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beck31
Starting Member
2 Posts |
 Posted - 20 April 2009 : 09:40:27
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| i got discharged in march 2008 but i cant get my credit rating up. I've tried lots of different things to get my credit rating up, any ideas? |
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gettingoutofdebt
forum expert
2418 Posts |
Posted - 20 April 2009 : 09:44:16
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The only way that you will get your credit rating improved is to get into debt and make the payments on this debt.
Do you have a basic bank account? If so, speak to the bank and see if they would upgrade the account and give you a credit card with a small limit (£100). Use the card each month and make sure that you pay it off in full each month. The other option is to get a pre-paid credit card where you load the card with money and then spend it but these normally have charges associated with loading the card or getting the card in the first place. |
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mab
New Member
56 Posts |
Posted - 20 April 2009 : 13:20:08
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Hi
I have heard that Capital One are offering a credit card to help improve your credit file, I think you get a very small limit of about £250 with an APR of 40%, but it would a good start, My wife had an application sent through the post and we intend to use it for shopping/petrol and pay it off in full every month. Im sure if you pay the balance in full everytime they dont charge any intrest. |
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mab
New Member
56 Posts |
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RHB
Senior Member
1159 Posts |
Posted - 20 April 2009 : 16:13:51
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| That is a HUGE apr & tbh is surely going to be the start of the slippery slope again. Just being late with a payment would start adding a lot of interest. At least with a pre paid for card it will never potentially get you into debt again. |
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rumbletumble
Starting Member
United Kingdom
17 Posts |
Posted - 26 April 2009 : 10:01:49
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Hi have a look at this, it is a way of helping to build your credit rating without getting into lots of debts again, i also thoroughly recomend the gold card its pay as you go so cant get into anymore debt:
http://www.mycreditbuilder.co.uk/faq.aspx |
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 26 April 2009 : 11:14:08
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Don't forget that the BR will remain on your file for 6 years from the date you went BR, so that isn't going to help you.
I would be very wary of having another credit card, especially one with a high APR.
If your rent/mortgage is up to date, plus your bank account and a mobile phone contract if you have one will all help to build it up again.
The glimmer gets brighter all the time
Jan
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rumbletumble
Starting Member
United Kingdom
17 Posts |
Posted - 26 April 2009 : 11:29:29
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You can all but try and look at ways to help to rebuild your file, the pay as you go card is not a credit card as its only your money on there but it is one option as the link shows you how exactly it works with regards to helping you, make sure that you update your credit files with satisfied or partially satisfied and wait and see.
As Kallis has pointed out you dont want to be getting a card with a high interest rate if you can help it, time is a great healer and by biding your time and doing things right you will get over the problems that may have arisen since going bankrupt.
There are places that would take you for credit, but just look at all the small print before diving straight in. Good luck
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Edited by - rumbletumble on 26 April 2009 11:31:17 |
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 26 April 2009 : 11:33:20
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A prepaid card wouldn't show up on your credit record though would it? It's great to use so you know exactly where you stand with your money.
If you can be strong with a credit card and pay it off each month, then that will help.
I personally wouldn't do it though.
The glimmer gets brighter all the time
Jan
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rumbletumble
Starting Member
United Kingdom
17 Posts |
Posted - 26 April 2009 : 11:36:22
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The link i gave is a new option that if you have alook it is like a loan that after the year will then show up on your credit file, it may be worth checking it out and reading up on it.
Its a new thing that came in last year and as it says its a credit builder, it really is very intersting and does make sense. This is what they say:
Will creditbuilder improve my credit rating?
creditbuilder is a loan of £59.40, which is repaid with 12 monthly payments of £4.95. When you have successfully satisfied the loan, it will be reported to the Credit Bureau, and your credit history will be adapted accordingly. The more loan and credit products you have successfully satisfied, the better your credit rating will normally be.
How much does creditbuilder cost?
You will not face any extra charges by adding creditbuilder to your cashplus gold account. You pay NO interest on the loan and there are NO administration charges – you just keep paying the regular £4.95 monthly fee for 12 months.
Will I get the £59.40 on my card?
The £59.40 loan is to pay for one year’s use of your cashplus card. The money is only available for this purpose. As soon as your creditbuilder agreement is approved we will credit your cashplus account with £59.40 and then use this to pay your next 12 months cashplus fees. For each of the following 12 months we will then deduct the normal £4.95 monthly fee from your cashplus account and use it to repay your creditbuilder loan.
What does APR mean?
APR is the Annual Percentage Rate. It is an expression of the effective interest rate that the borrower will pay on a loan, taking into account one-time fees and standardising the way the rate is expressed. In other words the APR is the total cost of credit to the consumer, expressed as an annual percentage of the amount of credit granted. As the APR for creditbuilder is 0.0%, when you are loaned £59.40 for creditbuilder, you only pay back £59.40.
