Debt consolidation Plan

[Youandme8888]

I have input the data

How does the rating works? The higher the better?

 

[Jojodespo]

Thanks for inputting the data.

Based on your inputs, do NOT use your NOA as it will make your BTI below 12. Use your 3 months payslips as income submission. Make sure to tell the CSO this and they should understand.

With the 4 risk factors all in your cbs, it’ll be quite difficult for banks to approve. But based on their risk appetite, there is still room for approval. If you never try, you’d never know because you didn’t try.

Are you still able to make minimum payments monthly? And do you have any B/C/D in your cbs of the first line of your payment cycles? E.g

AAAAAAAAA <- are there any B/C/D
YYYYYYNNN
NNNNNNNNN

Also any outstanding amounts in your cbs?

I have input the data

 

[Jojodespo]

2000 is the best rating, the higher the better.

But banks not only look at ratings but general risk factors e.g
- employment history
- payment history with applying bank
- signs of default
- late payments
- DTI (debt to income ratio)

How does the rating works? The higher the better?

 

[Youandme8888]

Thanks for inputting the data.

Based on your inputs, do NOT use your NOA as it will make your BTI below 12. Use your 3 months payslips as income submission. Make sure to tell the CSO this and they should understand.

With the 4 risk factors all in your cbs, it’ll be quite difficult for banks to approve. But based on their risk appetite, there is still room for approval. If you never try, you’d never know because you didn’t try.

Are you still able to make minimum payments monthly? And do you have any B/C/D in your cbs of the first line of your payment cycles? E.g

AAAAAAAAA <- are there any B/C/D
YYYYYYNNN
NNNNNNNNN

Also any outstanding amounts in your cbs?

I will be able to last 2 more months of payment but what do you meant by outstanding?

 

[Jojodespo]

Outstanding means missed payments on your unsecured credit facilities that you have yet to clear with the banks. If you don’t see this column on your Cbs, means you don’t have bro.

I will be able to last 2 more months of payment but what do you meant by outstanding?

 

[Jojodespo]

This message came in today!!!

HSBCSG: Please note that your unsecured credit facilities are suspended following the approval of your Debt Consolidation application.

 

[Youandme8888]

Outstanding means missed payments on your unsecured credit facilities that you have yet to clear with the banks. If you don’t see this column on your Cbs, means you don’t have bro.

Yup I think I dun have that I only had aggregated outstanding balances, they are both diff thing right?

 

[Youandme8888]

This message came in today!!!

HSBCSG: Please note that your unsecured credit facilities are suspended following the approval of your Debt Consolidation application.

Congrats bro,

 

[Jojodespo]

Sorry for the confusion. I mean overdue balances.

That column can be found between the Date opened/closed and payment cycles. Are they all empty?

Yup I think I dun have that I only had aggregated outstanding balances, they are both diff thing right?

 

[Youandme8888]

Sorry for the confusion. I mean overdue balances.

That column can be found between the Date opened/closed and payment cycles. Are they all empty?

There is one dated back in 2014, the rest are cleared

 

[Jojodespo]

Do you mean the overdue amount is still there? The column should be empty.

There is one dated back in 2014, the rest are cleared

 

[Youandme8888]

Do you mean the overdue amount is still there? The column should be empty.

The rest of the month remains empty, after the one that occur in Dec 2014

 

[Jojodespo]

Was this your recent CBS? You mean your overdue amount is still showing on the account that had the overdue back in Dec 2014?

Have you cleared it off?

The rest of the month remains empty, after the one that occur in Dec 2014

 

[Youandme8888]

Was this your recent CBS? You mean your overdue amount is still showing on the account that had the overdue back in Dec 2014?

Have you cleared it off?

Yup I had cleared the overdue amount off since 2014. I am also not sure why is still reflecting there. Right now I am still able to pay the min amount but I think the credit rating still hover at HH

 

[Jojodespo]

Hmm... not so sure why your rating is in the 1.5k range..

Could be due to delinquency presence.

What’s your total unsecured credit limit? It’s stated on the first page of your CBS.

Yup I had cleared the overdue amount off since 2014. I am also not sure why is still reflecting there. Right now I am still able to pay the min amount but I think the credit rating still hover at HH

 

[Youandme8888]

Hmm... not so sure why your rating is in the 1.5k range..

Could be due to delinquency presence.

What’s your total unsecured credit limit? It’s stated on the first page of your CBS.

49,300 but I am currently in 42k debt, I don't understand the total unsecured credit limit too, I think maybe I in between job for last yr and I am currently in the 4th of my current job. But I didn't took gap between switching of job.

