'Prevent credit history damage by informing providers'

People who take out loans should be sure to inform their providers when they move home, it has been advised.

Mortgage-holders who have just moved into their new house, should be careful to remember that they should inform their loan suppliers to prevent incurring damage to their credit history, according to Moneyfacts.co.uk.

A recent report from the Telegraph highlighted the fact that although details of defaults on student loan debts are not currently deferred to credit reference agencies, this is about to change, making it even more vital that people keep their providers informed.

Samantha Owens, head of personal finance at Moneyfact.co.uk, explained that while many people do not mean to evade their loan repayments, they damage their credit history by getting lost in the system.

"If you are moving you should remember that you do have this debt and you need to keep your providers informed," Ms Owens said.

"If you have a credit card and you move house and you don't tell them and the bill goes to the wrong address, you're still going to get your penalty charge."

Ms Owens added that students often forget to take these measures on leaving university because they move from their parents' home.