How often do credit ref agencies update their records?

Question

Hi Folks,

I understand that credit reference agencies such as Experian and Equifax keep tabs of credit card balances amongst other things.

Now I'm coming to the end of my Egg anniversary 0% offer and I've paid off the balance of 10K,languishing in a high interest account for the last 5 months, just this morning :)

Now the complication is that I wish to take out a car loan later this month, and an outstanding credit card balance of 10K would I'm sure count negatively against me when the loan issuer does the usual credit checks.

Given that I paid the balance off this morning the credit card balance will probably be cleared by Tuesday next week. Does any one have any idea when my credit records will be updated to show there is no longer a 10K balance on the Egg card? Do the CC companies send the updated info to the credit reference agencies straight away?

tia

Jonathan Bryce · Accepted Answer

They update once a month usually. The loan may not count against you.

John Redman · Answer

"Trust No One" wrote

I am fairly sure this depends on the company and the agency. I don't think it is instant - I believe they do monthly runs. If you request your own credit file from Experian at weekly intervals not much seems to change.

Alex · Answer

At 01:43:37 on 10/02/2006, John Redman delighted uk.finance by announcing:

Which works sort of like the interest-free period on a card. It may take up to

2 months for the CRA record to be updated depending on exactly when the account's marked as inactive (they're not actually closed for a further year or so) and when the monthly run's due.

BrianW · Answer

Probably correct, but a few years ago my wife started buying clothes from catalogues, returning most of them, querying the subsequent bill, and ending up being flagged as "late payment". The catalogue companies were owned by GUS - who also own Experian. Although the Experian record shows that the last late payment was in 2003, the record also says "four code 1 entries within the last six months" - patently rubbish. I would advise you to take advantage of Experian's offer of a free month's trial to see what they have held against you. If you see anything untoward, complain.

BTW you will get a "code 0" every time you pay off the balance in full. (0 "no problem" up to 3 = "avoid like the plague".)

Brian

John Redman · Answer

"BrianW" wrote

Not sure that's true. 3 = 3 months late paying, but if everything else is peachy, that should be OK. What they really hate is apparently a 5 or 6 - serious, persistent default. Or so the Nationwide once told me.

Tim · Answer

"BrianW" wrote

That'll be "... within the last six months up to date a/c closed".

"BrianW" wrote

Did she close the a/c just after the code 1 entries, or did she wait 6-12 months before closing the a/c?

Jonathan Bryce · Answer

You get a code 0 every time you make the minimum payment by the due date.

john boyle · Answer

In message , BrianW writes

Not so, you get a '0' for making the minimum payment within the time limit for that months payment.

0= payment made 0 months in arrears. 3= payment made 3 months in arrears

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How often do credit ref agencies update their records?

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