www.iva.co.uk

Hi could I ask for someone to explain CREDIT RATINGS...how are they effected by DMP verses IVA's, what happens when you get a default against a late/missed payment.

Before my DMP I had a few late payments but had never actually missed one and i have only received default letters whilst waiting for the DPM to be set up.

I have several creditors that I have never missed a payment or been late...does that have any bearing on the credit rating ( or is that just wishful thinking!!!!)

Thanks
Suzie

Any late payments have adverse affects on your credit rating,as do any arrangements made with creditors(basically it shows on file that you failed to make agreed payments).
It only takes one creditor to lodge an entry in your crf regarding a late payment to mess it up(regardless of the fact you may be up to date with everything else).


Paul

Quite agree.

Instead of having a nice row of green cirles with a big fat zero in them (this is on Experian) you will start getting amber or red circles which is not good.

If you get defaults whilst in a DMP, I believe they have to stay on the file. If you are in an IVA, a creditor is not allowed to default you after the date of approval.