Credit Rating by Bank Account

kaznelson

Hi, Just ran my Experian Credit Report and all looks good. But I wonder if anyone knows if your Bank Account has any relation to your Credit Score? I have a overdraft which I sometimes go over & incurr the costs!! Will this show as a bad mark?

I want to clear this (£900) and borrow any additional £1k for some necessary expense which is the best way to do this? Credit Card or Loan?

Thanks

Debt_Free_Chick

It depends whether your bank chooses to notify the conduct of your current account - some do, some don't. Charges don't appear on your credit record.

Personally, I wouldn't borrow £1,000 - I would save for it. Must you spend that £1,000 now? Can't you save for what you want?

grumbler

kaznelson wrote:

...I have a overdraft which I sometimes go over & incurr the costs!! Will this show as a bad mark?

No it won't. If your bank shares this information with CRAs and if you always stay within your limit this can only improve you credit rating.

kaznelson

I need the £1k asap for medical expenses

Think a 0% card would be my best option?

grumbler

kaznelson wrote:

Think a 0% card would be my best option?

It is OK if:
1. 0% is on purchases (see 'Best Credit Card for Purchases ' article) or CC offers SBT (see 'What is a Super Balance Transfer? ' article).
2. you can repay dept when 0% ends or is able to switch debt to some other 0% card. When 0% ends interest rate for CC can be very high.