Barclay Card Default

AnthonyGallagher

Hi all,

This is my first post in a long time. I have browsed recently and observed some great tips and guidance so thought I'd raise my issue for some insight into my options.

In late 2018 I unknowingly used a Barclay Card credit card I had paid off in full.  The card was saved in my Just Eat app and I had clicked on it's use rather than using the card that I thought was saved as my default - my debit card.

The next 6 months passed without me being aware at all I had missed any payments as I didn't use the Barclay Card online service and emails received were mixed in amongst 100's I received daily, including other Barclays promotions.  I only found out when I defaulted and got a letter through the door.  I immediately rang up Barclay Card but they simply said you should have received emails.  I later raised a half-hearted query with equifax who passed the complaint onto Barclays which wasn't upheld.

I am very frustrated that nobody from Barclays contacted me by phone to highlight the issue in line with the duty of care to their customers.  I am also annoyed at myself of course for allowing this to happen as at the time I didn't check on my credit score via the apps I have since downloaded. At the time I was financially sound so had funds tp pay this off without any issues.

My questions is, where do I stand?  What can I do to raise my frustrations with Barclays? Or do I have to simply wait for time to pass for it to be wiped from my credit score in years to come?  I am particularly worried that my mortgage is due for renewal soon and how this my impact getting good rate.  

Thanks in advance for any advice.

Regards

Anth G

[Deleted User]

You don't really have any grounds. They sent you the monthly statement but you didn't check any of them. They don't have a 'duty of care' beyond that.

The impact will fade in time and drop off your files after 6 years.

Brie

First thing to do is clear the debt in full including interest if you haven't done so already.  Showing that the debt is clear is the biggest help.

Then contact Barclaycard again and agree that you should have checked the emails but didn't and ask if they can help.  I suspect they will say no but if you are polite someone might manage to do something.  

As for them phoning you - I'm not sure why they would as they had emailed you without a response.  At most they might have texted you - but would you have noticed/responded to that?  For myself I would never believe a call from someone saying they were calling from my bank - but I'm a cynic.  

As for re-mortgaging - people on these boards say that your credit report isn't looked at by financial institutions.  So potentially it won't matter.  You might do yourself a favour by cancelling the card completely as having less credit available might possibly get you a better rate.  If you don't cancel it then at least set up a minimum payment DD so you don't default again.

AnthonyGallagher

Thanks Brie!

I spoke with a representative from Barclays shortly after I found out/received the letter.  The advice from them was that it was up to me if I wanted to pay off the £47.  They said it wouldn't make a difference to my file nor the default notice as it had been written off.  I therefore didn't pay it.  However, I will pay it even over 2 years later if it does make a difference.

I haven't shut the account yet will will do so if it puts me in a better position when remortgaging.

Thanks

[Deleted User]

Brie said:

First thing to do is clear the debt in full including interest if you haven't done so already.  Showing that the debt is clear is the biggest help.

Then contact Barclaycard again and agree that you should have checked the emails but didn't and ask if they can help.  I suspect they will say no but if you are polite someone might manage to do something.  

As for them phoning you - I'm not sure why they would as they had emailed you without a response.  At most they might have texted you - but would you have noticed/responded to that?  For myself I would never believe a call from someone saying they were calling from my bank - but I'm a cynic.  

As for re-mortgaging - people on these boards say that your credit report isn't looked at by financial institutions.  So potentially it won't matter.  You might do yourself a favour by cancelling the card completely as having less credit available might possibly get you a better rate.  If you don't cancel it then at least set up a minimum payment DD so you don't default again.

Your credit score is not looked at by lenders, the credit report itself is checked

Cancelling the card is pointless, having available credit, with an untarnished report is not a negative factor, it shows you are a responsible (and trusted) borrower. If anything it might harm your application - there is an ongoing debate about utilisation but closing a card will increase utilisation which could be a bad thing.

That said, the rest I agree with, banks have no responsibility to call customers just because they've not read the emails / letters, defaulting after 6 months is not unreasonable