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j.m
Junior Member
172 Posts |
 Posted - 16 September 2008 : 17:50:55
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Since becoming fully discharged from bankruptcy in May this year i have of course been anxious to try and re-build my credit rating to which end i have applied for a number of credit cards and unsecured loans concentrating on those companies who advertise themselves as offering " no credit check " and/or " bad credit " facilities. Without exception i have been turned down even though i have an excellent employment history ,a long standing good address , earn £44k per annum and have low essential commitments as i live at home with parents. Why are these companies quite clearly undertaking credit checks when they purport not to do so and why are they allowed to do this ? What can i do about this situation ?. Are there any credit card companies or loan companies who do give full and genuine consideration to discharged bankrupts in my sort of situation that you could recommend ?.
regards |
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RHB
Senior Member
1159 Posts |
Posted - 16 September 2008 : 18:28:42
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Surely it is a GOOD thingthat they aren't throwing vredit at you again after being newly Bankruppt???
With a good income etc why get credit again? |
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Youngandstupid
Junior Member
141 Posts |
Posted - 16 September 2008 : 18:39:42
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Hmmm you are a discharged bankrupt who is trying to apply for credit again, and appears to me to be desperate to do so for what ever reason. You went bankrupt through debts and now you want to run up more debt. you are asking for trouble if you ask me.
people who go through iva or bankruptcy tend not to want more credit and become more sensible. this doesnt seem to be the case with you and you as you are taking credit for no reason. Makes my blood boil.
LEARN FROM YOUR MISTAKES!!!!!!! |
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BankruptC
Senior Member
1030 Posts |
Posted - 16 September 2008 : 18:46:12
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Hi all,
There is advice out there which says in order to repair your credit rating post BR, using a credit card for a SMALL purchase each month AND PAYING OFF the balance in full, thus incurring no interest charges can be helpful for those people who wish to apply for a mortgage, for example in the future (and thus needing a healthy credit file). From their post, it seems this is what j.m is trying to do. Of course nobody here, and hopefully not j.m. either, would condone racking up further debt post-BR. However I, personally, can fully understand someone taking (sensible) steps to rebuild their credit file after bankruptcy.
Hope this clarifies the situation somewhat.
C. x |
Edited by - BankruptC on 16 September 2008 18:48:03 |
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Needafriend
Junior Member
United Kingdom
344 Posts |
Posted - 16 September 2008 : 18:49:26
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Hi JM
As you can see most of us on here wont even want to attempt to add to our past woes once we are discharged. It is a bit of a sore point when as pointed out that we have had to go BR due to overwhelming debts, but a year on it can seem almost like the past never happened.
Its up to you if you want to get credit cards again so soon after, but i dont know how these work now.
Im not telling you how you should run your life just saying that it can be a bit touchy on here when it comes to asking that sort of question, when like me i have a mortgage with equity that now due to over whelming debts and having to go BR as we have a very low income £15000 PY that we will lose our home.
I have learnt and no way do i want anymore credit.
Maybe someone else can advise as i cannot.
Sorry.
Jo x
"There is light at the end of the tunnel, if you cant find it get a brighter torch"
For links to help with Bankruptcy, useful web pages and also a run down of my new debt free life, both before and after Bankruptcy, then please visit my blog:
http://debtfreejo.blogs.bankruptcyhelp.org.uk/ |
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dazed and confused
Junior Member
United Kingdom
475 Posts |
Posted - 16 September 2008 : 18:49:37
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I agree!
I feel that if I make it through this whole mess in one piece, I don't want to ever get into it again!
This has been the most stressful and worrying time in my life and I am hoping that when I come out the other side I will be happier and more content to just live within my means and enjoy the important things in life.
Sure, I may want to get a mortgage in the future but I don't think I'll have much chance of that in the next few years, and if I do go for one eventually it will be with a large deposit saved up over a period of time.
I would suggest don't do it - I don't know what all the fuss is about with a "Good Credit Rating" anyway - mine just got me into trouble!!! If you are earning £44,000 PA and living with your folks surely that is a good enough credit rating to live a comfortable life???
