how to rebuild your credit score

A poor credit score doesn’t have to feel like the end of the world. With time and patience, it can be fixed.

It can be difficult for anybody to come to terms with the fact that their credit score isn’t up to scratch. It may feel like something you just have to live with, but there are ways, over time, that you can rebuild your credit score and enjoy greater financial freedom as a result.

Bad credit can affect anybody, as there are many factors which can impact your credit rating. In the UK, though there is no universal credit score, a score of over 700 is generally considered good.

A poor credit score can prevent you from receiving the best interest rates and necessary financial products, reducing your financial freedom overall. That’s why we’re here to take you through some of the simple ways you can start rebuilding your credit score. Let’s take a look.

Check your credit score online

Facing the reality of your current credit score is the first step to improving it in the long run. Not only will this help you come to terms with your current situation, but it may help you notice things which you otherwise would have missed. For example, you may want to address any missed or late payments as a matter of urgency.

You may also find defaults or inaccuracies in your report, as well as mistakes or even fraudulent activity. It’s understandable to want to bury your head in the sand when it comes to your credit score, but there can be no room for error when it comes to bad credit. You can check your credit score online from a variety of places.

Get on the electoral register

Your next step should be to make sure you are enrolled on the electoral register. This can improve your chances of being accepted for credit as it means that you are more easily identifiable for lenders who will be searching for your name and address. So although being on the electoral register doesn’t directly improve your credit score in terms of numbers, it does mean that your identity can be confirmed and fraudulent applications avoided. This will have a genuine impact on your likelihood of being approved by prospective lenders.

Avoid pay day loans

It may be tempting to seek out the fastest way to improve your credit score, and this might lead you to consider the services of one of the many pay day loan companies on the market. However, this is not a good idea. These ‘quick fix’ companies are notorious for their exploitation of extortionately high interest rates. Many also offer services and rates which they legally cannot deliver, placing you in a more precarious situation than more.

What’s more, these companies will also reflect badly on you when it comes to finding lenders. Generally speaking, using payday loan companies shows you can’t manage your money well.

Apply for a credit card

Applying for a credit card may seem like an odd thing to do when you’re trying to improve your credit, but it can be hugely beneficial if done right. Apply for a credit card with a small limit and spend an amount on it each month and then pay it back on time. This will help to build up your credit if you have bad credit history or no credit history.

If your credit score is stopping you from getting the car finance you need, look no further than Zoomo Car Credit. We’re proud to offer bad credit car finance to those struggling to get the vehicle they really want. Fill in our 30-second application form today or get in touch by calling 0191 238 10 84.