Default Sum - Over Credit Limit

mattgod69

Dear all


I have just received a letter from my card issuer saying a Default Sum has been applied because I exceeded my credit limit. Normally I well below the limit, but I have come close to recently due to a couple of large purchases including some flights.


I called them this evening and they have refunded the fee and I've also had my credit limit increased so should not run into problems again. Like I say it is very unusual I am anywhere close to the credit limit, in fact I've never been anywhere near it as far as I can recall.


However, I am worried that something has been put on my credit file by the card issuer. I must have an almost perfect history with payment in full on every card every month and even the card that has applied the fee is now well below the credit limit as a large payment has just gone into it (clearing the full balance from last month).
Should I be concerned about anything on my credit file regarding this? Like I say I have an excellent credit history and a good income but it would be ashamed to have this spoiled by going over by a few hundred pounds when the credit limit is several thousand pounds and the outstanding balance is always cleared off in full every month...


Many thanks in anticipation for reading this and for your response.


Regards.


Matt

Arleen

I had similar situation, in my case provider charged the wrong credit card (by their mistake) and crossed limit on my promotional rate card which for that reason was close to maxed out.
I gave them a ring the very morning as I franticly check all balances as part of morning routine, made a top-up payment for the charged sum with my debit card as we were on the phone and that was the last I heard about it. No penalties, no entry on my credit file etc. Being pro-active is the key here, because if this was a god honest mistake then there is no reason (for them) to lose an otherwise good client over this.

There is no harm in giving them and asking whether they will report this with CRAs, and if they answer "no" to check in few months anyway just to be safe.

mattgod69

Hi Arleen....

Thank you for the message. I did call them and they could see there was one of situation here and refunded the fee straightaway. They did say though that the default would be reported to the credit reference agencies... I guess I just have to wait a few weeks and then check the file?

Arleen

Well in this case you are out of luck and it will show on your credit file. The small upside is that as long as this is your only negative then it shouldn't do any major damage (I think).