Tesco Credit Card Default Credit File

chris_h16

Hi
I'm currently on a DMP, and all creditors have accepted a reduced payment, and most are either showing on my credit file as ok or up to 3 months behind. One company Tesco Credit Card is showing as Default every month. Is this correct for them to do this and does it count as numerous defaults or just the one? Is there anything i can do?
Weirdly at the top of my file it only says 1 default.

cifpower

Yes they can do this as you have defaulted on your credit agreement.

chris_h16

Does it make my credit score go down further each time they put a default on?

BugsyBrowne

chris_h16 wrote: »

Does it make my credit score go down further each time they put a default on?

Your credit rating is probably shot by now mate.

cifpower

It is only one default. It is recorded every month as a default as the account is still active.

chris_h16

I know my credit rating is shot, we always knew going into a dmp that it would be.
Is there any way of getting this default taken off? Once it paid off, and marked as settled, can I request for the default to be removed?
We've got another 3 years to go on our dmp, once it all settled how long before our rating goes up again? We would be then looking to get a mortgage.

ollski

You need to get the account settled by an arrangement to pay or a final settlement so that the account turns from default to either of those two statuses. This will then mean that 6 years later your default will be gone.

PNPSUKNET

chris_h16 wrote: »

I know my credit rating is shot, we always knew going into a dmp that it would be.
Is there any way of getting this default taken off? Once it paid off, and marked as settled, can I request for the default to be removed?
We've got another 3 years to go on our dmp, once it all settled how long before our rating goes up again? We would be then looking to get a mortgage.

Been honest add a further 3 years at least on top.

chris_h16

We've got another 3 years left on our DMP and then thats at least 6 years after for defaults to go and we need to rebuild our credit. I'm currently 24 and partner 22, we are going to be over 30 before we can get a mortgage. At least i guess we'll have plenty of time to save a decent deposit.
We pay £267 into our DMP each month so after thats finished we can put that into savings so 6 years would give us just over £19000 and my partner is currently studying to be a midwife so once she starts working we would have plenty more so maybe in 4 years time we would have that. Maybe we could have a deposit saved by the time our credit rating starts to go on the up of about £40000.

norathetiger

The default will drop off your credit file after 6 years from the first date maked on your credit file, regardless if paid or not.

chris_h16

norathetiger wrote: »

The default will drop off your credit file after 6 years from the first date maked on your credit file, regardless if paid or not.

So even if the account wasn't settled after 6 years from the first default being registered the default would drop off my credit file even though they are registering a default every month? If after 6 years from when the default was registered the account is still not settled could they just register another default?