Diagnosis: Bad Credit Rating

I think I have a bad credit rating

Realising you have a Bad credit rating could make you worry. Whilst it's not an ideal situation to be in, you can still take steps to fix your credit file. But what does a Bad credit rating mean?

If you'd like to look at a different credit rating, you can find them all in the Diagnosis Centre.

Bad Credit Car Finance

What is a Bad credit rating?

A Bad credit rating means that your credit file has a large number of negatives attached to it. For a full list of what can negatively affect your credit rating, visit the Causes section of the Credit Clinic.

What does it mean for me?

When you have a Bad credit rating, the options you have for finance become more limited. Interest rates are generally higher and you'll end up paying more money in the long run. Some companies will still provide credit, but it's important to be careful.

What does it mean for creditors?

The Bad credit rating means that you're a risky prospect when it comes to finance. Many lenders will avoid applications from those with a Bad credit rating as the risk outweighs the gain. However, there are some specialised lenders who will provide credit to those with a Bad credit score. The interest rates are generally much higher in a bid to balance out the risk.

What does it mean for my car finance application?

We work with a number of finance companies who provide Bad credit car finance. When you apply, we'll conduct a soft search of your credit file, then match your circumstances with a suitable lender. A soft credit search, also known as a quotation search will not impact your credit file, find out more about our soft credit searches and our ethical lending policy.

How can you fix a Bad credit rating?

To begin fixing your credit rating, look at the Causes section for a list of issues that can negatively affect your score. This will assist you in gaining a better understanding of what has actually damaged your credit profile and help you prevent further damage in the future. Following this, please visit the Credit Clinic Treatment Centre to have a look at some suggestions on how you could repair your profile.