Tesco Credit Card Default

chris_h16

Hi
I'm currently on a DMP, I'm paying Tesco repayments each month. I've just had a copy of my credit report and it shows Tesco registered a default some months ago, can't recall but at least 9 months ago, and then each month after registered the default. Is this classed as 1 or multiple defaults? They are still taking the payment from my DMP each month and i get the odd statement from them.
The debt is for about £1000 and they have frozen the interest.
My question is can they register all these defaults and secondly more important i don't recall getting a letter from Tesco stating i am defaulting.
Does this mean i can use the offical letters in here from NID to get the defaults removed or the account terminated? If they remove the default will they just register an official legal default and notice and then i have to carry on paying the payment each month?
Advise would be really appreiciated.

Tixy

Hi
You will only have one default on the file - that date should be given clearly on the file somewhere. The later entries are not actually new defaults they just show you are still in default.

If you haven't got a copy of the default letter then you can request it from them. They do only have to prove that they sent it though not that you received it. When they send it you could check to see that it is legally compliant in what it says.
You might be able to get the default removed but you won't be able to get the account terminated. You will still need to carry on paying your monthly repayments until the balance is settled.

chris_h16

Hi thanks Tixy
Thats cleared a lot up.
If i do get them to remove the default now, using the legal letters here in the forum, could this make them angry and start the interest again or ask for all the money straight up?
Also if i get the default removed now, could they just register another legal default on my account before i have settled it? Should i wait until the account is settled them pursue the default removal as being possibly unlawful?

MrsTinks

Yes it could as they have only frozen interest out of goodwill and there is nothing stopping them re-applying a correct default unless you are able to bring the account up to date or pay it off. I doubt they will go for a CCJ on this debt, but push them hard enough and you may find that someone is having a bad day and decide to go for the CCJ. AND you may find the default has no technical problems and you can wriggle out of it anyway...
Ultimately you HAVE defaulted and the default is there to tell future lenders what kind of borrower you are Once it's settled it will count for a lot less than a current open default

chris_h16

Thanks MrsTine

I've read other threads theat seem to suggest that they can only register a default about up to 1 month from when you actually defaulted which is when you went into arrears and ignored the letters to bring it up to date, this was only because we were only paying the DMP money and not the full payments our accounts went into arrears, they weren't in arrears when we started the DMP.

winner12

Hi there
I think they normally default after about 6 months of not paying the normal amount but you should of had letters in advance warning you of their intention to default

chris_h16

To be honest i can't really remember receiving such letter from some companies, and some companies have just transferred to debt recovery agencies i think. I can remember thinking when we got the statements through from a Debt Agency we thought oo it must have been transferred, we can't remember getting told it would be.

winner12

Sometimes they tell you after they have sold you on and some companies tell you in advance its all a minefield i have a debt with Barclaycard its swops and changes all the time from one DCA to another but most of the time its all inhouse anyway but chase them for the Default Letters you will need copies

chris_h16

Do i use the template in here saying i'm disputing the default or do i send a sar to ask for my info and see if a default notice comes through with all the info?

winner12

I dont think you can dispute a default if you have been on DMP as you have broken the terms of your original agreement I have 2 defaults but 5 different creditors so 3 of them have not defaulted me yet but it wont make any difference to my credit rating its too late and I just want to concentrate on getting out of debt

chris_h16

Other people on here have disputed there defaults while still in DMP.