First Direct Bank Account - Default

webbo1981

All

Please can you help?

I have today got my credit report online via Experian.

I had a First Direct bank account that was started on 4/8/2004.

It says it was defaulted 27/2/2007. It says the default balance is £378

Does this indicate that I owe them money or something?

Sorry to ask but obviously this is damaging my credit score...I have always cleared my debts....

Thanks in advance

cifpower

It would appear that you do owe them money

webbo1981

cifpower wrote: »

It would appear that you do owe them money

Thanks for the info

I cleared my balance before closure of the account, the only thing is...I think I am going to struggle in proving it

cifpower

Do you not have statements to prove that you did pay your debt?

Rafter

Call them and ask for a statement then. It is probably a direct debit or something that went through after you had cleared the account up. I am surprised that they didn't try to contact you before putting a default flag against your file though.

It is not up to you to prove that you paid the account in full, it is for them to demonstrate that you didn't!

R.

ShelfStacker_3

Have you moved since opening the account? It's FDs policy to ALWAYS send a statement if you're overdrawn (unless you've turned off paper statements).

webbo1981

cifpower wrote: »

Do you not have statements to prove that you did pay your debt?

No I never keep anything, stupid I know...this case being a prime example!

webbo1981

Rafter wrote: »

Call them and ask for a statement then. It is probably a direct debit or something that went through after you had cleared the account up. I am surprised that they didn't try to contact you before putting a default flag against your file though.

It is not up to you to prove that you paid the account in full, it is for them to demonstrate that you didn't!

R.

Cheers for that, am going to call them and also send a covering letter to explain why I have a default on my account

webbo1981

ShelfStacker wrote: »

Have you moved since opening the account? It's FDs policy to ALWAYS send a statement if you're overdrawn (unless you've turned off paper statements).

No not moved, I can member them always sending me paper statements when the account was opened. I cleared the overdraft and closed the account and have heard nothing since. Unfrotuantely for me I didn't keep any of the paper statements...

Thanks for your help

webbo1981

cifpower wrote: »

It would appear that you do owe them money

Fortunately I owe them nothing...phew!!!

Just received a letter with the following:

"A Default Notice will have been registered with the Credit Reference Agencies when your account was referred to an external Debt Collection Agency as you had breached the terms and conditions of our agreement"
(Fair dos I guess)

"As the balance was repaid via Metropolitan Collection Services (MCS) I have requested that they update their details with the Credit Reference Agencies to reflect this information"

Any ideas on what will exactly happen on my creidt report?

Many thanks all for your replies

DesG

You will have a default that should be marked as settled, although if FD registered the default, they would have to mark it as settled. This will stay on your credit file for 6 years from the date of default and then it will automatically fall off.

So until 27/2/2013 you will have difficulties with prime credit.

You didn't really explain how you got the default, were you overdrawn without authorisation or something?

Cheers, Des.