Notice of Correction

Magpie87

Hi,

I was just wondering if there is any point in adding a notice of correction to my credit file for a missed payment. The reason for the missed payment was simply human error, I have two RBS credit cards and I handed over the wrong one and paid the outstanding balance on the card I hadn't used. I did ask RBS if they would overlook the mistake, but they said no, which is fair enough. I have now set up minimum payment DDs, so this mistake shouldn't happen again in future, even if I was to do the same thing.

My credit report clearly shows the payment on the other card, and I rectified the mistake as soon as I got my monthly statements. However, do lenders really care about the difference between carelessness and a lack of funds, or in reality is a notice of correction just a waste of time?

I only have one other missed payment on my track record (from just under 5 years ago) and it comes at an annoying time as I want to buy a car. The bank quoted me 22% APR on a £5,000 loan in April, as a result of the missed payment, so I declined and have chose to wait, either on having the money saved for a car, or on the rate improving after a few months, but it would be useful to know if a notice of correction would help me in any way.

Thanks in advance!

Clive_Woody

Don't mean to sound blunt, but it sounds like your credit file is accurate and reflects a missed payment. What needs correcting?

Magpie87

Not at all. Good advice is good advice and as you can probably tell, I know very little. I had read that adding a notice of correction to explain an oversight can be useful in explaining a blip on your account and was not used just for disputes, but I didn't know if this was true or not.

[Deleted User]

A notice of correction generally does more harm than good, unless you have a dire credit file and a very good reason (eg being in a coma for 20 years).

Ben8282

Deleted_User wrote: »

A notice of correction generally does more harm than good, unless you have a dire credit file and a very good reason (eg being in a coma for 20 years).

I agree. A notice of correction is over the top for a single isolated late payment.
I also seriously doubt that the isolated missed payment 5 years ago was the reason for the high APR offered on the loan. The overall state of your credit files and your current balances, especially if you already have an existing loan elsewhere, is the more likely reason.

Magpie87

Thanks everyone. I wanted to know if I was being daft, or on to something, and I think I get it pretty loud and clear. But better to find this out on a forum than to needlessly mess around with my credit file. I guess I will just have to be patient.

jonesMUFCforever

One blemish on your credit report merely shows you are human and will have no effect on ongoing applications for credit as long as it is a one off.

Geoff1963

I think a Notice of Correction, is a misnomer ; it is more a Notice of Excuse.
As Clive Woody implies, anything that needed correcting, could be changed.
Credit hiccups probably count against you like insurance claims ; they don't care if you were unskilled, careless, or unlucky.

I almost had something similar ; took out the near-limit credit card by mistake, and made a contactless payment. ( Last time, I realised sooner, because the wrong PIN didn't work ). Fortunately, I was quick enough on my mobile to shift some funds across. A Tesco Bank account is handy for that, because you can get real money back into the banking system even outside banking hours ( most cities have at least one store that will accept deposits ). A cash withdrawal facility on one credit card doesn't help, if you can't get it onto the other.