Improving your credit rating

[EvianBaby]

If you had a bad mark on your credit file for late payments on a credit card how long would it take for it to improve your rating with consistant monthly payments?

Would it also go in your favour that you had another cc that was paid religiously every month and that you had successfully paid off other borrowings in the previous 12/18 months?

[Rod Serling]

I have been employed in financial services for 34 years, and only when the dreaded 'credit scoring' came into existence about 15 years ago did it make my job of arranging mortgages and finance so much more difficult.

Nobody really knows thesecret of credit scriding,,but rst asured, if you have a good job, cleandresoit hostory andsown ytour own house, the younrscore is ususlly goiuto be high.

Any waver from this, as in your missed credit card payments, then the score drops. Yes, it is good that your other card is well maintained, but a chain is only as strong as its weakest link, so most lenders go for the jugular, especially in these harsh borrowing and lending times.

Your record on equifax or experian shows as a row of '0's, if your payments are well maintained. The records only normally go back for 12 months, so if you keep up 12 consecutive months payemnts, then you will have a perfect score, in theory.

You may be bale to apply for finance before the 12 months, as some lenders have lower criteria, but you may not get a typical APR on a Loan or other credit card, so it's worth waiting.

If you are going for a mortgage, most lenders are quite forgiving, especially if your circumstances are exentuating, and it's ony one blip on an otherwise fine credit record, so you shouldn't have a problem. Good Luck!

[boxtops]

If it's just one late payment, I wouldn't worry too much about it, if all the rest of your financial management is in good order. If there were a pattern of non-payment then it would be a problem.

[EvianBaby]

Thanks.

Its actually a credit check with a letting agent im hoping to get through although it will be a few months yet. When we moved into this house i failed the check but i wasnt surprised as my finances were pretty shocking at the time but all they wanted was to see 6 months of statements to show my rent was going out on time before which it was. I have almost entirely sorted out my finances Although this time is a little different as im moving on my own. Will just have to make be a very good girl now.

[DaisyNonna]

Made me laugh that my credit rating has gone down because I have not borrowed any money.

[EvianBaby]

Odd the way it works sometimes isnt it. You cant get credit because you dont have credit.

[boxtops]

Indeed - there was a post on here only a couple of weeks ago from someone whose rating was poor because he owed no money and owned his own house.