What will happen when

[tezza1234]

So a little back story, 3-5 years ago my credit file was HORRIBLE I had defaults a plenty, a CCJ and could not access any credit at all apart from provident doorstep loans.

 

Fast forward to now, I have 4 credit cards

 

1 x Ocean card with a £400 limit - had for 3+ years

1 x Aqua Card with a £1200 limit - had for 2+ years

1 x Marbles Card with a £2500 limit - had for just over a year

1 x Barclaycard with a £800 limit - had for under 3 months

 

I also have a 4k Loan via On Stride Financial which I am paying off, never missed a payment.

 

And a car Loan via Moneybarn which I have also never missed a payment on.

 

I am sensible now and feel lucky to have the above available credit, albeit it some have high interest rates, but you have to start somewhere right. my credit rating is still classed as poor.

 

My main question is,

I currently have 2 defaults and 1 x CCJ on my credit file,

1 default is due to drop off (6 year mark) before the year is out and my CCJ will drop off in the first quarter of 2019 (again 6 year mark since ccj was issued)

when these 2 drop off I will be left with 1 default, will my credit rating improve much.

 

When am I likely to be able to apply for mainstream cards such as Virgin, MBNA, Halifax etc......

Edited June 28, 2018 by dx100uk
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[clemma]

It may improve slightly.

Having too much credit is almost as bad as having none at all.

It depends on whether you're at your limit on your cards

- the recommendation to improve credit is to only ever use around 25% of your available credit.

 

You'll probably find it'll improve when the loans you have are either nearly paid off or fully paid and your cards all have plenty of credit available.

Just keep paying as you are, pay more if your able.

It's truly a game of wait and see.

Edited June 28, 2018 by dx100uk
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[tezza1234]

Yes I don't use the cards often, certainly below 25% overall, sometimes I will make a large purchase on one and pay it off over 2-3 months.

 

When I look at my credit report it has Loads of Green markers now, which is nice to see,

 

Ohh I forgot to mention, I also now have 4 catalogue accounts with a total combined limit of about 1.2k which are used and paid off in full little and often.

 

So I guess I have 10 current credit accounts, all showing positive green markers for between 3 months and 3 years.

Edited June 28, 2018 by dx100uk
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[clemma]

That's a lot of credit to be honest.

 

Like I say, too much is also bad even with green markers.

If you don't use one or two of the catalogues I'd be inclined to close them.

 

Maybe the card with the highest APR too.

Reduce your overall available credit down and that will help.

 

It takes time though, unfortunately.

A credit file can be ruined in 6 months but can take years to repair.

Edited June 28, 2018 by dx100uk
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[dx100uk]

far too much available credit already and you want more?

 

these wont improve your score sadly a stupid myth purported by provident

[who BTW own moneybarn & vanquish]

 

pers i'd RID yourself of any credit you do not 1000% need

 

the CCJ going will make your score better

but i'd still expect it to be poor until the default drops off.

 

dx

[tezza1234]

Its not about wanting more, its about getting better term credit, with the mainstream lenders, as I said.

Also, I see credit now as a useful tool to have, cashflow etc....

 

As long as you can afford to repay it, which I can, am, and do.

 

If I pay the 1 remaining default balance off in full say early next year, will that also help, or the fact its now a default still count against me.

 

I think ive come a long way in the last 5 years from where I was.

[clemma]

Even if you paid the default off, the default marker won't be removed. It will mark the debt as settled though.

 

Honestly?

Having poor credit loans, 3 poor credit credit cards plus your catalogues is already too much.

 

Mainstream lenders won't give you credit whilst you have all that.

 

I'd cut it down to your Barclaycard and maybe one other and also two catalogues.

 

Once those loans are repaid your file should improve.

Edited June 28, 2018 by dx100uk
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[tezza1234]

Ok I understand, is a default marked as settled any better on the credit file as a running un-settled default.

[clemma]

Yes.

[dx100uk]

imho no!

[tezza1234]

ooooh conflicting opinions lol

[tezza1234]

Is there anyway or likely way to get a default removed early, like a ill pay in full IF you agree to remove it sort of thing, or is that just a pointless argument.

[dx100uk]

oc's very rarely do that

 

if they'd sold it on then p'haps

[tezza1234]

oc's very rarely do that

 

if they'd sold it on then p'haps

 

Its now with MMF or Lantern I believe. Does that make a good/bad difference, they sent me a letter the other day offering me a 50% balance reduction if I can pay it off in one hit.

[dx100uk]

what is?

[tezza1234]

the 1 default I would like cleared and removed from my CR

[dx100uk]

whats the debt??

[tezza1234]

it was originally a £900 Sunny Loan, about 3 years ago, default is 2 years old, Currently stands at about £1400, which in theory I can pay off, but only if the default is removed from my credit file, the debt is in the hands of MMF/Lantern.

[dx100uk]

ever looked at irresponsible lending

[tezza1234]

Id rather just look at getting this default off my credit report, if it is at all possible, are Lantern likely to accommodate my request, if I PIF.

[dx100uk]

no

do an IRL complaint

I bet your credit file was full of bad stuff at the time and you were behind on many loans too.

 

almost 100% guaranteed to see that default go if you were

 

please don't pay a fleecing DCA

all it does is ine their pockets and fund the harassment of 1000's like you