Unsettled Defaults greater than 6 years

murrays2

Morning,

I foolisly defaulted on an overdraft and a Virgin Media bill about 10 years ago.

These went unpaid.

A mortgage adviser has told me these will show up on any mortgage credit check.

He told me settled defaults drop off after 6 years but unsettled defaults will show as outstanding and potential lenders would be able to see more than what I can see now. He mentioned they would be able to see them.

He said to contact the companies and advised paying the defaults.

What is correct? I always thought defaults would drop off after 6 years regardless of whether they were paid or not.

I was young and stupid. You really don't worry about these things until they come back to bite you.

I was aware if asked at the application stage if you ever defaulted you would have to declare. He said it is different for unsettled.

Can someone advise please.

Carrot007

Get a better asdvisor.

murrays2

Thanks. Just phoned someone who said I was told utter rubbish.

ACG

You were.

After 6 years they drop off.
The only exception to that could be if your default for the bank was with RBS for instance, then you may find that they keep an internal record of it for longer than the 6 years. In which case, it could also affect other lenders, in the example of RBS that would be Natwest also.