One big loan slowing me down.

Changing

Hi,
My husband I were pretty awful with money a few years back and owe a total of £16,000 now. We are really careful with money now and budget very well. All our debts are in a repayment plan and we are slowly getting into the position where we can pay one of the smaller ones of every month and are starting to work on the larger ones now.
I recently got my credit report and tried to upgrade my bank account and I've come a cross a problem with the largest debt. For some reason Barclays, have never passed it onto a debt collection agency which I always thought was a good thing. The interest is only a few pounds and I thought it was great that I could concentrate on paying of everything else while making the minimum payments to them. The problem with that however is that they have me in a permanent state of arrears. The other debtors on my credit report all have green ticks and are fine but Barclays shows me has having defaulted last month but I was under the impression the payment arrangement I had in place with them was fine unless they got in touch and told me otherwise. I'm scared to contact them in case they want more money and I then have to re-address everything with my other debtors but at the same time I don't know how to get out of it. I can start making payments of around £500 to them from the end of this year onwards. Should I just wait till then?

Tixy

Hi and welcome

Creditors have to send out a notice of default before a default can be registered on your credit file. If you are paying less than the original minimum payment then even if they have agreed to accept reduced payments they can register a default.
In fact if you are paying less than the original amounts on several debts then it would be fairly unusual to only have the 1 default. Check back through all the paperwork etc you have received and I expect you will find they did send a default.

Well done on starting to clear your debts off.