What is the APR on the loan?
The APR on the creditbuilder loan is 0.0%. You do not pay any interest on the £59.40 loan. You just make the 12 monthly payments of £4.95 as you would normally do with an activeplus cashplus gold account.
creditbuilder and your cashplus prepaid gold MasterCard
Can I still use my cashplus gold card as normal?
Yes. When you have a creditbuilder loan it will not affect how you use your cashplus gold card. You can continue to use your card wherever you see the MasterCard acceptance mark, whether it is to shop online, in stores or to withdraw cash from ATMs at home or abroad.
Can I have creditbuilder on a flexiplus account?
As you have to make monthly payments of £4.95 for creditbuilder, it is only available on an activeplus cashplus gold account.
Can I switch from my flexiplus to an activeplus account?
Yes. Just call our customer services team – see the number on the back of your card.
How is this different to a ‘normal’ activeplus account?
Creditbuilder is different as we report on your monthly payments to the credit bureau. And we have loaned you the fees for 12 months usage of your cashplus card. With a ‘normal’ activeplus account, you simply pay your fees and we don’t report to the credit bureau.
Can I have creditbuilder on an additional card?
creditbuilder can only be applied to primary cardholders. Additional cardholders can continue to use their card(s), however, creditbuilder will not have an affect on their credit rating.
How many accounts can I have with creditbuilder?
You should only need one creditbuilder account to start improving your credit rating.
Can I renew my creditbuilder agreement, after completing the first 12 months?
Yes. You will be invited to re-subscribe to creditbuilder as soon as you have satisfied their initial term. You can carry on for as long as you like.
What happens if I do not renew my creditbuilder agreement?
After the last of your 12 monthly payments for creditbuilder has been taken, and the completion of your loan repayment has been reported, your account will return to a normal activeplus account.
How do I know if I am a fully verified cashplus customer?
To be a fully verified cashplus customer you will have provided two forms of identification, either when you applied for your card or at a later date. If you can use your cashplus card in an ATM, you are already fully verified.
Applying for creditbuilder
What are the acceptable proofs of identification?
To apply for creditbuilder you must enclose a photocopy of the photo page of one of the following pieces of identification:
Passport
UK Drivers License
EU Drivers License
EEA Member State ID Card
Where do I send my application form?
You should send your application form to FREEPOST CREDIT BUILDER. No further address details are required, and you do not need to use a stamp.
How do I know when/if I have been accepted onto creditbuilder?
Customers will be notified by e-mail when they are accepted onto creditbuilder. You will also receive a copy of the creditbuilder agreement in the post, signed by a representative of Advanced Payment Solutions.
Can I cancel my creditbuilder agreement?
Once you have received your signed customer copy of the creditbuilder agreement in the post, you have the right to cancel it within 14 days without paying any additional charges. You will find a cancellation form at the bottom of the creditbuilder agreement – send this to FREEPOST CREDIT BUILDER and the loan will be cancelled.
Credit ratings
What is a credit rating?
A credit rating assesses the credit worthiness of an individual. Credit ratings are calculated from financial history and current assets and liabilities. Typically, a credit rating tells a lender or investor the probability of the subject being able to pay back a loan. A higher score suggests that you will probably find it easier to borrow money or buy goods on credit and may be offered better deals than if you have a low credit score.
Can creditbuilder have a negative impact on my credit rating?
Failure to make your monthly repayments would be reported to the Credit Bureau. As long as you continue to pay your 12 monthly £4.95 repayments, creditbuilder will not have a negative impact on your credit rating.
When is my credit rating updated?
We will report to the credit bureau that you have made successfully made three repayments of £4.95 after your third month on creditbuilder. All subsequent reporting of repayments will be made monthly.
What happens if I miss a monthly payment?
Failure to make your monthly repayments will be reported to the credit bureau and could make obtaining credit for other products more difficult in future.
Can I pay back my loan early?
You can settle your creditbuilder agreement at any time, but you will have to pay back the whole of the remaining loan in full. See the terms and conditions on the application form for three examples of what you would have to pay in the event of early settlement.
What is a credit bureau?
A credit bureau or credit reference agency is a company that collects and collates financial data and provides consumer credit information on individual borrowers. This helps lenders assess credit worthiness, the ability to pay back a loan, and can affect the interest rate applied to loans. The more loans you have successfully satisfied, the better your credit rating is likely to be.
Contacting us
Contacting us about creditbuilder
creditbuilder can help with debt managementIf you already have a cashplus prepaid MasterCard click here to get your creditbuilder application forms:
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 26 April 2009 : 11:41:12
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Could be useful.
The glimmer gets brighter all the time
Jan
xx |
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cant get my credit rating up
