Tesco loan forbearance

spiderbones

i have applied for 3 month forbearance on a Tesco loan which was granted for Apr May June. They have ceased the DD. A great help. I am now told they have not processed the adjustment and consider my account in arrears and are feeding credit agencies default info ( despite originally undertaking this wouldn’t impact my credit file) They continue to clarify they will in the future correct this with the credit agencies. I am concerned about the impact this is having on my file, my obligations ( as set out in their arrears letters) and the timeline to correct with agencies. Is this normal with forbearance that payments are not collected but accounts are considered by the lender and agencies as in arrears/default?

Jeremy535897

It often happens, because the administration does not keep up with the decision. Make sure they do amend your file.

[Deleted User]

Whilst it might present an issue if you were applying for a mortgage right at the moment, so long as they correct it (which in normal circumstances would take a month or two, but under current circumstances will probably take longer) then you will have no issues. The loan will show that no payment was made (which is correct), but it will not show a default as it was an agreed payment break. Once it is all tidied up you will not have any impact beyond having taken a payment holiday, the default that is currently there will be removed.