Double default from LLoyds and Cabot

Mortgagefreedream

Hello, I have a question regarding a defaulted account that is marring my otherwise glowing (well glow-ish) credit record. Apologies in advance for the long post. I'd be grateful for any thoughts as I lost the will to live just to get to this point.
So...
I was hospitalised in 2010 and had subsequent cancer treatment -ops,chemo, radiotherapy the works. For complicated reasons I was had to be treated in London away from my home in north. I informed all my banks/insurers etc by letter and advised them id be living at my mothers and in patient Accomodation (which I had to pay for!) for the duration of treatment and to address any correspondence to my mums address. This worked fine bar LLoyds who've made my life a misery. My main current account is Barclays. However I also had a LLoyds current account, loan and credit card and had a direct debit into my LLoyds current account to cover the minimum payments for these. (Used to pay more than min but had too many extra costs during treatment). After 6 years of well run account, during this period Llyods issued an over limit and OD fee due to a one day delay between the DD clearing and loan payment being taken out. This then triggered a late payment - I ended up being charged more than 120 a month in spiralling late fees/over limit fees for more than a year. Unfortunately LLoyds was the one bank that says it didn't receive my letter about my correspondence address so they just kept adding more and more charges which my standing order didn't cover. As it wasn't my main account and I was in a whirlwind living in a hospital and my DD was going out fine I just never checked up on it. I realise this was my mistake. This eventually led to 12 late payments (just one month lin arrears each month thanks to the original 1 day late) on my loan and a default on my credit card (the balance now doubled thanks to fees). DESPITE ME HAVING BUILT UP £900 in the current account from my standing order going in every month. However i didn't know any if this as I was still having treatment and living in patient housing in London. I finally finished treatment, and moved to a new house. I eventually was contacted by bailiffs who issued multiple enforcement notices from Cabot. I contacted LLoyds and after numerous correspondence and sending hospital letters the loan side removed all late fees/credit marks and repaid the fees id been charged. They said the bank was mistaken in not trying to take the money again the next day and leaving the account constantly in arrears despite me having 900 in the account. LLoyds credit card also accepted that I had been paying money in every month that should have covered the original minimum charge and therefore there was intent to pay. They couldn't explain why they hadn't tried to take any money from the current account and had instead just kept on adding charges when the minimum payment didn't cover the late fees. They refunded the fees and charges which had doubled the original balance to £3613 and gave me a goodwill gesture as a sorry. However they refuse to remove their default. They say it is factually accurate that the account was defaulted. Cabot wrote off the remaining balance but also issued a second default (same date May 2011) for the same debt and say they won't remove it unless LLoyds tell them to. The two defaults both show satisfied May 2011. Cabot's shows partially satisfied with a remaining balance of 1700. I have a email from them saying they will not chase the debt or sell it on but they will not remove the default. Help. I now want a mortgage and have two defaults in otherwise perfect credit record. For something that even the bank admitted shouldn't have happened. I accept I could have done more to double check things were ok but I didn't. Life was too scary at the time to deal with anything. Can they have two defaults for same debt? Is there any way I can remove these defaults? Ombudsman?? thanks very much.for reading such a ramble!

ejc81

'They' definitely cannot have two defaults for same default (although they may try!) just depends on who 'they' are? If I were you I would head hunt the Lloyds CEO and beg for default removal through him/her due to circumstances. The effort you put in really depends on dates....when is the actual default date/s?

happy_bunny_2

When is the letter you have dated? The one saying we are not removing the defaults?

If within 6 months, send to FOS now. Let them sort it out. Will take several months.

If not, submit a new complaint first to Lloyds. That default date sounds like it changed? Not allowed to do that. Then sneak the rest of the issues into the same complaint.

You should still be able to get a mortgage with a couple of defaults that old. Check on the mortgage board for advice of brokers that could help.