advice on pay day loans and credit checks please!

[Deleted User]

Depends whether you did ever 'default' or not which I can't work out from your posts here, all the settled payday loan accounts I had back in 2009/2010 seems to have vanished well within the 6 years 'scare' that I was led to believe existed in that any payday loan entry shown was bad and could hinder for the next 6 coming years!!!. Not true if repaid or settled with the lender.
If you reached a DCA it might be different, I don't know as I only ever dealt with the lender direct


View of someone I used to know before I found 'entries dropped off' (because I thought they would be there to stay for 6 years...) was that the mortgage lender can just give really, really high interest rate to reflect the risk use of PDL's if they so want but I guess that is their decision based on each individuals circumstances etc, just my experience, that said I'm in no position to ever be trying for a mortgage when now I'm well clear and my findings come when I had recently passed an apparent credit check for employment

Jade1988

No I never ever defaulted on any, always paid back and now clear. So I guess the basic answer is get a big deposit, have a go and hope for the best! Thanks all x

loanlion

Mortgage lenders will generally know if you have had a PDL in the last 6 years but a good number of them will only consider the last 2 years on your report when making a decision about lending to you. They are looking for arrears and defaults more than anythig else and so you should be ok. If they are a bit twitchy about the PDLs then they might charge you a higher rate on your mortgage but you can always refinance onto a cheaper rate after a couple of years as the PDLs drop off the face of your report.