Help With Default Removal?

winjad

thank you very much!

do you happen to know if there are any templates, like the original SAR request template? I've had a good search around but can't seem to locate…

cheers again

smdabs

With regards to the DSAR, they are obligated to provide you with this as request. By FCA rules, they HAVE to keep all of your data for a minimum of 6 years (I believe this may have potentially increased to 7, but not 100% sure)
Go into a branch and order this, provide all address details, possibly a statement showing your account number if you still have it and possibly some form of ID. There is usually a £10.00 charge for a DSAR (Data Subject Access Request) which can be paid directly to the bank or by cheque. Once the request is received, they have to provide the documents to you within 40 days.

Regarding the default, as per the terms and conditions, they can remove any incentives on your account (interest free period etc) if the account has not been run correctly - so if you were going over your overdraft limit - they have every right to remove it as long as they gave you the 30 day notice.

If a formal payment plan is set up, this is automatically putting you on to a 'default' - your credit would have been in the red for the period of the plan as they will have frozen interest etc. This is because it had therefore technically put you in the 'collections' department. This is standard for any bank.

If you missed a payment/went over the limit given etc. This will have caused a default to happen on your account as you didnt adhere to the agreed plan in place, which of course, will affect your credit rating.

While there is no harm in forwarding this to the Financial Ombudsman, my experience working within the industry, it is highly likely that they will also reject your complaint. Potentially a Gesture of Goodwill will be given for the service you have received but that would be it.

Unless there is proof that it was DEFINITELY a bank error that the default occurred (and it doesn't sound as though there is) - the bank cannot remove or amend your credit rating.

The bonus is that this default, as it was on a current account, should not stay on your credit report for too long. In the meantime, if you can control it and look after the payments properly, it may be worth looking into certain credit cards (with a very low limit) that can help to re-build your credit rating. You could use it for your week shopping (for example) which you would have had to do anyway, and instead keep the money in your current account and pay the credit card off by the end of the month as that money would and should still be available.

This would HAVE to be paid on time every single month (and preferably the full balance) though. If you think that it could potentially be a struggle at this time, then it wouldn't be a wise option as any missed payments could further damage your credit rating instead.