Tips given to those with bad credit ratings

An expert has highlighted the importance of a good lending history and offered advice for ways to improve a bad credit rating.

Finance specialist Victoria Bischoff suggested that consumers make use of new government plans to allow everyone to view their credit rating online for a fee of £2, as this can offer clues on how to make it better.

However, she suggested that being on the electoral roll, cancelling any unused credit cards, avoiding applying for too many loans and being responsible when borrowing money from banks are always good ways to improve credit histories.

"Staying loyal to the same bank and employer for a decent amount of time and not packing up house every year will help show lenders you are stable," Ms Bischoff added.

A recent survey by Scottish Widows showed that British men believe that they would be better at dealing with debt and other financial issues than women, which could mean they have more attractive credit ratings.

Posted by Gemma Walker