MMF Advice and Overdraft Successes

Steve1994

Good afternoon all,

I have filled out all the forms for my DMP with Step Change and going through my credit files in the process I noticed that I have a default from Motormile Finance. I know what the default is for, a payday loan with Wonga. What I don’t understand is that I took the loan out in 05/2009 but the default date is 07/2012, over 3 years difference!!

Having read a post on someone successfully having their default back dated, do you think this would be possible? Bearing in mind this is MMF we’re talking about and the debt is still outstanding (although this has been put into my DMP). Would I be better raising a query through the CRA?

I realise that these are my debts, no matter how old and they need paying. However, my latest default before this is 03/2010 (so drops off 2016) and this will put me back more than 2 years trying to get on the property market.

Also, I managed to get a Capital One card before I shot my credit history which I’m up to date on. Should I keep this and just add my old payday loans and overdrafts to the DMP? By keeping this surely I can use it to build a credit history by spending £10pm and paying off?

I’ve had my paperwork through and the amount I owe and the amount I’ll be paying I’ll be debt free in 2 years 9 moths, but with annual pay rises and hopefully my girlfriend moving in with me and sharing the bills (rent/utilities/food etc) I’ll be able to throw more money at my DMP to pay it off quicker.

Onto the success. I had accounts with Nationwide and Lloyds and ran up a small overdraft – Nationwide £48 and Lloyds £26. With charges and fees added to them, the ended up at Nationwide £322 and Lloyds £289 in debit, for which I got a default on both (talk about burying your head!!). So I could get rid of them, I wrote to them both and asked for a breakdown of the fees and charges. I received this info about 6 days later and reviewed. I wrote back and offered a F&F of the original overdraft amount plus 1 month fees/charges. Both banks accepted the offer and it cost me £68.48 for the Nationwide and £46.82 for the Lloyds, a total saving of over £495 in charges. It cost me over £100 in one lump sum but it’s saved a lot of money and additional time on my DMP. I also tried to blag the default being removed but had no chance lol.

Anyway, any advice on the above would be good.

Tixy

Hi
Do you know roughly how long MMF have owned the debt? Is it likely that they bought the debt in 7/2012 and incorrectly changed the default date at that time? (not uncommon with debt collectors but not allowed).

Do you know/have an older copy of your credit file with the debt shown in the payday lender's name?

Definitely worth writing to challenge the date of the default and to say that you require them to alter the entry on your file to reflect when you actually defaulted and see what they say.

I would go straight to them not though the CRA

Steve1994

Great, thanks Tixy.

In answer, I haven't got an older credit file as this is the first one I've had for years - was too scared to look at it before!!

I'll write to MMF and ask them which lender it is and for them to confirm what date it was entered. Hopefully it'll get sorted, especially now I'm actually paying it.