Payment plans.

[plugman]

Good morning All

 

I am new to this site and need a little advice,

 

I have got myself into a little trouble with payday loans which I am slowly getting out of,

 

I have recently set up a payment plan with Toothfairy finance - Can you confirm if this goes down as a negative on my credit report ??

 

I have had the following response

 

I have not defaulted on this loan

 

Dear Mark

 

This is an AUTOMATED EMAIL.

 

I am writing to confirm your conversation with one of our agents OR debt collection agencies regarding your ToothFairy Pay Day Loan*** and your agreement to pay:

 

01.03.13 - £100.00

01.04.13 - £100.00

01.05.13 - £100.00

01.06.13 - £100.00

Total payment of £400.00 to be paid by 01.06.13 to close this loan

 

 

This agreement has been noted on your permanent file

[renegadeimp]

Can you actually afford that plan? If so do not pay until you get their bank details. This is because if you give them yours they WILL strip your account regularly.

[plugman]

It has been set up as I pay this via their internet site not as a direct debit

[renegadeimp]

You need to be very careful. This conpany is well known for stripping account and selling your payment details to other companies .

 

Its why we specifically advise people dealing with this company to only pay by SO.

[plugman]

Thank you for your help. Will setting this up have a negative affect on my credit report

[PDLVictim]

Hi plugman, theoretically they could have it recorded as 'Payment arrangement', but I doubt it. It can definitely not go in as default.

[renegadeimp]

It could go in as a default, but as an arrangement to pay marker. However, if they issue a default, they are meant to notify you in advance and give you time to rectify it before they mark your files.

[citizenB]

Apparently people are being warned that PayDay loans will indeed have a negative effect on their credit history.

[renegadeimp]

Apparently people are being warned that PayDay loans will indeed have a negative effect on their credit history.

 

And some PDL's even say PDL's can make your Credit record look better if they are paid off on time. This is completely contrary to what the CRA's say, since they dont record loans of 30 days or less unless people default on them.

[citizenB]

And some PDL's even say PDL's can make your Credit record look better if they are paid off on time. This is completely contrary to what the CRA's say, since they dont record loans of 30 days or less unless people default on them.

 

 

This is set to change imp, the CRAs are indeed going to start recording PDLs !!

[26072004]

As mentioned above they can not register a default unless they confirm in writing 1st, if they do register it without confirming it you can write to the credit ref agencies and ask it to be removed.

 

However, your credit file will show you went into arrears with the loan (this is assuming Toothfairy use a CRA)

[renegadeimp]

This is set to change imp, the CRAs are indeed going to start recording PDLs !!

 

 

O.o