To default or not default? that is the question

Countdown_has_begun

Hi,

I have been in my DMP with StepChange for 10 months now and everything has been ticking along nicely, but the other day I got a not so pleasant letter from Nationwide (unsurprisingly!). They were basically threatening me to repay my £1000 overdraft by the 20th December or I would be moved over to an unarranged OD and this would incur more charges. I gave their financial difficulties/triage team (who are not one bit sympathetic) a call and the lady tried to get me into a payment plan with them straightaway! I told her about my DMP with SC and that I have already been through all my expenditure etc. with them and that I'm not supposed to set up separate arrangements. Also, they could see that SC were paying them £44 a month!! and that I have a loan and CC with them that they are quite happily accepting the DMP payments on. Apparently they sent me a letter back in Jan advising that they would not accept the repayment plan for the OD because the account was still active, but that's because I had only just started my DMP and opened my basic bank account with Natwest. I'm really annoyed with Nationwide and how unreasonable they have been.

Anyway, I digress. I called SC and the really helpful advisor said that he felt it was unfair the way Nationwide were treating me and that they can see I'm in financial difficulty because they have accepted my DMP payments on the CC and loan and agreed to freeze charges, so why have they continued to whack on interest and charges for my OD?! which has meant I've made no headway with it. Getting to the point of my post, the guy at SC advised me to complain to Nationwide about the way I have been treated and mentioned that it was worthwhile closing all my accounts with all my creditors. I notice that some of my creditors have defaulted me, but would it be possible to get Nationwide to default all my accounts? or is it best to let them run until paid off? I'll be debt free in Oct 2019, but I am really bothered about credit score (it's in dire straits at the minute!) and I want to know the best way to get it back up to normal ASAP.

Sorry for ranting, I would be really grateful if someone could offer me some advice - thank you!

sourcrates

Hi,

Its always best to get accounts defaulted first, before starting any repayment plans, this is usually achieved by 6-9 months of non payment, or however long it takes for them to default you.

You could make a written complaint reminding them of Conc 4 - FCA handbook, treating debtors fairly, as it appears they arnt at the moment.