Credit scoring in detail???

Question

How many points will my report go up if I clear a default or make a big payment?/ Is there any set point systems that will help me improve my credit??

Answer 1

Once consumers are classifed according to their performance, Fair Isaac evaluates the raw data in the consumer's credit files as of the scoring date. Individual pieces of information that describe the credit file are evaluated to isolate those pieces of information that are predictive of future good or credit performance. These pieces of information are called predictive variables.

The predictive variables, or characteristics, inclde the same types of characteristics that a mortgage underwriter would evaluate. Over 100 predictive variables are evaluated during the development (or redevelopment) of each of the Fair Isaac Corp. (FICO) credit bureau scorecards. The scoring systems residing with each repository contain approx. 33 variables found to be the most predictive in combination.

Credit risk scores are bosed on 5 main categories of credit information. These are in order of most to least important.
Payment History (35%), Outstanding Debt (30%), Length of Credit History (15%), New Credit (10%) and Types of Credit in Use (10%).

Answer 2

Im sorry to say that even if you settlle a default or ccj,it will still hang over you for six years,it depends on who you approach for what,banks are not so easy going.They still show up on your credit score and your credit score may be light or heavy depending on how many unpaid things you have.Some lenders etc will ask you when they look at your credit rating what each thing that wasn't paid was for, and in to their own
lending terms will decide wther to help or not.
Im afraid that some high street lenders dont like to go near any ccj's or defaults,however there are lots of other people who do as they realise that we are only human after all and can make mistakes.
As long as you are meeting all your normal monthly out goings and you hust have one default i can't see it affecting you a badly as those who have a few.Yet it will stay on your credit file for 6 years regardless of it being paid or not.If it is paid in full it will show on yoru file as ''satisfied'' which does show that it has been paid off,but will still be questioned if appling for certain things.

Answer 3

Credit scoring is by and large proprietary information. The bureaus do not share with us commoners (the consumers) how much defaults, repossessions, on-time payments, etc. are worth. It's one of life's great mysteries. You can ask them, but they will not tell you.
If you pay off a collection, you will not see your score improve. The only two factors that will raise your score are 1) paying your bills on time and 2) reducing your debt ratio. That's it. No other activities make your score increase.
I hoep that helps!

Answer 4

To improve you score, you need to pay everything off, and do it with no late payments. If you are behind, contact your creditors and arrange to bring the account current. Cut up the credit cards and don't use them any more. Do not apply for "new credit" in hopes of improving your score.

Get out of debt, stay out of debt, pay cash, and live within your means. You grand parents didn't worry about their credit score, because they so no value in paying interest on things they simply did not need. Amazing?

Answer 5

you can check your credit statues free on line or you can send £2 off to one of the credit scoring services and they will send you all that you need in great detail but once you have had a problem with debt it will always be on your record the only difference it will make to you is when you apply for credit the amount of interest they will charge you

Answer 6

u should get credit inform they have plans from 5.99 to 8.99. They can answer questions like this. I have them and I love it. They watch for credit fraud and stuff with the more expensive plan.

Answer 7

it will go up just don't know how much