Have you recently been declined credit? It’s not a nice feeling, is it? Well, the good news is that you are not alone. Most people experience this at some point or another. Perhaps you got yourself into a bit of financial difficulty in the past and you are still paying for it in terms of a poor credit score? Or, maybe you have no credit history at all? This can often result in a bad rating, which seems somewhat ironic considering you have never defaulted on any payments. It can be frustrating, but instead of getting annoyed, focus your attentions on improving your credit score.


  • Pay off your debts — There is only one place to begin, and this is with paying off your debts. You should try to pay off more than the minimum payment every month, as this signals good behaviour to any future prospective lender. If you have numerous debts, decide how you are going to pay them off. A lot of people prefer to tackle the biggest debt first, and then move onto the second biggest, and so on until their debts are paid off. Others prefer to consolidate their debts and pay off a bit from each debt every month. It all depends on your current situation. For more information regarding debt, click here.
  • Close unused mobile contracts, direct debits, store cards, and credit card— Not only do lenders look at the amount of money you owe, but they will consider the credit you have access to. This is why it is wise to close any credit cards, direct debits, mobile contracts, and store cards that you do not use anymore. You will need to call up the provider and close the account — simply cutting up your card won’t do the trick.
  • REGISTER TO VOTE — This is the easiest change to make, and it is one of the most effective. By getting on the electoral roll, lenders and credit reference agencies will be able to verify that you are who you say you are, and that you live where you say you live. This will, therefore, increase your chances of being accepted for credit in the future.
  • Borrow money — This may seem like a bonkers suggestion. After all, borrowing money is exactly what you were trying to do in the first place! However, there are credit cards and loans available for those with a poor credit rating, such as AQUA cards and USL4U loans. By taking out credit in this manner and paying it back on time, you will significantly boost your credit rating. If the reason you have a poor rating is that you have never had credit before, then this is definitely a tip that you should follow.


  • Disassociate yourself from your financial partner — Do you share a joint bank account with anyone? Perhaps you have taken out a joint mortgage? If so, if the person you share these financial products with has a bad credit rating, it is going to impact you. So, it can be a good idea to cut all monetary ties so that you are not linked with anyone.

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