Credit file help

Tidymind · 8 May 2019 at 7:29PM

Hi,

I'm looking for some advice regarding a catalogue debt I have that is being managed by Lowell. I got in to difficulty a couple of years ago and most of my debts defaulted so are on the 6 year countdown, but this one has not. I have been paying them a token amount every month for almost 2 years and am now looking to start repairing my credit file. My account is showing as AA early arrears with a number 1 and payment was up to one month late, this is the same for every month since it was transferred to Lowell. Is this how it should be reported? Or should it be showing as on an arrangement? Which is worse?

I am thinking of offering them a settlement amount but wondering what options are best for my credit file?

Thanks

MovingForwards · 8 May 2019 at 8:17PM

You do not want AP (arrangement to pay) as that stays on your file for 6 years after you settle it!

You can do a CCA request, someone will come along with a link, and see if the debt is enforceable.

You can also offer them an amount to settle, less than what is outstanding, in full and final settlement.

Tidymind · 20 May 2019 at 1:47PM

Do I send the CA request to Lowell or the catalogue company?

I emailed the catalogue company a few months ago to ask them to confirm if they had defaulted the account or not, they said up to it being passed to Lowell it had not been defaulted.

My credit file shows no sign of the original account with the catalogue company, either open or closed, but just the account now being held with Lowell. I have been on arrangement on the account since March 2016, it was sold to Lowell in Dec 2016 and Lowell have been reporting as 1 month late payment every month since June 2017.

Would it be better for me to offer the F&F settlement now or see if I can get them to change it to Defaulted and backdate it first?

MovingForwards · 20 May 2019 at 3:36PM

It will be Lowell as they are the debt owners.

You could make an f&f offer now or wait and see what the outcome of the CCA request is first.

If they haven't defaulted you and are only putting late payment marker, not AP you are in a good place!

sourcrates · 20 May 2019 at 4:18PM

Hi,

Lowell do not manage debts, they buy them.

One of two things has happened here, are they still charging you interest ?

If so, Lowell have bought the account as a going concern, and have inherited all the rights and privilages of the original creditor.

If they are not charging you interest, then the account has been bought as part of a portfolio of bad debt and has either been defaulted, or should have been defaulted, so which is it ?

Credit file help

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