old loan (2007) debt advice

mwbowen82

hi there,

been trying to find exactly what im looking for on google but struggling to properly understand where i stand.

on my credit file under 'open accounts' it shows an old loan debt.
i had a lot of debt which i had mostly cleared but this one has lingered for a long time.

the date of default on the report is december 1st 2007 and have not made any payments at all. i did, in writing, acknowledge the debt in about june 2008 stating that i wished to agree to a repayment plan if suitable however had no contact with them since.

each month on the report it shows a 'D - account has defaulted' right up to this current month.

from looking into my credit report i can see they linked a wrong address to me about a year ago and have obviously just not been able to find me since i moved in 2010.

it is a huge worry for me now as it is one of the only outstanding debts i have but is for quite a lot of money (which i really really dont have).

i dont like burying my head in the sand like i used to but where do i stand with this? will it - in any way - be something that maybe "goes away"?

facts in short -

- Default date : 1/12/2007
- Asked for repayment advice : June 2008 (last contact between both parties)
- Last letters recieved at old address dated May & June 2010 just before i moved (which i ignored..)
- Lived at current address since June 2010.
- Noticed wrong address connection dated Feb 2012 (right street, wrong number)

If anyone can give me any sort of advice then i would be a huge help!

happy_bunny_2

Hi,

It will fall off your credit report in Dec this year, paid or not.

The 'D' each month is ok as long as the default date is correct, which it sounds like it is.

They can get a CCJ as long as they are in possession of a signed credit agreement. They can do this until you have either not paid or acknowledged the debt in writing for 6 years. This will then go on your credit report for 6 years I think.


If they did go for a CCJ, you would never know until granted, as they would send papers to last known address.

To get the address corrected, you either need to contact the company or the CRA, but either way, will likely wake the sleeping bear.

Are you looking to pay this off even at a low amount per month?

options:
1. Ignore, falls off report, risk CCJ.
2. Change address, risk waking sleeping bear, hassle, potential CCJ, but at least you can defend, come to an arrangement or ask for CCA.

No idea if you can change an address without admitting the debt....other than by phone, bad idea...

mwbowen82

thanks makes a little more sense to me!

so, if it gets to december this year and i still havent heard a thing, then i should be able to move forward i guess..?

it all feels so old to me now and was from a very bad time in my life so is a pretty annoying thing to be worrying about again now!

there is no ccj mentioned on my credit report at all.
also, whos to say i did/didnt inform them of a change in address in 2010? i mean, if i say i did and they say i didnt - who is right?

my thoughts have been - acknowledge the debt now and face probably several more years of bad credit and repaying money from unhappy times or wait another 6 months and possibly have the fresh start ive waited nearly a decade for? am i right in thinking these two are pretty much the options?

with that, i would have another 3 things due to 'fall off' my credit file this december (all dated defaulting december 2007), potentially leaving just one smaller debt im in full control over.

mwbowen82

also i just had a paranoid thought.
has checking my credit file on noodle today with the correct address etc potentially been a bit suicidal in my attempts to steer through this? as you put it, waking the sleeping bear...

happy_bunny_2

so, if it gets to december this year and i still havent heard a thing, then i should be able to move forward i guess..?

Yes, although until the statute barred point, they could get a CCJ and more likely to be granted if not defended. Then you are stuffed for another 6 years unless you can get it set aside.

there is no ccj mentioned on my credit report at all.
also, whos to say i did/didnt inform them of a change in address in 2010? i mean, if i say i did and they say i didnt - who is right?

Unless you have proof you told them of the address change, such a signed for letter, then they usually take the side of the creditor.

my thoughts have been - acknowledge the debt now and face probably several more years of bad credit and repaying money from unhappy times or wait another 6 months and possibly have the fresh start ive waited nearly a decade for? am i right in thinking these two are pretty much the options?

Facing the debt won't mean more years of bad credit, as it will fall off your report in Dec anyhow. Its only if they get a CCJ, which can be avoided if you pay/defend the claim.

Was the loan taken out pre-April 2007? Who with?

happy_bunny_2

mwbowen82 wrote: »

also i just had a paranoid thought.
has checking my credit file on noodle today with the correct address etc potentially been a bit suicidal in my attempts to steer through this? as you put it, waking the sleeping bear...

Yes, quite probably. I read lots on here about starting to receive letters after getting a credit report with a new address.

Not sure which DCAs use noddle, or if they always use all 3.

mwbowen82

the loan was with egg. all it really shows is account start date being 04/09/2006 and the default date being 01/12/2007 but really not sure whether that account start date was the date it was taken out with egg.

ironically it was a debt consolidation attempt that went horribly wrong due to bad advice etc!

all seems like good advice from you (thanks, honestly), im just so so unsure what the best thing to do is. i want to be honest and open and have all this bad stuff go away but yeah.. hard to know which route is 'best'.

happy_bunny_2

the loan was with egg. all it really shows is account start date being 04/09/2006 and the default date being 01/12/2007 but really not sure whether that account start date was the date it was taken out with egg.

Yes, that will be the loan start date with Egg.Egg loans got sold to Moorgate about 18 months ago. Who owns your loan now?
They are pretty good at keeping copies of agreements, have mine from 2005 and they are usually also all correct, so enforceable if it went to court.

mwbowen82

i believe its cabot finance unless its been sold on to someone else now..

happy_bunny_2

Ok, heard of them, no idea what they are like to deal with.

Maybe hold on and see what appears over the next month, if anything, now you checked your report with a new address.

If you could get a lump sum together, might be able to settle for less than the full amount, but from what you say might still be a lot to find, even at something like 40%.

mwbowen82

if i had the money id definitely do that. sounds far more fun than having a panic everytime i hear the postman!

the debt is £5800 and pushing 6 years - if it comes to it - would i be in a position to offer a very small percentage possibly? like 25/30% or is that far too hopeful?

in a nutshell then - if there is no mention of a ccj come december 1st then i could in effect stop worrying about it forever essentially?

as terrible as all that sounds - its been a horrible lesson and the past few years have taught me a lot about living within my means.