Virgin - no default after 6 months

freshstart2023

6 payments have been missed on my Virgin cards, still no defaults and they still continue to apply interest and charges. How long can this situation continue? Thanks. 

Brie

have you talked to them about this?  

why wouldn't they apply interest if you're not paying and also not talking to them??

freshstart2023

I am hoping to start a DMP and the advice on the forum has been to ignore and not make contact. I was wondering how long things can continue like this before defaulting. Thanks 

sourcrates

As long as it takes, guidance states defaults can be applied after between 3/6 missed contractual repayments, but in practice it can take as long as a creditor wishes, sometimes they don`t default at all, treat every account on its own merits.

freshstart2023

Thanks Sourcrates, that’s very helpful. I didn’t realise it could be a ‘how long is a piece of string’ type scenario..will just need to sit tight in that case. Thankyou! 

RAS

Nothing to stop you setting up nominal payments to any other creditor who has defaulted debts.

Just make sure you do save anything you are not paying currently into your emergency fund.

freshstart2023

Thanks RAS, I will do. I’m just awaiting them to be sold on or at least to receive correspondence seeking payment and I will absolutely get something set up. I can’t wait to get everything in place and actually start making a dent in it 

MrRichTea

I've seen so many posts on here about Virgin being far & wide the worse for dragging out missed payments / not defaulting, I think I saw 17 months other day, I would prepare for a long-hual. good luck.

Rob5342

MrRichTea said:

I've seen so many posts on here about Virgin being far & wide the worse for dragging out missed payments / not defaulting, I think I saw 17 months other day, I would prepare for a long-hual. good luck.

They were absolutely terrible with me and didn't default me until 18 months after I'd stopped paying. I don't know why they make It so difficult for people, Barclaycard defaulted me after three months and backdated the default to the date Stepchange told them I'd started a DMP. I made a big mistake in following Stepchange's advice and starting the DMP straightaway which probably had some bearing on how bad they were, although Barclaycard treated me as well as they could possibly could in the same circumstances.

Superhoopza

This is really important when people advise DMPs, yes defaults clear after 6 years but if it takes up to a year in some cases to get a default, in reality you are looking at 7 years until you have good credit history. Yes there's lots of other factors in play but I rarely see this mentioned when DMP and default advice is given.

freshstart2023

This is true and the charges/interest definitely rack up over such a period also 😭