2014 Lender Lists:
How to Improve a Poor Credit Rating
You can do this for free with Noddle or more comprehensive reporting can be obtained from CreditExpert (Experian) or even the Equifax report. Each of these agencies are used by most lenders and so they should provide the most accurate data. I have tried Noddle from CallCredit and it is worth using, but given the choice CreditExpert or the Equifax paid services are the way to go. Each offer a free monthly trial and so there is no need to part with your cash. Just remember to cancel in time to make sure that the billing doesn’t trigger. The attained report can quickly identify where you have gone wrong.
Make sure that you are listed on the electoral roll there since that is factored by lenders. Taking notes surrounding each profile mark is recommended. Closed accounts are marked as “Settled” whilst defaults once paid are marked as “Satisfied”. They are removed after the period of 6 years. A bankruptcy or CCJ notice will also stay on record for 6 years. With defaults, if a lender has sold on this account, then you would need to arrange payment with the debt collection agency that likely purchased the account. As noted, your situation may not look great now, but things can get better in time if you work at it.
Heading into the future, the damage will fade from your profile, but to again establish trust it would be important to borrow again. How to improve a poor credit rating isn’t easy, but it can be done in time. It is important to take action now and settle any claims that will be there for all potential lenders to see. Even in a dire situation, funding can be received by logbook lenders if you have a qualifying car. No credit checks are usually taken and they don’t care about your record so long as it is shown that you are in a position to afford the repayments.
Another option is a guarantor loan that requires a backing, but other than the great rates, they report to the agencies that allows you to rebuild this way. Again, eligibility isn’t strict here and the check they run is to verify who you are (and that you aren’t bankrupt). Other than the guarantor and logbook options, there aren’t really any subprime products that would likely take on those with a very poor score. If a payday lender does then some may report your borrowings, but this process would work better with instalment lenders (As Discussed Here). One final suggestion would be to use the CashPlus prepaid card that has a CreditBuilder facility.