Credit Score low but credit report seems decent. Why!!!

[Crouchjc88]

Hi Guys,

 

I need your help please!

 

My girlfriend and I are looking to buy our first house together and for this we need a mortgage.

 

I have previously had a poor credit history

 

With working on this for a few years

I have now managed to get all my defaulted accounts and bad accounts removed,

 

there is still one account which has had 1 late payment

but this is 8 months ago and has been kept up to date since.

 

i pay my credit card in full every month.

I have also had car finance for over a year now which is all clean

and no payments missed or late and always paid on time.

 

Even with all this my credit score is still only showing as 2 star and a score of 569,

 

can you please advise why this is and how I can now get this in the 700's?

 

I don't understand why it is still so low even though my credit report now looks good.

 

I have been registered on the roll since 2005 and have never moved address,

there hasn't been any applications for credit for over 1 1/2 years.

 

Your help is very much appreciated.

 

Thanks.

[ims21]

Hi

 

I have merged 7 posts from all over various forums asking exactly the same thing into this thread and then tidied it.

 

Please don't keep posting the same question all over the place.

 

You will get help here when the guys are available.

 

I

[dx100uk]

always best to check more than one cra provider

 

try noddle its free

 

dx

[dx100uk]

are there any financial associations linked to you

 

dx

[BRIGADIER2JCS]

The problem you have maybe that once all the derogatory data was removed from your files there are now no long running well managed credit accounts for the system to make a prediction about your credit worthiness ( the score is that just a day today prediction based on data available).

 

 

You will need (for a joint mortgage) an absolute minimum of 3 years good ++ credit management over 3-4 accounts showing on both applicants record joint or singularly.

 

 

Residential status and being on the electoral roll play an important part 3 years minimum is the norm.

 

 

Having too few accounts is as bad as having too many or some with late payment markers, defaults or missed payments.

 

 

Many mortgage lenders are looking for 3-5 years good creidt management even those that may be considered sub-prime.

 

 

18 months with no credit apps is in this case a neutral item I think.

[Crouchjc88]

Hi Guys,

 

 

Thanks for your responses; I don't have any associates and do my credit report with checkmyfile.com who I think get there information from all the agencies?

 

 

I have had my car finance for 1 1/2 years now and no problems with that, they have also supplied me with a letter stating that they have never had any issues with payments and that I am a good creditor.

 

 

I have had my credit card for just under 3 years and have only ever made 1 late payment which was 8 months ago, this was because we were on holiday at the time and it completely slipped my mind but immediate payment was made once we were back.

 

 

I have had 2 lots of finance for a season ticket across the last two years of which both are not settled and never missed a payment etc...

 

 

I have been with my bank for 8 years and never had any issues with that.

 

 

This is all that is showing on my credit report.

 

 

Is a score of 569 still not a low score for this clean history?

 

 

Is it true that the lenders don't see the score which we see so the score they get may be much better?

 

 

Thanks in advance for all your help.

[BRIGADIER2JCS]

Emm " agencies that gather data allegedly from ALL CRAs I have found are not always up to date or reliable.

 

 

The "score" given that is comes from CMF is not something I would rely on personally

The 569 score is I think appropriate for the information available on your credit profile.

The good old and somewhat mythical credit "score" 3 magic digits actually is intended as an indication

for the data subject as to how a credit application MAY be viewed by a potential lender is plays but a small part (if any) on credit decisions.

 

 

All lenders have the unique in house systems for rating credit worthiness based on many things, e.g. Your specific credit history, number of active and well run facilities (too many is as bad as to few such accounts).

 

 

The number of credit applications successful or not again too many will give and an impression of credit "desperation''.

 

 

The conduct of a current bank account without an OD is unlikely to have an impact either way.

 

 

The accounts for tickets may have some positive impact but are short term loans, leaving just the credit card to provide data for assessing your credit worthiness.

 

 

The " score " is for you alone.

[Crouchjc88]

Thanks.

 

 

My Girlfriends credit report is perfect.

 

 

Based on your knowledge, do you think we would be declined for a Mortgage?

[BRIGADIER2JCS]

I would not expect any serious problems if your girl friends income is on a par with yours or higher.

 

 

If she has no negative markers on the report an there is a least 3 years of checkable good credit management it will be a big advantage.

 

 

I would personally check Equifax and/or Experian reports individually.

[user2001]

I would advise getting the £2 statutory reports from Equifax & Experian (noodle is free) rather than subscribing to a circa £9 per month which won't tell you anything more useful than the statutory one.

[BRIGADIER2JCS]

Noddle (Call Credit) uses 2nd hand data as so Check My File and other like agencies.

 

 

You may find the "historical'' data on the online CRAs very useful too.