Default notice question

Brierlyjoe · 22 October 2018 at 7:56PM

Hi,

Due to an oversight I received a default notice after incorrectly cancelling a direct debit and missing one payment.

It seems to me that Premium Credit (the lender) were quite hasty to send me that after just one missed payment.

What are the triggers for sending a DN? Can they do so after missing just one payment?

Is a DN the same as an actual default? If I paid up plus the charge and re set up the direct debit within the 14 days they gave me, did my account actually go into default? i.e., is a default notice effectively the same as a default?

Thanks
Joe

Willing2Learn · 22 October 2018 at 7:59PM

Hi Joe,

As far as I am aware, a DN is your 14 days notice that the account will be defaulted if you do not pay the account arrears in full before the 14 days expires. If you pay up, then the account will not be defaulted. You will still have a 'late payment' marker on your credit file, but at least it won't be a 'default' marker

forgotmyname · 23 October 2018 at 2:40AM

bump to hide more spam.

nic_c · 23 October 2018 at 7:25AM

If you have missed a payment date, you have defaulted on the agreement, and they have correctly sent you a notice, as stated you can still avoid this getting defaulted. Usually Defaults are 3-6 months after the last payment and your last payment was probably almost 2 months ago. There is no specific number of missed payments before they issue one, so it may be a case of making that payment or speaking to them if its an ongoing issue.

sourcrates · 23 October 2018 at 10:59PM

Brierlyjoe wrote: »

Hi,

Due to an oversight I received a default notice after incorrectly cancelling a direct debit and missing one payment.

It seems to me that Premium Credit (the lender) were quite hasty to send me that after just one missed payment.

What are the triggers for sending a DN? Can they do so after missing just one payment?

Is a DN the same as an actual default? If I paid up plus the charge and re set up the direct debit within the 14 days they gave me, did my account actually go into default? i.e., is a default notice effectively the same as a default?

Thanks
Joe

No, they are separate things entirely, a DN gives you, usually 14 days to rectify the breech, ie, make your missed payment, if you do that by the specified date, then the breech will be treated as though it never happened.

Brierlyjoe · 25 October 2018 at 6:48PM

Thanks, that’s reassuring!

Let me know if there’s anything else I should consider.

Default notice question

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