Life after defaults . Credit score ruining life

[Bellapinkfis]

I will keep this as short as possible .
Stupidly , aged 23 having lost my job and having head in sand , i defaulted on my mobile phone , my mobile phone contract , an Argos card and my credit card . These four defaults happened over 18 months .
The defaults were my fault and totalled £2000. Defaults registered 2015

I worked hard and paid them off years. For 4 years I could get absolutely no credit . 2 years ago I finally got a phone contract . Last year I finally got a credit builder card around 39%apr .

Since then I have learnt that if I can’t afford it , I can’t have it . I earn £40,000 a year . I save £400 a month . I am only able to rent which is extremely expensive. I can’t get a car on finance ( not that I would ) I couldn’t get a sofa or an oven on finance etc .

No lines of real credit are open to me at all . It is so hard as I feel that 5 years on I am still stuck in a rut . The inky credit I want is the ability to get a mortgage which would be so much less than my rent .

Anyway !! In March 3 defaults come off and then my final default comes off in October . Will my credit score improve ? Will I be able to get a mortgage ? I have 0 debt . I spend £30 a
Month on my credit card and pay if straight off. I will have no other negative markers on my file.

Will I ever be free of the shackles of my poor credit and poor choices I Made at 23/24?

Many thanks

Hi OP, I believe that the forums on MoneySavingExpert contain a lot of really experienced and helpful people who would be able to advise you on this. Have you tried them?

I think its 6 years that's the magic number when all the defaults will fall off your credit file.

I also think it’s 6 years after the defaults are cleared from the credit record. As pp suggested MSE will have lots of info.

Yes your rating will improve once your defaults drop off. I did the same when I was a teen and didn't understand the implications.
After nahorit of my defaults dropped off I think my rating was fair.
At that point you can get a credit card and I would buy something in it and pay it in full. That would increase your rating because you are seen as safe and responsible. Then just don't use the card.

Are you sure you can't get a mortgage already? I had one with defaults, there were fewer options and it was a little more expensive but got one.

I got a mortgage 2 years after paying off defaults they were still on my file. We used a mortgage broker they can advise you on who would accept.

But even if she could, she would be better waiting until Oct when they are all off and she will be offered a better Interest rate.
Seems crazy to do it now with defaults and pay a likely higher interest rate, doesn't it?

The Debt Free Wannabe section of the MSE forum has experts on there with good advice and mortgage brokers offering advice too.

Good point @Horehound!

Anyway !! In March 3 defaults come off and then my final default comes off in October . Will my credit score improve ? Will I be able to get a mortgage ? I have 0 debt . I spend £30 a Month on my credit card and pay if straight off. I will have no other negative markers on my file.

Will I ever be free of the shackles of my poor credit and poor choices I Made at 23/24?

Yes. Once the data is off your record, it’s off.

Once your three defaults fall off in March, you should be able to get a mortgage with just the one default. I did - last year. But you will need to use a mortgage broker as they know which lenders to use. I used Tussle which are free, and they were great. But there are also others such as L&C.

I think it is 6 yes from when defaults are applied, regardless of whether they are paid off.