Actually it is even worse than that, it stays on your report for 6 years after it has been satisfied and even then they often just don't remove it so you have to contact them to get them to do that.

Whilst this default is still outstanding you will find it very difficult to get any credit with a decent APR. My advice, and I accept that this is never what people want to hear, is to tighten your belts and overpay where possible to reduce the required monthly payments and if this is not possible then you will have to save up and pay off debts as and when you have enough cash.

As always attempt to pay of debts with the highest APR first

Cerbius