'6 Payments late' query

Roger2244

I have a query around the '6 Payments late' red flag.

I have a long standing debt with a company.

For a short spell I stopped paying any repayments.

The debt got passed over to a collection agency who work closely with the company I owe the debt to.

With the help of the CAB I was able to agree small repayments of £15 pound a month, I have been paying these since 2004.

Looking on my credit report each month it shows '6 Payments late' I queried this early last year with the main company and was told this was because I was in arrears and the £15 pound was not enough to cover my contractual instalment which forms part of my financial contract with them (even though the debt has been passed to another company for collection and an amount has been agreed with them) it is correct to show this every month.

I did offer to increase the payments but they advised that wouldn't make a difference, the only thing I could do was to pay the full balance.

I have since noticed there has been a change on my file, there are now two entries for the same debt, I have been advised that this was due to a systems update their side.

The one big difference is that now, for the past few months I am showing as green (up-to-date) and there is a record of me paying £15 a month.

I have since contacted them again and queried that if it showing as green now and I haven't changed anything then the previous years should also show as green, they 'strongly' advised that I was incorrect and the reason why it is green now is due to a mistake on their new systems. They advised I needed to contact the collection company to take it further, I contacted them and they advised they couldn't do anything and I needed to contact the main company again...

Catch 22 situation.

Before I take this any further, please can someone advise if the company is right, even though I am paying an agreed amount with the collection agency, they are still right to have 6 payments late on my credit file?

Cheers
:-)

fermi

https://forums.moneysavingexpert.com/discussion/3172602

A record showing a series of payments as six months in arrears when this does not reflect the real payment history should not be used as an equivalent of a default.

Roger2244

Thanks for the quick response, I am still a bit confused.

Anyone looking at the report would think that I had not been making payments as it doesn't show what I have paid each month. Also my credit score is quite low, one of reasons appear to be being more that 6 months in arrears over this debt.

Are you advising that they are in the right and that there is not really anything I can do?

happy_bunny_2

The record should be accurate.

The only way to sort this is to write to the debt collection agency with a formal complaint. Send signed for or get proof of posting. They should pass onto original company.

Inform them that you require your credit file updating to:
1. show the payments.
2. consolidate the duplicate accounts.
3. correct the 6 payments late flag to a default within 6 months of the date that you started reduced payments. That should mean 2004 or 5 and it should go from your file as it stays for 6 years from the default date.

If they refuse or fob you off, refer to FOS, but could take several months.

Worth doing, as its going to be on your file for a very long time otherwise...

sirwiggum

Sounds like an Arrangement to Pay that hasn't been ratified - and even that, the guidelines suggest, should only be used for a max of 6 months before becoming a default!

Write to the complaints dept, as fermi and happy_bunny say.

greybear40

I am currently disputing this very same thing with Style Financial Services who passed my debt on to Wescot in 2010 but never defaulted it. I have since cleared it yet it still is a black mark on my credit file that will be there another 5 years but if it had defaulted would only be there another 2 years. Hopefully this will be rectified for both of us as an account showing on 6 payments late for so many years is surely incorrect. Experian have got involved for me. They have been very helpful

hayley270980

hello all im new to the forums but have read this post with intrest, I have the same 6s problem on my equifax file and they have been useless in helping me with any questions, this is an account that was originally style finance and is now red kite , they constently mark my file each month with 6s and put delinquint with the month changing all the time. This account dates back to 2007 on payment so what can I do now i have wrote to them saying to mark this file as default but no luck

greybear40

Mine was also originally with Style but passed on to Wescot. Style have been no use as they have no record of the account whatsoever as its so old and Wescot said they can't do anything!! I currently subscribe to CreditExpert who are now getting involved on my behalf as they agree that the payment history is incorrect. If this is successful I will make sure the account is updated on both Equifax and CallCredit too. What date did your account get taken over by Debt Collection Agency?

fermi

https://forums.moneysavingexpert.com/discussion/4070713

May help.

hayley270980

Hi Grey bear I believe in 2007 but it says they took everything over from style finance who now don't seem to exist its now this red kite. is credit expert , experian I wonder if they can help me. so im not sure if they are debt collectors or not ive never been chased but have moved and always on electrol rolls.

greybear40

Yes Credit Expert is Experian. That is the problem I am having. Style can no longer find my account and Wescot say they can't do anything as it is showing as Style on my credit file