To pay or not to pay..

rthomas81

Few years ago lost my job so had problems paying bills and my credit rating went from good, too very poor.
Since working again I've been paying the outstanding debts off which is leaving me with a measly £200 a month to live on. I went to the bank for help but got turned down (bank manager was happy to help but computer says NO situation).

He said even if I was to pay in full today, it'd still be at least a year before I would be considered for a small loan and a further 5 years at least before I could get a mortgage and even then it'd be a really rubbish offer.

Do I:
Pay off in full OR is it better to keep paying on the set day each month to show I can meet payment agreements....

OR:

Don't bother paying the last 4 I haven't started yet and just ride the 5 years out as they'll be wiped off before then anyway?.

Thrugelmir

rthomas81 wrote: »

Don't bother paying the last 4 I haven't started yet and just ride the 5 years out as they'll be wiped off before then anyway?.

And receive a CCJ potentially?

Which would set you even further back.

rthomas81

I may have already had them, these are old debts but the ccj if I do,isn't showing up on my file.

happy_bunny_2

When did the accounts default?

You mention they are old. They drop off your file after 6 years.

rthomas81

2009 are the earlier ones but the recent ones are from 2011.

happy_bunny_2

In that case, once they are all gone in 2017, you will be in a much better place for credit.

Use a different bank. They only have access to info on your credit report, unlike your current bank, who have all your account history and legacy CRA data.