Bed credit rating?

Question

i have defaulted on alot of credit in the past and entered a debt management scheme, i have now been paying my creditors for 3 years without any missed payments through the scheme, i will be finished soon and amwondering if as soon as i owe £0 and all accounts are closed will my credit file be cleared of the black marks etc. ?

Answer 1

ccj `s take 6 yrs to come off.........

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Answer 2

I thing, it will take 6 years to clear all your black marks.

Answer 3

No, they won't. Many people mistakingly think that paying off debts will clear their credit and raise their scores. Unless you negotiate as part of your debt settlement to have the items deleted from your credit reports, they will sit there for up to 7 years. Even if they show a "settled debt" status, those black marks will still figure in the credit scoring equation and take your scores down. Plus, depending on the severity of the credit problems, you will be categorized in one of the "bad credit" scorecards, which will affect the weight of how your credit scores are determined. You can work to have the negative credit entries removed, which is the best way to raise your scores. You also need to start rebuilding your credit so the positive credit entries can help raise your scores. Don't go crazy applying for credit all over, start with a secured card with a lower limit and keep your balance low. There are also loan options available at many banks for credit rebuilding. The good news is that by paying off your debts, your work is now easier to get lenders to give you new credit. By spending some time cleaning up your credit reports, your credit scores will improve within months.

Answer 4

Bad credit rating with you for next 6 year. but if you need loan in future then I think its easy for you. Some of the lender will able to provide you loans. so solve your present bad credit and then try to minimise your expenses and increase your saving.

Answer 5

in a nutshell - no

your credit history file (that potentail lenders use to guage your suitability and risk) goes back 6 years.  would you lend money to a friend if you knew they had borrowed of someone else then took ages to pay them back, i think not.  lenders will be the same. until it drops off the end they will take it into account.  thats not to say you wont be able to get credit, but the rates wont be as favourable.

be warned though.  lnders use other files, including their own, so the people you owed the money too probably wont touch you with a bargepole disinfected at both ends....

Answer 6

I'm not sure really, i thought that your credit got restored every six years away??

Answer 7

It sounds like you have an IVA...?

I understand these arrangements run for 5 years, at which point you will have your debts written off.

At that point, it will be up to individual lenders to assess you for future risk, so you question is a bit of a 'how long is a piece of string' question!

AVI's are still fairly new to the finance industry, but I would anticipate there being a 'period of grace' after an arrangement ends before the individual is considered again for any significant level of credit.

Answer 8

hi,  bad credit rating stays with you for around 6 years...however you can ask for certificate of satisfaction from your creditors which you can then give to new creditors to prove you do pay.   good luck

Answer 9

http://www.expert-credit-advice.com/affi...

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