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How often does your credit score change?

If you have bad credit you may be wondering when will your credit score change. In most cases of poor credit things such as CCjS, defaults and Ivas will take six years before deletion off your credit file altogether. However in the meantime we still need to get credit from time to time and it is useful to know a few points to help you keep on top of your credit score.What things affect my credit rating?

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There are numerous things that can cause your rating to alter, like applying for lots of store cards, loans or other forms of borrowing in a very short space of time may raise a flag to any potential lender that you may not be living within your means and perhaps may struggle to meet the repayments. Try wherever possible to keep your borrowing and loans to a minimum and always repay on time, as missing a payment and getting new deafults, CCJs, IVA’s or bankruptcy will not only have a negative impact on your rating but will surely ruin any short term chances you have of restoring your credit rating any time soon.

Your existing creditors may from time to time may perform additional credit searches and if they feel you may be in some kind of trouble, at their discretion may even close your account with them even if you have been a good payer; bad credit with one company can affect your good credit with another!

Each company and each credit rating agency will have their own criteria assessing any changes to your credit score.

How often is my credit file updated?

It’s a great question and again there is no easy answer but you can generally assume the longer bad debts existed on your file and the less significant becomes. For example CCJs over two years hold far less significance to your current status than if applying for more debt a day after the original date of default issue. The rating may have improved quite considerably in time and although the deafults will remain on file for six years, most bad credit catalogue companies may be more lenient in their decision making process than it would be if the issue was a more recent one.

What can I do to improve my credit score?

Depending on your situation, there may be lots of opportunities and a simple strategy you can take to improve things financially. Try  where possible to reduce your spending, switch utility provides, check insurance rates, switch or reduce your bank overdrafts, pay your utility bills on time and meet your loan repayments. As the credit rating companies like Equifax and Experian are notified of your improving situation, your score over time will improve. Image representing Equifax as depicted in Crun...It is always worthwhile checking your Experian file for any inaccuracies or false information. This should be definately be done as not only will you get a better understanding of your current situation, you may also spot errors to improve things. It may be that you are financially associated with someone like an ex spouse and they have a poor credit history but you are no longer with them. In this situation it is important that you notify the credit rating agencies at once about this. One other thing you can do is to ensure that you are on the electoral roll.

How do I fix my credit score?

The starting point here is to obtain your credit report from the credit reference agency. The biggest one in the UK is experience you offer a free trial to their service. Once in receipt of this information, you can then assess your credit accounts and organise them and put into operation a plan to repay your existing loans credit cards debt and finance agreements. Even though this may not be a challenge to do as you have little money left over, it is important that you take small steps to reduce your credit in order for the credit agencies to reflect this. Do not be tempted to apply to lots of new credit companies as this as mentioned earlier will also be a footprint on your file.

Getting a credit catalogue from some of the companies listed on this site will certainly help you if only have a small credit limit with them and demonstrate that you can sensibly repay on time and manage your money efficiently. Indeed, perhaps the reason your credit score is low is infact that you simply have no credit on your file. As surprising as it sounds this can also work against you. In doing these steps,  you will find at the time you’re bad credit will gradually improve

What is considered a good credit score?

The answer to this question depends on what you are actually buying for. Experian rates are good score between 881 to 960 a good score. If you’re rating is higher than that then you’ll be as excellent. The figure below 881 is classed as fair, poor and very poor stop. If you are applying for a mortgage then naturally the company will use your credit score as a strong indicator as to your ability to repay in addition to your income, however applying for a shopping catalogue you are obviously not committing yourself to such a high value purchase and consequently these companies are far more leanient.

How is my credit score calculated?

No one really knows outside the credit reference agencies exactly how your credit score will be calculated. However there are plenty of things you can do as discussed in the methods and strategies in this article to improve your credit rating going forward. Whilst there can never be any quick fix in this situation you can imrpve over time how a credeitir asseses you and get yourself on the road to financial repair.  Checking all the information on file is correct, keeping to your repayment dates and don’t overspend are key things to remember when you ever ask yourself how to improve your credit score.

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