Ignored all debts... where do I start now...

KateC

Now I am totally confused. Don't know the difference between default and ccj. Don't know which one is more serious. No idea what to do.
If I had the money, I would pay it all off.
I would like to find the best option so I can repay my credit rating but am totally lost now

rising_from_the_ashes

A CCJ is more serious.... it's issued by a Court after the lender has raised action against you (you should be given the chance to attend the hearing & defend the action if you want to). More info here http://www.debtadvice.co.uk/debt-information/county-court-judgements.html


A default is basically a note/record placed on your credit report which shows that you haven't stuck to the terms of the original agreement (eg missed payments). A note of any outstanding amount will also be there. A default can be shown as "settled in full" (if you've paid the full outstanding amount), "settled in part" (if you and the lender have come to a reduced figure agreement to settle) or "unsettled" (if you've ignored it and done nothing). More info http://www.the-credit-expert.co.uk/credit-report/what-is-a-default/

KateC

What do you think I should do ?
I know, it's my decision but I only had the courage to deal with this today morning.
I just don't to have any debts and have a good rating.
I guess I am just looking for the easiest and quickest way.
I haven't got a lot of spare money but can pay a little every month plus will get a bonus at work in May of around £3-£4k

fatbelly

Not surprised you're confused. There's lots of sloppy language and 'almost rights' on this thread.

A consumer credit debt has to have a default notice issued before court action can be taken. The default is registered at the credit reference agencies (CRAs). If the creditor goes on to take court action, and get a county court judgement (ccj - that is a court order to pay either in instalments or immediately) against you, then that is recorded in a different section on the CRA file.

Now, you have four debts showing

Defaulted on 23.12.2005 for £2321.00 but it says balance is £2721.00
Defaulted on 10.02.2006 for £3958.00 but it says balance is £4037.00
CCJ for £2576.00 on 30.01.2006
CCJ for £295.00 on 13.09.2006

Have you found out what the ccjs are, i.e.who you owe the money to? If not, phone the court and find out. It is possible that the £2321.00 debt became a ccj for £2576.00 and subsequent charges bring it to £2721.00. That would give you 3 debts

Debts with a ccj are regarded as priority, ordinary consumer credit debts are non-priority. Which is why I thought your proposal to pay the defaulted debts but ignore the ccjs to be a bit upside down.

Your aim (stated in a different thread?) is to get a clean credit file, not necessarily to get debt free.

As previously stated (correctly) three of these entries will drop off by Feb 2012 and the fourth will go in Sept 2012 or could be marked settled for £295. That's the only action I would consider at the moment but you may have other things to deal with if any of these creditors now come back to life, as often seems to happen when you get a credit report (hope you didn't give your phone number!) .

KateC

Thank you so much !! It makes more sense now.

So just to confirm I have understood:

- I just sit tight and hope nobody remembers me
- if they do, I offer to start paying back ( but this should only be the one debt that is a default now and may become a ccj, right?)
- pay back £295 soon

KateC

fatbelly wrote: »

Not surprised you're confused. There's lots of sloppy language and 'almost rights' on this thread.

A consumer credit debt has to have a default notice issued before court action can be taken. The default is registered at the credit reference agencies (CRAs). If the creditor goes on to take court action, and get a county court judgement (ccj - that is a court order to pay either in instalments or immediately) against you, then that is recorded in a different section on the CRA file.

Now, you have four debts showing



Have you found out what the ccjs are, i.e.who you owe the money to? If not, phone the court and find out. It is possible that the £2321.00 debt became a ccj for £2576.00 and subsequent charges bring it to £2721.00. That would give you 3 debts

Debts with a ccj are regarded as priority, ordinary consumer credit debts are non-priority. Which is why I thought your proposal to pay the defaulted debts but ignore the ccjs to be a bit upside down.

Your aim (stated in a different thread?) is to get a clean credit file, not necessarily to get debt free.

As previously stated (correctly) three of these entries will drop off by Feb 2012 and the fourth will go in Sept 2012 or could be marked settled for £295. That's the only action I would consider at the moment but you may have other things to deal with if any of these creditors now come back to life, as often seems to happen when you get a credit report (hope you didn't give your phone number!) .

A HUGE THANK YOU !!!! All the big amounts have disappeared off my credit report !!!!!! I can't believe my debts are gone !!! The only thing remaining is the £295 which I will pay back. Thanks again !!!!!

All I can say, whoever is in charge of all of this, borrowing money etc is silly. If I was running the country, I would never let people like me, borrow and get away with this :-) lol