Default Notice

craftingqueen_2

Recieved from TESCO c/c today.Not sure what to do next? do i pass it on to payplan.My first DEFAULT notice so not sure how to take it really nervous with aspect of DCA or courts.Any help would be very grateful.


craftingqueen

Crown

Hi CQ,

Don't panic about the default notice. It isthere legal responsibility to present you with one as you have defaulted on the T&Cs of your account. This doesnt automatically mean that they are sending it to the DCA's. It normally takes about 3 months to get to that stage in my experience.

I would let Payplan know but can you give some more details. Are they currently receiving payments from Payplan and did they accept the offer made to them?

craftingqueen_2

Hi crown

Payplan have paid our creditors there share of our surplus money.But they only one has agreed to the dmp for a limited time and that was TESCO loan for a lot more money than the c/c.So this is my first ever default ,so really unsure what to do.

craftingqueen

Crown

Ok, well as I already said once you do default on the account (As in you have told them its your intention to make make reduced payments) they will automatically send you a default notice.

As long as you keep up to date with the arranged payments then it shouldnt be a problem. I dont think by the sounds of things that there have gotto the stage of chasing you for extra payemnts or are harrassing you so this may not apply.

IF the debt did get passed on to a DCA it wouldnt be the end of the world as I have found them easier to deal with than the banks. As long as they receive regular payments they dont seem to care.

I look at at this way. The Default notice will go onto your credit record and will fall off again in 6 years. "The sooner its on, the sooner its gone!"

Also all the default means is you may find it harder to get further credit in the next 6 years. IS this really so bad? If you are serious about getting debt free then why would you want to take out more loans and c/cs?

Having a default is better than going bankrupt in some respects as after 6 years your credit rating may improve if you wish where if you are bankrupt it will affect you for the rest of financial life.