Credit Report Default query

Seven77_2

Hi all,

Firstly, I am new to the forum, not reading just posting, so would like to say hello.

Now getting onto the basis of my thread...I have a question and would love it if someone could help me out with any information available.

A few years back I got myself into a bit of debt after a divorce etc and ended up trying to decide if I should pay all back or to choose Bankruptcy. During this time I was advised to stop paying CC, Loan and Overdraft therefore the amounts increased over the months until I had made my decision.

Long story short, debts were passed to debt collection agencies from the bank (LloydsTSB). I eventually decided it was only right to pay back what I had borrowed and rung the agencies to arrange a monthly payment for each of the 3 debts until they were cleared.

Since that day at the beginning of 2012 I have paid each of the 3 agencies the amount agreed upon without fail, I have not missed a single payment.

I will eventually clear the debt in around 3 years but my concern is the entries on my credit report.
Since I first defaulted on my debts I have had a 'mark' on my report each month and they continue to be placed against me each month to this day.

Is this correct?

I know I am still in 'debt' but as I have been paying the agreed upon amount every single month, as agreed. I would have thought that the report would not show a default as I have not defaulted on the agreed payment plan, a bit like having CC, owing money on it and only paying back the minimum.

They are not IVAs they are just agreed upon amounts to pay back each month.


Thanks
Seven77

Seven77_2

Just to follow up on my own thread....

Just looking at Noodle which is a touch more clear.

I have a 'Default date:' on each of the accounts.
For example on the Loan the default date is 06/10/2010 but looking at each subsequent month I still have a red 'D' on them.

Does that mean that I have the default from the 10/2010 but that it still shows on my account for x number of years then it will not show on each month, or is it a case of each time I see a red 'D' on a month that is a new default?

rizla_king

Not new defaults. It all gets wiped off 6 years from the first one which is the default date on your file.

Seven77_2

Really?

So all the 'D's on subsequent months will continue until 6 years after the default date, until 10/2016 for the Loan as an example, and then they will stop appearing and lenders etc will no longer realise that the loan/CC/Overdraft was ever defaulted?

rizla_king

Yes. the account is removed completely actually.

Seven77_2

Excellent!
I was expecting it to continue for 6 years after I had paid off the debts.

One very happy man, thanks Rizla King, greatly appreciated!!

rizla_king

That is the way it works if you have a default. Which is a bit odd depending on how you think of it. Actually means if you are going to be on a long term payments plan its often better to default at the start. Painfully in short term but you end up with a clear file sooner in long run.

Pleased to help.