Settled debts removed from report when?

deanthebean

Hi
Need some advice guys.
I have taken out various credit in past and put into DMP around 4 years ago. It was around 35k worth.

Over time i have offered early settlement figures to companies to which agreements were made on a part settlement.
Now i have finally cleared them all

Now lets say I took a loan out say 8 years ago, defaulted in 2010 and it was settled this year in 2013, when will this leave my credit file ?

Will it leave in 2016 6 years after default date or will it be cleared off my file in 2019 after i settled the debt.

When can I start for a mortgage ? Thanks for help

~Beanie~

deanthebean wrote: »

Hi
Need some advice guys.
I have taken out various credit in past and put into DMP around 4 years ago. It was around 35k worth.

Over time i have offered early settlement figures to companies to which agreements were made on a part settlement.
Now i have finally cleared them all

Now lets say I took a loan out say 8 years ago, defaulted in 2010 and it was settled this year in 2013, when will this leave my credit file ?

Will it leave in 2016 6 years after default date or will it be cleared off my file in 2019 after i settled the debt.

When can I start for a mortgage ? Thanks for help

You would probably be better starting your own thread, rather than posting on one which is over 2 years old.

The default should come off your file 6 years after it was applied, so in your example it would be 2016.

sefton

~Beanie~ wrote: »

You would probably be better starting your own thread, rather than posting on one which is over 2 years old.

The default should come off your file 6 years after it was applied, so in your example it would be 2016.

Are you sure about that. I would have thought it was 6 years after it was settled. So 2019

fermi

deanthebean wrote: »

Now lets say I took a loan out say 8 years ago, defaulted in 2010 and it was settled this year in 2013, when will this leave my credit file ?

Will it leave in 2016 6 years after default date or will it be cleared off my file in 2019 after i settled the debt.

Defaulted accounts are completely removed from your credit reports 6 years from the original default date.

So in this case if a default was recorded in 2010, then the default and account will be removed in 2016.

fermi

sefton wrote: »

Are you sure about that. I would have thought it was 6 years after it was settled. So 2019

It is 6 years from settlement on accounts that have never defaulted.

On defaulted accounts it is 6 years from the default date.

Some would argue that is an odd way to do it, but that is the way it works.

sefton

Not odd at all. I always thought it was 6 years from settlement which penalises the person who settles a debt to a greater degree than the person who leaves it as a default. This is much better

helpmeee

fermi wrote: »

It is 6 years from settlement on accounts that have never defaulted.

On defaulted accounts it is 6 years from the default date.

Some would argue that is an odd way to do it, but that is the way it works.

So if i have a debt that defaulted 4 years ago, if i do settle it, the record will still be off my file in 2 years time?

Or by settling it, does the default become a settlement and then another 6 years


Also how sure are you that you are right?

Tixy

helpmeee wrote: »

So if i have a debt that defaulted 4 years ago, if i do settle it, the record will still be off my file in 2 years time?

Or by settling it, does the default become a settlement and then another 6 years

Still in 2 years. Always removed 6 years from the default date shown on your credit file.

helpmeee wrote: »

Also how sure are you that you are right?

It is a fact.
All the credit reference agency websites confirm the same thing. e.g from experian http://experian.metafaq.com/help/Statutory/Credit_report/howlong_on_report

Once an account has been closed, it will be marked as ‘Settled’. After this the account entry will be automatically removed from your report after 6 years from your settlement date.

Defaults
If an account defaults then then a date of default will be added to the entry. This entry will then remain on your Credit Report for 6 years from the default date. It will then be automatically removed.
Once a default has been paid in full it will be marked as ‘Satisfied’. The entry will still be removed 6 years after the original default date.

helpmeee

Thanks Tixi, My current monthly payment plans are taking me over 6 years, what does that mean?

Also one of my banks has sold the debt on in such a way, that it has become a new entry under the debt collectors name Arrow Global LTD. Does that mean the previous debt owner, MBNA but not sure, never defaulted it?

Gordon_Hose

If Arrow bought the debt from MBNA then it should be Arrow showing on your file. All default dates etc should remain the same.

helpmeee

Gordon_Hose wrote: »

If Arrow bought the debt from MBNA then it should be Arrow showing on your file. All default dates etc should remain the same.

yes your correct, still has the original default date.

What do i do about debts that repayments i have agreed run past 6 years?

IE. im paying 20 pounds a month for a 11k debt, ill be paying it from my grave at the current rate