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Default attached to credit rating from Tesco credit card

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Hi, I'm very new to this and am desperate for some advice regarding a default attached to my credit file from Tesco credit card.

Basically, this is my situation:

My partner and I are saving for a deposit to get a mortgage. I checked my credit report online and was horrified to find a default on there, and it's recent so not going anywhere fast. I never expected it to be squeaky clean due to some late payments in the past but hadn't prepared myself for that.

This default was attached in July 2012 and I settled the account in August 2012. Around this time I contacted Tesco to request a lower payment for my CC down to £15 per month instead of £30 in June which they accepted. I continued to pay £15 per month on time and then with the support of my family and partner I paid the full balance in August 2012 of £372 (£400 credit limit) - I never went over this limit. I do not recall being informed of this default either by phone or letter and cannot find the paperwork. I would never have agreed to lower monthly payments on the basis of applying a default - I'm not that daft!

My question is:

- Even though the account is closed and has been for some time, can I apply for a SAR to review all correspondence? I have read that the Data Protection Act does not apply to those who no longer have business with a company... :0s

- Can I get the default removed on the grounds that I did not know about it, did not receive paperwork and it was not fully explained to me? Or that it was applied in July and the account was settled in August...? Would lenders look more favourably on me given that there was a short amount of time between the said default being applied before the settlement was made?

I am utterly clueless in this area so any advice would be greatly appreciated. Thanks in advance! :)
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  • izools
    izools Posts: 7,513 Forumite
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    You can SAR them, and ask for a true copy of the original default notice under S78(1) of the consumer credit act.

    You can also ask them to remove the default if they had not issued you a notice in writing, as they wouldn't have followed the consumer credit act.

    You may have to take it to the FOS, though.
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  • opinions4u
    opinions4u Posts: 19,411 Forumite
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    I have read that the Data Protection Act does not apply to those who no longer have business with a company
    Where have you read this?

    Good advice above by the way.
  • guesswho2000
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    Are you sure it's a default that has been registered and not an 'AP' (arrangement to pay) marker? As you've negotiated a payment lower than the contractual minimum, I'd expect an AP to be recorded as a statement of fact.
  • grumbler
    grumbler Posts: 58,629 Forumite
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    edited 18 February 2013 at 10:41AM
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    carleneuk wrote: »
    ...I contacted Tesco to request a lower payment for my CC down to £15 per month instead of £30 in June which they accepted. I continued to pay £15 per month on time and then with the support of my family and partner I paid the full balance in August 2012 of £372 (£400 credit limit)....
    3 months is far too short time for a default:
    http://help.creditexpert.co.uk/help/CreditExpert_OOS/Credit_report/status_codes

    http://www.experian.co.uk/assets/consumer/credit-score/files/credit-expert-YCRE.pdf
    1. Payments are up to date
    2. Payments are up to one month late
    3. Payments are up to two months late
    4. Payments are up to three months late
    5. Payments are up to four months late
    6. Payments are up to five months late
    7. Payments are six months or more late
    8. The account is in default. You failed to keep to your credit agreement and have not responded satisfactorily to requests to bring your payments up to date, so the credit agreement has ended.
  • Hanky_Panky
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    An account is technically in default as soon as any part of the contractual payment is missed. It's entirely up to the lender when they choose to register this.
  • happy_bunny_2
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    ICO guidelines say accounts should not normally be defaulted until 3 months in arrears.
    :beer:
  • chanz4
    chanz4 Posts: 10,917 Forumite
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    izools wrote: »
    You can SAR them, and ask for a true copy of the original default notice under S78(1) of the consumer credit act.

    You can also ask them to remove the default if they had not issued you a notice in writing, as they wouldn't have followed the consumer credit act.

    You may have to take it to the FOS, though.


    they only have to prove it was sent, not an actual true copy of it. Also I dont think the op is telling all, unless tesco have messed up
    Don't put your trust into an Experian score - it is not a number any bank will ever use & it is generally a waste of money to purchase it. They are also selling you insurance you dont need.
  • rizla_king
    rizla_king Posts: 2,895 Forumite
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    Complain to Tesco. Then take it to the FOS.
    Still rolling rolling rolling...... :) <
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  • izools
    izools Posts: 7,513 Forumite
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    edited 18 February 2013 at 3:17PM
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    chanz4 wrote: »
    they only have to prove it was sent, not an actual true copy of it. Also I dont think the op is telling all, unless tesco have messed up

    They also have to provide a true copy i.e. showing the amount, the date, and the deadline for paying it.

    If say for example, the deadline for payment was sooner than 30 days after the date of the letter, it is non-compliant and unenforceable.

    I'm inclined to agree though that Tesco probably did follow process and perhaps the OP is missing something out.
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  • chanz4
    chanz4 Posts: 10,917 Forumite
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    They only have to prove its sent, and a reconstucted copy not the actual one
    Don't put your trust into an Experian score - it is not a number any bank will ever use & it is generally a waste of money to purchase it. They are also selling you insurance you dont need.
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