Default Dates

flossieflipflop

Hi all,

A quick background: I entered a DMP plan back in 2007. I had 3 accounts with Lloyds.
Two of these accounts they defaulted in 2010 (3 years later) and one in 2011 (4 years later).
I felt this was unfair and wrote to them saying this and quoting the information commissions report that somebody who has attempted to pay should not be in a worse position than someone who has made no attempt to pay. Basically if I'd never paid them anything they would have defaulted me much sooner - in 2008.
They wrote back and explained that for the account they defaulted in 2011 this was unacceptable and that they would change the date to April 2009 (still 18 months after joining my DMP but I can live with that). He also offered £100 compensation which was a nice suprise as I hadn't asked for any compensation.
However, he said they would not change the other two defaults added in 2010. He said that they delay adding defaults for as long as possible to try and allow people to avoid them and so in his view the timescale was appropraite and correct. But my view is that while I understand the thinking behind that then if a default is then added the date should reflect when the account went into default. If I'd never paid they would have defaulted me in 2008 at the latest.

I have written another letter in reply to them politely stating I still feel these two are unfair but am I right?
Should I also complain to someone else - not sure who - the information commissioner or the financial ombudsman?

Just to clarify I'm not disputing the defaults at all just the dates they have been added.

Thanks if anyone has any advice

ktez

Sorry, I don't know the answers to your queries regarding default dates however I do know it would be the Financial Ombudsman for any complaint. The Information Commissioner is for FOI/DATA Protection related matters as far as I am aware.

I will watch this one with interest though as I am going to be in a similar position.

nottoolate

data protection act includes the accuracy of information recorded on your cra files. inclusidng defaults.

ico has issued detailed guidance on defaults http://www.ico.gov.uk/~/media/documents/library/data_protection/detailed_specialist_guides/default_tgn_version_v3%20%20doc.ashx


fos deals with general fairness.


so you can complain to both

paulmapp8306

Really depends how they register the debt.

If they register as "AG" (agreement to pay) - meaning you have an agreement to pay a reduced monthly figure, which a DMP is, then they can register that as long as they like as far as Im aware.

My wife has a Barcleycard account on our DMP which still shows "AG" after 11 years.

The explanation I had was "we are the original debt holders and have an agreement inplace - which is reflected on you credit file". IF they sold teh debt on you would need to default it first as far as Im aware. None of my other debts are with the original holders.

If Im wrong Id be REALLY interested in finding out - and where it is legislated - as having that "AG" removed from my wifes fil would be MOST advantageous at this point (debt free in a few weeks and looking to buy a home - that is the only negative on our credit files as the defaults are 11 years back now)

happy_bunny_2

Arrangements are supposed to be short term, 6 months, when you read the ICO default guidelines. Complain to the creditor then the FOS if they reject it. It costs you a stamp or two.

flossieflipflop

Have written to the bank again and will see what they say. If still no movement I will complain to both ICO and OFT and see how I get on

Thanks for advice

paulmapp8306

Ive written to Barclaycard as well - quoting the "Agreed Payment" being short term (6 month max) AND that debts on DMPs should be removed from credit files after 6 years so as not to discriminate.