entries on a credit file

macgolf

Hello

can someone advise me ? Am i able to ask for entries to be removed from a credit file when they are settled and closed and were never in default ?:beer:

Tixy

Hi

No, they will stay on your credit history for 6 years from the date you settled the account. They are an accurate reflection of your recent past credit history and help potential lenders make lending decisions

macgolf

Tixy wrote: »

Hi

No, they will stay on your credit history for 6 years from the date you settled the account. They are an accurate reflection of your recent past credit history and help potential lenders make lending decisions

they were pdl from a while back as i needed some quick cash to finish paying for a wedding ! i have since obtained a barclaycard my credit file is good and free from defaults etc but the bank seem to think the pdl info is having a negative effect ?

matttye

macgolf wrote: »

they were pdl from a while back as i needed some quick cash to finish paying for a wedding ! i have since obtained a barclaycard my credit file is good and free from defaults etc but the bank seem to think the pdl info is having a negative effect ?

That's correct - payday loans are a sign of financial mismanagement, as it usually shows people ran out of money during the month.

Tixy

How recent was the last pdl?

As they get older (and assuming you don't take out any more) then they should have a diminishing affect on your ability to get new mainstream credit.

macgolf

matttye wrote: »

That's correct - payday loans are a sign of financial mismanagement, as it usually shows people ran out of money during the month.

So what can i do in the mean time as i only ran out of money trying to pay for a 13k wedding i normally dont do credit? However i am now saving for a mortgage .i was never advised that this info would appear on a credit file .i feel like the wool was pulled over my eyes if i had known i wouldnt have took it but instead cut back on the wedding!!

matttye

macgolf wrote: »

So what can i do in the mean time as i only ran out of money trying to pay for a 13k wedding i normally dont do credit? However i am now saving for a mortgage .i was never advised that this info would appear on a credit file .i feel like the wool was pulled over my eyes if i had known i wouldnt have took it but instead cut back on the wedding!!

It would have been in the T&C's you accepted when you applied for the loan. They usually include a clause giving permission to report to credit reference agencies about the conduct of your account.

Any kind of credit agreement or airtime agreement is usually reported to the CRA's.

I think the only way you *might* (and I say might, because I'm not 100% sure) be able to get it removed is if you took out the loan based on false pretences. For example, Wonga used to suggest that if you paid back a payday loan on time, it would improve your credit rating. This is clearly bullsh*t.

Like Tixy says the effect will diminish over time.

Tixy

In the terms & conditions of the pd loans it will have said that they perform a credit check and will report to the credit reference agencies.

If you are in the process of saving a deposit then you presumably don't need any credit at the moment? How soon do you expect to have a decent deposit saved and then be looking to obtain a mortgage.

macgolf

i should have deposit in next 12 months and pdl was a year ago.

Tixy

So they'll be a couple of years old by then.

If everything else on file is perfect then you may well find you can find a willing mortgage lender.