Debt management q & advise ?

becks2015

Hi everyone
I'm pretty new to posting on here and would be really grateful for some advice, basically I have just entered into a dmp with step change as I have been struggling with my financials for a long time 😟 I didn't want to go bankrupt I accept full responsibility for my debts so I wanted to pay them back
Basically my credit rating is very poor very low In fact due to the lack of payments or late ones, I feel better That I am actually getting help now as I have had a head full of worries for a long time
I would love to know what the impact on my credit report this dmp will have, I have defaults on my account that some will come off in 2018 and later, I wondered if I am in a debt plan will these drop off still? Or will they be updated and come off when my dmp is finished?
I also wonder what will happen to my credit report? In regards to my future as I want a mortgage not right now but in a couple of years, I just fear this will never happen for me due to my bad credit I have, so disheartening !
Any advice on experience or knowledge would be greatly appreciated

😀

National_Debtline

Hi Becks

Welcome to the forum and well done for taking positive steps to deal with your debts. Your DMP will not make any difference to your credit file as it’s informal arrangement. Your defaulted debts will still drop off your credit file 6 years after the defaults were originally put on there.

Once your debts have dropped off your credit report you’ll essentially have a clean slate. You can then rebuild a healthier credit history to help with mortgage applications in the future.

James
@natdebtline

sourcrates

It will depend if your creditors have defaulted you or not.

If they have, then they will disappear from your file after 6 years.

However, if they are marking your file as 'AP' (arrangement to pay) then this will stay on your file 6 years after you have repaid the debt.

This is the reason why it's best to be defaulted as soon as possible, so as to avoid the dreaded AP markers.