Unit of Credit:This is any single credit balance of £500 or more that has had 3 months arrears in the last 3 years, or
any CCJ or Default for £500 or more in the last 3 years.
Example:
[Mr Smith has the following credit, and applied for a loan.]
Bank loan, balance £450.00 arrears of 6 months: This would not be classed as a unit of adverse credit as the balance is
less than £500, even though it has 6 months of arrears.
CCJ for £1000 is one unit.
Default for £250 is no units.
Catalogue balance of £1500 with 2 months arrears. Not counted as a unit as less than 3 months in arrears.
CCJ for £10,000 in 1996. Not classed as a unit of adverse as it occured more than 3 years ago.
Mr Smith has only 1 unit of adverse credit out of the five above, even though he has got 2 CCJ's, a default and his other credit
being in arrears.
Please use this as a guide to complete the form. If you spend time looking at your existing credit and give it an appropriate score, then we can
deal with your request faster, and give you an accurate quote based on your circumstances.
