Wonga Default

gb12345

Chewoot wrote: »

I have had the same issue with Wonga although for a lot. I got caught in the wonga trap last year (lesson learned), and ended up owing over a £1000. Once I realised I was in trouble I contacted them and set up a payment.

No problem thanks for the call.......I was told, you can pay it back at £150 per month. I thought this was pretty fair.

I was checking my credit file every couple of months as I was in the process of buying a house and everything was ok, I saw wonga on there and every month the balance was reducing.

On 20th Feb I made the final payment and left a zero balance.

However on the 24th Feb wonga issued an 8 on my file and a default from the date a made the arrangement, this was without any sort of notice from them. This has now changed to satisfied but has trashed my credit file........

I to want to know how the hell they can do this without notice, my credit file shows the repayments onetime and I have never seen a single piece of paperwork from them........

Please see my reply #4 to the OP.

You took out a loan with Wonga and agreed to repay it on a certain date and failed to do so, so Wonga are perfectly justified in defaulting you - regardless of the fact that they agreed to allow you to pay in installments.

27col

I really don't know why people seem to think that setting up a payment plan should mean that they have not defaulted. The mere fact of having to set up a payment plan means that you have already defaulted. So why should it not appear on your credit record.

chewoot

27col wrote: »

I really don't why people seem to think that setting up a payment plan should mean that they have not defaulted. The mere fact of having to set up a payment plan means that you have already defaulted. So why should it not appear on your credit record.

The point I am making is IF they had told me the default would have still been issued I would have done my upmost to repay on time. At no point was I told this would happen, it was far the opposite, they were far than more happy to take the plan.

Oh by the way I contacted them 2weeks before the payment date was due so I had not already defaulted.

gb12345

Chewoot wrote: »

The point I am making is IF they had told me the default would have still been issued I would have done my upmost to repay on time. At no point was I told this would happen, it was far the opposite, they were far than more happy to take the plan.

Oh by the way I contacted them 2weeks before the payment date was due so I had not already defaulted.

Perhaps they should have told you that they were going to default you when you rang up, but the fact is that you didn't repay on the agreed date, so you've been given a valid default.

If you were possibly able to pay back on time, why didn't you do so instead of entering into a payment plan and costing yourself more money?

Apples2

Chewoot wrote: »

The point I am making is IF they had told me the default would have still been issued I would have done my upmost to repay on time.

Happy to be proven wrong but I think you were supposed to be doing that anyway.

If you had cash available, why did you decide they were no longer entitled to it?

redpete

Chewoot wrote: »

The point I am making is IF they had told me the default would have still been issued I would have done my upmost to repay on time. 0.

If the cost of charges and very high interest rate wasn't enough to persuade you to "do your utmost" what else might you have done with the threat of a default?

DCFC79

Chewoot wrote: »

The point I am making is IF they had told me the default would have still been issued I would have done my upmost to repay on time.

So why didnt you do your upmost to repay as per the schedule ?

mw5cym

On the flipside, we had a Taxi driver here recently who had a similar but more believable turn of unfortunate events.
He did manage to plead with Wonga and successfully had his default removed.[/QUOTE]

I am that taxi driver!

Wonga would have had to send you a properly formatted 'Default Notice' setting out the nature of the default and giving you an opportunity to remedy the breach before they can terminate the agreement. One of the terms of your contract with Wonga will have allowed them to report any default to the CRA's (Credit Reference Agencies) but s87 Consumer Credit Act provides that:

Service of a notice on the debtor or hirer in accordance with section 88 (a “default notice ”) is necessary before the creditor or owner can become entitled, by reason of any breach by the debtor or hirer of a regulated agreement,—

(a)to terminate the agreement, or
(d)to treat any right conferred on the debtor or hirer by the agreement as terminated, restricted or deferred, or

In addition: S.88 provides that
(1)The default notice must be in the prescribed form and specify—
(a)the nature of the alleged breach;
(b)if the breach is capable of remedy, what action is required to remedy it and the date before which that action is to be taken;

Therefore, if Wonga have not issued you a properly formatted 'Default Notice', giving you a statutory 14 days to remedy, the default issued against you is INVALID. A 'letter' will not suffice.

This is confirmed by the Court of Appeal in Brandon v American Express Services Europe Limited 2011 EWCA Cic 1187

I suggest that you contact Wonga and ask them for a Subject Access Report under the Data Protection Act 1998 (They can't refuse to give you this but may charge you up to £10)

If they haven't sent you the 'Default Notice', the default is invalid and you can get the CRA's to remove it. Good Luck

Apples2

Glad you stuck around mw5cym, too many with your first hand experience disappear rather than help others.

mw5cym

Always happy to help if I can. :-)