Just paid off Amigo loans early..

SebSai

I had a loan with Amigos and had around 6-7 months left if i continue with the planned re-payment.
Feel so much better now.
Now - got 2 defaults which is around £3k to pay off - Capital one credit card and halifax overdraft.
Then i am done and debt free.. 
Now that i cleared the loan, is it gonna make any difference in my credit report/ rating. ?

ceremony

Congratulations on paying the loan off!

Your credit score is a meaningless figure that only the credit reference agencies can see. They don't actually do any lending so their figure doesn't matter.

Your credit report will eventually be updated with the relevant agencies, and lenders will see that you paid the loan off. That may be viewed as a good sign for some of them. A paid off debt is better than a not paid off debt. While you still have some defaults though, it might not make enough of a difference to be of any use to you. It depends on how old those defaults are. Something recent is going to make you look like a huge risk to lenders. Something four or five years ago is less important in the minds of some lenders.

Keep plugging away at clearing off those debts and be patient. Time, and on-time payments, is what heals your credit report.

SebSai

ceremony said:

Congratulations on paying the loan off!

Your credit score is a meaningless figure that only the credit reference agencies can see. They don't actually do any lending so their figure doesn't matter.

Your credit report will eventually be updated with the relevant agencies, and lenders will see that you paid the loan off. That may be viewed as a good sign for some of them. A paid off debt is better than a not paid off debt. While you still have some defaults though, it might not make enough of a difference to be of any use to you. It depends on how old those defaults are. Something recent is going to make you look like a huge risk to lenders. Something four or five years ago is less important in the minds of some lenders.

Keep plugging away at clearing off those debts and be patient. Time, and on-time payments, is what heals your credit report.

Thanks 😊.

Next plan is to contact the defaulted debt collecting agencies and set up a monthly payment plan of £50/month for the two i have defaulted. 

They are very new.. defaulted less than a year ago. 😔.

Looking for some flexi hours job in london to get some additional funds. Cant wait to be debt free...

SebSai

I have a question..
Sorry if this is not the right section.

i have a default with capital one and another with halifax. Both are with debt collectors now.
LOWELL AND LINK FINANCIAL respectively. 

Can i get in touch with capital and halifax to set up a payment plan with them and ask them to remove the defaults ?.

or they can only show it as settled. 

Any chance to remove defaults from the C R ?

fatbelly

Lowell and Link are both debt buyers so you are going to  have to pay them.

They won't be removing the defaults but they will be happy to have a payment plan set up

How old are the defaults? Sorry, I see you  answered that - they are both recent.

Could you save a lump sum to offer them in full & final settlement?

SebSai

fatbelly said:

Could you save a lump sum to offer them in full & final settlement?

I cant do that at the moment.

i was thinking to pay £50/ month and increase it whenever i have more money.