One default showing as two?

bakejent

Hi, a Barclaycard defaulted back in 2017. I am paying Robinson Way back for it. On my credit report I have a default from Barclaycard and a default from Hoist for the same amount at the same time. Does this count as two defaults or one? If it counts as two that doesn't seem fair. From what I can see they are all the same company. On my report it says they are both for the same amount and the same date. Does this seem right?
Thank you.

[Deleted User]

There should just be one. 

Whoever owns the debt should keep theirs on and the other should be removed.

bakejent

Deleted_User said:

There should just be one. 

Whoever owns the debt should keep theirs on and the other should be removed.

I thought so. Just wanted to make sure before contacting them, thank you!

Willing2Learn

I thought that you can have two entries for the same account.  One from the original creditor, with the second from the new owner of the account.  I believe the date of defaults for both entries should be identical.  The original creditor entry should also be marked as settled.


Edit:  In fact, I just checked what DebtCamel say about this.

"When a debt is sold to a debt collector, the new creditor should use the same default date as the original creditor did.

If the original lender didn’t add a default, you can ask them to add one, then the debt collector will have to use that."

https://debtcamel.co.uk/debt-default-date/

[Deleted User]

As Willing2Learn says, you can have 2 defaults, but 1 should be marked as satisfied/settled.

Experian have a marker which shows when it's been 'assigned' so lenders' systems might use this to know it's not a duplicate (or just compare the start date/default date/default balance etc.).

For mortgages it definitely only counts as 1 default in terms of policy rules. I.e. some policies will say no more than 1 default within 3 years etc. It'll only be 1. It might get queried, but you should be able to answer that it was sold to a DCA and they should be happy with that - as it's a fairly common situation.

For unsecured debt / automated checks / 'scoring', it could well count as two, it's not clear. I've got a similar issue with a CCJ effectively being double counted. Nobody can resolve it, to quote a now famous phrase "it is what it is"!! (which isn't helpful!)

sourcrates

This is the correct entry for a sold on debt.

There are two entries for the same debt, as your account has been sold by the original owner, however, consumer credit act debts can only default once.

The original default entry should have the original default date, and be marked as settled or satisfied, with a zero balance.

The entry from the new owner will also show the original default date, and the outstanding balance.

Both entries will disappear on the 6 year anniversary regardless of what else may happen.