If I set up a direct debit for a utility bill, will the address for that property be linked to my credit report

[rimblock]

Hi There,

I hope you are all well!

 

As the title suggests, I'm just fishing for information about exactly what happens when one sets up a direct debit ... is it only if i miss a payment that the address would be passed to the credit agency?

 

Thanks in advance,

James.

[BRIGADIER2JCS]

A Direct Debit is a mandate allowing a creditor to debit funds from a bank account for a given or variable amount,

if a DD is not paid the creditor is informed that the application for payment has failed this is not immediately reported by the creditor to any credit reference agency.

 

If you miss 3-6 payments the creditor may inform you that it intends to default the account (default notice) and will give you 14 days to remedy the status of the account by paying the arrears, if you do so the creditor does not report this to the agencies.

 

Some types of accounts are reported on monthly and late or missed payments are automatically reported to the agencies.

[rimblock]

Hi BRIGADIER,

I think i get it ... it's not a credit account until I haven't paid a bill, and thus they are giving me credit!, at which point it might end up on my credit report.

Does this apply to, say, EDF energy for instance?! Or would they report the account monthly as you suggest (I'm assuming this means that it will end up on my report regardless)?

 

Thanks for your detailed explanation :0)

 

Cheers,

James.

[BRIGADIER2JCS]

It seems all the energy suppliers us the same criteria when reporting to the4 CRAs.