Barclay Account Default! Help!!

Kaybenson

Fellow Savers,

Good morning.

I checked my credit score last night and found that a default was placed on my account last year by Barclays bank.

I have 2 accounts with them which i opened over 10 years ago.

I have overdraft facility of £400 on this account. Which i used regularly and pay bla bla bla.

Few years ago, my wages dont go to that account so i hardly even access the account.

The amount is £300 which i can afford to pay. Is there any tactics i can use to pay this and yest remove the default from my record?

Thanks

DCFC79

Kaybenson wrote: »

Fellow Savers,

Good morning.

I checked my credit [STRIKE]score[/STRIKE] file last night and found that a default was placed on my account last year by Barclays bank.

I have 2 accounts with them which i opened over 10 years ago.

I have overdraft facility of £400 on this account. Which i used regularly and pay bla bla bla.

Few years ago, my wages dont go to that account so i hardly even access the account.

The amount is £300 which i can afford to pay. Is there any tactics i can use to pay this and yest remove the default from my record?

Thanks

Made a correction for you.

Well the default is a true account of how you ran the account, you can definitely ask but they wouldn't be entitled to remove it.

They might add a correction to your file, maybe something like settled, don't know if this is worse than a default.

andyfromotley

I am no expert but i doubt it.

The default is correct and from posts on this board companies are loath to remove them in these circumstances, which is kind of understandable really if the records are to be anything like an accurate picture of your credit history. All you can probably do is ask them?

You may have more luck challenging the date of the default. Whilst it is somewhat up to them when they default it i have seen that delaying the default can be considered unfair and it may be worth looking at the ombudsman guidelines on this as i think best practice suggests that they should default within 3-6 months?

As i say i am no expert and others may be able to help with more accurate advice but i hope i have helped.

Candyapple

Firstly if the default was applied over a year ago and you hold 2 accounts with Barclays - one of which your wages go into so assume is your main account, how on earth did you not notice the other account was defaulted? Surely you would have received numerous letters leading up to the event and also when you log into online banking it would have shown up on the first page along with any other accounts you hold with Barclays.

I highly doubt you'd get the default removed as it's a factual statement of how you ran the account. If you pay it off all that will happen is the status will change to 'satisfied' which just means you paid it and it will still affect you for the next 5 years until it drops off.

fermi

Kaybenson wrote: »

I have overdraft facility of £400 on this account. Which i used regularly and pay bla bla bla.

Few years ago, my wages dont go to that account so i hardly even access the account.

You don't really explain what you or the bank did or agreed about any remaining OD balance.

A default on a current account is like other types, where the lender has decided the relationship between you and it has 'broken down'.

That is usually, but not exclusively, when...

- Your overdraft balance has been greater than your overdraft limit for more than three months
and you have not agreed new repayments to bring the account in order.
- The lender has decided that you have broken the terms of your agreement and has told you
that your account is now in ‘default’.
- The lender has closed your account.

Kaybenson

Very very silly of me though.

My wages later go to a different bank.

I think my statements go paperless.

Too bad to get a default on useless amount.

Superscrooge

Damage Limitation!

I suggest contacting Barclays. Tell them you were completely unaware of this default and that you would like to settle it.

If the default is only a year old it is going to stay on your credit history for another five years.

Credit history showing a default never looks good. But a settled default looks better than an 'unsettled' default and you could add 'a notice of correction' to your credit file explaining that you were unaware of this default and as soon as you became aware you setted it.

Kaybenson

Superscrooge wrote: »

Damage Limitation!
But a settled default looks better than an 'unsettled' default and you could add 'a notice of correction' to your credit file explaining that you were unaware of this default and as soon as you became aware you setted it.

Does this give any advantage later on? Cheers

Thrugelmir

Kaybenson wrote: »

Does this give any advantage later on? Cheers

Difficult to see a justifiable reason for forgetting about an overdraft and not responding to written communications. Sometimes it's better to take it on the chin than draw further attention to the matter and more importantly yourself.

David_White

Can't see how adding a notice of correction would help.

If an organisation doesn't like the fact you have a default I doubt they're going to change their mind because of a note on your file saying that you didn't bother to check your account causing it to default despite the numerous correspondence the bank would definitely have sent you.

Settle the default, learn from your mistake and move on.