Improving my Credit Score

[dannyfleetwood]

Apologies if this is in the wrong form.

 

I am looking for some advice on how to repair my credit score.

 

I have defaults on my account (experian and equifax) and some late payment markers. These are all around 2 years old from when my work reduced my hours meaning I had to go on a Debt Management Plan.

 

I am now £7000 in debt which will be paid off in the next 12 months as I am now in a position to pay £700 per month through my DMP.

 

I have got a Jacamo account with £2000 limit (this has been increased over the last year from £300). I also have a Capital One secured card with £200 limit which gets paid off every month and I have recently received my Vanquis card through the post with a £500 limit on. I simply have these 3 accounts to prove I can pay my bills on time every month and that the defaults on my account weren't due to me not being bothered to pay them.

 

Credit score is 576 on experian and 242 on equifax.

 

Any advice or best practice to get this score up? I have 63 credit searches on my experian however, I have set myself a challenge to not have any more searches on my file for 12 months. This should surely add some points to my score when they all drop off?

[BRIGADIER2JCS]

Numerous and frequent credit applications resulting in searches will seriously pull the ''credit score down'', the ''score'' is just a day to day indication of how you may be considered when applying for credit it is NOT seen by potential lenders.

I f you have defaulted accounts on file now it will take up to 3+ years to build a significant credit profile after the defaults are removed 6 years after the default date.

Lenders are increasingly looking at much longer credit histories often up to 5-6 years.77

 

Consistant late payment markers will affect lenders decisions as much as defaults.

[dannyfleetwood]

So it will take 3+ years AFTER the defaults have been removed? Or 3+ years from now so when they fall off I will already be in a good position?

[BRIGADIER2JCS]

The removal of defaults from CRA files wont dramatically improve your credit profile it needs 3 + years of good to excellent credit management before it would be considered ''stable''

 

To start making credit apps again frequently will only go against you.

[dannyfleetwood]

So, in effect them being there aren't a major problem at the moment? I hear many mixed things about defaults.

[BRIGADIER2JCS]

So, in effect them being there aren't a major problem at the moment? I hear many mixed things about defaults.

 

These things must run their course, from what you have said requent credit apps have made the situation worse as they are seen as ''deperation'' by potential lenders.