Asking (nicely) for a default removal

NationalElfService

Hi all,

In Jan 2013 I had a Halifax account that went into Default of around £800.

I had visited the branch in 2012, paid the balance of an overdraft and asked for the account to be closed. It turns out there were outstanding overdraft fees on the account, which continued to rack up (unbeknownst to me). I moved away and lost touch with the account until a year later when a DCA found me at my new address with a threatening letter.

I immediately got on the horn (not knowing what it referred to) and was staggered to learn that the account was

a) Open not closed
b) Overdrawn to the tune of £800
c) This was entirely made up of fees

After some wrangling Halifax agreed to write the debt off in full! Which I thought was great! Stupidly I didn't know what a default was and how bad it would be for me in the future.

4 years on i was wondering if it is completely crazy to ask Halifax to remove the default entirely as a gesture of goodwill (since they have already satisfied entire debt).

Before and since I have has exemplary credit never going anywhere near defaulting on anything else, but of course this blight is having a severe impact on our (my partner and i) ability to buy a house.

Does anybody have any advice/experience in asking a bank to remove a default notice?

Wishfully,

NationalElfService

System

If it was a mistake that the account was left open then it seems only right that the default is removed as it only occurred due to their error.

sourcrates

Hi,

You simply send a letter detailing what you have told us, and asking if, under the circumstances, they would agree to remove the default from your credit file.

I have to say its 50/50, details of your original complaint may no longer be available to them, however it dosent hurt to try.

NationalElfService

Thanks both,

Halifax maintained that I didn't request the account to be closed, so they felt the default was fairly applied. I guess I'll ask anyway.

One errant thought this wouldn't somehow re-open a case in some way would it?

In any case I'll let you know how I get on.

Thanks

NES

National_Debtline

Hi there,


Only inaccurate information can be removed/ amended from your credit file. I would suggest you look at the information they sent you about writing off the 'overdraft'. If they acknowledged within that letter that they had made an error and not dealt with your request to close the account then you can send a copy of that with your request to remove the default (to strengthen your argument). You should also include any proof you may have that requested the account be closed.


Your complaint should go to Halifax initially but if it remains unresolved you can take it up to the Financial Ombudsman Service and the Information Commissioners Office. You may find the ICO guidelines help - http://www.scoronline.co.uk/sites/default/files/high_level_prinicples_document_final.pdf


If all else fails then remember, the default will come off soon enough (2019) and if this is the only blimp on your history, and the account is settled, hopefully it shouldn't have too much impact on your rating. Good luck,

Laura
@natdebtline

NationalElfService

Thanks Laura! I figure not much harm in asking.

Yes you're right, i've been working towards it falling off in 2019, so not the end of the world, it has just been a bit limiting.