Does Abandoning A Storage Unit Hurt Your Credit Score?

Abandoning a storage unit could negatively impact your credit score if the storage company reports the unpaid debt to credit bureaus. This could mean more difficulty in the future getting approved for a loan, renting a flat or even getting a job.

Looking for flexible storage options, such as paying for storage by the box and short-term contracts, can help prevent you from going into unwanted debt.

Not sure how long you want storage? With flexible contracts, you only pay for the time your items are stored.

If you’re looking for affordable, flexible storage solutions, get in touch with The Box Co. today. 

 

Does Storage Unit Debt Show up On A Credit Report?

 

In general, storage units will not appear on your credit report automatically, and regular monthly payments to storage companies are not usually reported to credit bureaus.

However, if you fail to meet your payments and the debt is sent to a collection agency, this debt will be reported to credit bureaus, negatively impacting your credit score for the future.

 

What Happens If You Can’t Afford To Pay For Storage Anymore?

 

If you’re unable to keep paying for a storage unit, some facilities may restrict your access, charge additional late fees or even sell the contents of your units.

The most important thing you can do is speak to the storage provider as soon as possible.

Many facilities are open to helping if you're upfront about your situation. You might be able to:

Move into a smaller unit to reduce your monthly cost.

Set up a payment plan to catch up gradually.

Arrange to remove or sell off some items to bring down what you owe.

If you're storing items short-term or aren't sure how long you'll need the space, consider switching to a flexible storage solution.

Services like The Box Co. don’t lock you into fixed-term contracts or large units you don’t fully use. Instead, you pay only for the boxes you store and for as long as you need to store them.

That kind of flexibility can be a real lifeline if you're in-between homes, downsizing, or just trying to get back on your feet. And with collection and delivery included, you won’t need to hire movers or sort out transport on your own - another potential saving.

If you’re currently worried about your storage bill or want to avoid getting stuck in a costly long-term contract, reach out to our team to talk through your options. We’re here to help you find something that fits both your needs and your budget.

How Long Does a Storage Unit Need To Be Abandoned Until It Hurts Your Credit?

 

If you abandon your storage unit, you will usually have a period of around 30-90 days between stopped payments and the storage company taking action. 

However, storage providers must give written notice before auctioning off your stuff. 

When you stop paying rent and leave your belongings inside a storage unit, companies can take certain steps, including charging accumulating late fees, sending you a notice to inform you of the situation and then waiting before starting to sell the contents of your unit. 

Following the sale (and possible auction) of your belongings, the company may still pursue you if they haven’t managed to cover the full debt.

All this information will be in the initial contract you sign with the storage facility so make sure to read the small print.

 

How To Avoid Having To Abandon Your Storage Unit

 

Here are some ways to avoid hurting your credit when choosing a storage solution:

 

Choose the right size storage unit

One of the easiest ways to get out of control with your finances is by paying for a storage unit that’s half empty. Instead of paying for dead space, choose a storage unit that is the right size for what you need to store.

Storing a couple of boxes is not the same as storing a houseful of furniture or a full business inventory, so make sure you pick the right size for you. If you’re unsure of what you need, our team can help you choose the ideal storage container size or number of boxes to suit your specific requirements.

Only store what you need to

Paying for an entire storage unit, when you’re not going to fill it, could result in overpaying. While traditional storage companies require you to rent out a whole unit, there are more flexible solutions available. Choosing to do storage by the box could work out as far more affordable as you only pay for what you need. 

Only store as long as you need

Many traditional storage companies offer fixed, long-term contracts. For many, this can prove an inflexible way to store their belongings. If you only need a short-term storage solution or aren’t sure how long you want to store your items, it is better to opt for flexible storage solutions. 

By only storing for as long as you need, without a long-term fixed contract, it is much easier to manage finances and avoid getting into debt.

Choose an affordable storage solution 

Before taking out a contract with a storage company, make sure that you’re able to meet payments. Choosing an affordable storage solution will help.

At The Box Co., you pay the same cost wherever you are in the UK - be it a big city or a small village. There are no extra costs for specific locations. Not only that, you only pay for the storage you need for the time you need it, rather than being locked into an unaffordable long-term contract.

And with prices from just £3.56 per month, it's a great option for those on a budget.

 

How to Calculate How Much Storage You Need To Prevent Abandoning Your Storage Unit

 

If you decide to store by the box, you can follow these measurements to know how much storage you need overall:

Small Box: 45 x 30 x 30 cm

Medium Box: 50 x 40 x 40 cm

Large Box: 50 x 50 x 50 cm

XL Box: 70 x 45 x 45 cm

Suitcase: Hard-shelled suitcase

You could also choose to opt for a storage container rather than a by-the-box solution:

1/2 Container: 25 sq ft

Container: 50 sq ft

If you’re still unsure about what’s the right size for your storage, you could try our storage calculator or get in touch with our team today.

Our storage experts can help you find the perfect storage solution to suit your requirements and save you money.

 

Avoid Abandoning Your Storage Unit With Flexible Solutions

 

As abandoning a storage unit could hurt your credit, it is always better to choose a flexible option.

Avoid getting trapped in a fixed, long-term contract that you may not be able to pay going forward and never overpay for the storage you need.

Instead, look for flexible storage solutions like The Box Co. that let you pay for only what you store for as little or as long as you need. 

If you're unsure what to do, the worst thing is to ignore it. Our team is here to help you talk through options, reduce your storage size, or pause your plan until you're back on track. You don't need to navigate it alone.