Improve Your Credit Rating

Many people need credit; by having it you can pay for things you can’t immediately afford, or pay off debts. However, it’s not always easy to find; if you’ve been insolvent in the past or you’ve been poor at making monthly repayments then you’re likely to have a bad credit score. This means fewer banks will be willing to give you credit, and you may find your applications are being repetitively turned down. Despite this, there is no universal credit rating or credit blacklist, and there are plenty of ways to improve your credit score. Here are a useful few to get you started:
Get on the electoral roll
This is absolutely essential. Lenders use the electoral roll to check your address and who you live with. If you have no evidence of a fixed address then lenders are simply more unlikely to be confident lending to you. If you’re consistently being turned down for credit then writing to your local council and checking you are on the register could well be a very simple solution.
Be stable                                               
While it’s not a quick fix if you have a poor credit history, having evidence of stability is good. If you’re a homeowner and have a long term employer then creditors are likely to see you as less of a risk. Additionally, merely having a savings account may help your chances – even if it has no money in it, having one suggests that you at least have intent to save. Visit Santander for more info on savings.
Create a your own history
If you’re finding credit particularly difficult to find then there will almost certainly still be ‘high risk’ options. Many lenders, such as Monument and Capital, offer credit cards with interest rates of some 30%, but they can be a good way to create a good impression. Get one for six months to a year, and make absolutely sure you pay it off each month. This way you’ll prove that you can be trusted on making your monthly repayments – it’s a particularly good tactic for those who have defaulted in the past.
Cancel unused debts, cards, and accounts
If you have a plethora of bank accounts and credit cards that you never use then lenders will probably be wondering why you need more credit. Cancelling unused accounts will lower your available credit, and then it will be possible to go for a cheaper option.
Check your credit report

There are plenty of companies on the internet that give you the opportunity to check your credit score. These give a rather woolly overview of your credit history, but it’s certainly a worthwhile enterprise if you can’t understand where you’re going wrong. Online credit agencies normally tempt people by offering them free trials, but you’ll have to set up a direct debit. The trial period can last up to 30 days, but you can cancel straight after seeing your score if you need to.