serious question ! how do i go about clearing my credit history?

Question

i have a really bad credit history, how would i go about clearing it, i would idealy like to pay off all the debts, i have, under some kind of payment sceme but i dont know who to coantact, please help.

btw im in the UK and always have been

Answer 1

All you can do is pay off debts and ask for a receipt then send it to experian , who will then mark it as paid but keep it on record for 6 years .(FU*@XNG BA*@X**RDS)

If you find yourself in a position to pay off debts in one lump sum contact them first and tell them that you will pay it off if they put it in writing that they will remove their name of your credit file , some say it can't be done others say yes no problem play hardball .

It took me 5 years to pay it off and it's gonna take another 5 to clear my history .

The only thing I've learned through it all is that if you have problems it is better to let them take you to court before trying to pay it off because a county court judgement can be removed from record as soon as the debt is paid for a fee of £10 , god i wish i knew that at the start !

Credit reference agencies are a mockery of the law and should be made illegal .

Answer 2

Your credit record stays with you from 6 years after you have settled an account. You need to contact all of the companys you owe money and explain your situation. They will then work out a plan with you even if you only pay £1 a month, this means they will look at the interest you are being charged and in some cases stop applying new charges. I would advise you to call into you bank and ask to see an adviso. Hope this was of some help. Good luck.

Answer 3

I, too, was in this situation a few years ago. I don't usually recommend the Citizen's Advice Bureau as I've had some very dodgy advice from them, but on clearing debts and making my credit history look glossy they were very helpful. They had a pamphlet which you worked through - it got you to do some really uncomfortable calculations (i.e. what comes in and what goes out each month!!). Using these calculations, I then approached the companies I was in difficulty with - I presented them with a copy of my woeful income and expenditure analysis and offered a tentative resolution (i.e. £x per month instead of £xxx per month). Most companies were happy to take a minimal amount each month AS LONG AS the agreement was kept to, after seeing how detailed my list was and how much thought had gone into it. It was a really long process but eventually I won through.

Another way of making sure you keep a good solid credit history is use your bank account well. According to my banking advisor, the fact that I rarely use cash but use my debit card and cheque book frequently helps to show the bank (and credit rating agencies) that you are adept at managing your funds. Oh yes, and making sure you don't blip into your (agreed) overdraft too often helps too!

Answer 4

Beware of bad advice.
I found that the best approach is to contact your creditors as
soon as possible. Arm yourself with a budget - it should consist of your income less allowances for housing(including council taxes) food clothing travel(for work) and a very SMALL allowance
for entertainment. what you have left over is what you can afford to pay. Divide this sum proportionately by the amount you owe to each creditor this is what you can afford to pay.
Telephone them as soon as you can explain your situation and ask what they can do to help. They will usually fall over backwards to get you paying something on a regular basis.
If they ask for too much, say you just cant pay it and offer them about 2/3 of what you can afford according to your budget.
Start with the creditor you owe least to as they are usually more willing to help. If they are unco-operative suggest that they suspend interest charges and accept a very small payment until
you get back on your feet. Any success you have with one can be used as ammunition on the larger creditors you have. Tell them so-n-so did this and that for me....
This usually works and you come to an agreement to pay such an amount on a regular basis for the time being.
Once you have an agreed payment plan with all your creditors you can ask that they remove the default notice they have
given you with their credit reference agency. This works best
when you take the initiative and go to them to work out a plan.
Should you find it impossible to come to an agreement with a
particular creditor on the high end of your list you can threaten to declare bankruptcy. this will often tip the balance, if not you may actually have to do it. The good news is that the courts may
side with you if you can show that you were making an honest effort to clear your debt. In any case bankruptcy/ insolvency is
usually rescinded after 3 years and the debt remaining written off.
That is the primary reason all big lenders have special departments to deal with and help those in your situation.
I wish you every success.

Answer 5

You are going to have to live with that for a while. Paying them off will show them as paid on the credit report but will not erase them. Negotiating a settlement is a good idea, but again, it will show as not paid in full on the report. You have to wait for them to "age" off the report. How long that takes depends on the type of debt. Paying them off will raise your score in the long run. Paying them off or a settlement offer is probably your best way out of this mess. The new credit laws that started last year have almost ended pay for delete. The major credit bureaus stopped doing them quite a while ago, they felt it defeated the purpose of credit history. You can try, but get it in writing before you commit. You need to talk to them about paying them off. It is in every ones best interest to settle the bill . Decide first if you are going to pay in a lump sum or if you want to be on a payment plan. Expect to pay the principle but try to negotiate the interest and penalty fees. Be realistic in your expectations.

Answer 6

Go the the experian consumer help web site (google it) and send them your £2 to get your credit report, then follow the steps laid out in the booklet they provide. I did this, and have gone from a rubbish credit rating to having an almost clear one, I have had three personal associations removed, defaults removed and the CCJ marked as satisfied.

If you'd like to know more about it before sendiing your £2 to them, contact me through yahoo answers and I'll give you what info I can.

Answer 7

Clear all your debts by paying them all off, if you cannot manage this on your own there are plenty of debt management companies around that could help you, you should be able to get a list from your local citizens advice bureau.

Answer 8

Once your debts are clear you need to stay out of debt for 5 years to get a good credit rating. Contact your citizens advice bureau for free advice.

Answer 9

I had the same problem, so i contacted the credit bureaus first to dispute all of the negative issues, then I requested information on it issue that could not be removed. They have to send you a letter within 30 days of your request saying who you owe and how you can get in contact with each of them. Or you can hire a lawyer to dispute each issue. It will cost $99.00 to start and 39.00 a month. It should take about 3 months aleast. it worked for me.

Answer 10

Bit of a pain- but I would speak to a few solicitors who negotiate you a better deal than a credit management co. Dont Know what state your in but contact me if you want a name.It wont be quick-5 years but lot of peace of mind and get th buggers off your back!