Default Notice after one missed payment

tandydadder

Hi, I’ve received a default notice from Close Brothers insurance after one missed payment. The default was enclosed with the notice that payment had been missed. I am in a position to pay what I owe. My credit rating is currently 999 in Experian & 881 in Equifax. I am furious because I am aware this default will now affect my credit rating for 6 years. Feels like they’re taking a sledgehammer to crack a nut. Plus, I can pay! Payment was due on the 24th May, I received notice & default today, 28th May. Can I challenge this & get it removed from my credit report? I thought defaults were only issued after 3 missed payments or more? Thanks in Advance.

The_Fat_Controller

It should be recorded as a missed or late payment, depending on when you bring your account up to date.

You say you can pay, so how was it missed ?

You cannot challenge it if correctly recorded.

There is only one entity to be furious with and I think you know who that is.

sourcrates

Read it again, does it say "default notice", or "default sums in arrears" ?

tandydadder

sourcrates said:

Read it again, does it say "default notice", or "default sums in arrears" ?

They have sent me a Default Notice & a Notice of Default Sums

Brie

The_Fat_Controller said:

It should be recorded as a missed or late payment, depending on when you bring your account up to date.

You say you can pay, so how was it missed ?

You cannot challenge it if correctly recorded.

There is only one entity to be furious with and I think you know who that is.

Given that you are asking how it was missed I'm wondering why you're blaming the OP.  For all you know it could be that his employer didn't pay him on time or something else.  Besides it's not very helpful.  And if it was his/her own fault I'm sure they are quite capable of chastising themselves!!

But yes I agree that ti should be recorded as a missed or late payment only.

In addition why are you concerned about your credit record?  It may only be of interest to someone it you are planning on applying for credit of some type in the near future.  Generally banks don't concern themselves with these things using their own nefarious methods of determining eligibility for their products instead.

tandydadder

The_Fat_Controller said:

It should be recorded as a missed or late payment, depending on when you
bring your account up to date.

You say you can pay, so how was it missed ?

You cannot challenge it if correctly recorded.

There is only one entity to be furious with and I think you know who that is.

a) Thank you
b)Hubby set it up & gave the wrong account details
c) So can you be defaulted after a first missed payment?
d) No need for that comment 

sourcrates

tandydadder said:

sourcrates said:

Read it again, does it say "default notice", or "default sums in arrears" ?

They have sent me a Default Notice & a Notice of Default Sums

Right, what you have to understand is that a "default notice" and a "default on your credit file", are two very separate things.

Do close brothers report to your credit file ?

tandydadder

Brie said:

The_Fat_Controller said:

It should be recorded as a missed or late payment, depending on when you bring your account up to date.

You say you can pay, so how was it missed ?

You cannot challenge it if correctly recorded.

There is only one entity to be furious with and I think you know who that is.

Given that you are asking how it was missed I'm wondering why you're blaming the OP.  For all you know it could be that his employer didn't pay him on time or something else.  Besides it's not very helpful.  And if it was his/her own fault I'm sure they are quite capable of chastising themselves!!

But yes I agree that ti should be recorded as a missed or late payment only.

In addition why are you concerned about your credit record?  It may only be of interest to someone it you are planning on applying for credit of some type in the near future.  Generally banks don't concern themselves with these things using their own nefarious methods of determining eligibility for their products instead.

Thank you. We were hoping to increase the mortgage to do some home improvements. Also, due to 10yrs of pay cuts (NHS) it has taken me a long time to get into a good financial place. Gutted that now I’ve finally got there, I’ve been hit with this.

tandydadder

sourcrates said:

tandydadder said:

sourcrates said:

Read it again, does it say "default notice", or "default sums in arrears" ?

They have sent me a Default Notice & a Notice of Default Sums

Right, what you have to understand is that a "default notice" and a "default on your credit file", are two very separate things.

Do close brothers report to your credit file ?

I honestly don’t know, they did a hard search on it though. It’s only been 4 days, credit report still good so I’m wondering will it affect my rating next month. Thank you for helping.

Brie

tandydadder said:

Thank you. We were hoping to increase the mortgage to do some home improvements. Also, due to 10yrs of pay cuts (NHS) it has taken me a long time to get into a good financial place. Gutted that now I’ve finally got there, I’ve been hit with this.

May be a case of sooner rather than later then.  As I understand it it takes about 3 months for things to show up on a credit file - it's not instantaneous.  so if you applied now there would be nothing there - assuming the bank cared to check.

sourcrates

tandydadder said:

sourcrates said:

tandydadder said:

sourcrates said:

Read it again, does it say "default notice", or "default sums in arrears" ?

They have sent me a Default Notice & a Notice of Default Sums

Right, what you have to understand is that a "default notice" and a "default on your credit file", are two very separate things.

Do close brothers report to your credit file ?

I honestly don’t know, they did a hard search on it though. It’s only been 4 days, credit report still good so I’m wondering will it affect my rating next month. Thank you for helping.

I don`t know of any insurance companies that report to credit files, so if they have not been reporting your payments, then no default will show, so there will be no ill effects.

On top of that, any default notice has, by law, to give you 14 days to remedy any breach to your account.

It appears the one you received is deficient, so rendering it non compliant.

All smoke and mirrors, you`ve not been hit by anything, so don`t panic.