I can't get any Credit even though I pay all my bills.

[Welly]

I was in a tight spot about 18 months ago and had no choice but to run up my credit card to survive.

The small cost difference between selling my MX6 and upgrading to the 406 went on the card, and some car repairs (the dreaded FTO) all mounted up on top of what was already on there.

Since then I have not used the card and have been chipping away at the debt (£2,300.00), but it is difficult. I tried to off load it onto another card issuer for a balance transfer deal but they refused my application.

I tried this week to get a loan at a cheaper interest rate but was only offered 17.4% and that was the Alliance & Leicester who I've banked with for 12 years and never gone in the red

The reason for my lack of credit worthyness?....I have a poor credit rating

Now apart from the unexpected tight spot I had back then I'm the sort of chap that will pay for everything outright, no store cards, no overdraft, no finance, no HP, etc etc but because of this I am seen as a huge risk by lenders.

It seems that my old fashioned approach to money and credit has actually worked against me, which I think is wrong. Why should I be penalised for managing my affairs so well over the years?

[Blue406]

I know where you're coming from.

I had a little argument with the Royal Bank of Scotland over a personal loan that I insisted was paid back and they insisted still had 6K outstanding (3 years after I took out the fecking 36 month loan!). So I refused to pay the installments untill they proved why I still had £6000 outstanding on a loan for £4000 taken out 3 years earlier. They still havent. 5 years on!

Then at the same time, the bonnet on my Primera flipped up, writing the car off due to roof damage. The insurance wriggled out of paying and so the finance company did not enact the shortfall insurance and insisted I continue paying for the car. I refused and fought them with the ombudsman who were as helpfull as a chocolate radiator. As a result, I'm still paying for the Primera, almost 5 years after it went to the scrap yard.

This has destroyed my credit rating and continues to black mark me. I can't even get myself a bank account. To say nothing about getting finance or credit anywhere other than those legalised loan shark companies.

I survive by using my mothers second account with the Halifax for all my money matters.

[Welly]

Flippin eck Bluey

I was hesitant about posting this but I feel it's good to discuss and find out about other peoples financial affairs. It's too easy to brush it all under the carpet and yet there could be some good help and advice here.

I don't suppose my story will make the headlines these days but I feel let down when I have otherwise been a model banker (rearrange that if you will)

Welly.

[Playtime_Fontayne]

I know how you feel Welly, I was schoolled into taking a similar responsible attitude with money by my mother (Gawd blessah), no credit , no hpi etc.

Last year when I wanted to upgrade my drum kit, (£800 for mine £3000 for the new one) they told me to sod off as I had a poor credit rating. And I was thinking, "Hey i'm good with money me, no way will i get rejected"!!

Its a funny business alright.

[mjb]

My credit rating's finally getting back on track after having several episodes of severe financial problems (redundancy does that to you...)

At least I have a number of things on my record which count towards me:
Been at my cirrent address for over 3 years
Cable TV/Internet
Littlewoods account (free to apply for, they accept practically anyone and you don't need to buy anything!)
Contract mobile phone
And now a credit card (low limit, ridiculous interest, but it's helping my record!)

Your payments on all your credit accounts get recorded on your credit record (on time, 1 month late, 2 months late... 6 months late, default), so never ever miss a payment and it'll all be good in 6 years (the time after which things 'drop off' your file!

Also make sure you're on the electoral roll.

There's 2 credit agencies in the UK through which every credit application will be passed - Equifax and Experian. 10 quid or thereabouts will get you a copy of your credit report from either of them - either online or by post. It's worth checking occasionally if you're concerned about your credit "rating"...

Basically the key is to sign up for whatever you can and never use it - it all helps your credit worthiness.

[Welly]

Thanks for that mjb, an interesting reply, and subject.

I think it is over 6 years since I had any form of credit.