Sorry - that's just my view... |
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grantspants
Junior Member
United Kingdom
297 Posts |
Posted - 16 September 2008 : 18:50:47
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Here here, I was just trying to write a similar reply but u got there first C! Having a small limit credit card is the ideal way of re-building your rating so that in the future you can get a mortgage.
So go easy folks, this forum is there to help and support them, not judge them. |
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Needafriend
Junior Member
United Kingdom
344 Posts |
Posted - 16 September 2008 : 18:53:31
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Agreed, its just some can take it the wrong way and we all have our own way of learning and coping.
Again i hope that we all learn and when the time is right we may all indeed go for something on credit, but its personal choice.
Jo x
"There is light at the end of the tunnel, if you cant find it get a brighter torch"
For links to help with Bankruptcy, useful web pages and also a run down of my new debt free life, both before and after Bankruptcy, then please visit my blog:
http://debtfreejo.blogs.bankruptcyhelp.org.uk/ |
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grantspants
Junior Member
United Kingdom
297 Posts |
Posted - 16 September 2008 : 18:57:38
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| Exactly Jo, I don't want any more credit in future except a mortgage, but who am I to judge J.M's methods of re-building the credit rating. Each to their own I say. |
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BankruptC
Senior Member
1030 Posts |
Posted - 16 September 2008 : 19:03:06
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Glad to hear we're all siging off the same hymn sheet! :-)
From j.m's post, it's quite clear to me that using a credit card to repair their credit file is what they are looking to do, which, as I said before, I fully uderstand.
C. x |
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RHB
Senior Member
1159 Posts |
Posted - 16 September 2008 : 19:03:08
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I think it was more to do with the indignation that the companies were doing credit checks etc.
I think if you were to want a mortgage, if you were to show you were living within your means & could afford to have one via babk statements that would do. |
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BankruptC
Senior Member
1030 Posts |
Posted - 16 September 2008 : 19:09:23
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RHB,
For someone who's been bankrupt to have a chance to get another mortgage in the future, their credit file really would have to be i very good shape. Showing your bank statements unfortunately won't cut it if your credit file is shot. As grantspants said, it is an unfortunate fact that to get a good credit file, you have to have had credit and show you can repay it, so using a credit card VERY SENSIBLY and WITH GREAT CAUTION is one way to do it.
C. x |
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BankruptC
Senior Member
1030 Posts |
Posted - 16 September 2008 : 19:13:03
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Just to add, j.m., I think I'm right in saying that each time you apply for a card and get refused, you're only damaging your credit score further. I would stop applying, at least for the time being, and get hold of your credit files to check there is nothing on there which is dated later than your BR date, because if there is, you can ask for it to be amended.
C. x |
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dr_kitten
Junior Member
United Kingdom
124 Posts |
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harbourmaster
Junior Member
346 Posts |
Posted - 16 September 2008 : 20:40:51
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Ok, here goes... I may get shot down for this  but....
There is 1 company that offers a pre pay credit card (something that I have got as I certainly need 1 to pay for the fuel etc..)
I must stress that it is a prepaid one though so you have absolutly NO CHANCE of running up a debt.
They charge £4.95 per month.....
however....
they will (if you ask and complete the forms) give you a ..wait for it.....
LOAN of £59.40!!!
This is the 12 months payment of £4.95. If you leave use this "loan" to fund the monthly charge on the card once the full year is up and the "loan" is paid back they contact the credit reference agencies and inform them that you have paid a loan on time every month and that the balance is paid in full!!!
I fully understand peoples thoughts on getting further credit but if for whatever reason anyone does want a mortgage in the future then something like the above can only help.
Not too long ago we could (if we were that way inclined) arrange mortgages of up to 90% LTV on a self cert basis so that they completed the day of discharge . I do know of some unscupulous mortgage brokers out there who did these kind of deals day in day out. We NEVER got involved in that kind of thing as it gives the industry a bad name. Thank goodness that those days have gone due to the "credit crunch" |
Edited by - harbourmaster on 16 September 2008 20:43:00 |
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Youngandstupid
Junior Member
141 Posts |
Posted - 16 September 2008 : 22:10:26
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Ok sorry if my post came across a bit abrupt but i think its the constant applying for credit that gets me.
please accept my appology |
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credit rating for discharged bankrupts
