Any way to get rid of this Wonga Default? (incl. steps already taken)

nearlydebtfree123_2

Hi

I took out a Wonga loan of £780 on the 8/7/2014, at a time I was in financial difficulty. I rolled it over and incurred more interest, then made an initial payment of £153.48 on 6/12/2014. I then agreed to a payment plan on 28/2/2015, paying £100 and agreeing to pay £100 a month, having being threatened with a default, and was insured that no default would be placed on my account. I missed the next repayment on the account (although the money was available the day after payment was due, they didn't try to collect again), and I didn't hear anything more from them. Eventually on 12/1/2016, after having no more communication with Wonga, and in a much better financial situation, I paid off the remaining balance of £900 via the my account section on Wonga's website, for a total repayment of £1153.48.

After this I checked my credit file, and unfortunately I have a default from Wonga on there dated 5/12/2014. A few weeks ago I read in the moneysavingexpert newsletter that you have some bargaining power when paying off balances on these kind of debts, and that had I asked before paying, it would be very likely I'd have managed to get the default removed. I then googled further and found some people having success on getting historic defaults removed, so on 26/4/16 I wrote the following email to Wonga, based on a template from this forum.

Dear Sir / Madam

Loan Agreement Number : xxxx-xxxx-xxxx-xxxx

I write to complain in the strongest of terms about the default that has been placed on my credit file at Credit Expert / Experian by yourselves. Having obtained a recent copy of my credit file I see you placed a default on 05/12/2014 despite a payment plan being arranged then and me being assured that I wouldn't have a default placed against my name. I would request this be rescinded as I no longer have an outstanding balance with yourselves, and as a loyal customer with yourselves over the years am now struggling to build my credit with a view to obtaining a mortgage due to this.

Furthermore to this I have no recollection of ever receiving such a notice, and should you not agree to remove it, I require you to substantiate this with the following:

1. You must supply me with a true copy of the alleged agreement you refer to. This is my right under your obligation to supply a copy of the agreement under the legislation contained within s.78 (1) consumer crediticon Act 1974 (s.77 (1) for fixed sum credit). Your obligation also extends to providing a statement of account.

2. You must supply me with a signed true and certified copy of the original default notice

3. Any deed of assignment if the debt was sold on

I would request that this data is provided to myself within the next 28 days, if you are unable to provide this data then I must insist that it is removed from my files as unsubstantiated.

Yours faithfully


Finally today, 3/6/16, 39 days later and after numerous phone calls to Wonga chasing up a reply, I received the following:

Thanks for your continued patience while we reviewed your query.

We would like to use this opportunity to address the issues raised in your email and hope this clarifies these issues.

1. You have requested a copy of your loan agreement and statement of account, please see the attached.

2. You have requested a copy of the original default notice and stated this is required under s78 (1) of the Consumer Act 1974. Please note that a Default Notice is issued when a debtor intends to pursue a debt through the courts or end the relationship entirely under the contract. Wonga does not issue these notices as we do not issue debt collection proceedings.

3. The other kind of notice is a Notice to Register a Default, which is sent when we intend to register a default on a customer’s credit file. However, in circumstances where your loan balance was outstanding for over a year we were not required to send you a Notice of Intention to Register a Default.

4. We are not required to send a formal notice of the assignment, it is usually sent by the party purchasing the debt. However we have sold your account over to any third parties.

If you have any questions, please call us on 0207 138 8330.

Kind regards,



I appreciate that it is my fault the default was placed as I did not pay in time, however I don't think Wonga handled the situation well either, simply ceasing contact with me. Furthermore, having read about lots of loans being written off / the subsequent default notices being removed, and seeing that people have managed to get defaults removed by promising to settle / part settle their accounts, I feel a bit aggrieved that I paid the loan off in full and am now stuck with a default on my account for 6 years.

I'm now 27 and have sorted out all of my debt, haven't missed a direct debit etc. from my bank in two years +, and want to start looking at mortgages. My credit rating is very poor however, and the only bad thing I can find on it is the Wonga default. I don't know how to improve it other than to try and get this removed.

Does anyone have any advice going forward on how to tackle this?

Thanks

fusionx212

you need to ask them where they've magic'd this nonsense from,

3. The other kind of notice is a Notice to Register a Default, which is sent when we intend to register a default on a customer’s credit file. However, in circumstances where your loan balance was outstanding for over a year we were not required to send you a Notice of Intention to Register a Default.


this is not correct

the ico guidelines state.

The lender must have notified you of their intention to register a default against you at least
28 days before doing so, in order to give you time to make an acceptable payment or reach an agreement with them on an arrangement.

you should ask this question also

If the amount outstanding is solely made up of fees or charges


A default should not be filed:

 If you make a payment, in time, that fully meets the terms set out in the
default notice
 If jointly with the lender an agreement is reached for an arrangement and you
keep to the terms of that arrangement
 If the amount outstanding is solely made up of fees or charges
 If a lender is given evidence that a customer is deceased (for example a
verifiable death certificate, probate or letter of administration)
The date of default recorded on the file would normally be the date on which a decision to
file a default becomes effective, e.g. 28 days from the date of the default notice.
The default amount filed should normally be the balance amount as quoted on the default
notice. However, if any payments or charges apply in the interim period, the default balance
reported may reflect the outstanding balance at that time.
The current balance should be updated regularly and reflect any charges added and/or
subsequent payments received whether direct to the lender or via a third party organisation
(debt collection agency) or, for example, as a result of the sale of a repossessed !!!

nearlydebtfree123_2

I emailed them on point 3 and included the ICO guidlines and this is what they replied:


Thanks for your recent correspondence about us reporting your data to the credit reference bureaux.

In relation to the default filed by us, we can advise you we only record accurate and up to date data with the bureaux. We describe our commitment to this in our terms and conditions and privacy policy.

We’re under obligation to report the breakdown of such relationships to the bureaux, which is why we filed the default on your credit file. We’ve reminded you of the outstanding account by email, letter and text message on numerous occasions.

To summarise, as the default has been recorded accurately and in line with our terms and conditions, we won’t be removing this from your credit file.

I definitely did not receive any letters to this effect, and the only email I ever rememeber receiving was one warning of a default been placed if I didn't get in touch in x days, which is when I phoned and set up a payment arrangement and was assured that a default would not be placed.

Is there anything else I can do?