Help. Which accounts should I pay first?
edited 30 November -1 at 12:00AM in Debt-Free Wannabe
8 replies 759 views
Hi, i was wondering if anyone could help me increase my credit score. Me and my partner are looking at buying a house this year, but due to being young, silly and naive a good few years ago... my credit rating isn't that great. Its poor actually. There are 5 old account and 2 relatively new ones. The old accounts have really small balances, literally one is about £47 and the biggest is £150 all together about £400 (some have defaults but over the passed 3 years, I have kept up with minimum payments) I am aware of the defaults lasting 6 years, they have 2 years left. The newer ones are Very and Argos. They have bigger balances, from £600 to £1000... my question is, I'm getting some money soon, which I'm going to use towards my debts, however I'm wondering am I best clearing the smaller ones off with it (the money I'm getting wont be enough to clear everything) or shall I use it to pay off a chunk of the bigger balances? Which method do you think would help my score more? Sorry for the essay but any help would be great. Thanks Kelly x