Default

Corfyboy

Hi guys new to the forum some advise please.. I had a personal loan that a defaulted on due to relationship break up . This default is now being handled buy a recovery agent a payment plan has been set up but when I check my credit file it is showing default every month. I have never missed a payment since setting the plan up is this correct or are the recovery agents wrong in applying the default .. I do under stand I defaulted on the original loan but my default isn't with the recovery agents .. and in my opinion should not be applied every month to my account thanx in advance

[Deleted User]

It's correct that it shows as a monthly default, which just reflects the current status.

Corfyboy

So because the balance isn't clear this is why it's showing default.. The default was just over 6 years ago thanx

Arleen

It's default because you've defaulted on the original agreement and indeed paying it off will improve how it shows in your file.

CommitedToChange

When is the date of the default on the credit file - they "fall off" your credit file after 6 years so it should disapear soon anyway.

sourcrates

Corfyboy wrote: »

So because the balance isn't clear this is why it's showing default.. The default was just over 6 years ago thanx

No, its showing default as you failed to make the minimum payments on your account, and the creditor decided the relationship between you had broken down, so issued you a default notice, which wasn't complied with, they then issued a default on your credit file for non payment.

This will remain for 6 years from the date of default.

What you see on your credit file every month is a status update of the original default.

Any payment arrangement agreed after these events will not be reflected on your file until the debt has been repaid, it will then show as settled.