In most cases, making a mis-selling claim on your car finance agreement shouldn't directly harm your credit score. Here's why:
Here are some additional points to consider:
For peace of mind, you can always obtain a free credit report from a reputable Credit Reference Agency (CRA) to monitor your credit score throughout the mis-selling claim process.
Resources:
- Credit Reporting Agencies (CRAs): These agencies track your borrowing history and calculate your credit score. They typically only receive information about missed payments, defaults, and County Court Judgements (CCJs). Making a mis-selling claim itself wouldn't be reported to CRAs unless it progresses to court action, which is uncommon.
- Communication with Lender: During the mis-selling claim process, there will likely be communication between you and the lender. It's important to maintain your regular monthly repayments throughout the claim. Missing payments could be reported to CRAs and negatively affect your credit score.
Here are some additional points to consider:
- New Credit Applications: While the mis-selling claim shouldn't directly impact your credit score, a temporary block might be placed on your credit file during the investigation. This could potentially delay the approval process for new loans or credit cards.
- Seeking Professional Help: If you're using a claims management company or solicitor to handle your mis-selling claim, ensure they are regulated by the Financial Conduct Authority (FCA). This helps ensure they adhere to responsible practices.
For peace of mind, you can always obtain a free credit report from a reputable Credit Reference Agency (CRA) to monitor your credit score throughout the mis-selling claim process.
Resources:
- Information on Credit Scores: https://www.moneysavingexpert.com/credit-cards/what-is-a-good-credit-score/
- Financial Conduct Authority (FCA): https://www.fca.org.uk/
