Paying defaults - beneficial?

[Deleted User] · 22 April 2019 at 9:17AM

The trouble is, we had someone in a DMP here only yesterday with a score of 994. There are far too many instances where it's not just inaccurate but complete bobbins.

So the best you could say is that the score may or may not be a useful way to track your performance. Which really isn't any use, hence the advice to ignore it and look at the data, as that is factual data.

[Deleted User] · 22 April 2019 at 9:33AM

dizzyexponent wrote: »

Credit scores are relevant to a certain degree. I have 8 defaults and my score is very poor 1/5

Before I went on a payment plan and got the defaults it was good 4/5.

If the score meant absolutely nothing then why didn't my score go up to very good 5/5 when they applied the defaults, which everybody knows are bad for lenders to see on your credit history

So like I said, it means something if only to a slight degree and you should really stop telling people they are completely meaningless

Because someone with a “thin” file or no history can get a 999 score.

Bankrupts can get a 999 score.

People with a 999 score can get refused for a SIM-only phone contract that costs £20 per month.

Yet people with a 300 score can get a £350k mortgage.

That’s why it has no relevance.

dizzyexponent · 22 April 2019 at 9:40AM

!!! wrote: »

Because someone with a “thin” file or no history can get a 999 score.

Bankrupts can get a 999 score.

People with a 999 score can get refused for a SIM-only phone contract that costs £20 per month.

Yet people with a 300 score can get a £350k mortgage.

That’s why it has no relevance.

If somebody has a 999 score it means they have not missed any repayments and are up to date with everything. As soon as they miss a payment it will drop

If they were to get a default, it would drop

Likewise, somebody with a 300 score would see it improve over time with a history of reliable repayments

So, like I said it is relevant to a degree

Mjfender26 · 22 April 2019 at 10:44AM

I’ll tell her to clear it and make sure she uses the proof of the email confirmation (the proof of default removal) and gets them removed

[Deleted User] · 22 April 2019 at 2:21PM

dizzyexponent wrote: »

If somebody has a 999 score it means they have not missed any repayments and are up to date with everything. As soon as they miss a payment it will drop

If they were to get a default, it would drop

Likewise, somebody with a 300 score would see it improve over time with a history of reliable repayments

So, like I said it is relevant to a degree

But as I stated people who have nothing at all get 999 scores (no late payments or on-time payments) and bankrupts get 999 scores (many, many missed payments and unsettled debts).

It’s not even remotely relevant.

System · 24 April 2019 at 9:42AM

I think the score has "some" bearing, to some truth. Some bizarre algorithm that has some loose vaguery of an attempt to be reflective of your credit file.
But as others have indicated, it's not to be taken seriously or be concerned about.

What I would say is I would say that Experian seems to be the worst offender for nonsense scores. I have a few friends with less than perfect credit histories and both their Experian scores are 999. Whereas their Transunion and Equifax "scores" seem to be somewhat more reflective (you could say) of their credit file.

Paying defaults - beneficial?

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