FOS Upheld Complaint now Zopa are removing my Default

Genie10

Hi All,

The FOS upheld my affordability complaint against Zopa and they've now written to say:

"Zopa will no longer report the loan agreement to the Credit Reference Agencies, and we will remove the loan from your credit file, including any previous negative impact, including the default registered on 2 January 2026."

Does this mean the default simply won't be visible on my credit file, or does it mean the default will be removed altogether?

They also said:

"You can create a plan to your affordability with our Repayments Team, which will be reviewed periodically and, should any plan you agree become unaffordable, this can be reviewed sooner upon your request."

My question is: should I contact them now to arrange an affordable payment plan, or is there still a possibility that Zopa could sell the remaining balance to a debt collection agency in the future?

Thanks.

sourcrates

The whole entry will be expunged from your credit file, it will be as though it never existed.

Debts for FOS upheld complaints, usually stay in-house with the lender, that`s not to say it won`t be sold at some point, but as they have stated they will remove the entry from your credit file, any sale of the debt to a new owner would mean that new owner could start reporting the debt to your credit file again, in their own name, so for that reason it will likely stay in-house.

Genie10

Thanks Sourcrates.

I guess my only option is to start a repayment plan with Zopa themselves.

ManyWays

yes, that is best