AP and default question.

BEAT_THE_DEBT

Hi i had an arrangement to pay with Aqua. It's now with Robinson way. They said they would issue a default against me of i went into arrears. Can they do this? is an AP on my file not a default?
Thanks in advance.
BTD

Carrot007

Yes. Though not always.


If the arrangement to pay is lower than your contractual ammount then you have defaulted. If it is higher then you have not (although them stopping interest can be considered such).


(Selling on is also considered defaulting as they would not have otherwise (in most situations)).


However ther earlier the default the better. You should argue it to be moved earlier if you can.

Willing2Learn

You are better off with an early default, being removed from your credit file six years from the date of default, than having an AP marker continuously on your credit file. Ideally you want Aqua or Robinson Way to default you, backdated to when you were 3-6 months in arrears of the original agreement. This would then comply with ICO guidelines

BEAT_THE_DEBT

I am struggling to continue the agreed amount i first arranged s want lower but RW said it's not the contractual amount of lower amount agreed so would accumulate arrears and i would be defaulted but if ap on my file is a s bad i just as well ease the pressure and default?
Thanks for your reply carrot.

BEAT_THE_DEBT

thanks willing to learn

Willing2Learn

You want to request that the default is backdated when you were 3-6 months in arrears of the original agreement, so that it fully complies with ICO guidance...The bad debt will then 'drop off' your credit file much earlier...

BEAT_THE_DEBT

Is it better to keep ap? Will my reating go up with that or not? Thanks

Willing2Learn

Lenders don't see and don't use your credit rating. A potential lender scores you against their independent criteria and policies using the data held in your credit file, added to the data you submit in an application.

IMHO, your data history looks much healthier with an early default instead of a continuous 'AP' marker...

BEAT_THE_DEBT

Thank you