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Need to rebuild a bad credit history? New ‘last resort’ option.

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  • Miss_Ratty
    Miss_Ratty Posts: 341 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Thanks so much for the advice.

    So the pre pay ones won't help me? I'm fortunate enough that I can pay the fees, as I have managed to save quite a lot since the BR, although I know many are not. I guess I just don't want to make my rating any worse by applying again, I just want to build really. X
  • woodface7
    woodface7 Posts: 148 Forumite
    Part of the Furniture 100 Posts Name Dropper
    I assume you read about 'soft-searches' in Step 2 of the MSE Guide to 'Credit Cards for Bad Credit' ? http://www.moneysavingexpert.com/credit-cards/bad-credit-credit-cards

    It suggests "credit card searches on comparison site MoneySupermarket*. It asks five quick questions to assess your creditworthiness, then tries to match you up with the best card, using 'soft searches' of your credit file, which importantly don't leave a mark (hence don't hit future applications)."

    It may be worth delaying another CC application, as all advice is to avoid multiple rejections in short timeframes .

    Have you looked into opening a mail-order Littlewoods type credit account? I once heard a spokesman for one of the credit reference agencies recommend this (along with a mobile contract) as the best way to safely boost your score. Their lending criteria are more 'relaxed'.

    I got one (years ago) with no job or credit record. There again, my mobile phone contract HAS boosted my rating (from 3/5 to 4/5 by Noddle), so maybe I'm lucky.

    I hope you're signed up to Noddle (Call Credit's free credit rating info service) if only to check lenders aren't seeing duff info?
  • Miss_Ratty
    Miss_Ratty Posts: 341 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    I did, and it recommended the card i got declined for! I couldn't get a catalogue, I tried a while back, but did manage to get the mobile phone contract I have now, which is about 11 months old now, so I was a bit gutted at getting declined the card. My credit info is all correct, albeit low, so I just wondered if the pre pay card would also assist in my quest to repair my rating!
  • I thought I'd bump this thread and chip in with my own experience for anyone contemplating going for this card and it's Creditbuilder option

    After waiting for the 6 years to pass on my cleared debts which I'd accumulated with my ex-wife I had the satisfied records cleared by Equifax and my credit rating with them was just below 'Fair'

    I applied for one of these CashPlus cards and was offered the creditbuilder option without the use of a driving licence or passport as it seems Cashplus were able to confirm my identity

    I'm just coming up to the end of my year's Creditbuilder loan and during that 12 months I've seen my credit score go from strength to strength.

    3 months after I started Creditbuilder I was accepted for Capital One Classic card & Barclaycard Initial after an application for my own bank's standard APR credit card was refused.

    6 months after I started Creditbuilder I was accepted for a mobile phone

    Last month (10th month with Creditbuilder) I was accepted for credit with Currys for a £800 TV and just this week I've been accepted for the Halifax credit card I was refused for 6 months ago

    It's my opinion the the Cashplus card with Creditbuilder was invaluable in getting me credit again. Sure I've had other 'higher risk' credit in the past year such as the Barclaycard Initial credit card and never missed a payment on my credit or phone contract which no doubt helped my credit but I'm convinced it was the CashPlus card which started the ball rolling in my favour

    In just 11 months I've gone from a credit record with freshly cleared spent debts and a below average credit rating to being accepted for a regular, 18% APR bank credit card and feeling like a 'normal' person and no longer dirty and blacklisted after the debt my ex-wife ran up and left me with

    For me personally, the £4.95 I give to Cashplus is nothing and I don't miss it and if Creditbuilder really did help me then it was money well spent

    I won't be renewing my Creditbuilder when the year is up as I feel I no longer need their help now I have other credits helping to build my credit rating for the better but I am grateful for the 'leg up' it provided me with
  • If you need to rebuild your credit score...there's lots of help on refusedcredit.co.uk
  • izools
    izools Posts: 7,513 Forumite
    1,000 Posts Combo Breaker
    If you need to rebuild your credit score...there's lots of help on refusedcredit.co.uk

    There's lot of help on http://forums.moneysavingexpert.com , too :beer:
    Cashback Earned ¦ Nectar Points £68 ¦ Natoinwide Select £62 ¦ Aqua Reward £100 ¦ Amex Platinum £48
  • doublesilver
    doublesilver Posts: 69 Forumite
    izools wrote: »
    There's lot of help on http://forums.moneysavingexpert.com , too :beer:

    Just giving some options! :)
  • scorpioyorks
    scorpioyorks Posts: 31 Forumite
    Hi, I am new to this thread and wanting to improve my credit score so that I can get a mortgage in 3 to 5 years time. I have been discharged from bankruptcy for a year now and decided to check my credit score. It is better than I thought it would be and is fair 788 points. I am looking into ways to improve it further and to get into the best position I can to try and get a mortgage. I made some poor choices in the past and had no choice but to go bankrupt due to being chased to pay an ex partners debts. After reading this thread I feel quite lucky as I went to cab and have a bank account with lloyds and was honest with them from the start. I also have a mobile phone contract. I read a post from a discharged bankrupt who now has a mortgage and felt inspired by what they had written. They recommended getting a credit card to get fuel and paying the full amount off each month. I tried applying for a vanquis credit card and was declined and tried to find one through my credit report (it can match you to credit that you are likely to be accepted for) This didn't work and I was declined again. I don't want to risk being declined again and it affecting my credit score. I noticed on my credit report that 2 companies have put red default notices on my account, but these debts were dissolved in the bankruptcy. The companies have continued to add defaults from 2011 until now. All the other companies that I had debts with are no longer on my credit report so I am not sure why the 2 companies remain. Has anyone had experience of this? I have written to the two companies this week and am hoping they will remove the defaults.

    My plan is to get the two companies to remove the defaults that have been settled through bankruptcy and see if this improves my credit score.
    I also intend to apply for the cashplus credit builder card and not use it and load £60 on it.
  • Tixy
    Tixy Posts: 31,455 Forumite
    I noticed on my credit report that 2 companies have put red default notices on my account, but these debts were dissolved in the bankruptcy. The companies have continued to add defaults from 2011 until now. All the other companies that I had debts with are no longer on my credit report so I am not sure why the 2 companies remain. Has anyone had experience of this? I have written to the two companies this week and am hoping they will remove the defaults.

    If the creditors don't correct your file as a result of the letters you sent then have a read of this thread - Credit Reference File Clean Up Post Bankruptcy

    Once these are corrected then maybe try vanquis again in a few months time.
    A smile enriches those who receive without making poorer those who give
    or "It costs nowt to be nice"
  • scorpioyorks
    scorpioyorks Posts: 31 Forumite
    Thank you Tixy I will take a look at that :j
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