Your first step to a better credit history

For a brighter credit future, you need to understand where you are right now. If you’ve recently been refused credit, you may be wondering why that has happened. We can help you figure it out. And we have this simple trick to get you started, from the experts at Loqbox.

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“How do I improve my credit?”

‍It’s a simple question with, believe it or not, some simple answers. With a little time and the right advice, anyone can build their credit history. So let’s crack on.

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Start by imagining you were thinking of lending £100 to a complete stranger. What information about that person would help you know you could trust them?

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Where they live

‍Living at the same address for a while would show stability.

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‍Their financial associates

‍Are they linked to people who are good or bad with money? It would be useful to know either way.

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‍Their other repayments

‍Whether they always pay on time, have a habit of missing payments, or have no history of repayments at all, it’s going to influence your decision.

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‍Anything else?

‍Do they have a job? Do they own their home? Are they new to the country? Have they made fraudulent applications or even been convicted of fraud? You can probably think of plenty of other questions you’d want to ask.

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By thinking about all these questions, you’ve essentially created your own lender’s scorecard – the criteria lenders use to decide whether they can trust you.

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To build this trust, and improve your creditworthiness in the eyes of lenders, you just need to demonstrate more of the positives and fewer of the negatives. Simple.