Sky mobile shows up as a loan on credit report

Edam28

Hello 👋 I was looking at my credit report yesterday and noticed that in items negatively affecting my score it says I have 3 or more loans. I have one personal loan and this shows up along with Sky mobile in the loan section of the report. There is also a hire purchase agreement on for my car which I’m assuming is what is being classed as the other loan. I wanted to find out if it is possible to get the mobile one changed on my report so that it is not classed as a loan?

thanks

la531983

On what grounds do you think you can change it? Have they provided you a handset? The monthly cost likely contains a portion assigned for that.
Also, no lender cares. They know people need phones and wont think twice at seeing it on a credit file.

Edam28

I wasn’t sure if it could be classed as a credit agreement rather than a loan if it causes an issue. Yes I do have a handset with them as well but never had this show up as a loan from other providers such as EE. Thanks for responding.

CliveOfIndia

It's semantics, but it is kind of a loan.  You could have gone out and bought a handset outright, instead you're paying for it monthly - so they've effectively lent you the money which you're paying back over 2 years or whatever your contract length is.

In actual fact, this is actually a good thing as far as your credit history goes.  Assuming you make each monthly payment on time then this shows a good history of paying your debts, which is viewed positively by any lender.

You can safely ignore the score you see on your credit report - it is not used, nor even seen, by any lender.  You can also pretty much ignore the CRA's assessment of your credit-worthiness - after all, they're not the ones lending you money.  All a lender is interested in is the raw data contained in your file, which they'll use to assess you against their own particular lending criteria.

Edam28

Ah that’s good to know. I assumed it would be seen by them, even though everything else is fine in terms of never missing payments and my score being good. I can see why it’s classed as a loan and like you said it’s semantics really but wanted to check as other similar products could also be classed as a loan like Sky boxes etc but never show up. Thanks for the response 

la531983

Edam28 said:

Ah that’s good to know. I assumed it would be seen by them, even though everything else is fine in terms of never missing payments and my score being good. I can see why it’s classed as a loan and like you said it’s semantics really but wanted to check as other similar products could also be classed as a loan like Sky boxes etc but never show up. Thanks for the response 

With Sky Q you dont own the box - Sky do
With Sky+ you own the box - Sky dont.

So a little different there, there is no hire purchase, as it were.

Grumpy_chap

Edam28 said:

I wasn’t sure if it could be classed as a credit agreement rather than a loan

Surely a "credit agreement" is a "loan" by another name.