Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • makka
    • By makka 18th Mar 17, 1:31 PM
    • 4Posts
    • 0Thanks
    makka
    Experian punishing me for settling a debt early!
    • #1
    • 18th Mar 17, 1:31 PM
    Experian punishing me for settling a debt early! 18th Mar 17 at 1:31 PM
    Hi all. I think this is quite complex so i'll do it it short points to hopefully get the facts across easier!

    * Had a DMP years ago
    * Owed IDEM approx £2000, paid them an agreed amount as per the plan, but because it was less than the original agreed amount - was getting red marks on my experian every month - fair enough.

    * 13 months ago, came off the DMP and agreed direct with IDEM to pay £58 a month. Everyone was happy and had ten months subsequently of green ticks.

    (I have one negative on my Experian, a 'delinquent file' which this is. I was told after 12 months of not missing a payment, it no longer is classed as delinquent and would disappear. )

    *After 10 months of paying this (Dec 2016), i wanted to apply for a mortgage, and was in a position to settle the remaining balance with IDEM of £850. I contacted both Idem and Experian who informed me that settling this early would have no bearing on this delinquent file being removed after 12 months.

    * I settled the IDEM account.

    * But now, my 10 green ticks are 'frozen in time' with the 2 last red marks still visible. Now Experian are telling me that I should have continued just paying the £58 for another 2 months to get my 12 consecutive payments in, and that the actual time passed is irrelevant! So i'm being punished for settling early! And that it will now be visible for 6 years!

    I was yesterday refused a mortgage in principle because of my credit score (826). This has really set me back as I feel I have been misled by Experian. Both have basically said now 'Not our problem'

    Could anyone please shed any light and/or the next step for me?
Page 1
    • marliepanda
    • By marliepanda 18th Mar 17, 1:46 PM
    • 4,677 Posts
    • 9,385 Thanks
    marliepanda
    • #2
    • 18th Mar 17, 1:46 PM
    • #2
    • 18th Mar 17, 1:46 PM
    Its unlikely your credit score affected your mortgage. It is based on your credit history, and with a DMP finishing only 12 months ago (though with debt still outstanding), your history is not good.
    Survey Earnings 2017 - £163
    • makka
    • By makka 18th Mar 17, 1:53 PM
    • 4 Posts
    • 0 Thanks
    makka
    • #3
    • 18th Mar 17, 1:53 PM
    • #3
    • 18th Mar 17, 1:53 PM
    The reason given on the 'DiP' (Decision in Principle) by the TSB, was
    "The application has not passed the credit score".
    • KoshB5
    • By KoshB5 18th Mar 17, 2:01 PM
    • 56 Posts
    • 28 Thanks
    KoshB5
    • #4
    • 18th Mar 17, 2:01 PM
    • #4
    • 18th Mar 17, 2:01 PM
    You've failed on the TSB internal scoring driven off your credit history, lenders have their own scoring based on their lending criteria / business model.
    Last edited by KoshB5; 18-03-2017 at 2:08 PM.
    • marliepanda
    • By marliepanda 18th Mar 17, 2:02 PM
    • 4,677 Posts
    • 9,385 Thanks
    marliepanda
    • #5
    • 18th Mar 17, 2:02 PM
    • #5
    • 18th Mar 17, 2:02 PM
    The reason given on the 'DiP' (Decision in Principle) by the TSB, was
    "The application has not passed the credit score".
    Originally posted by makka

    That's not the score on your Experian.


    There have been people on here who get declared bankrupt and have 999 scores Theyre not getting mortgages.
    Survey Earnings 2017 - £163
    • Chrisblue1962
    • By Chrisblue1962 18th Mar 17, 2:51 PM
    • 1,121 Posts
    • 1,792 Thanks
    Chrisblue1962
    • #6
    • 18th Mar 17, 2:51 PM
    • #6
    • 18th Mar 17, 2:51 PM
    I wish people would realise that the so-called credit scores created by Experian and alike are UTTERLY MEANINGLESS because lenders have their own INTERNAL credit rating and scoring systems !

    It's not Experian lending you the money...its TSB , Lloyds, Baclays, Santander, whoever, etc etc The only sure-fire way to find out if you're creditworthy is to apply for a loan / mortgage / credit card and get a decision from the provider / lender - anything else is rubbish.
    DFW'er - Lightbulb moment : 31st July 2009 - £18,499
    28th March 2017 -
    £14,978.00 - 19.3% paid off.
    Demolishing my House of Debt.. one brick at a time!!
    Thinking of spending???..YNAB says "NO!!!!"


