Removing Settled Defaults early?

Zingadoodah

Hi everyone. I'm new here and just wanted some advice.

I had an unfortunate situation happen in August 2011 where I had to leave the University course I was on due to personal circumstances. Naturally my funding stopped and due to a mismatch between the Unis computer system and DWP I did not receive any assistance for 8 weeks (I was working a zero hour contract so my earnings were minimal).

During that time I had to give up my flat due to rent arrears and nothing was paid so I ended up in debt and have several defaults on my file that were issues at various points in early 2012.

The debts have all been paid off since May 2013 (done via a debt management scheme) but the settled defaults are still there until next year and are basically causing me to be treated like a crim still. I am now married and have not been able to be on any of our tenancy agreements and cannot go on the mortgage my husband is in the process of getting. I have also been turned down for employment several times (currently have a job that did not require credit checks).

As it was no fault of my own I would like to know if there is any way to have these removed as since they were paid off I have been paying everything on time. It is literally historical defaults causing me lots of problems.

[Deleted User]

No.

But don't worry, you're not being treated like a 'crim'. There will be no trial or imprisonment as a result of the defaults if they are now settled.

Chappaz

Zingadoodah wrote: »

The debts have all been paid off since May 2013 (done via a debt management scheme) but the settled defaults are still there until next year and are basically causing me to be treated like a crim still. I am now married and have not been able to be on any of our tenancy agreements and cannot go on the mortgage my husband is in the process of getting. I have also been turned down for employment several times (currently have a job that did not require credit checks).

What exactly do you have on your credit file? Are you sure they're just defaults?

Generally a credit check during employment is not going to cause any problems unless you have serious issues on the file, such as bankruptcy, CCJs or fraud.

It's more for security purposes, especially if you handle cash. For example, if they find out that you're in loads of active debt with missed payments, they will be worried that you might steal money to pay the debts off.

But a few defaults, particularly on older accounts which have been settled, shouldn't do this. Although it does depend on the type of job you apply for (if you were trying to become a financial manager in a bank they may be more strict with the check).

As it was no fault of my own I would like to know if there is any way to have these removed as since they were paid off I have been paying everything on time. It is literally historical defaults causing me lots of problems

There's no way I'm afraid. But you don't have long to wait, and when they drop off, all the positive credit history you've built up in the mean time will suddenly become the only thing on your file and it will look substantially healthier.

Don't stop building the positive credit history, because the positive impact of that is just being temporarily suppressed until the black marks fall off.

I'd advise checking your credit files from all three agencies though to make sure you don't have more than just a few defaults, like CCJs.

ashp_2

You won't get them removed.

You should attempt rebuilding your credit history right away. You could get a credit building card. (Sign up to MSE crddit club and use the credit matcher). When the defaults are removed you will be in a better position if you start to rebuild your credit file now.

Zingadoodah

It is just defaults but 8 of them. Basically everything I had at that time because I had no money at all coming in for 2-3 months so no bills were paid and everything fell into arrears. And they are all at least 5 years old so close to dropping off... all will be gone by the end of next year.

Quite a few of the agencies I tried to get jobs through in the past had a policy of not accepting anyone with more than 2 defaults on their file. I now work in a role that does not require a credit check so that isn't really an issue.

rtho782

There is no reason you can't be on tenancy agreements, letting agents can't see defaults. However if you go in there gushing about how you have awful credit, they will say no.

Not many jobs require credit checks, it's mostly those in financial services etc, but I managed to get a job for a bank with a few defaults.

I think you're perhaps overdramatising things here.

MEM62

Zingadoodah wrote: »

As it was no fault of my own I would like to know if there is any way to have these removed

Fault is irrelevant. What lenders see are the just the raw facts of your financial history. Based on this and their own lending criterion they will make a decision on how they view you. If the facts are correct you will not be able to get the data removed early.

Your defaulted accounts were all settled in 2013 the impact of these on your credit standing should be reducing. Certainly they would not prevent you from being party to a lease agreement.