Removing Default on Credit File

simon.carter

Hi All

Last year, I got a default on my credit file as follows:

Company name: NATWEST CREDIT CARDS
Account type: Credit card / Store card
Started: 04/12/2002
Default Balance: £1,843
Current Balance: Satisfied

Defaulted On: 16/02/2009
File Updated for the Period to: 11/10/2009

Half of this balance was due to fees charged to my account that were reclaimed from Natwest, and I then paid the balance owing, so the actual default was around £900.

Although I have added a notice of correction to my account, I am quite keen to get this removed (for obvious reasons), so sent the following letter:

CRA ENQUIRIES
CREDIT CARD OPERATIONS CENTRE
PO BOX 6050
SOUTHEND ON SEA
SS99 1WL
Date: XXXX
Dear Sir or Madam
Account Number: XXXX XXXX XXXX XXXX
After recently obtaining a copy of my credit file from Experian I was concerned to note that NatWest has placed a "Default" notice regarding a Credit Card account that fell into arrears.
I do appreciate why NatWest needed to add this to my credit file, however wonder if there is any way this could be removed, this is the only bad credit marker I have and although I have added a notice of correction this is preventing me from obtaining a mortgage. I am also aware that around 50% of this default was for fees charged by NatWest which were later refunded by you.
The other 50% was a genuine mistake on my part and once aware I did settle the account in full. I fully accept that this is through no fault of NatWest, however other than this my credit file is in good order and my current account with NatWest is now in credit and I intend on using it actively again.
I hope you will be able to assist me in this matter, should you wish to discuss please do not hesitate to call me on XXXXX XXXXXX.

Yours sincerely

In reply to my letter, I received one back from "Triton Credit Services":

We write with reference to your recent correspondence regarding the above outstanding debt.

After checking your file with the Credit Reference Agencies I can confirm that your account is marked as Satisfied. The satisfaction on the account confirms to any enquirer that there are no longer any monies outstanding to National Westminster Bank in respect of the above numbered account.

However, in accordance with the Agreement set up between the British Bankers Association and the Data Protection Registrar, your detail will remain registered for a period of 6 years from the original date of registration. This Agreement carries the full approval of the Office of Fair Trading.

We trust this clarifies the situation for you.

My question is - is there anywhere I can go from here? Can I continue to pursue this on the basis some of the default was charges which was unduly charged? Or am I wasting my time?

Any help is greatly appreciated.

Kind Regards

Simon

wrightk

good luck is all i can say. they will dig their heels in as hard as they can. If you got sent a default and you received it there isnt much you can do.
When the balance was cleared you should have tried negotiating an amended credit file in return for settlement of the account, but from the satisfied status it looks like you've negotiated a partial settlement figure with them?

simon.carter

wrightk wrote: »

good luck is all i can say. they will dig their heels in as hard as they can. If you got sent a default and you received it there isnt much you can do.
When the balance was cleared you should have tried negotiating an amended credit file in return for settlement of the account, but from the satisfied status it looks like you've negotiated a partial settlement figure with them?

Thanks for the reply.

I agreed to settle the balance in full at X amount per month after the default was received, but did pay all owed on my part, they then offered to refund all charges which knocked the balance in half, so what makes me mad is that half of the default is because of their charges.

Kind Regards

Simon

bengal-stripe

simon.carter wrote: »

.....they then offered to refund all charges which knocked the balance in half, so what makes me mad is that half of the default is because of their charges.

That refund was a ‘Goodwill’ gesture. At no point did the bank admit, that you did not owe the money. Had the Supreme Court judgement gone the other way, then you could have claimed those monies were never due. But, as that did not happen, so you cannot argue that you never owed those £ 900 to the bank.

simon.carter

bengal-stripe wrote: »

That refund was a ‘Goodwill’ gesture. At no point did the bank admit, that you did not owe the money. Had the Supreme Court judgement gone the other way, then you could have claimed those monies were never due. But, as that did not happen, so you cannot argue that you never owed those £ 900 to the bank.

Fair point - taken on board.

Suppose I will just have to sit tight and wait for another 5 years, seems a shame for a simple mistake...

Kind Regards

Simon

wrightk

it is an awful shame, especially if your going through real unexpected difficulties how a large company can almost ruin your credit worthiness and in turn your life by just one default notice. so many services and products rely on credit referencing.
You wont find much sympathy on here from a lot of members but i know what its like, especially when things that are out of your control come up and all of a sudden you cant pay, even if you try to negotiate a payment plan they can still default you.
dont be disheartened though, even though that default will remain for 5 more years wait a year or maybe more, get a notice of correction explaining the circumstances why that account defaulted and unless the default is recent they will usually give you the benefit of the doubt providing the accounts you have open are within your means and are managed well

Kushti52

Would appreciate some advice on my situation.

I changed bank accounts at the end of 2008 but my old bank was unable to transfer my debits because they had recorded my date of birth incorrectly. They failed to tell me this and charges resulted. This information came trough from my new bank.

I disputed the charges on my old account which I considered was the bank's fault but they continued to accumulate up to £344 and I then received a default notification. I have satisfied the default by paying an agreed amount, a bit less than the total charges.

I wrote to the bank politely asking whether, in the circumstances they would remove the default. No reply and eventually I phoned to chase. Received a reply that can only be described as hastily-written and bordering on downright rude refusing my request.

Wrote again, thanking them for their letter (huh!) and explaned the hardship this default was causing me and my family etc. Today have received a far more polite reply saying the default is correct information about my credit history, but acknowledging they held the wrong information and saying they are going to pay me £50 'in full and final settlement' of my complaint.

What should I do now??

Premier_2

Kushti52 wrote: »

Would appreciate some advice on my situation.

I changed bank accounts at the end of 2008 but my old bank was unable to transfer my debits because they had recorded my date of birth incorrectly. They failed to tell me this and charges resulted. This information came trough from my new bank.

I disputed the charges on my old account which I considered was the bank's fault but they continued to accumulate up to £344 and I then received a default notification. I have satisfied the default by paying an agreed amount, a bit less than the total charges.

I wrote to the bank politely asking whether, in the circumstances they would remove the default. No reply and eventually I phoned to chase. Received a reply that can only be described as hastily-written and bordering on downright rude refusing my request.

Wrote again, thanking them for their letter (huh!) and explaned the hardship this default was causing me and my family etc. Today have received a far more polite reply saying the default is correct information about my credit history, but acknowledging they held the wrong information and saying they are going to pay me £50 'in full and final settlement' of my complaint.

What should I do now??

Not a lot you can do unless you wish to dispute the fact that "the default is correct information about [your] credit history"

Keep your credit history good for the next 6 years and no one will then know about this