Challenging Default date for FlexAccount...

Jonny_Red

Hi all

A few years ago I entered into a debt management plan supported by Stepchange after I was made redundant.

The plan incorporated three debts I had at the time as follows: 1) nationwide bank loan, 2) nationwide flexaccount overdraft and 3) capital one credit card. All three of these were managed through the one DMP. I increased payments as I got back into higher paying work and have since cleared all the debts completely.

Looking at my credit score the default date for the overdraft aspect of the debts is around one year later than the other two defaults. I think this is unfair and incorrect since the DMP was set up to service all three debts.

I have a letter from Nationwide in respect of the flexaccount acknowledging the DMP being put in place. In this letter they state that 'if the arrangement fails a default notice may be issued'

As I stuck to my DMP and indeed managed to pay it off ahead of schedule, should a default have been lodged at all in respect of my flexaccount overdraft? Is a lender obliged to register a default or do they have scope to come to some other agreement?

Any advice on appealing against this... anything I can do?

Thanks in advance

J

National_Debtline

Hi J,


If you feel the default itself or the date of the default has been recorded incorrectly then you should make a formal complaint to challenge this. You should complain to Nationwide first and if the matter remains unresolved take it to the FOS and the Information Commissioner.


Unfortunately, defaults in relation to overdrafts is not very clear cut. It may help you to have a read of the Information Commissioners Guidelines - https://ico.org.uk/for-organisations/finance/


Laura
@natdebtline

Jonny_Red

Thanks Laura... Useful information.

I've raised a complaint with nationwide so I'll update when I get more from them.

Kind regards

J