How payday loans are reported on credit bureau?

Hi! Just like any other credit account, payday loan lenders also report to the bureaus after the accounts are paid in full.

Once you enter with any consolidation company for a payday loan consolidation, be sure to get the agreement in writing. You will get the monthly statements showing the amount that was paid to your creditors. This way, you will be sure that your money is getting transferred to your debt account through them.

Consolidation program does not affect your credit in the long run. It will remain in your file as long as you are in the program. Once your payments are complete, the lenders will update your file with the bureaus as 'paid'. Thus, your financial worthiness will be renewed and you will be open to new credit quite easily.

It is very important to research on the consolidation company that will be working in your program. Check the BBB website and see if there are any consumer complaints filed against them. You will also get a report about the company from the local consumer protection office in your area. After you are satisfied with the research done on the company, you can give your consent to start the program.