How long for Trust Deed credit rating impact?

jools74

Hi,

My partner and I completed a Trust deed in October - now 100% debt free for perhaps the first time in our adult lives!! We'd like to buy a house next year though and are now saving for a deposit, using ISAs and an A&L savings account, thanks to advice on this site.

So, my question is when will it be wiped off our credit file and thus not affect future mortgage applications? I got my experian credit report in November which didn't seem to mention it and only listed one old debt, is that good or bad news?!

Our income has significantly improved since we took it out and, bar a few late C Tax payments here and there, we have kept a clean slate since starting it.

Thanks,
Jools

silvercar

Is a trust deed the scottish equivalent of an IVA or bankruptcy in England?

If so it will be on your credit rating for 6 years! It may be that November was too early to see it registered.

balmk

Hi,

I think that they are similar to an IVA - I came out of my IVA in September last year and will have alot of work to do on my credit file to enable me to buy a house this year;

An IVA (and I think that it is the same with a Trust Deed) stays on file for 6 years from the start of the agreement - so by 6 years after after the Trust Deed was strated, it should be removed.

However, when lenders register your defualted credit agreement with the credit reference agencies, there is no standard way of doing it.

For example, some of my old credit accounts show me as defaulting in May/June 2002. This means that by May/June 2008, the defualts will be removed.

Other lenders didn't register a default, but instead showed me in arrears - some up intil early 2003. This mean that this negative information won't disappear until 2009.

I would advise getting copies of your credit files to check the status of your old credit accounts.

I used the triple agency report (monthly subscription) from checkmyfile.com - I have found the service to be excellent and the support teams (availible online and via phone) are extremely helpful and knowledgeable.

Hope this helps a little