to make a decision.

Do you have credit cards that you use regularly and always repay in full?  That's one of the easiest ways to build up a positive history.