Help with credit file needed

[Deleted User]

Different lenders report to different files, or not at all.

Have you checked all three of your files?

takman

jonjon123 wrote: »

So you feel it's got nothing to do with my credit score, or the fact that im paying 2 arrangements to pay?

Are you saying its more of a case of my debt level is far too high against my salary?

I'm still a little unsure because when i applied for the loan for debt consolidation, surely this is taken into account as you are paying off these debts, so therefore arent necessarily getting into more debt?

A debt consolidation loan does mean you are getting into more debt. You could take out a loan and not pay bank the other debt (which does happen often if you read the posts on here).

When you apply for credit all lenders will see is someone who has arrangements to pay and defaults (so has difficulty paying off their debts as agreed). They will then look at the fact you owe £20k and only earn £24k a year so your at a very high risk of not paying back what you owe due to your history.

I certainly wouldn't lend you any money so I'm not surprised the banks wouldn't.

Your best bet is to try and pay off any accounts where you have an arrangement to pay or default as quick as you can. Then over time your credit history will improve.

Remember it's just not one thing but several factors added together so it won't be a quick fix.

You should also post on the Debt Free Wannabe part of this forum and sort out your budget and finances before it's too late.

cjmillsnun

I can see you've checked 2 of the files (experian and equifax - via clearscore).

I would sign up for noddle so you can get callcredit.

But 7 accounts potentially showing arrears or late payments as well as 20k worth of non mortgage debt against your income is what is giving you issues.

Are some of the debts very old? If they are old enough they may have been defaulted more than six years, in which case they drop off your file. If you have been paying them, you must keep paying as they are an acknowledged debt and can be enforced via the courts by means of a CCJ which WILL go on your file.

jonjon123

takman wrote: »

A debt consolidation loan does mean you are getting into more debt. You could take out a loan and not pay bank the other debt (which does happen often if you read the posts on here).

When you apply for credit all lenders will see is someone who has arrangements to pay and defaults (so has difficulty paying off their debts as agreed). They will then look at the fact you owe £20k and only earn £24k a year so your at a very high risk of not paying back what you owe due to your history.

I certainly wouldn't lend you any money so I'm not surprised the banks wouldn't.

Your best bet is to try and pay off any accounts where you have an arrangement to pay or default as quick as you can. Then over time your credit history will improve.

Remember it's just not one thing but several factors added together so it won't be a quick fix.

You should also post on the Debt Free Wannabe part of this forum and sort out your budget and finances before it's too late.

Thank you for the advice, i appreciate it.

Just a couple of questions though.....

Why would somebody lending me money to pay off debts early and therefore avoid further interest over the term get me into more debt?

I also wanted to ask what you meant about taking out a loan and not paying it back?
You said it was something you will see a lot of on here. See a lot of what exactly?
What is it people do?

And finally, how do they know they are arrangements to pay?
It was the advisor on the phone speaking to Equifax who said this, but after looking on all 3 of my files they show as ''up to date'' statuses.

Would that be a negative necessarily?

jonjon123

cjmillsnun wrote: »

I can see you've checked 2 of the files (experian and equifax - via clearscore).

I would sign up for noddle so you can get callcredit.

But 7 accounts potentially showing arrears or late payments as well as 20k worth of non mortgage debt against your income is what is giving you issues.

Are some of the debts very old? If they are old enough they may have been defaulted more than six years, in which case they drop off your file. If you have been paying them, you must keep paying as they are an acknowledged debt and can be enforced via the courts by means of a CCJ which WILL go on your file.

This is intriguing me now.
How can you see that i have checked my files?

Yes, all of the debts have been acknowledged so i am paying them off slowly, but as i say only 2 of them are showing on the file as ''up to date'' yet the others arent reflecting anywhere with all 3 agencies.

I was told that once a debt becomes over 6 years old it should be removed from the credit file regardless if it was paid or not, but apparently they reserve the right to still report this?

Is this right or wrong?

