Incorrect late markers? Advice needed please!

Debtfreestudentnurse

have an account currently managed by Lowell. It was purchased in June 2017.

Prior to it being sold there had been 4 late payments.

Since Lowell bought the debt, it’s been paid on time every month, but still updates as ‘late payment’.

I complained to them and they have had this response...

“I can see from our records we purchased the above account as a non-defaulted account from Express Gifts Limited on 28 June 2017, during this time we were informed by Express Gifts Limited that they were reporting the account as Statues ‘4’ on your credit file. This means you had four missed/late payments with them prior to our involvement unfortunately, we have a duty of care to report accurate information to the credit reference agencies, and we are unable to remove the missed/late markers.

To clarify, the missed/late payment marker would continue to report every month, this doesn’t mean you have missed or made late payments every month; it would shows that you previously had missed or made a late payment”

Is this correct? Reported late each month when the payments haven’t been late for two years?

I don’t want to refer to the ombudsman if this is actually correct, although it doesn’t seem right to me.

sourcrates

Yes it’s just a status update, It will continue to show till the 6 year anniversary.
Defaults/late payments all show for 6 years on your credit report.

Debtfreestudentnurse

6 years from the last payment on the account?

Debtfreestudentnurse

I really don’t understand how it’s correct that Lowell are updating as late every month since owning it, when the payment has never been late since they’ve owned it.

EssexHebridean

I think they will continue to show until 6 years have passed from the date of the late payments?

Debtfreestudentnurse

But every month, since June 2017, its updated as 'late'.

They have said they have to as thats what it was being updated as when they bought it.

It seems unfair that even though I pay on time, and have done since 2017, they update as late, month after month, when its not!

Kentish_Dave

Have you made up all of the missing payments and charges? If not then it’d be right that it is being marked late as you will be continually in arrears.

RecentPost

Lowell report everything as default even if you are in a payment plan.

RF1988

I had a very similar experience with them.They bought my undefaulted account, because this account didn't default i made over payments to get the account back up to date. I think eventually they bought it with one month late as a marker, i asked them if i paid the late payment back would this put my account back to normal, they agreed. It was removed for a few months but kept they kept putting it back on. After months of them removing it, putting it back on, me complaining to numerous people at Lowell i told them i had enough of complaining and would be taking it to the ombudsmen and they looked into it properly. They said it was an automatic process and because the account was bought that way (with the late marker) their system would constantly put it down as a late marker on my credit file, however because they messed around for so long they said they would completely remove the account from my file but still expected me to pay it like i have been doing (via stepchange) so don't know if that is a bonus or not.

Debtfreestudentnurse

There are no arrears on the account, and the account is not showing as a default.

They have said because payments were missed before they owned it (2017) they have to keep updating as late (as that’s what it was being updated with the original creditor) despite payments being on time.

My last missed payment was May 2017, before Lowell’s involvement.

sourcrates

Occasionally Lowell buy up portfolios of old accounts that also include some non default accounts, such as yours.
They then inherit all rights and privilages of the original creditor, in effect, they become the creditor.


The correct situation should be this, the months you were in arrears with the original creditor should show as late payment, if you make up the payments you have missed, then the status will return to green, and you will be back up to date, as long as those payments remain in arrears, it will be reported as such.

You would have originally signed a contract to make regular monthly payments, at some point you were unable to do this, and arrears were accrued because of this, unless those arrears are paid, it will continue to be reported in this way.