does defaulting affect employment opportunities

twists_and_turns

I owe £10000 on a single credit card. I have been temping for the last 2 months which is beginning to bring in an increased and steadier income, although nothing definite long term.

I made a couple of applications to 0% balance transfer cards which have both been declined.

Which leaves me with 2 options; 1) bankruptcy or 2) defaulting and then setting up a payment plan.

This week I filled in a job application for a high street bank (basic admin work) but there was a lot of security checks to do, and they do a credit check too.

If I default on my credit card, would that mean that I would be unlikely to get any work within the financial sector?

itsnowtime

Hi,

The bank expects you to be a good example to its customers and therefore expects that you run your accounts within the agreements - which is what they'll be checking with the credit check.

I'm not sure to what extent the credit check impacts you getting the job, if you've missed a payment they may be more lenient than if you've got CCJ's for example.

I would suggest you wait to see what happens and be prepared to provide an explanation to them if they ask.

Good luck with the job though!!! :T

Hope that helps.

twists_and_turns

It makes sense that a bank would want their staff to be setting a good example. I'm not sure how a bank would look at a default ... probably not well. And as they receive a lot of applications, I imagine if I were to default it would make it easier for them to put my CV in the 'no' pile.

I shall keep my fingers crossed and see what happens.

It's impressive that you've paid off 20k in a year. Must be a quite a relief!

Thankyou for your advice, and hope you knock another 20k off your debt next year!

[Deleted User]

It depends on the bank, HSBC will not accept anyone with adverse credit problems which would include a default, where other banks will.

CCJ's are a big no usually. There's a lot of responsibility on the bank to ensure that some one could not be the target of any fraudsters preying on their debt and to use that as leverage to committing internal fraud within the organisation.

It happens a lot.

I used to work within a banking group, you would not get the job if you had a CCJ and it was gross misconduct for you not to report any that you received during your employment and you would be sacked on the spot for it.

Badger_Lady

I applied with a high street bank in June, and I had an outstanding default (not my fault, harumph!). Anyway, my boss-to-be had to call me up and ask about it - I explained the situation and she put a note on my file to explain it, and to explain that it is being paid off.

Didn't affect my job offer at all :-)

itsnowtime

twists_and_turns wrote: »

It's impressive that you've paid off 20k in a year. Must be a quite a relief!

Thankyou for your advice, and hope you knock another 20k off your debt next year!

Thank you - yes it is a relief that 20K has gone but it still feels like a major mountain to climb I just wish I'd have sought help from CCCS sooner and then maybe I wouldn't have ended up here.

But... it's all good at least you know it's going in the right direction.

Good luck with your application and let us know how you get on. :j

bathgatebuyer

I know that the finance company I work for does credit check it's staff who work in certain regulated positions, which fortunately I'm not in or I don't think I'd be working here (as my credit score has been categorised by Experian as in the bottom 10% of the country - not nice of them, eh?!)