How Long for Default to show as Satisfied?

Harry7000

Hi Guys... I am going to fully settle a default notice against my name. Does anyone know how long before my record shows as satisfied/settled? Is there still a penalty against me after this has changed.

Many thanks

Tixy

Typically it could take around a month. Most lenders report to the credit reference agencies once a month, so it will depend on the timing of your payment hitting to them updating the CRA to the record actually being updated.

If it hasn't happend after say 6weeks then I would chase them up.

A settled default will still likely put you in a high risk category for many potential lenders.

Harry7000

Thanks Tixy... if I don't settle the debt will it always remain as 'defaulted' forever? I understand there is a 6 year limit on showing it but does that apply to non-settled defaults to?

Tixy

The whole record of the account and the default etc drops off 6years after the default date shown on file regardless of whether paid or unpaid.

matttye

It's worth noting that if you don't settle the debt, they can apply to the court for a CCJ and this will stay on your file for 6 years from the date it's granted.

Harry7000

matttye wrote: »

It's worth noting that if you don't settle the debt, they can apply to the court for a CCJ and this will stay on your file for 6 years from the date it's granted.

Thanks Matttye. I have been paying the debt on arrangement so I hope they don't do that.

matttye

Harry7000 wrote: »

Thanks Matttye. I have been paying the debt on arrangement so I hope they don't do that.

I was responding to your 'if I don't settle the debt' comment more than the rest of your post - i.e. if you suddenly stopped paying they might take you to court.

It seems unlikely they'd take you to court when they have agreed a repayment plan with you.