The first step is to know where you stand, and the way to find that out is to get a copy of your credit report from each of the three UK credit reference agencies – Experian, Equifax and TransUnion.

The reason it’s important to check all three and not just one is that they can hold different information, and you need to be able to see the full picture.

Next, check that your personal details are correct. If any details are incorrect, contact the agency and ask to have them amended.

If you discover a missed payment that you were unaware of – for example, if you changed mobile phone provider and a payment was missed along the way – bring that account up to date. It will still stay on your record for six years, but the fact that the account is paid looks much better than if it were not.

Finally, if any payments were made late or missed due to reasons beyond your control (for example, you were in hospital or suffered a bereavement), contact the agency or agencies concerned and ask if they are willing to add a note of correction to the file. That is something that may well play in your favour in future credit applications.

Building a better recent credit history is a great way to show lenders you are able to responsibly manage your borrowed finances.

To do so, make sure you always pay your bills on time or even early. Mark dates in your diary, set up a reminder on your phone or, better yet, set payments up on Direct Debit.

If you are not on the electoral register then you should enrol, as this is an easy step that can make a big difference.

Finally, close any unused credit accounts, like credit cards for example. If a lender sees you have lots of lines of credit, they will assume you are someone who is nervous about their finances and relying on credit.

The more missed or late payments you have on your credit record, and the more recently they occurred, the smaller the loan-to-value (LTV) ratio you are likely to be offered if accepted.

The LTV is the amount of the purchase price of the property a lender is willing to offer and can range from 95% for people with exemplary credit, down to 70% or less for those with bad credit.

The larger the deposit you are able to put down, the better your chances of acceptance. This can also improve your chances of being offered a more competitive interest rate.

Consulting the support of a broker can make the difference between being offered a mortgage or being rejected.

As well as helping you prepare your application, a mortgage broker will also have access to specialist lenders. These lenders are designed to lend to people with a bad credit history, although they aren’t always directly available to the public.

To access them you will need to use a broker that already has an established relationship with them.