American Express Debt & Not Defaulting 22 July 2022 at 1:29PM in Credit file & ratings 8 replies 202 views

johncuff_1

Good afternoon all!

New here!, After much deliberation over asking for some advice I've finally worked up the courage to ask!

I've 3 old debts with Amex, one for £700 which has defaulted, and two others for about £2300 which haven't defaulted.

Last payment on all accounts was in June 2019, and I wanted to know how long Amex can hold out until they default the two other accounts?

Of course, I want to pay them but they haven't been in touch to ask for payment since 2019. But I know if they keep recording it as a late payment and don't default them then they will never 'drop off' my credit report.

Has anyone heard of this before? Thank you all so much in advance - it really is stressing me out!.

johncuff_1

I must add the debts have been passed through 3 different DCAs, each only only having the accounts for 3/4 months before they give up and i presume give them back to AmEx.. I remember I did receive a default notice for all three accounts, but didn't receive any 'notice of assignment' for any DCA they passed the accounts to. 

[Deleted User]

johncuff_1 said:

Last payment on all accounts was in June 2019, and I wanted to know how long Amex can hold out until they default the two other accounts?

Indefinitely.

It would be worth your while asking them to default you. And as you want to pay them, you can do that at the same time, killing two birds with one phone call.

johncuff_1

Thanks for your reply - One question, if one of the accounts defaulted in July 2019, would they backdate the other two defaults to that date? Seems unfair they would only default it from when I ask them too? 

I must add that non payment was due to redundancy and then COVID meant it was impossible to find another job for 1.5 years.

[Deleted User]

You need to ask them to backdate the two that have not defaulted, ideally to within 6 months of when you stopped paying. It doesn't have to be the exact same date.

The cause of non payment doesn't matter - you want it to be defaulted, whatever the reason.

johncuff_1

Thanks zx81, I'll give them a call and speak with them. Hopefully they'll be able to backdate the defaults!

[Deleted User]

ICO guidelines are to default after 3-6 contractually missed payments i.e. usually 3-6 months, they are not mandatory but should really be seen as best practice, quote that at them and explain the financial difficulties you face from them not doing what they should be doing

AmberDepp

Deleted_User said:

ICO guidelines are to default after 3-6 contractually missed payments i.e. usually 3-6 months, they are not mandatory but should really be seen as best practice, quote that at them and explain the financial difficulties you face from them not doing what they should be doing

Precisely.

The FOS (who will be where this ends up) are not interested in companies not following the guidance because it's just that, guidance.

The only argument the OP (maybe) has is that they're applying their own rules inconsistently.

SusieT

johncuff_1 said:

I must add the debts have been passed through 3 different DCAs, each only only having the accounts for 3/4 months before they give up and i presume give them back to AmEx.. I remember I did receive a default notice for all three accounts, but didn't receive any 'notice of assignment' for any DCA they passed the accounts to. 

If you received default notices for all 3 accounts, then the dates on the letters should be the dates on the credit report. With those you can go to Amex and have a very good case for getting them backdated