Trust Deeds and credit rating

wardley

Hi,

So, for just under 3 years now I've been on a Scottish Trust Deed and it was due to finish next Feb (2016).

As it turned out, earlier this year I had an inheritance which I notified them about - and ended up using that to clear to full amount.

Today, I finally got a letter from the Trustee saying that I had been 'discharged from my Trust Deed' on the 2nd Dec - so I'm assuming that's their way of saying its all over.

However, I've been keeping an eye on my credit score with Equifax and between the 27th Nov (when I last checked) and today it's dropped from around 540 to 290. Is that normal?

Is there anything I need to do now to start repairing that?

As I made a full payment to the trustee - the original creditors should have got the full payment back so should they have updated their file to remove the defaults against me? Or do I just have to wait 6 years from when those defaults were registered to drop off (latest one was May 2013 - although the Trust Deed was signed Feb 2013 so shouldn't that be the latest date anything like that should have been registered?)

Anyone had a similar experience and got any advice?

I had an issue earlier this year when I was flat hunting and failed the credit check so couldn't get the flat I wanted even though everything else was fine so I'd really like to get my credit score 'repaired' ASAP.

National_Debtline

Hi wardley


Don't know if you're still checking in on this thread but I've only just seen it.


Credit "scores" are often prone to change seemingly out of sync with actual events. Please bear in mind that the score is not an absolute indicator of your creditworthiness and is designed simply as a guide. What is important is ensuring that the data on your report is accurate and up to date.


I'm afraid that your creditors will not have removed any defaults they have previously recorded, as those would have been accurate reflections of your account(s) at the time they were registered. The defaults will take six years to drop off your file altogether. In the meantime, the fact that balances have been reduced to zero will have a positive effect on how you are seen by potential lenders, as it indicates you are free of any existing commitments.


Yes, none of the defaults should be dated any later than the commencement of your Trust Deed (assuming no debts were omitted from the TD). You could contact that particular creditor to ask that the default date be amended accordingly, or possibly even the credit reference agency themselves.


Dennis
@natdebtline