Credit file - Default v Arrangement to Pay??

paulinetc

Hi there,
I have recently entered into a payment plan with Stepchange. My creditors have all been informed and arrangements to pay with reduced amounts have now been agreed and put in place. However, on checking my credit file on Equifax I can see that some of my creditors (e.g. Capital One) have reported that I am 2 or 3 payments behind or that I have defaulted. Some of them have listed as Arrangement to Pay. I have not missed any payments since setting up the repayment plan. Does anyone know if I can ask my creditors to change the default notices to an arrangement to pay notice on my file? If so, how should I go about doing this?
Thanks so much!:santa2:

teekay_tk

I don't think you can do this. This is part and parcel of going in a DMP. Your credit rating is effected and it can last for 6 years on your file as defaults. I am in the same boat, but I have accepted the fact that this is going to happen.

sourcrates

As the poster above says, the fact you are on a DMP means that you have broken the terms of your original agreements, and your credit file will reflect this.
It would of been better for you to default on all accounts before entering a DMP, as that draws a line in the sand, and starts the 6 year clock till they fall off your file.

Arrangements to pay will stay on your file for a further 6 years, from the date you settle the accounts, so potentially twice as long, which can affect your ability to get any further credit.

fermi

Some info here: https://forums.moneysavingexpert.com/discussion/4757020

Honestly, as others say, unless you are on quite a short DMP, you are better off with defaults that should or will happen eventually, happening sooner rather than later.