I earn 32.5K pa,
I’ve got about 18 months to run with a loan at £295 per month (6K left to pay) and 1 credit card maxed at £4K (Vanquis, high interest),
I’ve got a very good credit score according to Experian and equifax.
As you expect I like to get the £4K off the Vanquis card, so I applied for a £4K loan from AA to clear the amount and start again (predicted 80% chance of acceptance with MSE), however I was refused. This was about 2 months ago.
I did some research and was told by equifax that this was due to me have used 95% of my overall credit card limit. Apparently the flag triggers when you get over 50%. I never knew that this would be an issue, but because I only got the one credit card, this one amount has effected my score.
I’m left with the scenario of having to find £2k to pay off half of my credit card before I can rejig my finances and get away from the high percentages of Vanquis.
Very grateful of any suggestions of other options go forward.