[jameslxdt]

ive finally got out of finance last week, and at the same time completley out of debt, i was in finance to snap on for £3,300 over a year, which is almost half my yearly income, but when it came to giving me the finance in the first place, they were a bit too happy to give it to me, i also owed my parents quite alot of money, when i had my first car, my dad gave me £5000 as his mum died, so i bought the car with this money and spent the rest on fuel (i had no job!) the rest went on a holiday to america (£2200!) and im not quite sure how i wasted the rest but i did, then i had problems with the car, the pas pump exploded, so my dad had to lend me some money to fix it (£500) then it needed two new tires which i had to borrow more money for, then the car got wrote off, and i bought a new car, which as some of you know my sister took and i ended up with her bmw convertible, which got wrote off again, i used the money to pay off my parents and got my green 406 'shitbox' it cost me nothing but i had to spend £2500 on it, the rest of the insurance money went there, then this car died, and i was fudged, i scrapped enough money together to buy a shity ax (£50) then i got fed up with it and borrowed £1000 to buy my current 406 and get it through an mot, 8 months passed and ive finally paid them off with the sale of the 306 i had, so now im finally debt free!
i was going to take out a loan for about £6000 to buy a really nice newish 406, but i think there aint much point as my 406 hasnt been that bad

[Captain Jack]

Well, being an ex-student (you know the ones that spend, drink, spend, drink and spend), I have looooaadds of debts... Loads more than any of the above. But despite that, I have a credit card (which only has £150 outstanding on it!) and a good credit rating. Also managed to buy a house, car and lots of other crap. I've never missed a payment either, which helps maintain that credit rating so I should be OK. My finances went down the hill a bit with this new job as it costs £200 a month in diesel just to get to work and back and me crashing the bloody thing didn't help matters (bumper, paint etc..). Still... it's pay day tomorrow!

Looks like everyone has some sort of financial issues - glad I am not the only one in a pickle!

[neildavies]

Have you thought about getting a credit report from experian (website). It costs about £2 but would be worth it. There may be a problem somewhere your not aware of.

[Welly]

i was going to take out a loan for about £6000 to buy a really nice newish 406

Please don't do that James. (mine will come up for sale soon, if you give me 50.00 more than the best trade in figure, it's yours)

looooaadds

Have you tried DebtBusters you could ''consolidate'' all you loans into one, easy, manageable payment....then you will be smiling, go on holidays, buy cars, all the things you've ever dreamed of will come true....(PS we will now own your house for the next 30 years)

Have you thought about getting a credit report from experian (website). It costs about £2 but would be worth it. There may be a problem somewhere your not aware of.

I thought about this, might have a go and see whats up, cheers.

This thread is very interesting I think.

[niz406]

Well, being an ex-student (you know the ones that spend, drink, spend, drink and spend), I have looooaadds of debts... Loads more than any of the above. But despite that, I have a credit card (which only has £150 outstanding on it!) and a good credit rating. Also managed to buy a house, car and lots of other crap. I've never missed a payment either, which helps maintain that credit rating so I should be OK. My finances went down the hill a bit with this new job as it costs £200 a month in diesel just to get to work and back and me crashing the bloody thing didn't help matters (bumper, paint etc..). Still... it's pay day tomorrow!

Looks like everyone has some sort of financial issues - glad I am not the only one in a pickle!

I'm in the same situation as Captain Jack... well almost:

The Story Of My Financial Life

1998: I was 18 and applied for an Orange contract phone, they wouldn't give me one because my brother had blacklisted our address, so in order to get credit I had to disassociate myself from everyone else at the address... that meant when they serch my name and address in the credit check, it only shows me as an individual and not the rest of my family... I managed to get a phone, on losing my job, I cancelled my contract early but let the contract run to an end... until 12 months was up, they disconnected the phone and advised me that they would still charge £25 per month for line rental for the next 3 months until the contract term ended.... I was fine with this! I then recieved 3 bills for calls that took place in these final 3 months, despite the phone being disconnected... unable to make or receive calls.... I refused to pay and they blacklisted me and I was unable to obtain anymore credit!

-- -- -- - Big Mess for 2 years -- -- -- -

2000: Started going out with my first girlfriend, had a great year... true love at least I thought yadda, yadda
April 2001: We split, I was an emotional wreck, I didn't take it too well... being an old romantc and niave believing all that first love is the greatest malarky! My Life started a downward spiral of self loathing and self destructive behaviour.. I was only working part time, I coudn't manage anything else in my state, I was lonley and felt like the world was against me... I turned to alcohol and casual sex as a method of getting over my first love... never a good idea!

September 2001: After picking myself up a little I decided to get back into education and do something positive with my life... after 7 years of being in and out of jobs I was a little intimidated, so I joined University, completed my foundation degree first time.... had more partying, alcohol and lots and lots of casual sex ! Still emotionally unstable I hurt the women that I slept with because they wanted more and I couldn't give them more than sex... which made quite a few women hate me! At this ponit I was working part time in BT technical support services, and I was at uni, my income was enough to obtain Car finance and so I applied for a new saxo, they turned me down... so I applied for an impreza and they accepted me, but the impreza was too old for the finance company so I had to look else where, they game me, £7500 to play with... so I brought the 406, turbo because I never knew the V6 existed....

