- January 17, 2025
- Posted by: Visa Imigration
- Category: payday loans with no bank account or credit check
To access the best mortgage deals it is important to have a a good credit score rating. You can check your credit score for free with one of the main three credit reference agencies in the UK: Experian, Equifax and TransUnion. You can use your report to identify areas that you need to improve.
There are many things to do to increase the score, as well as ensuring that your entire expense was repaid punctually and cutting your expense.
Read our ultimate guide to replace your credit score for the full lowdown. We’ve also put together a 12-month bundle to a better credit score, which breaks it down into easy-to-follow steps.
5. Check in to help you vote
Before you make a mortgage application, make sure you are on the electoral sign in as this can improve your credit score by around 50 situations. It also allows lenders to check that you are who you say you are and make sure the details on your application are accurate.
If you are not registered to vote, you can sign up online. It only takes about five minutes and you’ll need your National Insurance number to hand. Check the Government’s website to see if you are eligible.
six. Keep the bill payments
Another important action you can take to improve your credit score and possibility of getting your software accepted is to try to maintain your bill payments.
Lenders will check your credit report to see how you’ve managed your finances in the past and use this data to predict your future behaviour. Missing just one payment can knock off around 130 points from your credit score. But if you have a good credit score and a solid history of repaying your bills on time, this will work in your favour.
Ideally, you want to pay your credit card balance off in full each month to avoid all interest and charges. But if this is not possible, you need to pay at least the minimal percentage, so that your credit file isn’t affected. Consider setting up a direct debit so you never miss a payment.
For people who check your credit file and acquire that it’s not appropriate, attempt to get in touch with the lending company to get it up-to-date. If you don’t, completely wrong guidance you certainly will feeling your credit rating plus capability to score a home loan.
Make certain details such as your name and you will target try appearing truthfully, and you can conflict people problems (such as for instance credit searches, products otherwise financial connections) you never acknowledge. Bear in mind that it can take a few weeks to possess mistakes to be updated, with respect to the lender together with credit resource agency, and so the sooner you look on that it the greater.
8. Dump any dated monetary links
If you’ve ever got a joint financial equipment having someone, this will tell you on installment loans in Kingston UT with bad credit your own credit file. It will not affect your credit rating but it make a difference how loan providers view you. So if you’re of somebody who has a woeful credit records, it might be best to clean out links using them regarding their report this cannot echo defectively for you.
To begin with, ensure that the combined account might have been signed. Then get in touch with the appropriate borrowing source companies so you can demand good ‘find off disassociation’ to get rid of any links from the credit file.
9. Raise your deposit
The higher your deposit, the lower the amount you’ll need to borrow from the bank. This is known as your ‘mortgage to really worth‘ (or LTV). Saving a large deposit can boost your chances of getting your mortgage application accepted because the bank is likely to feel more comfortable if you can put a lot of money down upfront (usually over 10% of the value). If the house value was to drop, you would be less likely to go into negative equity with a large deposit behind you.
