How to interpret a credit report

A question about : How to interpret a credit report

Hi all,

I have got the statutory credit reports from Equifax and Experian together with the free report from Noddle. Can someone please help me interpret the data and estimate my credit rating?

A bit of background, I ran into some financial trouble a few years ago (2006-08), where my payments were a few months late but I settled all the accounts by June 2009. I had one account which has a satisfied default which was registered in Sept 2007. However, 4 years on my credit rating still appears to be very low - the rate I tend to get offered in significantly higher than the advertised rate.

Please find the details about my situation below:

1. I have lived at the same address for 8 years but have not been on the electoral register.

2. I have 2 current accounts both with overdrafts that have been used recently.

3. 5 credit cards (2 had 0% promotional rate for balance transfer which I took up and have been paying minimum or close to minimum on it; 1 capital one card with Ј500 limit which I have not used for months; 2 regular credit cards which get regularly used and the repayment varies, some months its minimum other months more than the minimum - i have unfortunately had to use this for a couple of cash advances in recent months). I also have 1 charge card (AMEX) which has always been up to date.

4. I have one loan which I got in Jan and is up to date.

5. I have had a few searches (around 10-12) in the last 12 to 18 months.

6. I have recently had loans which I have repaid early (in less than half the agreed term).

I do admit that the ratio to credit card balances to limits would be about 75 - 85%.

Is the default causing the problems? How much of an impact do cash advances have on credit ratings? What is the best way to sort out my credit rating? Any advice will be greatly appreciated.

If you need more information, please let me know.

Thanks,

MSE2011

Best answers:

• Can I ask are going over the limit or staying with in boundaries of the overdraft limit
• Hi Sista,
  Thank you for replying.
  I just didn't get around to it when I was at uni etc
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• Hi cam,
  Thank you for replying.
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• I also wanted to say well done for not having a bet since feb.
• Tell me about it!! Hopefully I will clear it within the next 2 years!
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• A few things stand out for me which will probably be impacting your credit rating:
• Electoral Roll - now sorted, great!
• Debt - salary level of 75%: anything over is considered a bit "scary" nowadays for lenders
• Cards - cash advances (usually people use these as the last resort to PDLs so they will trigger concern)
• OD - do you always live in it / close to the limit? If so, this will also be a warning to lenders that you're struggling on the money you have available

Yes the default will have an impact but the above will also certainly do so, especially if this is more recent history
Best of luck sorting things out - will pop over and have a look at your SOA
ETA: none of our business & you don't need to post the reasons, just for you to think about .... have you addressed the reasons why the debts built up in the first place? It took me 3 attempts to get DF - really as the 1st & 2nd attempts, I still had blinkers on and thought I could live the same way as before & everything would be OK - it was only when I finally sat down and worked out why I kept getting back into debt and addressed these issues, that I made progress. HTH

• Thanks RFTA
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