Can I request a default retroactively?

a6

Possibly an interesting one for you. Back when I was an irresponsible student I got into some difficulties on a retail finance account, which is showing on Equifax as a string of various missed payments in a short time, one of which even shows a string of 222. The irritating thing is that they're now more than 7 years old, but because the account itself was closed in 2015, they're still showing for Equifax (but nobody else) and apparently will do for more than another year. Given that I was obviously in difficulties and not paying as I should have, do I have any grounds to nicely request that the account should have been defaulted at the point I was apparently two payments late for three months (and then would drop off earlier)?

TripleH

Think you can request a correction on your account. If you can provide details of what it should have been then can't think why not. Not sure of process though.

[Deleted User]

Usually a default would be deemed as 3 months arrears or more. Generally, at some point between 3-6 months.

Do you know if the account ever reported to Experian/TransUnion (CallCredit)? If it did and it's now gone, you can request the Equifax data is married up to the other 2 files. But some lenders only report to one agency, so it could be that it was never on the other providers.

It looks like you only ever got to 2 missed payments? Why did it not make it to 3, were you paying something?

If you're paying anything more than a token payment, it's reasonable for them to give you a chance to rectify it - so it shouldn't automatically default, even if you stayed in at 2 missed payments for say an entire year. If you completely didn't pay anything at all, then it sounds like the account history is wrong, so you could take that up with them (i.e. why didn't it reach status 3+ sooner, and subsequently a default).

It'll depend on the circumstances - why was the account closed in 2015? Did you bring it up to date to close it, or did they default it/sell it on really late?

If you brought it up to date before closure, I don't think you'd be successful in getting it backdated. You can always try, and there is guidance around defaults (http://www.scoronline.co.uk/sites/default/files/high_level_prinicples_document_final.pdf) but it might not get very far if you were making payments and ultimately brought the account up to date - in that case, the file is an accurate reflection of your history (although unfortunate, as if you just defaulted it'd be gone by now.... but swings and roundabouts as you'd have had more trouble in the intervening years - a default is worse than a string of 2's)

a6

Thanks for the input. Yes, the account is indeed being reported to Experian and Transunion, but the data on there only goes back for the six years, which means for them it's showing as a normal settled account with no late payments at all. Unfortunately the whole thing is so long ago that I simply cannot remember the circumstances. How would I go about requesting that Equifax report the same information as Experian/Transunion?

[Deleted User]

So this post is very long, but just to add for clarity - Given how long has passed, the missed payments are unlikely to actually have a major actual negative impact on you. Your CRA scores might be low, but I doubt a lender is that fussed to be honest (assuming no other issues since). If I were doing your mortgage, it probably wouldn't even be questioned. Many companies, for something that old, would take a similar approach.

So it might be easier to just "wait it out" than to go through with the below. If you've had more problems since then that'll cause the real issues (as it's repeated adverse). If that's your only issue, I doubt it'll make much difference IMO as long as you pass credit scoring (which you'll only know for sure when you apply / run a soft search).

What is your goal in getting it removed/backdated now as opposed to next year when it'll be deleted? I know your file will look better, but what's the ultimate aim? Loan/mortgage/credit card? If so, try some eligibility checkers (e.g. MSE credit club for cards/loans. For mortgages make sure you try a soft search lender only - e.g. Nationwide or Lloyds Banking Group) - you might surprise yourself and pass scoring (although Covid-19 hasn't helped, as credit seems to have been tightened up). You can also try Nationwide/Lloyds for loans/cards too (soft search as long as you don't apply), if you want to see how an actual lender scores you.

Ultimately if you do want to dispute it, you'll need the facts of what happened. If the settled dates are correct, then it's a factual representation. Just because Experian/TU don't report it for whatever reason, it doesn't mean Equifax shouldn't.

If you really want to push it, ask the original lender for your account information (all statements and any letters/correspondence you were sent). This could be informal, or, if they refuse, via a Data Subject Access Request (DSAR) free of charge. You can refresh yourself as to what happened and see if you have a case. Statements will show how/why it closed - did you bring it up to date (in which case you have no argument) or was it written off. If it shows as written off, you may argue it should've been done earlier.

Personally I'd look into what you ultimately want to gain and whether it's possible to get that without going through all this. It doesn't sound like you've got a strong case from what you've said so far - the statements may change that. If the lender rejects it and it goes to FOS, it'll take the best part of a year to resolve anyway.

I've seen clients with status 3 for a year then a default successfully argue they should've been defaulted earlier. You've not even had a default at all. Not even got to status 3 (or been at status 2 for very long, from what you've said).

Whatever you do, if you want a chance of being auto-accepted for credit do NOT add a notice of correction. They slow it down and mean you WILL be manually reviewed. No NOC = possible auto-approval. If you dispute it via CRAs, a NOC will be auto added until the dispute is resolved.