Nat West default - 3 years after DMP started!!!

Foxy_Stoat_2

Hi there!

Long time reader, first time poster.

I was really hoping for some advice. My husband and I are on a DMP with Pay Plan, which began March 2013 and is due to end 2018. All of our creditors Defaulted us a few months after our DMP ended, so will drop off our credit report in 2019. However, we checked our credit report on Noodle last week and Nat West have only just defaulted us in April 2016, which will obviously show on our credit report until 2022 😥 We're both absolutely gutted as in a few years we were hoping to remortgage and move as I despise where we live and am desperate to move but no lenders will touch us with a barge pole right now. I feel so deflated with disappointment all of the time.

The Nat West account is an overdraft on a current account. Prior to the Default being added, our acount was showing AR each month. It seems they have defaulted us after our Pay Plan yearly review. We have not received any notice through the door and they definitely have our up to date address as a few months ago we received a letter saying the debt is now being handled by Westcott (as is our rbs account).

My husband did a quick search of his emails and he forwarded a letter to Pay Plan from Nat west stating the following:

"You have failed to comply with the requirements set out in the recent notice, served on you under the Consumer Credit Act 1974.

By this further notice we are terminating the Overdraft arrangement. We now demand that you pay to us no later then close of business on 28 May 2013, the principal outstanding on the above account together with interest and charges".

In this letter it clearly mentions a "recent notice", but I cannot for the life of my remember getting any notices from them. Everything we got we forwarded on to Pay Plan. Then again, we had so much coming through our door from various lenders that i suppose we could have overlooked something. When we forwarded this letter to Pay Plan, they informed us it was a Default notice and that we shouldn't worry....but i dont think it was....perhaps the notice before was a default? But how could they have only just defaulted us then??

I'm driving myself insane with this and am loosing sleep over it. Can anyone advise us on what we should do??? Ideally we simply want the default backdated to 2013, when we began our DMP.

Please, please help 😢

Foxy_Stoat_2

*after our DMP began (sorry)

sourcrates

Hi,

There are two types of default.

(1st) is a default notice sent to you when you are behind with your payments giving you 14 days to bring your account up to date.

(2nd) is a default registered on your credit file, when the relationship between you and the lender breaks down.

Two very different things.

If you believe the default date on your credit file should of been earlier, write and complain to Natwest, ask them to change it.

It's very difficult to determine a default date with an overdraught, as you are not required to make regular payments to it.

Foxy_Stoat_2

Oh, and the letter from Nat West that my husband found in his emails was from 2013.

Just trying to make everything as clear as I can ��

Foxy_Stoat_2

Thanks for the quick reply!

Ah, Ok. That makes sense.

For Nat West to default us that shows on our credit report, don't they need to have sent us a default notice to our address?

sourcrates

Foxy_Stoat wrote: »

Thanks for the quick reply!

Ah, Ok. That makes sense.

For Nat West to default us that shows on our credit report, don't they need to have sent us a default notice to our address?

That is correct yes.

You can receive a default notice at any time really, the consumer credit act dosent state any time period.

That is totally seperate to the default on your credit file.

Foxy_Stoat_2

!!!!!!.

I was hoping that because they hadn't sent us a default notice in the post, it would make it void. Wishful thinking.

I've read that different rules apply to currents accounts, in that there is technically no strict time period that a default can be added to your credit file...is this the case? Would three years post actually defaulting not be deemed a bit excessive?

cmc_entertainment

Raise it with the resolver website.

NW had 2 different dates on noddle and experien with 1 defualted and no defualt date at all for an OD and loan. Raised this with them and low and behold both dates were wrong and have deleted both from credit file as they were over 6 years old from the correct date and also got £50 compo.

Read this excellent article and reference the terms in the pdf

http://debtcamel.co.uk/debt-default-date/

Raised and closed within a week via resolver following a phone call.

Foxy_Stoat_2

Awesome, I'll give that a go! Thanks!!

Sorry if I'm being dim but what is the resolver website?

My concern is that because the default isn't inaccurate exactly (just the time scale in which they've decided to add it), that they won't be under any obligation to change it ��

cmc_entertainment

Read the pdf that is posted on the debtcamel website. Techincally creditor should defualt you after 6months payments or arrangmeent to pay etc

As per Information Commissioner’s Office (ICO): Principles for the Reporting of Arrears, Arrangements and Defaults at Credit Reference Agencies

As a general guide, [a default may be recorded] when you are 3 months in arrears, and normally by the time you are 6 months in arrears.
There are exceptions to this which may result in a default being recorded at a later stage, such as secured or long term loans e.g. mortgages, or if the product operates in a more flexible way e.g. current accounts, student loans, home credit.”

The resolver website is

http://www.resolver.co.uk/

edrushuk

This is interesting as I took one of my debtors to the Ombudsman because they did not default me but keep the account as an Arrangement to Pay (AR). I went into a DMP in 2008, I paid the debt of in 2013 but it will not drop off my account until 2019.


OP I hope you have more success as you are dealing with a bank, I was dealing with a catalogue. Good luck