DCFC79

Check equifax, use clearscore for that. You will get a better view but as ZX81 says its dependant on lenders etc reporting to the agencies so you will see whats reported will vary from 1 to another.

jonjon123

I take it if I can only see 2 on my file then the others aren't hanging around in the background are they?

I assume if I only see 2 then that's it 100% they are no more, despite owing other companies?

I'm very confused because as I say when I spoke to the advisor on the phone at Equifax, he told me they were arrangements to pay, so that sounds negative to me, however looking at my file for myself, shows ''up to date''

Is he talking nonsense?

jonjon123

DCFC79 wrote: »

Check equifax, use clearscore for that. You will get a better view but as ZX81 says its dependant on lenders etc reporting to the agencies so you will see whats reported will vary from 1 to another.

So let me get this straight.

Clearscore is Equifax's credit file

Noddle is Callcredit

And Experian is.......who please?

takman

jonjon123 wrote: »

Thank you for the advice, i appreciate it.

Just a couple of questions though.....

Why would somebody lending me money to pay off debts early and therefore avoid further interest over the term get me into more debt?

I also wanted to ask what you meant about taking out a loan and not paying it back?
You said it was something you will see a lot of on here. See a lot of what exactly?
What is it people do?

When you take out a debt consolidation loan you could take out the loan and get the money in your bank and not pay off any of your debts. You could then spend the money and end up in twice as much debt as you started with.

I've seen quite a few posts on here where people have taken out a loan to pay off credit card debt. They have used the money to pay it all off but then started using the credit card again and spent more and more each month until they end up owing the money on the loan and have maxed out their credit cards again.

So as this is so easy for people to do a lot of people get turned down for a loan because the bank look at it as extra debt as they can't usually guarantee you will pay the debt off.

So even if you have a credit card with a zero balance after paying it off with a loan the banks will still consider it when deciding whether or not to offer you new credit.

jonjon123 wrote: »

And finally, how do they know they are arrangements to pay?
It was the advisor on the phone speaking to Equifax who said this, but after looking on all 3 of my files they show as ''up to date'' statuses.

Would that be a negative necessarily?

If you have checked the three main credit reference agencies and they don't show any negatives such as arrangements to pay, late payments or defaults etc then when you apply for new credit the lenders won't know this.

But if you apply to lenders that you have had issues with in the past then they may still have this on record.

jonjon123 wrote: »

So let me get this straight.

Clearscore is Equifax's credit file

Noddle is Callcredit

And Experian is.......who please?

To look at Experian information for free use the MSE Credit Club (on this website):

https://www.moneysavingexpert.com/creditclub

jonjon123

takman wrote: »

When you take out a debt consolidation loan you could take out the loan and get the money in your bank and not pay off any of your debts. You could then spend the money and end up in twice as much debt as you started with.

I've seen quite a few posts on here where people have taken out a loan to pay off credit card debt. They have used the money to pay it all off but then started using the credit card again and spent more and more each month until they end up owing the money on the loan and have maxed out their credit cards again.

So as this is so easy for people to do a lot of people get turned down for a loan because the bank look at it as extra debt as they can't usually guarantee you will pay the debt off.

So even if you have a credit card with a zero balance after paying it off with a loan the banks will still consider it when deciding whether or not to offer you new credit.



If you have checked the three main credit reference agencies and they don't show any negatives such as arrangements to pay, late payments or defaults etc then when you apply for new credit the lenders won't know this.

But if you apply to lenders that you have had issues with in the past then they may still have this on record.



To look at Experian information for free use the MSE Credit Club (on this website):

https://www.moneysavingexpert.com/creditclub

Thank you so much for this, just joined that now.

Is this completely free no matter what section you visit?

I have had a look on my report and everything shows as ''up to date'' so i have no idea what the Equifax man on the phone was talking about.

He said i had 2 arrangements to pay, so dont know where he got that from, hence why i wanted to see report for myself and cant see anything.

Looking at the red, amber and green bars it looks like its an income thing, against my debt level which why I am now assuming I am being rejected, but the score is still a good 900 out of 999 which doesn't make sense to me?