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  • FIRST POST
    • Bowsa
    • By Bowsa 2nd Oct 17, 1:02 PM
    • 30Posts
    • 1Thanks
    Bowsa
    Lowell Portfolio 1 Limited
    • #1
    • 2nd Oct 17, 1:02 PM
    Lowell Portfolio 1 Limited 2nd Oct 17 at 1:02 PM
    Morning All,

    My GF and I are trying to get a mortgage sorted. Our Mortgage advisor has tried to get one and said that 4 companies have rejectus us. Looking into my Credit rating its good/excellent across Experian / Equifax / Noddle / clear score.

    On my partners however it is showing an equifax of 302

    On of the credit checks is from Lowell Portfolio 1 Limited showing as defaulted, now she is sure she paid this off, though it is a red mark against her file from March 2012 (when the default is showing).

    Looking into them they're pretty big scammers, from a quick google. But not sure how to proceed from this interms of beginning to repair her credit score.

    She has a couple of other issues like only being on the electoral register for 2 years (moved back into Mum's so we could save)
    having 4 credit searches this year, though I'm not sure how much this would cause us issues.

    TIA

    Bowsa
Page 1
    • Gary_Dexter
    • By Gary_Dexter 2nd Oct 17, 1:38 PM
    • 187 Posts
    • 113 Thanks
    Gary_Dexter
    • #2
    • 2nd Oct 17, 1:38 PM
    • #2
    • 2nd Oct 17, 1:38 PM
    What is the balance of the default?

    If it's zero, then it is paid off, but because it defaulted at some point it will remain on there for 6 years.
    • Destabilising
    • By Destabilising 2nd Oct 17, 1:42 PM
    • 38 Posts
    • 38 Thanks
    Destabilising
    • #3
    • 2nd Oct 17, 1:42 PM
    • #3
    • 2nd Oct 17, 1:42 PM
    Any defaulted account stays on there for six years from default date, regardless of whether it's paid off. It should be updated to Satisfied, though, but this will still be a big red mark as it shows that a company had to wait however long before they got their money, and in this case, sold it onto a debt collection agency
    • Bowsa
    • By Bowsa 2nd Oct 17, 2:11 PM
    • 30 Posts
    • 1 Thanks
    Bowsa
    • #4
    • 2nd Oct 17, 2:11 PM
    • #4
    • 2nd Oct 17, 2:11 PM
    So at this point it is showing a balance, speaking to her further it wasn't paid off though a payment plan has been put in place..... so the balance is 300 odd.

    If she pays it off now will it be 6 years from when she paid it off or 6 years from the default that it will remain on her file?

    essentially is she better off paying it off sooner or will it make no odds come march next year?
    Last edited by Bowsa; 02-10-2017 at 2:21 PM.
    • sourcrates
    • By sourcrates 2nd Oct 17, 2:21 PM
    • 12,714 Posts
    • 12,052 Thanks
    sourcrates
    • #5
    • 2nd Oct 17, 2:21 PM
    • #5
    • 2nd Oct 17, 2:21 PM
    .

    If she pays it off now will it be 6 years from when she paid it off or 6 years from the default that it will remain on her file?
    Originally posted by Bowsa
    Six years from the default date on her credit file.

    Post #3# already answered that one.
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    • StopIt
    • By StopIt 2nd Oct 17, 2:30 PM
    • 1,449 Posts
    • 1,239 Thanks
    StopIt
    • #6
    • 2nd Oct 17, 2:30 PM
    • #6
    • 2nd Oct 17, 2:30 PM
    If the default is the only negative on the credit report, it may be best to postpone the mortgage until March when it'll leave their credit files.


    Also, Lowell are a DCA, not a scammer. They're not the worst in their field, and will litigate at will, but generally, they buy debts in good faith.


    If you're saving for a house, it may be worth offering a 40% settlement to get them out of your hair and to avoid the chance of them serving you papers for a CCJ, then wait until march because 4 hard credit searches in a short space of time will likely reduce both of your chances of a decent mortgage offer for a little while anyway.
    • Bowsa
    • By Bowsa 2nd Oct 17, 2:48 PM
    • 30 Posts
    • 1 Thanks
    Bowsa
    • #7
    • 2nd Oct 17, 2:48 PM
    • #7
    • 2nd Oct 17, 2:48 PM
    Six years from the default date on her credit file.

