Newbie needing urgent advice re Next

katielou878

Hi there
I have been reading these forums for a while now but never posted.
I have a few debts which have built up over the last couple of years when I buried my head in the sand and thought that if I binned the letters they would go away.
I now realise how stupid I have been and this week have written to all my creditors and offered to start paying a small amount each month. Some I haven’t paid in several months but the largest one ( a Lloyds TSB credit card) I haven’t paid for the last couple of years.
I have a default for a Lloyds TSB overdraft in 2008 which has been satisfied and another default (also 2008) relating to the credit card which I have now offered to make payments for.
As a consequence of the defaults I have found it impossible to get credit anywhere apart from catalogues so last year opened an account with Next Directory to show that I could be responsible and keep up payments on a regular basis.
However I have gotten into a pickle yet again and I am so annoyed with myself for letting it happen.
My account is now three months in arrears, next week (the 19th of August) will be four months and this is when they will hand it over to a debt collection agency.
I have offered to pay the full amount due on the 27th of this month when I get paid but they say if I call them and agree a payment plan they will only give a 7 day extension before it is handed over to a collector.
Now my question is will this immediately be reported to a credit agency that I am in default of the account?
If it is I am going to be so down especially as I am now trying to get things sorted out and another default will mean I am back to square one. At the moment I have four years to go before my previous defaults are removed from my credit report and if I get another one this will be back to six years. Is there some kind of letter I can send to Next or anything I can do to delay this just until the 27th when I can pay it off?
Thanks for reading and if you have any advice at all please let me know.
Thanks
Katie

Tixy

Hi and welcome to posting

Have they sent you an official legal default notice out yet? If they haven't they must do this before then can issue a default - and the letter must give you 14days to rectify the account (clear the account) before they can record a default. So if you haven't had such a letter yet you should have at least 14days to 'save' yourself, which would take you to your payday.

If you have had a letter then they could enter one as soon as the 14days are up.

I assume you are sure there is no default already? Usually one would be issued anytime after you are around 3months in arrears but often long before the debt is sold to a debt collector.

If you do get a default you could try negotiating with them to remove it in return for you paying the debt (you'd need confirmation in writing before you pay for this to be likely to be successful), or you could look at the default notice and get advice from here to check it is a legally compliant default notice (not all that are sent out are, so again this can be a possible way of getting it removed).

If none of those options work then you would probably be stuck with it.