Defaults starting to hit credit file…guidance?

allystar

So, 3 payments missed to all creditors to date and so far default letters under section 87(1) from Tesco & Zopa…nothing on credit file yet.

Question: how long from these letters does it take to hit my credit file? Tesco have terminated the agreement but can only see missed payments on credit file.

Tesco letter mentions full payment due, but Zopa are still just mentioning the arrears - confusing!

Virgin, HSBC, Admiral Loans, Ratesetter all still at arrears stage…

Once default hits credit file, I pay nothing until I get further letter from either lender or whoever they pass it to…is that correct?

Thanks again for reading and providing this invaluable advice…I’m now at least sleeping better and not constantly worrying!

Rob5342

It normally takes a month or two to show up on your credit report once they have defaulted you. Yes, once you have confirmation it has defaulted then wait until someone writes to you wanting payment then you can engage with the and start paying. 

allystar

So defaults under section 87 are starting to filter through… nothing on credit file yet.

Ratesetter loan agreement has been terminated this week, still nothing on credit file. 

What is ludicrous is that Ratesetter have terminated the agreement, but are still trying to take a payment via DD…I cancelled all my DDs in December…

is this normal?

allystar

Went on to Ratesetter and this is showing…I know they have closed my account…not quite sure what this means. Are they in process of selling it on??

allystar

Just checked again this morning…looks like my account is closed. When I go on loan history, under default status it says DCA…I expect it will hit my credit file at some point soon, but sit tight until I know who to pay…??

Rob5342

Yes there is no rush to start paying,at some point you'll be contacted by someone asking for payment then you can go ahead and start paying. 

sourcrates

Metrobank bought out Ratesetter in 2023, they themselves have been struggling of late and apparently have literally just struck a rescue deal after they sold their unsecured loans catalogue just last month.

So your account would have been sold anyway, no mention in the press who the loans book has been sold too though, maybe some while till you are written to, if at all.

allystar

1st Default has hit my credit file for Tesco CC…Will wait patiently to hear from them. 

ironically my credit score on both credit karma and clear score has increased this month…just goes to show how meaningless it is.

allystar

sourcrates said:

Metrobank bought out Ratesetter in 2023, they themselves have been struggling of late and apparently have literally just struck a rescue deal after they sold their unsecured loans catalogue just last month.

So your account would have been sold anyway, no mention in the press who the loans book has been sold too though, maybe some while till you are written to, if at all.

Looks like Arc Europe have something to do with it…received a text message today to say they’ve sent me an important letter…there’s a link but not sure I should access…or just wait on snail mail.

allystar

Email received but not planning to do anything as no default yet on my file