• Pay your bills on time: the main cause of poor credit is that you don’t feel important that your bills should be paid on time. If in the past you have not paid your bills on time, start paying them timely from today onwards.
• Check your credit report for accuracy: you should always cross check your credit report received by the bank. There might be several mistakes that can be the cause of the poor credit.
• Keep the balance of credit card low: if you are having a high debt on your credit card and the interest keeps on mounting up, your credit score will start getting lower and lower. So avoid the high debts n your credit cards.
• Pay off the debt rather than moving around: you should never use the second credit card when you are having a debt on the first one. Try to pay the debt on the first credit card and then use the second one.
• Manage your credit cards smartly: you might have more than one credit card; there isn’t any harm in having more than one credit card. But they should be managed very carefully. Paying timely installments will help you improve your credit score.
• Get a loan for a short and focused time period: if have a loan for a short period and you pay them off timely, your credit score will greatly improve.

By following all these tips you can surly improve your credit score and will also help you in case you are having debts. Try to control and improve your spending habits because money saved is money earned.

The credit score is a numerical expression that can be generated by doing a statistical analysis of the credit files of a person and is based on the credit information issued by the credit bureaus. The credit score represents the credit worthiness of the person. This credit score issue by the banks is used by the lenders, employer, government organizations, landlords etc to check the potential risk related to the person.

The most popular technique employed in UK to calculate the credit score of a person is the logistic regression. This is used to predict a binary outcome i.e. bad score or no bad score. The credit scoring is closely monitored by the Financial Services Authority.

Any loan request or any mortgage request will depend on the status of your credit score. Having a bad credit score effects you in many ways. It will make it difficult for you to get any type of loan, or any service or even a rented property.

But there are a few things that you can do to get a loan in spite of having a bad credit   score. First thing you will have to do a careful research on your credit record online. If you have any mistake in your credit report get it verified by your bank, because this could be a reason of bad credit score. After that you should try to repay your current obligations. You can also get a mortgage loan even on bad credits provided by some online lenders. But before going for the loan, you should make comparisons between the terms of different lenders and then can choose which ever suits you better.