Scare Tactic?

KerryH

Payment for my loan is going to be taken in 10 days for the second time...the money isn't there of course

In the letter they sent me, they said "this will be detrimental to your credit scores" (or something to that effect).

Is there really a file on me in this country which finance companies look at...do they really put a big black X every time you miss a payment? Or is it simply scare mongering?

I hate this...I'm 25 years old for god's sake...I hate being so tied up so young. But it's my own doing.

RAS

Hi

You need to go over to the section in Cards and Loan (see the tab on the front page) on credit rating. Companies can mark up missed or late payments on any debt listed on Experian, Equifax or callcredit

CLAPTON

Yes indeed, there are three credit reference agencies (CRAs).
Your creditors report how you manage your debts on a monthly basis to the one or more of the CRAs.

So it would show that for each active debt that e.g. you paid ontime, or 1 month late or 2 month late etc.

Other potential creditors will look at these records when you apply for credit (mortgage, CC, contract mobile phone, store card etc ) and it will affect their decision on whether or not to lend you the money.

You can obtain a copy of the your credit file for £2 per CRA although some will give you a 'free' one mon th trial.

see


http://www.experian.co.uk/consumer/index.html

https://www.econsumer.equifax.co.uk/consumer/uk/sitepage.ehtml?forward=gb_elearning_credit14


http://www.callcredit.co.uk/consumer/order-your-report