Default on my Noddle Credit Score

gurans

Dear all,

I was hoping to apply for a mortgage in the next 5-6 months and took a look at Noodle. My credit score was 2/5 with one default from Natwest Credit Card.

National Westminster Credit Cards
Balance -- £ 188
Updated -- 03/02/2014
Status -- Default
Account start date -- 15/02/2004
Repayment frequency Monthly
Date of default -- 09/10/2008
Default balance -- £ 548

I was in a bad shape financially around 2008 - 2009.

In 2009 I called the DCA and offered to pay £274 immediately and £274 next month. But the advisor said he will mark as settled in full if I pay £360 immediately instead of 2 payments. It looks like he lied. I have the reference number of the payment, time, date and name of the person.

Around the same time I had another default on Natwest Overdraft of £1600 and as soon as I found a better job, I paid in full in 2011. Since 2009, I have never missed a payment or have defaulted.

Recently, I have been offered a Santander 123 credit card Credit Limit £8400 18.9 % so I thought my credit rating was good. Now I am stressed. Please advice on what steps to take.

Thank you very much.

Tixy

Hi

With any reduced full & final settlement offer it is always best to get written confirmation that the payment will be in full & final before you pay (no help to you now, but worth mentioning for the benefit of others).

Write to natwest and dispute the entry on your file and provide details of the full & final settlement you agreed with the debt collection agency and ask them to mark the default as satisified.

They may agree to change it or they may say they have no record of any such agreement and that they believe the remainder is still due.

If you are intending to get a mortgage before the default has dropped off your file if they won't agree to show it as satisfied then it may be worth you paying the remainder, or agreeing another reduced figure in settlement, as having it showing as still outstanding could have a significant impact on your ability to get a mortgage (and cost you more £188 in the long run).

If you can get it to show satisfied, and because it is relatively small and relatively old then its more likely you will find a mortgage lender willing to lend to you. However it probably won't be at the very best rates on the market or at the highest ltv.
Does the other default also show on your credit file still? will it still be showing by the time you expect to apply for a mortgage?

That said hopefully you would be able to remortgage after a year once the default has dropped off your file.

Definitely worth getting copies of your statutory reports from experian and equifax now as well.

gurans

Hi! Tixy,

Thank you very much for your reply. I was away for a while..much needed holiday.

The other default does not show in Noodle ( I assume since it is free, it won't show the satisfied default or it has been removed ).

I will get copies from Experian and Equifax.

Another point since the Date of default is 09/10/2008 will it fall off my record after 10/Oct/2014 (this year) ?

Also, if I pay the £188 in full, will it still fall off after 10/Oct/2014 or will my record show as settled for the next 6 years ? If it will show for another 6 years then I might as well wait till Oct this year.

Many thanks.

Tixy

Another point since the Date of default is 09/10/2008 will it fall off my record after 10/Oct/2014 (this year) ?

Yes

Also, if I pay the £188 in full, will it still fall off after 10/Oct/2014 or will my record show as settled for the next 6 years ? If it will show for another 6 years then I might as well wait till Oct this year.

It will drop off regardless of whether paid / unpaid. Paying now won't alter how long it stays on your file.