 

[Jojodespo]

The total unsecured credit limit is the total credit limit amongst all you cards, cashlines and loans.

Example

Credit card A credit limit - $10000
- used $5000
Credit card B credit limit - $5000
- used $2000
Cashline limit - $15000
Personal loan - $7000

Your total unsecured credit limit is $37000
But your total aggregate outstanding balance will be
$5000 + $2000 + $15000 + $7000 = $30000

You’re in 42k debt, but your unsecured credit limit is higher, that means either
1. You have not maxed out your credit card limits yet
2. You have not utilised your cashlines yet

If your outstanding is higher than your unsecured credit limit, then like me, your banks will start to suspend your credit card facilities as you reached your cap. Luckily for me tho, my DCP approved so they can suspend all the want.. gonna cancel all the toxic plastic.

49,300 but I am currently in 42k debt, I don't understand the total unsecured credit limit too, I think maybe I in between job for last yr and I am currently in the 4th of my current job. But I didn't took gap between switching of job.

 

[Jojodespo]

Applied with SCB, 7 years tenor for 66k loan (include 5% buffer)
Income documents used - 3 months payslip $4617 monthly
Credit rating at time of application FF - 1768

22 Dec’17 - Submitted application to CSO, CSO informed that most likely application will be routed to account checks on 27th Dec’17 as it’s holiday season
28 Dec’17 - CSO called to update address as address for card and application are different
28 Dec’17 - Bank checked CBS
29 Dec’17 - Received SMS on update of address
29 Dec’17 - CSO called to inform that case has been routed to approvals Queue, but cannot proceed further as the account has an overlimit of $220. Was told to quickly make payment and send her receipt. Most likely will be routed back to approvals again on 2nd Jan’18 as it’s New Years holiday
2 Jan’17 - Bill payment into SCB not yet reflected in account yet, CSO will wait until payment is reflected to route case back to approvals Queue
3 Jan’17 - Check SCB account in morning and saw bill payment. Informed CSO that overlimit is clearer. CSO proceed to route to approvals Queue
3 Jan’17 - CSO informed unofficial approval on DCP as SCB is updating DCP registry to Ensure no other banks can add their case in DCP registry. CSO informed to give SCB about 5 working days to dispense outstanding to all banks. After dispensing to all, then approval letter with instalment amount and card will be sent
4 Jan’17 - SCB customer service informed credit limit cancellation in progress, most likely due to DCP reducing current credit limit to 1x monthly salary
5 Jan’17 - received HSBC SMS stating DCP approval.

Total working days from application to approval: 4 days
(Excludes public holidays, Christmas and new year)

 

[Youandme8888]

The total unsecured credit limit is the total credit limit amongst all you cards, cashlines and loans.

Example

Credit card A credit limit - $10000
- used $5000
Credit card B credit limit - $5000
- used $2000
Cashline limit - $15000
Personal loan - $7000

Your total unsecured credit limit is $37000
But your total aggregate outstanding balance will be
$5000 + $2000 + $15000 + $7000 = $30000

You’re in 42k debt, but your unsecured credit limit is higher, that means either
1. You have not maxed out your credit card limits yet
2. You have not utilised your cashlines yet

If your outstanding is higher than your unsecured credit limit, then like me, your banks will start to suspend your credit card facilities as you reached your cap. Luckily for me tho, my DCP approved so they can suspend all the want.. gonna cancel all the toxic plastic.

Beside paying on time, how can I improve my rating?

 

[Jojodespo]

Another way you can improve your rating is to not only pay on time, but pay slightly more than the minimum.

Give you some tips.

If you’re going to apply for Maybank, make sure your Maybank profile is damn strong. E.g no late payments, pay slightly more than minimum all the time, don’t use credit card or credit line until it’s reaching max.

Another way is to work on paying off 1 of the lowest card you have e.g if you got a card that has $500 outstanding, pay it off in full and cancel that card. Then in your DCP application, show the statement balance at $0. Banks also will know that even tho your rating is Low, you made an effort to close off a card.

I really am quite puzzled why your rating is 1500+ when you pay on time. Perhaps a few months ago you received Call’s from the banks to settle your overdue payments.

Another reason is probably because you reach overlimit for a lot of credit cards. That will add to credit exposure and delinquency presence.

Did you recently try to apply may credit cards or take loans? Too many enquiries is a result of new applications of credit facilities. Do note that “reviews” by the bank don’t add to the “too many enquiries” risk factor. Only applications made to open new facilities will add to the risk factor.

Beside paying on time, how can I improve my rating?