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How does this all look on my credit rating
milly143
Posts: 17 Forumite
in Credit cards
I've just looked at my full credit report/rating and it's very poor.
In the past I was struggling financially but have pulled things in and the only credit I have is now on two credit cards. One is being paid every month and seems to be ok now. The problem lies with the other one. In 2010 I defaulted, which shows on my credit hisotry and although it shows the balance has reduced by 2k since then (to just over 5k) it doesn't show the individual payments. I have been making payments, although a couple have been late.
Speaking to the CC company they said this will remain the case until the balance is paid in full, which of course looks really bad on my credit rating.
She said they would accept a partial settlement of 2.5 by the end of Feb and this would show up on my credit file but I want to know how this would look to future creditors.
I will be moving house in the next few months and I'm really worried about what shows up on my credit report. I am doing well financially now and have budgeted so I know what rent I can afford, etc but how will it look to have a partial settlement on my credit report? Is it better that when they run the credit checks they can just see the balance is reduced?
Please help, really worried about how this is all going to turn out and I've been trying so hard to keep on top of things but this looks awful against me.
In the past I was struggling financially but have pulled things in and the only credit I have is now on two credit cards. One is being paid every month and seems to be ok now. The problem lies with the other one. In 2010 I defaulted, which shows on my credit hisotry and although it shows the balance has reduced by 2k since then (to just over 5k) it doesn't show the individual payments. I have been making payments, although a couple have been late.
Speaking to the CC company they said this will remain the case until the balance is paid in full, which of course looks really bad on my credit rating.
She said they would accept a partial settlement of 2.5 by the end of Feb and this would show up on my credit file but I want to know how this would look to future creditors.
I will be moving house in the next few months and I'm really worried about what shows up on my credit report. I am doing well financially now and have budgeted so I know what rent I can afford, etc but how will it look to have a partial settlement on my credit report? Is it better that when they run the credit checks they can just see the balance is reduced?
Please help, really worried about how this is all going to turn out and I've been trying so hard to keep on top of things but this looks awful against me.
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Comments
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default marked settled is definitely better than one not settled. Some lenders ignore a settled default if it is about 2 years old.I owe £3233 @ 0%0
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Speaking to the CC company they said this will remain the case until the balance is paid in full, which of course looks really bad on my credit rating.
That is tosh I am afraid. Irrespectively if you settle for £2.5K today or not, the defaut remains on your credit file for 6 years from when the default was added. Even if you still have an outstanding balance, the default falls off your credit file 6 years after default date.
However a satisfied (part settled) or settled default always looks better on your credit report.
One tip, do everything in writing and insist on a confirmation letter that they are taking the £2.5K as full and final payment before releasing any funds, else they might be tempted to sell the rest off to a 3rd party DCA
LBM 11/2009 Total Debts 11/2009 £44624 with DFD 2015
Debt Free Date: 14/11/2012 :j:j:j0 -
If buying it will look bad, if renting dont worry as they cant see itDon't put your trust into an Experian score - it is not a number any bank will ever use & it is generally a waste of money to purchase it. They are also selling you insurance you dont need.0
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If buying it will look bad, if renting dont worry as they cant see it
Sorry, im not sure what you mean. I will be renting so does that mean when they run the credit check they wont see the default?
Will they be able to see that ive been keeping other accountsnand borrowings in good order (some settled in full last year).
Im really worried this one card is going to mess up my plans which are so important for lots of reasons.0 -
As far as i'm aware Credit checking for renting a place only check you for fraud info, so they see no credit accounts.0
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