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    • Hercy
    • By Hercy 13th Jul 17, 8:32 AM
    • 2Posts
    • 0Thanks
    Old debt & impact on credit rating
    • #1
    • 13th Jul 17, 8:32 AM
    Old debt & impact on credit rating 13th Jul 17 at 8:32 AM
    About 5/6 years ago I was in all kinds of debt, lost my job etc.

    I have been working to pay everything off and rebuild my credit rating. And nearly there on the former, still some way to go on the latter!

    Anyway, I have an old payday loan which has a default date of January 2012, so is due to fall of my credit file in 6 months time. After several years of silence, I had a letter from a debt collection agency offering a reduced balance (about 40% of original balance) which would show on my file as "partially satisfied".

    I have no qualms about paying (in full or reduced) - it was the next and last thing to pay off. My question is how it will affect my credit file. I already read that if you do nothing, it will fall off after 6 years (Jan 2018), although of course you risk them submitting a claim in the meantime, but what happens if you pay in full or in part? In both events would it still drop off my file in Jan 2018. What is best to do in terms of my credit rating?

    Thank you
Page 1
    • sourcrates
    • By sourcrates 13th Jul 17, 9:08 AM
    • 13,716 Posts
    • 13,050 Thanks
    • #2
    • 13th Jul 17, 9:08 AM
    • #2
    • 13th Jul 17, 9:08 AM
    Yes it will still fall off your file in 6 months regardless of what you do.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
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    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to Any views are mine and not the official line of

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Free Legal advice see :
    • Hercy
    • By Hercy 13th Jul 17, 2:11 PM
    • 2 Posts
    • 0 Thanks
    • #3
    • 13th Jul 17, 2:11 PM
    • #3
    • 13th Jul 17, 2:11 PM
    Thank you Soulcrates, most helpful.
    • Arleen
    • By Arleen 13th Jul 17, 4:00 PM
    • 1,150 Posts
    • 863 Thanks
    • #4
    • 13th Jul 17, 4:00 PM
    • #4
    • 13th Jul 17, 4:00 PM
    Worth adding that if they go for the CCJ and get it, you will have to repay the amount within a month or face 6 years of having that hang over your head. So make sure that they have your current address and be on a lookout for court paperwork, as many debt collectors are now chasing up debts aggressively due to an upcoming change in legislation.
    • kink_bosslady
    • By kink_bosslady 13th Jul 17, 8:46 PM
    • 12 Posts
    • 4 Thanks
    • #5
    • 13th Jul 17, 8:46 PM
    • #5
    • 13th Jul 17, 8:46 PM
    With a partial I think it's more to really do with future lending. When creditors are doing a check they do more than look at the score so that's probably why they have advised of it just in case as it might up interest rates etc. as mentioned after 6 years a default drops off anyway, but as also mentioned a default is there to give companies the right to take legal action in that timeframe which as mentioned could result in a CCJ
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