F&F and credit file

ThierryHenry

Hi guys,

Got a few payday loans as well as a defaulted loan in the hands of a debt collection agency:

I have been told on this forum that Payment Plans are almost as dimly viewed as defaults and stick about for six years - just like defaults. However, repayment plans stick about until 6 years AFTER your final payment but defaults go after six years of issue date. What happens with a loan that has gone to a debt collector and then you organise payment plan with the debt collectors?

Furthermore, I have a few payday loans that I've just had to put on payment plans due to running into financial disarray. They are running at about £20 p/m (all about £550 in total) but obviously the sooner they're gone, the sooner the six year countdown starts. Does anyone know if they'll accept part payment?

My biggest question is: Is it dimly viewed that these loans were part paid? Or does that info drop off after six years too? (credit file so bad that I most certainly won't be able to obtain until the six years is up)


Cheers in advance

Tixy

If a debt has gone to a debt collector then it should show as defaulted on your credit file.

Once it is shown as defaulted then nothing you do will impact on how long it stays on your file (regardless of whether you pay all, some or nothing within the next 6years)

Generally its unlikely that creditors will accept a reduced F&F settlement before a debt is defaulted.

All data drops off after 6years. A partial settlement doesn't mean the entry will stay on your file for any longer. The whole account (including the repayment history/the default/any outstanding balance) disappears 6years after the default date shown on file.

ThierryHenry

Tixy wrote: »

If a debt has gone to a debt collector then it should show as defaulted on your credit file.

Once it is shown as defaulted then nothing you do will impact on how long it stays on your file (regardless of whether you pay all, some or nothing within the next 6years)

Generally its unlikely that creditors will accept a reduced F&F settlement before a debt is defaulted.

All data drops off after 6years. A partial settlement doesn't mean the entry will stay on your file for any longer. The whole account (including the repayment history/the default/any outstanding balance) disappears 6years after the default date shown on file.

Thanks, Tixy.