Automatically Defaulting on all Accounts when with Stepchange

waller2012

fermi wrote: »

Well, if you think Cap One are being unreasonable over this then I would make a formal complaint saying that you will be taking the matter to the FOS if they don't remove the default as your other creditors have done.

See: http://www.financial-ombudsman.org.uk/consumer/complaints.htm

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I have sent them a formal letter of complaint explaing the circumstances and my request to remove the default.

I chopped my card up a long time ago and im paying them off rapidly (which being a credit card company they probably dont like) but I dont see why they would not follow suit like all other creditors, realise the rare mistake and withdraw the default!

Just have to wait for their response I suppose! I'd be gutted if i had to wait another 3-6 years for my credit file to look happy again!

itsdagal

A quick thought on this - was the interest frozen thus breaching the original terms?

waller2012

itsdagal wrote: »

A quick thought on this - was the interest frozen thus breaching the original terms?

I believe so yes, however all the other creditors were not fazed by this and said as soon as the account become independant again it would not make a difference, hence why they removed the defaults.

I think the problem with Capital One is that they effectively closed my account so I just have an outstanding balance with them now, but if they closed my account, that doesnt mean default on my credit file, just in the same way as if I manually closed my account and said id just be paying off the balance it wouldn't default.

Its all too confusing

itsdagal

Then I would suggest that the issue here really is with you not being fully informed of the consequences of joining the debt management plan.


If there was no penalty for paying off with no interest everybody would take this course of action.


I would say that you have been lucky that the others have removed the defaults (while believing completely that you were unaware of the impact that the DMP would have and that that is unfair)


The problem is that this now means you are appealing to the better nature of the creditors and this means legally you will struggle to get this removed - though I would persevere. It is not just the fact of what the default does to your file - all associated groups with Capital One will not look favourably on you with this on file.

waller2012

itsdagal wrote: »

I would say that you have been lucky that the others have removed the defaults (while believing completely that you were unaware of the impact that the DMP would have and that that is unfair)


The problem is that this now means you are appealing to the better nature of the creditors and this means legally you will struggle to get this removed - though I would persevere. It is not just the fact of what the default does to your file - all associated groups with Capital One will not look favourably on you with this on file.

If it seems too good to be true....

My letter was indeed of a more respectful tone, kind of like a boy asking his neighbour for his ball back lol. So we will see what happens, but due to the content of the majority of responses it appears I should just be happy that it is only one creditor who kept the defaults on my file.

Thanks for your input! :T

rizla_king

You should probably be a bit more forceful.

Cap One are frequently referred to as CRAP One for very good reasons.

Gentoo365

So you have defaulted by refusing to pay interest, even though you could afford to do so.

It makes sense for there to be a bad mark on your credit report then, as to any other lender there is a risk you decide to avoid paying interest to them as well.

Capital One seem to be the only ones that are behaving appropriately here.