Arrangement to pay on credit cards

Happydays19

Hi all,

I am after some advice, please

I am desperately trying to improve my credit rating. I had credit card that I had to put on arrangement to pay for 5 months, I have just phoned to cancel this arrangement but it's going to take 3 months of a higher monthly payment before I revert back to paying the minimum payments. I just wondered how long this could affect my credit file for?

Thrugelmir

Happydays19 wrote: »

I just wondered how long this could affect my credit file for?

In what regard?

glentoran99

Happydays19 wrote: »

Hi all,

I am after some advice, please

I am desperately trying to improve my credit rating. I had credit card that I had to put on arrangement to pay for 5 months, I have just phoned to cancel this arrangement but it's going to take 3 months of a higher monthly payment before I revert back to paying the minimum payments. I just wondered how long this could affect my credit file for?

6 years after account is closed

Happydays19

We are hoping to remortgage next year and I didn't know if this will massively affect our chances .

Emmzy01

I have arrangement to pay markers for one account on my credit file, it has had a huge negative impact on my score, but reading a lot in this site the score doesn't matter that much it's the detail in your file. That said making an arrangement to pay says to lenders your struggling so they might not want to take the risk with you. I'm going to see a broker about a mortgage but don't hold my breath. The markers stay for six years after the account is closed.

Happydays19

Doesn't sound too good, I'm guessing as time passes it will improve our chances of remortgaging.

happy_bunny_2

Happydays19 wrote: »

Doesn't sound too good, I'm guessing as time passes it will improve our chances of remortgaging.

Yep. Time will help.

Depends on your other circumstances also for the mortgage.

Thrugelmir

Happydays19 wrote: »

We are hoping to remortgage next year and I didn't know if this will massively affect our chances .

You choices may be limited to products on offer from your current lender.

The_Boss

Emmzy01 wrote: »

I have arrangement to pay markers for one account on my credit file, it has had a huge negative impact on my score, but reading a lot in this site the score doesn't matter that much it's the detail in your file. That said making an arrangement to pay says to lenders your struggling so they might not want to take the risk with you. I'm going to see a broker about a mortgage but don't hold my breath. The markers stay for six years after the account is closed.

^ great summary.

K8r1

I am looking for some advice myself with regards to ap markers I have 13 credit accounts either settled or up to date! I had 2 cc on arrangements one was reported as ap up until 2012 and then sold on and the new creditor stopped marking as Ap and marks up to date since 2012 however I had one with barclay card which I settled in march this year and it shows Ap markers right until settlement. I was in difficulties in 2012 hence the arrangements! I have been advised to apply to halifax for Aip but I'm wondering if there is any point at all ! I have been on electoral role for 10 years at my current house earnings 24k house value 90 k 9 k deposit total debts only £1500

Emmzy01

I've been trying to figure out what to do about this too. The AP markers stay on file for 6 yrs after the account is closed. They have a negative effect on credit files therefore for a long time, for me 14 yrs opposed to 6 yrs had the account been defaulted. Seems like a punishment for speaking to lenders and giving them a good offer when your struggling with debts. I've looked at ombudsman rulings and they never seen to side with the customer, I might try but doubt there is any point. On a more positive note I had a post on here about the chance of a mortgage which might be possible with a big deposit 75% LTV. What's Aip by the way ? Good luck with it all!