Defaults on credit reports

dontunderstand

Hi, just wondering if anyone can tell me what happens when defaulted accts are paid? I've recently got my credit reports from experian & equifax & there are 4 defaults registered by dca's for mobile contracts, all around £120. One of the co's has written offering 50% reduction as a F&F offer. I'm keen to pay that so have written to them all offering 50% payment if they will remove the defaults. I'm not really expecting them to do so but thought it worth a try as the defaults are only 3 yrs old.

I understand the defaults will stay for 6 yrs if they don't remove them, but what happens if they stay & are paid? Should they say settled (as they offered F&F) or partial settlement? Also does anyone know if it's less detrimental having settled defaults than unpaid defaults? I've no other detrimental stuff on the reports so I'm keen to clean it up asap. TIA

king100

That should have all be said in the letter you sent. That credit file is marked as settled.

dontunderstand

Thanks King, yes I put in letter I wanted it in writing that they'd remove defaults etc. I was just wondering if they say no can do, what will go on credit files as I will still pay if they accept 50%. Will they say partial settlement of settled? and does it really matter or does the fact I've any default on there settled or not screw me up anyway? cheers

dontunderstand

Can anyone offer any further advice?

Tixy

Usually creditors won't agree to remove defaults - its potentially worth a try with a F&F offer as whatever you can manage to negotiate in writing should be the deal they stick to but to be honest I wouldn't hold out much hope - if they won't go for that make sure they will agree to mark the account as settled etc.
Sorry just seen these are dcas for mobile bills - I think in that case your chances are slightly higher than if they were banks for loans/credit cards etc.

dontunderstand

Thanks Tixy, yes they're all for mobiles. I'm not really expecting them to remove the default but thought it was worth the ask.

I'm not well up on credit reports at all so can anyone let me know whether a settled default is as detrimental as an unpaid default on your credit report? also if i pay an amount agreed in writing as F&F should it state settled or partial settlement? Thanks again

Tixy

Regarding the settlement - again it comes down to what you can get them to agree to first (in writing)- try to get them to agree for it to show as satisfied not partial. If you push for this you stand a reasonable chance of getting it. have you had a look at the national debtline factsheet on F&Fs at all?

A satisfied default is viewed by some lenders as a bit better than an outstanding one - though some lenders don't seem to hardly distinguish.

dontunderstand

Thanks for the info Tixy, will look up F&F on national debtline, cheers