    • DCFC79
    • By DCFC79 18th Mar 17, 2:58 PM
    • 29,975 Posts
    • 18,980 Thanks
    DCFC79
    • #7
    • 18th Mar 17, 2:58 PM
    • #7
    • 18th Mar 17, 2:58 PM
    I wish people would realise that the so-called credit scores created by Experian and alike are UTTERLY MEANINGLESS because lenders have their own INTERNAL credit rating and scoring systems !

    It's not Experian lending you the money...its TSB , Lloyds, Baclays, Santander, whoever, etc etc The only sure-fire way to find out if you're creditworthy is to apply for a loan / mortgage / credit card and get a decision from the provider / lender - anything else is rubbish.
    Originally posted by Chrisblue1962
    Part of the problem is people eg those in TV adverts, the customer service reps mention the credit score is poor hence the decline and everyone believes the credit score/rating is what lenders see.

    Be easier to just scrap the score altogether.
    Can people stop loaning money/being a guarator to family/friends, it rarely ends well and you lose out as your money is gone or you get shafted with being a guarantor.
    • Marktheshark
    • By Marktheshark 18th Mar 17, 3:05 PM
    • 5,612 Posts
    • 7,041 Thanks
    Marktheshark
    • #8
    • 18th Mar 17, 3:05 PM
    • #8
    • 18th Mar 17, 3:05 PM
    Pushing for a settlement by the debt form is often a sign they have discovered they do not hold the deed of assignment or CCA documents and a panic to claw back what they can before you demand they produce them.
    Brexit will become whatever they invent it to be.
    • Ben8282
    • By Ben8282 18th Mar 17, 7:01 PM
    • 2,010 Posts
    • 885 Thanks
    Ben8282
    • #9
    • 18th Mar 17, 7:01 PM
    • #9
    • 18th Mar 17, 7:01 PM
    The reason given on the 'DiP' (Decision in Principle) by the TSB, was
    "The application has not passed the credit score".
    Originally posted by makka
    Are you sure ?
    • makka
    • By makka 18th Mar 17, 7:23 PM
    • 4 Posts
    • 0 Thanks
    makka
    Yes @Ben8282. My mortgage advisor forwarded me the Email he received.

    DIP Result Declined:
    Credit Score Fail

    Based on the information provided the Decision in Principle for your above client(s) has unfortunately been declined for the
    following reason(s):
    The application has not passed the credit score.
    As this is a credit score fail, an appeal against this decision will only be considered following submission of a full application
    together with a letter from your client clearly stating their reason(s) why the decision should be reviewed.
    Please note your Service Centre has no visibility of this case and is unable to take any further action on your behalf
    • Superscrooge
    • By Superscrooge 18th Mar 17, 7:49 PM
    • 854 Posts
    • 592 Thanks
    Superscrooge
    it will be TSB's internal scoring that you failed.

    TSB couldn't give 'two hoots' whether Experian give you a score of 999 or 826.
    • 20aday
    • By 20aday 19th Mar 17, 6:34 AM
    • 2,041 Posts
    • 861 Thanks
    20aday
    Would it be worth OP adding a Notice of Correction on his/hers credit files explaining the circumstances?
    It's not your credit score that counts, it's your credit history. Any replies are my own personal opinion and not a representation of my employer.
    • Tarambor
    • By Tarambor 19th Mar 17, 10:34 AM
    • 1,178 Posts
    • 818 Thanks
    Tarambor
    Would it be worth OP adding a Notice of Correction on his/hers credit files explaining the circumstances?
    Originally posted by 20aday
    Not really. End of the day they were on a DMP and welched on all of their original loan/credit card agreements for a considerable amount of time.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

301Posts Today

2,684Users online

Martin's Twitter
  • RT @iiSteveJonesii: @MartinSLewis After watching you talk this morning about me burning £300 I got on a comparison site tonight & sure enou?

  • In or near York? This Wed the @itvmlshow Roadshow" will be at the York Food & Drink Festival - do come and say hi; St Sampsons Square 11-4.

  • It's the subtle poetry and lyricism of tweets like this that I find so endearing https://t.co/XhSKBCGyXe

  • Follow Martin