Will paying a default positively impact my credit score?

agatkinson

I can't seem to get a straight answer from Google... I have a default that's around 4 years old. If I pay it off, will my credit rating be much better/look more favourable to mortgage providers? Or should I just wait another two years for it to drop off?

sourcrates

Ignore the score, concentrate on the history.

A default is bad whichever way you look at it, but a good broker, with experiance of bad credit, should be able to help.

Or wait two more years, its up to you.

D3xt3r5L4b

agatkinson said:

I can't seem to get a straight answer from Google... I have a default that's around 4 years old. If I pay it off, will my credit rating be much better/look more favourable to mortgage providers? Or should I just wait another two years for it to drop off?

Pay it as you owe it

sleepyjones

a CCJ will look a lot worse, and they have 2 years to get one, If it were me, I'd be calling them to try and sort out a payment plan or something.

PRAISETHESUN

As above ignore the scores and focus on the data on your files.

I agree that settling the default is much better than not. You'll still struggle to get a decent mortgage with a default on your files (settled or not) without using a decent broker though. Additionally, they still have 2 years to apply for a CCJ, which will stick around for a further 6 years, so waiting may not be the best option either.