How long after clearing debt does it no longer show on file?

longwalks1

I owe £15k on 2 0% BT credit cards that I pay off £100pcm each, and will BT onto another card or 2 in 20 months when the periods expire. I also have £30k of shares in my employer who I do well from with dividends and trading them every couple of weeks on dips (been doing this for 15 years with this share).






How long would I need to have paid off the £15k debt before its off my file, and doesn't effect any future borrowing applications, such as a mortgage?


Thanks in advance and merry Christmas everyone

FLAPJACK

Hi Merry Christmas,

Any debt paid off (or satisfied/settled as it says on my records) is there for six years from the settlement date.

This applies to CC's , personal loans and mortgages.

happy_bunny_2

If you paid it all off, the balance would be updated on your file within 4 to 8 weeks I think.

It would then be seen as 15k available credit unless you close the account, which can also put some lenders off.

As said, the whole account stays on your file for 6 years from the day you close it.

longwalks1

Thanks people and merry Christmas


Bunny, interesting, I've previously always closed off any old cards I used after the 0% period ends, usually so I can use them a year or 2 later if need be, and get the latest introductory offer again. I'm currently getting my finances into shape to possible apply for a mortgage in 2014, if I am, would it be better to keep old cards open then, with a £0 balance? That'd mean I had 3 or 4 cards open, not being used, with a total of £20k+ of available credit, would this look better to a mortgage lender then? That I have the credit available, but don't actually need to use it?


Thanks again everyone

Oli.s

britishboy wrote: »

Thanks people and merry Christmas


Bunny, interesting, I've previously always closed off any old cards I used after the 0% period ends, usually so I can use them a year or 2 later if need be, and get the latest introductory offer again. I'm currently getting my finances into shape to possible apply for a mortgage in 2014, if I am, would it be better to keep old cards open then, with a £0 balance? That'd mean I had 3 or 4 cards open, not being used, with a total of £20k+ of available credit, would this look better to a mortgage lender then? That I have the credit available, but don't actually need to use it?


Thanks again everyone

I think what bunny meant is that lenders can be put off by high available credit, not by the accounts being closed.

happy_bunny_2

Yep, the available credit might put lenders off, as if you used it and had the rates hiked, you may no longer be able to afford the mortgage payments.

I'm no expert on this, but I suspect a bit of available credit would be good. Best ask that question on the mortgage board.

HB