Cashplus loan: Have I damageded my credit rating

wiseshark

I needed 3 very small loans from my cashplus card over a 4 month period at the weekends when a bank transfer would have been too slow, as I needed the money within minutes because I was very bored and wanted to watch some skin flicks online.

I dared not use my credit cards because these sites can be dodgy and very difficult to cancel. The iadvance on the cashplus seemed like the ideal solution and I was satisfied that these companies wouldn't be able to take further recurring funds as I only keep a very small balance on the card and just top it up as and when I'm using it.

I checked my call credit report recently. To my horror, there are 3 settled advance against income loans now showing. I am worried as it might appear to potential creditors that I am desperate for money, when in fact my finances are in good shape.

Have I significantly reduced my credit rating by these loans and how long do I have to wait before they have little impact.

Thanks:o

[Deleted User]

Probably won't have much impact after a couple of years.

wiseshark

Thanks, I did not realise how damaging payday loans are to your credit score. I won't be taking out another. I thought maybe, they would have less of an impact after 6 months or so. Gutted.

creditcardhelp11

That's what you get for too much hand practice - now all lenders will know you have sticky fingers ;-)

Dabooka

The honesty makes a refreshing change though!

wiseshark

creditcardhelp11 wrote: »

That's what you get for too much hand practice - now all lenders will know you have sticky fingers ;-)

Only constructive advise please.

Dabooka

Deleted_User wrote: »

Probably won't have much impact after a couple of years.

I think you've had the constructive advice, so lighten up!

izools

wiseshark wrote: »

Thanks, I did not realise how damaging payday loans are to your credit score. I won't be taking out another. I thought maybe, they would have less of an impact after 6 months or so. Gutted.

TBH it's a mixed bag.

My OH was approved for a Post Office credit card and Nationwide credit card earlier in the year no problems despite having three settled payday loans from the Spring.

As long as you don't have a habbit of taking them out all the time you shouldn't notice a problem especially once they're six or more months old.

I personally use a Kalixa prepaid card for that sort of thing - instant top up online.

wiseshark

Thank you very much izools, your advise is so welcoming and truly appreciated, giving me hope. Though I'm not surprised, there are some very mean spirited people on this forum.

Gromitt

Next time you have the urge, it might be better to just use one of the many free sites out there

john1002

I dont think they will have an impact, it shows you have had credit and you have paid it back. You get the green ticks and lets be honest credit scoring is only known to the exclusive who deal in the departments that lend money. One company may view these loans negatively but others wont.

I have used these cashplus loans to help build my credit history and in my case for credit building I think they have helped.

John