    Post #3# already answered that one.
    Originally posted by sourcrates
    Thanks for the confirmation, I wanted to be 100% certain that was the case.


    If the default is the only negative on the credit report, it may be best to postpone the mortgage until March when it'll leave their credit files.
    Also, Lowell are a DCA, not a scammer. They're not the worst in their field, and will litigate at will, but generally, they buy debts in good faith.


    If you're saving for a house, it may be worth offering a 40% settlement to get them out of your hair and to avoid the chance of them serving you papers for a CCJ, then wait until march because 4 hard credit searches in a short space of time will likely reduce both of your chances of a decent mortgage offer for a little while anyway.
    Originally posted by StopIt
    So if it isn't paid off by march does she risk a CCJ?

    2 of the 4 hard searches appear to have been the mortgage advisor from last night? do they work jan - dec in terms of searches per year or is it a rolling 12 months?

    thanks all
    • StopIt
    • By StopIt 2nd Oct 17, 3:05 PM
    • 1,449 Posts
    • 1,239 Thanks
    StopIt
    • #8
    • 2nd Oct 17, 3:05 PM
    • #8
    • 2nd Oct 17, 3:05 PM
    Thanks for the confirmation, I wanted to be 100% certain that was the case.




    So if it isn't paid off by march does she risk a CCJ?

    2 of the 4 hard searches appear to have been the mortgage advisor from last night? do they work jan - dec in terms of searches per year or is it a rolling 12 months?

    thanks all
    Originally posted by Bowsa

    The effect of hard searches generally start to fall away completely after 6 months, but the credit rating agencies generally say a year to save their bums. It's on a rolling basis from the time of the search.


    And yes, if you don't pay this debt, or deal with it any other way (Challenging it if it's not your partners for example), you are at risk of having a CCJ served upon you at any time. Not something you'd want to risk.


    Find out what the debt is for. For the sake of £300, it's worth offering a settlement if it is indeed valid, and if it isn't, you challenge them and get them to remove the default from your partners file and chase whoever the debt may be for.
    • Bowsa
    • By Bowsa 2nd Oct 17, 3:12 PM
    • 30 Posts
    • 1 Thanks
    Bowsa
    • #9
    • 2nd Oct 17, 3:12 PM
    • #9
    • 2nd Oct 17, 3:12 PM
    And yes, if you don't pay this debt, or deal with it any other way (Challenging it if it's not your partners for example), you are at risk of having a CCJ served upon you at any time. Not something you'd want to risk.


    Find out what the debt is for. For the sake of £300, it's worth offering a settlement if it is indeed valid, and if it isn't, you challenge them and get them to remove the default from your partners file and chase whoever the debt may be for.
    Originally posted by StopIt
    I think that the debt is valid, though does she still risk a CCJ even though she is in and paying an agreed payment plan?

    I've also noticed that I am now classed as a financial associate......will this bring down my credit rating?
    Last edited by Bowsa; 02-10-2017 at 3:26 PM.
    • StopIt
    • By StopIt 2nd Oct 17, 3:34 PM
    • 1,449 Posts
    • 1,239 Thanks
    StopIt
    I think that the debt is valid, though does she still risk a CCJ even though she is in and paying an agreed payment plan?

    I've also noticed that I am now classed as a financial associate......will this bring down my credit rating?
    Originally posted by Bowsa

    No, if there's a payment plan agreed and in place, they wont be going for a CCJ.


    The CRA systems work in weird ways but basically yes, if you're associated with another person on your credit files, it can affect yours. However, for a joint mortgage, that link doesn't matter as you'll both fail, or pass a credit check based on both of you for a joint application.
    • Bowsa
    • By Bowsa 4th Oct 17, 11:32 AM
    • 30 Posts
    • 1 Thanks
    Bowsa
    Thanks for everyone’s help.

    One last question, if she agrees a settlement, will that look bad on her record over just paying it all?

    If it does look bad, will it only look bad until March or will it begin another mark on her credit file which will stick for another 6 years?
    • nic_c
    • By nic_c 4th Oct 17, 6:10 PM
    • 1,125 Posts
    • 640 Thanks
    nic_c
    The default stays on for 6 years from the default date. If the does a settlement, they will mark it as partially satisfied, but it won't extend the 6 years, so if the 6 years is up next March going for a settlement will get rid of the debt and after March it will fall off.
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