Payday UK unrecognised account in my credit file

rkmattaparthi · 12 June 2018 at 3:59PM

Hi All,

I've been a victim of identity theft, and in 2017 i've received a letter from BW legal saying i had a payday loan with PAYDAY UK, and the debt was assigned to them. they said they were taking me to court. I panicked and called them and paid it off in full immediately. However when i checked my credit report later i saw defaults on the name of payday uk and i dont know how to remove this?

I've raised a query on experian and this was the response payday uk sent:

"I can confirm the account is in relation to a Payday UK Online loan. Consent would have been provided prior to the application being submitted. Loan was sold to Prac Financial Limited on 9th December 2016 will be managed by BW Legal. Consumer to contact BW Legal on 0113 3234497"

I dont really know what to do. Has anyone been in this situation? and how did u get it removed? This entry has seriously affected my score and now i'm getting rejected for mortgage. I didn't miss a single payment on any of my agreements. I'm having sleepless nights because of this

[Deleted User] · 12 June 2018 at 4:05PM

If it wasn't your debt, you need to dispute it.

However, that may be tricky now you've paid it.

National_Debtline · 12 June 2018 at 5:09PM

Hi there

As mentioned by zx81, it may prove difficult to dispute the debt and the defaults now you have paid it off. This may be seen as accepting liability for the loan. Ideally before paying the debt you would have reported the fraud to Action Fraud, got a crime reference and reported it to the creditor to investigate.

I do understand why you panicked and paid the debt but defaults will only be removed if they are factually incorrect. As the loan was defaulted on before you paid it, the creditor may maintain the defaults are correct. You can try contacting them and explaining the debt was fraudulent but you panicked and paid it off. See if they will remove the defaults on that basis, or just as a gesture of goodwill.

If they won't you could try and complain to the Information Commissioner's Officer (ICO) or Financial Ombudsman Service (FOS) but unfortunately this is not guaranteed to be successful.

Susie
@natdebtline

DCFC79 · 12 June 2018 at 5:44PM

Your score non1 else can see, lenders see your history.
I'd check your reports with the 2 other agencies.

Payday UK unrecognised account in my credit file

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