Default help

pete_d_2

I recently registered with experian to check my credit score and try and improve my credit rating with a view to applying for a mortgage at some point in the next 12 months.

My credit rating does seem to have been improving as im a lot more likely to be responsible with my lending now i can see directly the effect its having on my credit score!

My question though is with regards to a registered default on my file. I had some financial difficulties around 18 months ago and came to an agreement with what was then Lloyds TSB to temporarily pay interest only on my personal loan for a period of 6 months.

At the end of this 6 months the account was brought up to date, and subsequently closed a couple of months later in a consolidation.

Lloyds have registered that I was defaulting on the payments on my credit file for the period agreed for interest only, even though it was agreed with them, i contacted the bank and asked why this was the case and was told even though it had been agreed that i was paying this amount i was not paying the original amount agreed in the loan and the default would stand.

This seems a little unfair as it appears as if i was just missing the payments rather than having agreed to pay interest only for the period.

Is there anything i can do about this, and is it worth challenging, or is lloyds right and im stuck with this on my credit file for 6 years?

Thanks

fermi

When did they actually register the default? It will say "default date" is dd/mm/yyyy somewhere on the entry.

Was that before you started your 6 month arrangement?

pete_d_2

Its not showing a date as such, i think it might have been delinquent. But it shows me as falling behind with the payments from the date i agreed to pay interest only and steadily increasing in severity (as in falling further behind with the payments) as it went on.

I have just noticed that there was no change to the monthly payment shown underneath.

Im not sure if that makes sense?

fermi

You said it was recording as a default? If it is, there should be a default date listed.

For example.

MEM62

The information as it stands is factually correct and you will not be able to get it removed. The default refers to the fact that did not stick to the terms of the original agreement and had to set up an arrangement to make lower payments.

casparg44

The default will disappear from your file 5 years after the default date

It is doesn't you should write to the credit reference agency and complain and they will action this.

It is highly unlikely they will remove any default prior to 5 years unless you can prove that the default is entered incorrectly

Tixy

casparg44 wrote: »

The default will disappear from your file 5 years after the default date

Defaults stay on your credit file for 6 years not 5.