Default on my Lloyds Account from 2008

em_bob84

Hi all,

I was hoping that I could get some advise, I have just been turned down for a loan from my current bank Nationwide because of an arrangement that I set up on my Lloyds account in 2008.

The reason I set up the arrangement in 2008 was I was given a £2000 overdraft as a student and didn't have the income to pay it back, therefore I had to set up a payment plan.

The amount was settled in September 2010 - however it is still showing on my credit file as a current account default. Therefore I cannot get a loan and I assume that in the near future I will not be able to get a mortgage.

I would really appreciate any help on the following:

1. What is the best way to approach Lloyds - letter, face to face or call?
2. Is there any chance that I can get this removed?
3. Is there anything in particular that I can say that may help my case?
4. If they refuse my request - can I appeal this with other agenices?

Thank you so much for reading my post, I really appreciate any tactical advise, so I don't just bulldoze in there and ruin it.

Emma

Thanks,
Emma

Saints2011

It is what it is, it happened which is factual. They won't entertain removing it.

rb10

The default will remain on your file for six years. There is nothing that you can do to change this.

However, as it gets further away, it will become less significant, particularly if you can show in the meantime that you have turned a corner, and can now manage your money properly.

What this means is:

- Make sure you have a full current account that reports to the credit reference agencies;
- Get a credit card, and put some of your normal purchases on it. Set up a direct debit to pay it off in full every month;
- Make sure you always pay off your mobile phone bill (if you are on contract) on time; and
- Make sure you are on the electoral roll.

jonesMUFCforever

OP - mortgage lending is secured on the property so it might not lock you out completely but you may struggle to get the best rates.

em_bob84

Thank you lots for all of your help. I appreciate your answers - obviously not what I wanted to hear!

They shoudl really tell you these things when you set up an 'arrangement'. Anyhow onwards and upwards.

Thanks!

MoneySaverLog

They should have put the default notice in writing, are you saying they did not send you a default notice?