Millions scupper chances of getting the best mortgages and credit cards by deliberately skipping loan repayments
Millions of cash-strapped Britons are damaging their credit records by skipping loan repayments because they can't afford them, a study has claimed.
One in five British adults have admitted to occasions in the past six years when they have found themselves unable to afford a debt repayment, while more than a quarter say they have missed payments because they 'forgot'.
The Experian CreditExpert research not only shows how many have bitten off more than they can chew, but also how difficult people are making it for themselves to get mortgages, loans and credit cards in the future as each missed payment becomes a black mark on their credit record.
Peter Turner, of Experian Consumer Services, said: 'It is no surprise so many of us admit to having lived beyond our means at some point, but what many might not yet realise is the possible implications of doing so.
'It is important to to understand the impact of these actions on long term credit worthiness so that it doesn't impact on us getting the things we want in later life.
More... Why were we charged £16.69 interest on our credit card bill when our balance was just £100? How to improve your credit rating Get a credit report with our free trial'Even the most common credit services like an overdraft can have significant consequences if poorly managed over an extended period of time.'
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