Started to clear debt, but confused about credit file...

lfs1901

Hi there,

I am new to this site, so not sure if I have chosen the correct area to post in. posted in another topic, but not many replies...

I have gathered debt as a student and became unable to pay it whilst I was still a student. One account was a credit card that owes £700 and the other an overdraft owing £2500.

These were both passed to debt collection agencies. I have made agreements to pay each month and am keen to clear these as soon as possible...

Does anyone know what will happen with my credit file seen as I am paying through a DCA. The debt is still showing on my credit file as being from the original lender. I have made my first payments on the 1st of July. Will the debt collection agency contact the original lender and they will update my credit file?

I don't really understand how this works?

Thanks in advance

lfs1901

Thanks, I have tried looking it up online, but keep finding different informaton..

[Deleted User]

I am of the opinion that the DCA will make entries. The old accounts will show as defaulted.

lfs1901

Yeah the old accounts do show as defaulted and havent been updated since last year. Do you think the DCA will update this then? Just don't want it showing as money owing forever, because I am paying it back

[Deleted User]

No when you settle they must show this, will still remain defaulted though, hth

lfs1901

Thanks. Realised it would still show that it had defayulted, but just wanted to make sure it would eventually show the balance as being 0.