Credit File - Default Settlement

TMoose

Hi

I currently have a default with Egg which is due to drop off in a couple of years. It is currently with the DCA "Credit Solutions Ltd". I am quite happily paying CSL money every month on the balance that they say I owe. I will have this paid off by the end of the year.

However, there is a difference between the amount that CSL claim I owe, and the amount on my credit file (of about 3K). Once I have finished paying CSL, with this difference disappear? or will Egg then come after me for the rest of the money? What will my credit file (most likely) say? Settled? Default? Partial Settled? What impact will this have on my credit rating?

beanielou

Cant help so bumping it up for you.

GeorgeUK

I have no idea how often the figure on the credit file gets updated so can't really help with that part of it.

You said

I will have this paid off by the end of the year.

Would you be able to offer them a settlement amount for the remaining debt? Some DCA's accept 25%-50% in Full and final settlement (don't accept partial settlement). This would remove any possible problem with the different amounts that you have as you will have written confirmation that the debt is settled.

Was the default for a credit card or loan? If so, you could request a copy of the CCA and if they are unable to provide a copy then it would be in their interest to settle as the debt would be unenforcable and therefore payment need not be made.

Also, were there any charges on this account in the last 6 years? If so you may be able to reclaim them.