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Hiya,
Wondering if anyone would have any knowledge/ advice on this?
I couldn't keep up with my career development loan repayments last year after paying off half the loan (still owing a few thousand ££s though) and co-op bank froze the account and explained they will have to pass on the loan to Wescot debt collection agency and assured me that my credit history and/ or rating will not be affected as this is a "government backed loan". Wescot are now contacting me saying they are "working on behalf of Co-op" and threatening my credit rating in letter stating that by contacting them I would be making "positive steps that might improve your credit rating". I am yet to contact them back. Since Wescot has been contacting me the last couple of weeks, any record of the career development loan and the unpaid amount has dissapeared from my accout. I heard elsewhere before that CDL is already paid by the government and the bank is essentially only the "middle man" as government can't loan the money to individuals directly hence why the banks aren't fussed when loan isn't paid back. I also heard conflicting information regarding this having a negative impact on my credit history; some say that as long as I don't make any repayment agreement with a DCA and then defer on payments then my credit history won't be affected but I also read that just by having a DCA show up on my credit report will deter a lot of lenders lending to me now. So I'm now very confused as to;
1) Are Wescot really acting on behalf of co-op as they state or have actually bought the loan off of them?
2) Is my credit history now likely to be worse just by DCA name appearing somewhere within my records? I will take out a credit report to check in the meantime.
3) Am I better off ignoring the DCA since the loan essentially was already paid for by the government in the 1st place and there is now no record of the loan on my co-op account? Or am I better off making a manageable repayment plan with DCA and paying off the rest of the loan?
Any advice on this would be much appreciated!
MS
Wondering if anyone would have any knowledge/ advice on this?
I couldn't keep up with my career development loan repayments last year after paying off half the loan (still owing a few thousand ££s though) and co-op bank froze the account and explained they will have to pass on the loan to Wescot debt collection agency and assured me that my credit history and/ or rating will not be affected as this is a "government backed loan". Wescot are now contacting me saying they are "working on behalf of Co-op" and threatening my credit rating in letter stating that by contacting them I would be making "positive steps that might improve your credit rating". I am yet to contact them back. Since Wescot has been contacting me the last couple of weeks, any record of the career development loan and the unpaid amount has dissapeared from my accout. I heard elsewhere before that CDL is already paid by the government and the bank is essentially only the "middle man" as government can't loan the money to individuals directly hence why the banks aren't fussed when loan isn't paid back. I also heard conflicting information regarding this having a negative impact on my credit history; some say that as long as I don't make any repayment agreement with a DCA and then defer on payments then my credit history won't be affected but I also read that just by having a DCA show up on my credit report will deter a lot of lenders lending to me now. So I'm now very confused as to;
1) Are Wescot really acting on behalf of co-op as they state or have actually bought the loan off of them?
2) Is my credit history now likely to be worse just by DCA name appearing somewhere within my records? I will take out a credit report to check in the meantime.
3) Am I better off ignoring the DCA since the loan essentially was already paid for by the government in the 1st place and there is now no record of the loan on my co-op account? Or am I better off making a manageable repayment plan with DCA and paying off the rest of the loan?
Any advice on this would be much appreciated!
MS
