Debt can be a major problem for people dealing with the ill effects of gambling. Free debt advice is widely available, but we know that barriers caused by stigma or lack of information can prevent people from seeking specialist help.
Kathy Wade, GamCare Money Guidance Services Manager, is marking Debt Awareness Week by addressing the major misconception that seeking debt advice will impact your credit rating.
Debt Awareness Week is an annual campaign led by StepChange Debt Charity and this year takes place from Monday 18 March – Sunday 24 March 2024.
One of the aims of this year’s campaign is to look at the barriers that may prevent people from getting debt advice. We want to focus on something we hear a lot from the people we talk to:
“I don’t want to get debt advice because it will affect my credit rating.”
Having a good credit score is important for a number of reasons, including when you want to borrow money, enter into a cell phone contract, or get home broadband. The company will check your credit file before making a decision. Various factors can affect your credit rating, but getting debt advice is not one of them.
If you:
- Missed credit payments
- Max out your credit cards
- Have a regional court decision
- Bankruptcy
- Debt Relief Order
- Individual Voluntary Arrangements
This may impact your credit rating. However, getting debt advice does not by itself affect your credit rating in any way.
Talking to a debt counselor can help you take control of your debt situation and prevent things from getting worse. They will tell you about the options available to you to deal with your debt and they can also explain the impact these debt solutions will have on your credit rating. This will give you the information you need to decide what you want to do with your debt, taking into account the impact on your credit rating.
You can learn more information in our Controlling Your Credit Rating fact sheet.
To find out where to get free, independent debt advice, click here.
If you are worried about the impact of your own or someone else’s gambling, contact GamCare via online chat or our Freephone on 0808 8020 133. Our advisors can also give you further information and refer you to our Money Guidance Service.
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