Advice needed re Credit File entry

dack_2

Hi,

I was made BR in Aug 2009 and our overdrawn joint current account fell into default and my wife became responsible for repaying it. The debt was transferred to a debt collector and we came to a full and final settlement agreement (less than 50% of the original debt). This was paid and we also requested that the credit file be updated as 'Satisfied'.

My wife now wishes to apply for a loan so I checked her credit file at Credit Expert and it shows the following entry:



As you can see the status is shown as Default but the balance shown as Satisfied. Is this correct or should the Status also read Satisfied? Will this entry go against her?
Within the details section of this entry it also shows
Default Balance: £3,843
Overdraft Balance: Satisfied

Thanks!

fermi

That is correct.

The default isn't removed, it just becomes a satisfied default if you see what I mean.

It will harm her credit rating, more in the medium term. 3 or more years after the default then it may not be so significant.

dack_2

Great, thank you fermi, and such a quick response too! :-)

While I have your attention, do you (or anyone else) know the best way to go about trying to borrow money (£5k) in order to buy back out BI in the home? The trustee originally wanted £13.5k but has recently sent a letter saying he will accept £5k due to current condition of the housing market. If he doesn't hear from us in two weeks he will start proceedings for a charging order.
We are desperate to get hold of the cash but I have been unable to secure a job since my BR and my wife has only recently (beginning of Jan) found full time work herself. I'm not sure she will be accepted for a personal loan anywhere and we don't want to apply with no real chance of success due to the applications being recorded on her credit file.

House value c 35k
Mortgage £7,700
BI is my half of the house (wife never went BR)

Thanks

fermi

Not a scooby-doo I'm afraid. Others might have ideas, but from your description I'm not sure I fancy the chances. Could be wrong though.....

dack_2

Thanks fermi. I'll keep checking back in case anyone else has any ideas but I do think our chances are slim to nil.