Help! Defaults and how to challenge

lililoo123

Hello, this is my first post and i wonder if anyone may be able to offer some much needed advice. I am now finally debt free after 13years of agony. I am now of course scarred by the effect of this debt on my credit report. Now trying to apply for a mortgage and sadly have come up against a brick wall due to two defaults on my report.

1. Alliance & Leicester Dec 05 for approx £6,000
2. Barclays Dec 05 for £289

On scrutinsing my report i have compared these dates to the statements that i have of these accounts.

It would seem that i received defaults even though i had made efforts to make monthly payments without fail. I missed one payment whilst my debt management plan with Payplan was being set up. Thereafter monthly payments when ahead from Sept 05 right through until it was settled. It seems unfair that i received a default even though i was making provision to face my debts and make arrangements for payments to be made. Is it possible i may have a case to challenge these defaults? If so, where do i start? Can anyone help? i would be most grateful and also be interested to hear if anyone else has had a similar situation whereby they received a default despite regular contact and efforts having been made. Thanks

Tixy

Hi

Presumably once your were in your DMP you were paying less to these debts that the original minimum payments were? If that is the case then the defaults are correct as you broke the original terms of the agreement.

lililoo123

Thanks for your reply i had wondered whether that was the case.

Is a default considered fair even if i failed to miss payments because of having made the transition to a DMP. I thought that so long as i was making a payment that was considered acceptable (which is was) by the bank in question then this would not result in a default? I don't actually recall being served with a default notice so i am going to have a go at trying to receive a copy. If they are unable to provide me with one where should i go from there? can anyone offer me advice? Thanks

Tixy

Even if they agree to accept your reduced DMP payments they are still able to default you - but you should have received a default notice prior to them putting it on your file.
So worth asking them for a copy of it, this post might help -
http://forums.moneysavingexpert.com/showpost.html?p=33792153&postcount=33

3431Anna

My husban has today received a letter from Egg to say that they ar handing his account over to a DCA and that his egg card agreement has been terminated, the last paragraph says that it will only be handed over is they have not agreed payment terms either him or a third party, does this mean it will be handed over or not, he has a DMP Thanks for any advice that anyone can give