Young person needs advice on debt

Hondaguy1991

Thanks a lot I appreciate the great words of wisdom provided here, I've got my head screwed on firmly and now ill just use the 6years to save hard for my mortgage, i would have loved to get my mortgage at around 24 but I guess a few more years just means a bigger deposit :beer: I've got only one more question and that is when I pay it then go to check my credit score what do I do if its not marked as a default? I understand from reading the 6year wait is only if it has a default.

gettingbackontrack

I'm not an expert and there are much wiser heads on this forum than mine, but as I understand it, a default takes 6 years to drop off your credit file. That's why, bizarrely, it's often in a debtor's interest to stop paying and get a default sooner rather than later...

Regarding mortgages, it seems some lenders are less concerned about old defaults than others which is why going to broker rather than a particular lender is advised.

Hondaguy1991

I'm not sure if its even recorded as a default yet because my trial with experian ran out but if by me paying this 50% off this week would it then just lie dormant or what? I really don't know how I would get it marked as default if its not already. If its not already and I pay this week would it then become default? It's really confusing and thank god there is a website like this to help people out I'd be lost without it

Hondaguy1991

Hondaguy1991 wrote: »

I'm not sure if its even recorded as a default yet because my trial with experian ran out but if by me paying this 50% off this week would it then just lie dormant or what? I really don't know how I would get it marked as default if its not already. If its not already and I pay this week would it then become default? It's really confusing and thank god there is a website like this to help people out I'd be lost without it

bump this back up a little but

Angry_Bear

Try www.noddle.co.uk, one of the other credit reference agencies. They're always free, and as far as I can tell as good as experian and equifax.

And if you pay off the account now, the entire account will be closed and will dissappear from your report in 6 years - so 6 years is the maximum you will have to wait .

Hondaguy1991

Does that apply to me even though I'm only paying the 50% deal they have offered me?

Angry_Bear

Hondaguy1991 wrote: »

Does that apply to me even though I'm only paying the 50% deal they have offered me?

Provided you make sure that they will mark your credit report as settled or partially settled. What I think you really want is written confirmation from them that they will accept 50% as "Full and Final Settlement" of the debt.

Hondaguy1991

They told me that when I make the payment they will send me a letter confirming that the debt has been settled and my credit report marked with partially settled, thanks again for the advice and I know I've wrote that a lot but I do appreciate it as I have nobody to ask these questions in my life so this place has helped me a lot.

bargainbetty

Write to them, confirming that they have accepted 50% as full and final settlement. State that as soon as you have their confirmation of that IN WRITING you will make the payment.

Do not, under any circumstances, send the payment before you have it in writing. They will forget the agreement and sell the rest on to another DCA. They can send the letter before the payment formalising the agreement, they have to accept the offer in writing.

They can send the receipt letter afterwards, by all means, but you must get the acceptance of the deal in writing first.

Hondaguy1991

UPDATE;

So it turns out that the company who have been contacting me are the in house solicitor for greenwoods so it's not been sold to a dca yet, I've just came off the phone to them requesting the letter confirming that they accept the 50% offer they made me to be the full and final amount and they said no problem but it will take up to 1week for the letter to arrive and they want the payment for Friday, he has assured me on the phone the letter will be sent out tomorrow and has given me his name and the exact time I made the call. Should I be ok to pay on Friday with that before the letter arrives? They are a big company "provident" is the master company so I'm guessing that will be ok to pay on Friday and trust that I will receive the letter.