Same debt on Credit Report

I defaulted on a loan in 2018 however the debt is showing on my credit report twice once with the actual lender and then again with the DCA is this right or should it only show once. In addition the original entry is not showing as defaulted it just says it’s closed. 

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  • sourcrates
    sourcrates Posts: 28,548
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    Your debt has been sold, and your file shows entries from the original and the new owner.

    Original entry should show the date of default and a zero balance.

    New owner entry should show same date of default and the outstanding balance.
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing [email protected]. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
  • Brie
    Brie Posts: 9,322
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    Yes that's quite common.  

    So say you owe £100 to Vodafone but never paid it.  Eventually they will close their file and sell the debt along to a debt collection agency for a fraction of the price.  The DCA will then log that you owe them the full £100 and try to collect. 

    Some reports will have it showing that £100 is owed to both but anyone reading it will know that Vodafone is no longer interested but rather is just the source.  Other times the original creditor will have registered that the debt went from £100 to zero with the £100 showing up on the DCA at about the same time or perhaps a month later.  
    "Never retract, never explain, never apologise; get things done and let them howl.”
  • jackjones01
    jackjones01 Posts: 466
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    edited 30 December 2023 at 2:58PM
    Your debt has been sold, and your file shows entries from the original and the new owner.

    Original entry should show the date of default and a zero balance.

    New owner entry should show same date of default and the outstanding balance.
    This is how they both show on my Equifax report - I have only ever had one loan and the info don’t seem to tally the original debt don’t show as being defaulted. 



  • Brie
    Brie Posts: 9,322
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    Yes - precisely as expected.  

    The loan for £2258 shows as having defaulted in 2018 and settled in 2019 (so balance became zero) when it was passed to the DCA.

    The second bit shows the default amount of £1710 in 2018 with the DCA which presumably you paid off so that it was marked as settled in May 2021 with a zero balance.
    "Never retract, never explain, never apologise; get things done and let them howl.”
  • jackjones01
    jackjones01 Posts: 466
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    edited 30 December 2023 at 8:09PM
    Brie said:
    Yes - precisely as expected.  

    The loan for £2258 shows as having defaulted in 2018 and settled in 2019 (so balance became zero) when it was passed to the DCA.

    The second bit shows the default amount of £1710 in 2018 with the DCA which presumably you paid off so that it was marked as settled in May 2021 with a zero balance.
    Great thanks - should I be concerned the original lender does not have a default date on the entry, 
  • sourcrates
    sourcrates Posts: 28,548
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    No, the whole lot will drop off your credit file on the 6th anniversary of the default date next year.
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing [email protected]. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
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