Default with Tesco Bank... Next Move?

windswept321

At a confusing time, after moving house and very stupidly losing track of things financially, I discovered that my direct debit to Tesco for a credit card was not being paid.

Noddle gives me a rating of 1/5 and shows arrears - AA September, AA October, BB November then Default every month from December 2014 until this month (July 2015).

I don't know if they sent a default warning letter to me but I certainly did not receive one or I would have paid the £20 odd pounds per month back straight away.

I didn't even know that such a thing as a Default existed!

The credit limit was £650 or thereabouts.
I also have a Barclaycard with a limit of £1500 that I am up to date on payments with.

I have left this Tesco situation in limbo as I have no idea what to do about it...

I can settle it in full but I don't think that would help matters much as it would just be satisfied, not removed.

I can log in to my Tesco account online and it asks for a small payment. Would it give me any leverage at all to start paying through this?

I'm married and we have a decent income at the moment with little debt.

Will the Default also affect my wife?

I will try pretty much anything to get free of this Default situation if there's the slightest chance it might work!

Thank you for reading, any advice would be greatly appreciated.

DCFC79

Forget your noodle rating as no 1 but you can see it.

Why did you not have a direct debit setup ?

I believe the default will only affect the other party if you are financially linked.

windswept321

I did have a direct debit set up, but the bank account became empty and I wasn't aware that it wasn't being paid.
I now keep on top of things but ideally need some way to get rid of this Default...

Hazzinho

Sorry but I can't see this being removed, can't hurt to try but it appears it is an accurate reflection of the way you manged the account, it will stay on your credit file until your default date hits its 6 year anniversary. If you are financially associated your credit MAY impact your partner.

fermi

A 'warning' is not always required, although it is good practice. Almost certainly original T&Cs would have warned that failure to pay on time could be recorded on your credit files.

See: https://forums.moneysavingexpert.com/discussion/3172602

Note the info in post # 5 on the difference between a default notice under the Consumer Credit Act 1974 and one on your credit files.

Read through all the info there carefully to see if you think you have a case to complain. If you think you do, do so making it clear that you will be taking it to the FOS and ICO if the compliant is rejected.

Sounds as if chances are not great, but if you do not complain then you can guarantee it will stay, so nothing to lose, and sometimes you can be in luck.

macman

Settling the debt won't remove the default, so unless you want to clear the debt early, pay the arrears and then set up a new DD. The notice of default will stay on your record for 6 years whether the debt is satisfied or not, as it's a historical report of the fact that you defaulted, whether by accident or otherwise.