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  • FIRST POST
    • firstascent
    • By firstascent 13th May 18, 8:32 AM
    • 1Posts
    • 0Thanks
    firstascent
    Repairing credit rating
    • #1
    • 13th May 18, 8:32 AM
    Repairing credit rating 13th May 18 at 8:32 AM
    Hi
    Until recently Ive had very high credit card utilisation and thus a low score.
    Ive now been in a position where I can start paying all of this off gradually. I havent missed any payments in last 6 years, no defaults or iva, bankruptcy. Im monitoring my credit score on clearscore like a hawk. My score at the end of last year was 278, then up to 324 now its at 348. I have paid off around 6k debt this year already in line with this, so now at 60% total utilisation (as opposed to 80+ not so long ago). Estimating to be debt clear totally in 12-18 months, paying off c. 1k a month. Im presuming with no negative factors showing on my report, my credit score will just naturally go up and up as I pay off more debt? Or is there a historical impact that you 'used to have' high utilisation so it still is a 6 year wait similar to if you have had defaults?
    Any help/ advice much appreciated
    Kind regards
Page 1
    • DCFC79
    • By DCFC79 13th May 18, 8:37 AM
    • 32,101 Posts
    • 20,197 Thanks
    DCFC79
    • #2
    • 13th May 18, 8:37 AM
    • #2
    • 13th May 18, 8:37 AM
    Hi
    Until recently Ive had very high credit card utilisation and thus a low score.
    Ive now been in a position where I can start paying all of this off gradually. I havent missed any payments in last 6 years, no defaults or iva, bankruptcy. Im monitoring my credit score on clearscore like a hawk. My score at the end of last year was 278, then up to 324 now its at 348. I have paid off around 6k debt this year already in line with this, so now at 60% total utilisation (as opposed to 80+ not so long ago). Estimating to be debt clear totally in 12-18 months, paying off c. 1k a month. Im presuming with no negative factors showing on my report, my credit score will just naturally go up and up as I pay off more debt? Or is there a historical impact that you 'used to have' high utilisation so it still is a 6 year wait similar to if you have had defaults?
    Any help/ advice much appreciated
    Kind regards
    Originally posted by firstascent
    If you want to worry about your score there are 2 other agencies who rate on a different scale.

    Dont worry about repairing your score ?
    Only you can see it, focus on your history which is what lenders etc can see.
    • Gary_Dexter
    • By Gary_Dexter 13th May 18, 9:53 AM
    • 1,462 Posts
    • 837 Thanks
    Gary_Dexter
    • #3
    • 13th May 18, 9:53 AM
    • #3
    • 13th May 18, 9:53 AM
    Maybe.

    But if the wind changes direction it may go down.

    Ignore the scores and ratings as no lender sees them and focus on the history and data on your files.
    • zx81
    • By zx81 13th May 18, 10:19 AM
    • 17,652 Posts
    • 18,793 Thanks
    zx81
    • #4
    • 13th May 18, 10:19 AM
    • #4
    • 13th May 18, 10:19 AM

    Im presuming with no negative factors showing on my report, my credit score will just naturally go up and up as I pay off more debt?
    Originally posted by firstascent
    No. It will drop when you clear the debt as it's a significant change, hence its uselessness.

    Continue to clear the debt, but also give thought to building good history via sensible use of a credit card. Clear in full each month.

    Make sure everything else on your three files is in order.
    • Superhoop91
    • By Superhoop91 13th May 18, 12:21 PM
    • 76 Posts
    • 11 Thanks
    Superhoop91
    • #5
    • 13th May 18, 12:21 PM
    • #5
    • 13th May 18, 12:21 PM
    Unfortunately none of the three posts above helped actually answer the question of "does having high credit utilisation in the past damage your credit history for a long period or will lenders only look at your current situation when running a report. If they look at historic data then for how long, is it up to 6 years like defaults ." Instead people just saw the word credit score and jumped on the OP like a leech. Sure educate people the uselessness of the "score" but at least attempt to answer the question.
    • Gary_Dexter
    • By Gary_Dexter 13th May 18, 4:03 PM
    • 1,462 Posts
    • 837 Thanks
    Gary_Dexter
    • #6
    • 13th May 18, 4:03 PM
    • #6
    • 13th May 18, 4:03 PM
    Sorry - please, go ahead and provide the answer
    • Superhoop91
    • By Superhoop91 13th May 18, 4:52 PM
    • 76 Posts
    • 11 Thanks
    Superhoop91
    • #7
    • 13th May 18, 4:52 PM
    • #7
    • 13th May 18, 4:52 PM
    I'm interested in the answer as I'm in a similar situation actually.
    • Gary_Dexter
    • By Gary_Dexter 13th May 18, 4:58 PM
    • 1,462 Posts
    • 837 Thanks
    Gary_Dexter
    • #8
    • 13th May 18, 4:58 PM
    • #8
    • 13th May 18, 4:58 PM
    Lenders will see 6 years of data from your reports.

    So they can see credit balance and limits.

    Thusly working out utilisation.
    • zx81
    • By zx81 13th May 18, 5:00 PM
    • 17,652 Posts
    • 18,793 Thanks
    zx81
    • #9
    • 13th May 18, 5:00 PM
    • #9
    • 13th May 18, 5:00 PM
    The answer is that all lenders are different.

    The more prime the lender, the more critical they will be of older history.

    A lender who operates in a higher risk environment will be more forgiving.
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