Paid for the car and had no problems managing, didn't have much of a social life because of funds and so whilst at uni @ the freshers fair I ended up applying for a credit card, or two... ok maybe it was four! and got myself in to a mess, I thought I could manage them, pay for 3 with one card and pay that one card cash and so on and so forth until one at a time they were cleared...

2001 - 2002: I started my degree in Computer Network....This is when it all got out of hand and my finances were a total mess, university debt was mounting and my cards, overdraft, were all over the place and I had no way of paying them... they were trying to force me to go bankrupt and trying to force me to leave university and get a full time job to pay them back.... the stress got to me and so the distructive behaviour continued, I stopped paying everything except the car... and not only the car, but repair bills, car parts, all sorts.... with no financial support from home as my folks are disabled and one is retired I had to struggle on my own.....

2002 - 2003 Life wasn't much better, I had letters from debt collection companies coming out of my ears.... constant phone calls to my mobile and folks landline... the companies were harrassing me and I did explain section 20 of the administration of justice act which applies to their behaviour, some took notice and others didn't... although this was a bad time for me, I met my now ex girlfriend and she made life a whole lot better...

2003 - present: I have lots of debt, I only own my 406, computer, and 360... I have no house, I cannot afford to move out and live on my own, I have 2 CCJ's as a result of my emotional instablity of the previous years.... I'm was getting better but now its all down hill due to another relationship split!

Most of my friends from uni have abandoned me... others have good credit, a house and a girlfriend and a future.... whilt I'm stuck with no future, no house, no GF, and worst of all currently no happiness or companionship! That's right almost a year out of uni and I'm still living at home, look at me 27 and still living at home....

I can't even get a consolidation loan my rating is that bad...

I obtained my report for free from Annual Credit Report and boy is it a mess, I don't know how I will ever get my life back on track... financially I'm screwed for at least 6 years.... My credit is so poor, that a letting company wouldn't even entertain an application by me to rent!

So whilst you guys may think you've got it bad, just know that there are people who have it a whole lot worse !

[Captain Jack]

looooaadds

Have you tried DebtBusters you could ''consolidate'' all you loans into one, easy, manageable payment....then you will be smiling, go on holidays, buy cars, all the things you've ever dreamed of will come true....(PS we will now own your house for the next 30 years)

No, thank you. It IS just one big loan.. done that ages ago. And am repaying it comfortably, although not overpaying, which is what I should be doing really!

[Captain Jack]

Niz, mate... I can't imagine how hard it must be for you. Looking at you, I am feeling much better! Have you tried things like IVA? They could write most of your debts off... or so I hear. I doubt I would be accepted as I can quite comfortably pay my monthly bills anyway and I wouldn't want to not be able to obtain credit for the next five years! But maybe it's a good idea for you, if your credit rating is THAT bad and you can't obtain credit anyway?

I am not a finance expert by any means, as otherwise I wouldn't be in a big mess myself, but surely someone can help?

As for your girlfriend troubles... well, 4 years is quite a while. I am STILL getting over my previous ex of 2.5 years who I broke up with more than a year ago. And I am seeing the bitch tonight at badminton... doubt I'll be speaking to her. But as much as I love her, I somehow never saw myself with her in the long run, even when I was in a relationship with her. It's weird... Did you see it coming? 160 miles is long way to maintain a relationship with someone.

But don't worry, it will get better.....! It always does. There's always beer and casual sex!

[Welly]

Nizzy, I know we have a laugh on here but believe me when I say this...I am very sorry to hear of your troubles, I really am. Here I was moaning about what now seems to be an insignificant debt and there are others on here much worse.

I wondered what this subject would spark off and I am glad I asked now because it gives us all a sense of reality if you like.

Thank you all for contributing to my questions.

And niz, please keep your chin up, things will improve for sure.

Welly.

[Essexdad]

Have you tried DebtBusters Laughing you could ''consolidate'' all you loans into one, easy, manageable payment....then you will be................................................



Plese get in touch with CCCS in Leeds,(Consumer Credit Counselling Service)....ive used it to clear debt,its free and it DOES work :


[web]http://www.cccs.co.uk/contact/contact.aspx[/web]