how long for bad credit rating?

dopolous
dopolous Posts: 23 Forumite
in Credit file & ratings
I am paying off my debt with Steps (formally CCCS) and wondered, does my credit rating stay terrible for ever, until my debts are paid off (25 years) or is there a limitation thay stay on record?

Comments

  • DevCoder
    DevCoder Posts: 3,361 Forumite
    First Anniversary First Post Combo Breaker
    Your debts are going to take 25 years to pay off?

    I dont normally advocate this but have you considered bankruptcy?
  • dopolous
    dopolous Posts: 23 Forumite
    No,
    What equity I have in my property I will need when my wife and I seperate so that I can purchase a flat to live in. This I will put in my childrens names (it will be theirs anyway when I go) and then I will just plod away with the debt. I will be 80 by the time I have paid it off. The debts are mine and not in joint names so I feel it is my responsibility to pay them off.
  • fatbelly
    fatbelly Posts: 20,457 Forumite
    Name Dropper First Anniversary First Post Cashback Cashier
    dopolous wrote: »
    I am paying off my debt with Steps (formally CCCS) and wondered, does my credit rating stay terrible for ever, until my debts are paid off (25 years) or is there a limitation thay stay on record?

    Entries stay on your record for six years after they are defaulted or settled, whichever comes first.

    As you are paying less than the contractual amounts, they should be defaulted 3-6 months after this started. You may find that some debts get sold on to third parties. They should still record the original default date.

    You do need to think through your plan. I'm sure you can get debt free sooner than 25 years with a bit of planning.

    You're going to sell your property (hopefully before your creditors secure their debts on it) - you can try full & final settlement deals at that point.

    Think about getting back as a homeowner after it's all sorted.
  • dopolous
    dopolous Posts: 23 Forumite
    Thank you all.
    I cannot get a mortgage due to my age and financial situ. I need my equity to buy a place mortgage free. I just cannot manage on my pension(£950pcm) on its own as I will have my children to pay for plus all the normal sundries like food etc
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