Account on Credit File in Status 'Default'

tain

I had a credit card about almost 6 years ago, which I defaulted on. Since then, I've paid the credit card off in full (5 years ago), and the card should have been cancelled at that stage.

I've recently checked my credit file, and the account is still showing up as status 'default' rather than 'satisfied'. I called the card company, they realised their mistake and closed the card. They also sent a rapid update to Experian to show the card had been paid off 5 years ago and was closed at that time.

The problem is, that account is still showing as status 'default' on my file. I've had other accounts that had defaults, but now show 'satisfied' and have done ever since I paid off the balance 5 years ago.

I totally understand that the default itself wont leave my file until after 6 years, but it was my understanding that the account status should reflect its current status, which is satisfied.

Am I wrong in my thinking?

I also should note that when the bank did the rapid update to Experian, it showed up the next day as updated, but made no impression on my credit rating or anything else on the account. Another reason why I'm lead to think that the update from my bank hasn't been processed by Experian properly.

StopIt

Get in contact with Experian to see what's happening. It may have been entered into their system but hasn't updated fully yet?

[Deleted User]

When was it updated? Has your file had a monthly update since then?

tain wrote: »

I also should note that when the bank did the rapid update to Experian, it showed up the next day as updated, but made no impression on my credit rating or anything else on the account.

Your rating doesn't reflect much of anything, so ignore that.

tain

Deleted_User wrote: »

When was it updated? Has your file had a monthly update since then?



Your rating doesn't reflect much of anything, so ignore that.

The Experian account shows that it was updated last week, and is now showing the credit card as closed. It's just the status that hasn't changed. I can't see why this wouldn't have been updated at the same time.

The rating does reflect changes to be fair. If an account was showing as in default, and then updated to show satisfied, I'm almost certain that the rating would change to reflect this. I don't care what the rating shows, but it is certainly a decent indicator of change.

For instance - my wife recently updated her file to show she's changed her name after we got married. Her credit rating instantly changed as they didn't link her new name with being on the electoral roll. We wrote to experian, and her rating immediately updated again to show the new information.

[Deleted User]

But there's too many other reasons for it to fluctuate for you to be able to pick out a change due to any given reason.

tain

My main point isn't about credit ratings, I'm just using that as one of many indicators as to what is happening on my account.

The key information I'm after is if an account that has been satisfied should still be showing up as status 'default'. None of my other accounts have this status, so I want to know what is likely affecting this one credit card.

tain

Deleted_User wrote: »

But there's too many other reasons for it to fluctuate for you to be able to pick out a change due to any given reason.

This isn't accurate. You're making a lot of assumptions about our lives and our financial activity.

[Deleted User]

I'm not assuming anything about your life. I'm just indicating that credit scores fluctuate due to reasons beyond your control.

Anyway - back to the point - have you queried the status with Experian?

tain

Deleted_User wrote: »

I'm not assuming anything about your life. I'm just indicating that credit scores fluctuate due to reasons beyond your control.

Anyway - back to the point - have you queried the status with Experian?

Can you give examples of a fluctuation that both wouldn't be in our control, that wouldn't be explicitly shown on our file, and that we would have no knowledge of? These are the assumptions being made.

Yes, and their call centre was useless. I don't even think they understood what I was saying. They've said they will put something on the account to look in to it, but that might take a long time. In the meantime, I'm looking to understand if I have just totally misunderstood the situation.

StopIt

tain wrote: »

Can you give examples of a fluctuation that both wouldn't be in our control, that wouldn't be explicitly shown on our file, and that we would have no knowledge of? These are the assumptions being made.

Yes, and their call centre was useless. I don't even think they understood what I was saying. They've said they will put something on the account to look in to it, but that might take a long time. In the meantime, I'm looking to understand if I have just totally misunderstood the situation.

You can control your credit history, which you're doing by correcting mistakes like you have.


You cannot control the credit score, which may as well be an RNG. See the many posts asking why their credit score changed for random events, because the way the scoring system works is weird, arbitrary and has ZERO impact on how lenders view you when it comes to credit applications because they cannot see it.


More importantly, as no lenders will see this credit score, only your history, if you're paying Experian £30 a month for you and your partner, you're throwing money away.


Again, if Experian have received the info correctly from your bank the change to Settled will show on your next report, which is generated monthly (And accessible for free via the MSE Credit Club). Remember there are 2 other CRA which can be accessed via Noddle and ClearScore which you will need to make sure that this default - if logged with them - will need to be corrected if needed.

[Deleted User]

tain wrote: »

Can you give examples of a fluctuation that both wouldn't be in our control, that wouldn't be explicitly shown on our file, and that we would have no knowledge of? These are the assumptions being made.

- A change in assumptions around income.

- A change in assumptions around job security due to economic changes.

- A change in their view of an average balance on a credit card.

- A recalibration of their scoring system, such as the one last year that took points off thousands of scores and caused wide spread panic on these boards.

As I say - none of this is intended as an assumption around you. CRAs operate a one size fits all scoring system so constantly tweak it, causing fluctuations.

There is also a more cynical view that scores that don't change often wouldn't be seen as worth paying for.