Credit Card - Default and future Payment

sam550

Hi all I hope someone can help.

The debt in question stems from a Capital One credit card, and due to unforeseen circumstances including job loss, my last payment was made in March 2018. Subsequently, I have had no further communication or transactions with Capital One. 

I understand that a default was placed on the account in September 2018. However, since then, I have had minimal contact, with only a few emails received, which I deleted without opening.

Given that it has been over six years since my last payment and contact with Capital One, I am seeking clarification on whether the debt is now statute barred. Additionally, I am interested to know if the default and associated records will be removed from my credit file around September or October this year.

I would greatly appreciate any information or guidance you can provide regarding this matter.

Thank you for your attention to this inquiry.

Nasqueron

Statute barred happens in E&W 6 years after the last time you acknowledged the debt, if you are certain you have not made any payment or acknowledgment since then, it would be barred now.

After 6 years yes the debt will disappear from your files, assuming they didn't sell on the debt and a debt buyer decides to do a CCJ at the last minute which is unlikely but not impossible. 

sam550

Thank you for your response- this is the snapshot of the default.

Nasqueron

Default is consistent with the guidelines
Balance changing suggests maybe a debt buyer has it - who is the default now reported by? Balance not changing is part of the issue but acknowledging it would include communications where you did. Check there is no CCJ issued either then sit tight until September

sam550

Account is still with capital one as I receive email every few months to check my statement but I delete them without opening….. no noise at all from any debt company and no CCJ either, will the balance be removed as well ? Thing is might be looking to buy a house at some point in January so don’t want any issues related to this.

thanks

Nasqueron

sam550 said:

Account is still with capital one as I receive email every few months to check my statement but I delete them without opening….. no noise at all from any debt company and no CCJ either, will the balance be removed as well ? Thing is might be looking to buy a house at some point in January so don’t want any issues related to this.

thanks

In terms of the rules of finance, 6 years after default it will be removed from your records and 6 years after last acknowledgement is the last time they can chase you i.e. it becomes statute barred. If you do not have a CCJ, that would be the last you would hear of it but even if you did, enforcing it after 6 years is difficult without court permission.

sam550

Hi All,

thank you everyone for great support, do I need to do anything for now or just sit tight and wait what happens in September?

thanks

sourcrates

Capital one tend to hold on to the vast majority of defaulted accounts, instead of selling them on, uncertain as to the logic behind this but hey.

Nothing is going to happen in September except that entry will automatically fall off your credit report.

You might want to hang on to that screenshot to prove default date is accurate, just in case some debt purchasing company comes along in the future looking for a payday, if all stays the same, it will go statute barred on that date.

sam550

Hi,

thank you so much for your response, will the debt be removed from credit file as well ? Currently it’s showing £1826 as current balance - that’ll be removed too along with default ? 

Thanks

Nasqueron

All reference to the debt will be removed after the 6 years is up yes, it'll take some time to update on the free searches but you can complain after the 6 years is up if not.

sam550

I’m concerned about the default being removed from my file on September 7th. However, I’ve been just checked my file and can see over credit limit alert gone on it today -

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this will still leave a mark indicating I went over my credit limit. This could potentially impact my ability to secure a mortgage, which is causing me a lot of stress. Is there any way to address or challenge this?

Thank you