defaults

Jenny0327

Hi
Is a SETTLED account closed?
I have just checked my credit report and I have a few settled accounts on there.
When do these come off my credit report? Ist it from the Settled date?
Also I have defaulted on my loan - It will be paid off in December will this then be classed as settled and be removed in 6 years from the settled date?

Its so confusing!?!?

I want to improve my credit rating but cannot get a credit card - is the cashplus credit builder a good idea?

bottleofred

Hi Jenny,

I don't think a settled account is always closed, but it depends on what the account was (i.e a catalogue account may have a zero balance but will still be open, while a loan account of say £100 for 12 months will be settled once the company have received the final payment). I'm not sure about when they go off your credit file if ever. The default on your loan will stay on your credit file for 6 years from the date of issue and then falls off your credit file. I've never heard of a cashplus credit builder, but you can find some information on high interest credit cards on the site.

donatello_2

Hi Jenny,

I got a cash plus credit builder. I set up a direct debit for £4.50 each month to the account ( I think they charged the same for a start up fee) but I don't really use the card, i just got it try and improve my credit rating. After 2-3 months they started reporting to Experian and Equifax, they mark the files as a loan (about £60) and it goes doen every month.

To be honest i think its a load of c**p, maybe a money scam. But..... its only £4.50 a month and I thought it could not do me any harm.

I really don't think that operating a 'loan' of £60 well, will make much difference to a potential lender... maybe a phone company but nothing like a mortgage.

One bonus in using the credit card is.. you are insured if buying stuff over the internet, rather than using aq debit card.

Pros and cons.. but it costs you £4.50 a month.