Advice needed please on default account 29 November 2014 at 2:12PM in Debt-free wannabe 2 replies 628 views

Belladonna122

I defaulted on an Alliance and Leicester loan in 2011, a relative helped us to clear our debts and they were settled or partially settled in full as final payment. Since then Santander have taken over the Alliance and Leicester account (we bank with Santander) and every 6 months they send a default notice and add interest on the difference between our final settlement payment and the o/s balance of the original loan with interest. They don't chase or demand any further paymen. Is this normal practice ?? And does anyone know if we should just ignore these letters and when would this default disappear ??

Would appreciate any help or advice.

Thank you

longtermplanner

Is this normal practice ??

No it isn't normal. Santandar don't seem to be aware of the Full and Final settlement.

And does anyone know if we should just ignore these letters

No. Write to them and enclose copies of the correspondence about the F&F.

and when would this default disappear ??

That will disappear 6 years from the default date no matter what happens. However you can't replay on Snatander continuing not to chase. If they think you owe money, they could take you to court for a CCJ or sell your debt on to a debt collector. So better to try to get this resolved.

happy_bunny_2

You may want to change banks in case they choose to help themselves to your money via offsetting. should be ok once the full and final issue is sorted.