Credit Expert

JDC14

I thought I read somewhere else that Payday loan companies don't have an effect on your credit report?

I always thought it was still a form of credit, that would appear on your report and therefore have an effect.

Money_Man

JDC14 wrote: »

I thought I read somewhere else that Payday loan companies don't have an effect on your credit report?

I always thought it was still a form of credit, that would appear on your report and therefore have an effect.

You are correct, they do report on your credit file and will therefore have an impact on your score

JDC14

I thought as much.

How does it fair on your credit worthyness? I doubt it's the kind of thing you should be doing once in a while to improve your score?

Would look to me as if someone either
A) Can't handle their finances.
or Simply aren't getting paid enough to cover their outgoings anymore.

Money_Man

JDC14 wrote: »

I thought as much.

How does it fair on your credit worthyness? I doubt it's the kind of thing you should be doing once in a while to improve your score?

Would look to me as if someone either
A) Can't handle their finances.
or Simply aren't getting paid enough to cover their outgoings anymore.

spot on, anyone that uses these companies is either desperate or just not credit savvy, why not use your overdraft for example as a form of short term borrowing

tenbob84

because sometimes there is no other way to get your credit from rock bottom, if you borrow 44.00 from wonga for one day they charge you 6.00, do this several times and it adds positivity to you credit file and points to your score if you take any notice of that