Credit file - student loan default

MoJo123_2

Hi All, Having had for the past few years a very good credit score and record I recently got refused for a mortgage. My credit file had been updated with a student loan default which had previously not shown. (I subscribe to experian monthly and had expected an alert for anything on my record. As soon as I saw this I contacted the co. and paid the balance in full (using my deposit for the house). How is it that this has only just appeared and what can I do to clear the default from my file? I'm desperatly trying to move house and have never had any arrears of any other kind but had ignored my student loan from 1997. :embarasse

Experian_company_representative

We hold limited information about student loans on Experian credit reports. The information only relates to graduates from the mortgage-style student loan scheme (pre-1998), who have not made their repayments despite having the means to do so. The Student Loans Company decides when any particular account can be fairly classified as a default and shared with other lenders, based on the customer's ability and eligibility to pay. If the debt has been cleared, make sure it is shown as 'satisfied' on your credit report. Defaults stay on your credit report for six years from the default date. If there were a good reason for defaulting you could explain this using a 'notice of correction' on your report, which would then be visible to lenders searching in the future.

James Jones

somethingcorporate

Unfortunately "ignoring it" would not constitute a good reason for defaulting.