Some lenders, especially mortgage lenders do not like to see payday loans on your credit file.
Viewed As Poor Money Management – lenders can take the view that these are a result of poor money management and your expenses every month are higher than your income.
Consider Consolidating – one solution to getting rid of a payday loan if you have a poor credit rating is to consolidate into a new loan with a lower monthly payment. This will not only help your credit file but could also reduce your monthly outgoings.
IF YOU ARE THINKING OF CONSOLIDATING EXISTING BORROWING YOU SHOULD BE AWARE THAT YOU MAY BE EXTENDING THE TERMS OF THE DEBT AND INCREASING THE TOTAL AMOUNT YOU REPAY