credit score questions

[frimpongs_buzzin]

Ive got a storecard for topman i owe £300 on (im paying it off, the very minimum of £15 a month) but ive been turned down for a bank account with an overdraft because i dont have a high enough credit rating score. Im lookin to move into an apartment on ancoats with my missus in the next few week and the agents said they will do a credit check.. does anyone know if its gonna affect my chances by still owing £300 to topman? im bricking it incase it fails but loads of people have told me i should be ok... thought id consult the powers that be at bluemoon for advice! cheers

 

[blumoon]

Different companies have different reasons for performing a credit check. If you are applying for a high value loan, such as a mortgage, your credit report will likely be scrutinized. However, if you are renting an apartment, the landlord may be primarily interested in your rental history. If you are concerned about your credit check, it is generally best to be honest. If there are no surprises in your credit history, the lender may be more likely to grant you an exception, particularly if there is a good reason for any black marks.

A credit check may be performed for many different reasons. You are entitled to receive one free credit report per year from each of the three major credit bureaus. It is worthwhile to obtain your credit report and check for errors or inaccuracies. Knowing your credit score will also help you to improve your rating, as well as explain any problems to a lender in advance.

Your credit report is a detailed list of your current and former financial obligations and your history of payments on those obligations. Normally, the credit report goes back seven years. However, bankruptcy and judgments stay on your record for as long as ten years. Late payments, chargeoffs and other negative actions will appear on your credit report and count against your credit score

 

[Prestwich_Blue]

Sometimes you can be turned down simply because you don't have enough history of successfully managing credit. This begs the question of how you are supposed to achieve that.

If you can pay off the store card asap then that might help. These tend to charge high rates anyway so you'd be doing yourself a favour paying more than the minimum.

A landlord or letting agent would just expect to see no major problems such as defaults or CCJ's etc so you should be alright if you've not had any.

 

[frimpongs_buzzin]

Sometimes you can be turned down simply because you don't have enough history of successfully managing credit. This begs the question of how you are supposed to achieve that.

If you can pay off the store card asap then that might help. These tend to charge high rates anyway so you'd be doing yourself a favour paying more than the minimum.

A landlord or letting agent would just expect to see no major problems such as defaults or CCJ's etc so you should be alright if you've not had any.

Sorry prestwich blue, but whats a ccj? im completely clueless u see. the only credit i have is a storecard but they've never threatened to take me to court or anything. I plan on paying it off and cancelling it as soon as i can. cheers for the advice guys!

 

[CockneyBlueTheFirst]

As per "Bluemoon", but your credit report also tells people how much debt you have and how frequent your payments are so they can see if you are over extending yourself. The 2 biggest companies are Experian and Equifax and you can get your credit report on-line or by post its useful to see whats on there. It normally costs a £1 by post and they have to get it to you in 7 days, best to do both as they will be different.

 

[tueartsboots]

Sometimes you can be turned down simply because you don't have enough history of successfully managing credit. This begs the question of how you are supposed to achieve that.

If you can pay off the store card asap then that might help. These tend to charge high rates anyway so you'd be doing yourself a favour paying more than the minimum.

A landlord or letting agent would just expect to see no major problems such as defaults or CCJ's etc so you should be alright if you've not had any.

Sorry prestwich blue, but whats a ccj? im completely clueless u see. the only credit i have is a storecard but they've never threatened to take me to court or anything. I plan on paying it off and cancelling it as soon as i can. cheers for the advice guys!

A County Court Judgement, basically you have been sued for non payment of a bill/credit card etc. It shows as a black mark against you.
<a class="postlink" href="http://www.direct.gov.uk/en/MoneyTaxAndBenefits/ManagingDebt/CourtClaimsAndBankruptcy/DG_10013083" onclick="window.open(this.href);return false;">http://www.direct.gov.uk/en/MoneyTaxAnd ... G_10013083</a>

 

[frimpongs_buzzin]

ah right! hopefully i should be ok then... cheers blues!!

 

[Prestwich_Blue]

Sometimes you can be turned down simply because you don't have enough history of successfully managing credit. This begs the question of how you are supposed to achieve that.

If you can pay off the store card asap then that might help. These tend to charge high rates anyway so you'd be doing yourself a favour paying more than the minimum.

A landlord or letting agent would just expect to see no major problems such as defaults or CCJ's etc so you should be alright if you've not had any.

Sorry prestwich blue, but whats a ccj? im completely clueless u see. the only credit i have is a storecard but they've never threatened to take me to court or anything. I plan on paying it off and cancelling it as soon as i can. cheers for the advice guys!

Didn't mean to imply you'd had problems. It's more that you are presumably quite young and haven't much credit history. I find it odd you'd be turned down for a bank account although the overdraft might have been the problem.

I'm assuming you don't have a bank account at the moment so I'd advise getting a basic account or one without an overdraft. Then once you can show you've maintained that by regular payments in and not going overdrawn you should be able to get more credit.

It is worth getting your credit report (which you can do online) just to check it is OK. Mistakes can be made and people might have used your name or address for credit without you realising. Also, are you on the electoral register? That usually helps.

 

[r.soleofsalford]

Ive got a storecard for topman i owe £300 on (im paying it off, the very minimum of £15 a month) but ive been turned down for a bank account with an overdraft because i dont have a high enough credit rating score. Im lookin to move into an apartment on ancoats with my missus in the next few week and the agents said they will do a credit check.. does anyone know if its gonna affect my chances by still owing £300 to topman? im bricking it incase it fails but loads of people have told me i should be ok... thought id consult the powers that be at bluemoon for advice! cheers

you may still get it passed but it will probably cost quite a lot more than if you had a clean credit history. you naughty boy

 

[frimpongs_buzzin]

Didn't mean to imply you'd had problems. It's more that you are presumably quite young and haven't much credit history. I find it odd you'd be turned down for a bank account although the overdraft might have been the problem.

I'm assuming you don't have a bank account at the moment so I'd advise getting a basic account or one without an overdraft. Then once you can show you've maintained that by regular payments in and not going overdrawn you should be able to get more credit.

It is worth getting your credit report (which you can do online) just to check it is OK. Mistakes can be made and people might have used your name or address for credit without you realising. Also, are you on the electoral register? That usually helps.

I do have accounts, got one with an overdraft and one without. Godknows why they didn't let me have one at Hsbc. fingers crossed, hopefully i wont have a problem but it is a worry. cheers guys! i'll let you know when i find out!