Incorrectly issued default notice on my credit file

[777jon]

Hi everyone new to the site

I have a long running dispute with a well known high street bank re the issuing of a default notice on my credit file (not sure if I can mention bank but found this site due to looking up a similar case on this site) I found myself in financial difficultly in 2008 so I entered agreement with all lenders to pay back the capital with no interest being charged.
I successfully paid all creditors back all bar one,of which I now I only owe two thousand pounds too I say only as I owed over £32000 at the start of all this.
In December 2011 I received a letter from a solicitors firm stating despite several reminders and a default issued served!!! that if payment was not received within 14 days court proceedings may be instigated against me at this point I owed them £3463.59. was not sure where this had come from as had been paying my monthly agreed amounts.
It also stated in the letter furthermore you are reminded that if our client does not receive a satisfactory response from me it is the policy of this bank to lodge information against me against various credit agencies.
It also went on to say that if I was unable to pay the full balance the bank may be prepared to accept a reduced sum together with realistic proposal for regular payments.
As per the letter I phoned the bank and set out my proposal and completed a expenditure form and I was then put on arrangement plan again.

In May of 2013 I asked the bank for a full and final settlement figure and they said if I paid £2000 pounds that would settle the account even though i owed them nearer £2300 which I agreed

I still owed another bank just over £2600 but it was one less monkey on my back! At no time in these conversations or letters/ accounts received did they state they had defaulted me in December 2011.

I took this to the financial ombudsman and they found said bank should not have defaulted me 2011 and should have defaulted me in May 2010 when my payment plan came to a end ,I am not sure how they found this to be true as my payment plans were reviewed every 6 months, but based this on that I was not meeting my contractual payments percentage to what was owed even though I was on a payment plan as this was poorly explained in the beginning or should I say not explained at all!

Can they back date default notice as was never given any option in 2010 and if I had not been making the full contractual payments since 2008 should it not be back dated to then.

I only found out or was made aware of this default when my wife and I tried to change out mortgage in June 2013 and was rejected on numerous occasions.

Sorry for the long winded post but thought more info the better can anyone help me

regards
Jon

[Amethyst]

Re: Incorrectly issued de fault notice on my credit file

Hiya,

When FOS said they should have defaulted you in May 2010 did the bank amend it at that point on your file?

I'm not sure, sorry, how you had the complaint in with the Financial Ombudsman about the default if you were unaware of it being on your credit file.

What did your other lenders do with regards your credit file?

Who was the letter from in December 2011 - were they acting on behalf of Lloyds or had they purchased the debt ?

Has your account been marked as settled now (since May 2013) ?

If you had been defaulted in May 2010 you would still have that marker on your file, although showing as settled now) until May 2016.

Also yes the account should have defaulted when you asked them to stop interest and allow repayments that weren't agreed in your agreement so if that was in May 2010 then the account should have been marked up to 3 months after that.

[777jon]

Re: Incorrectly issued de fault notice on my credit file

Hi
thanks for the reply,
I will try to answer the questions you a raised
I issued a complaint with the FOS on June 28th when I found this default on my credit file in late May 2013 after receiving very little response from Lloyd s. for about two weeks
First of all I did not except the FOS decision that the default should be back dated to May 2010 as I felt this was still unfair as Lloyd s had not informed me that they were still going to default me even they I had entered into a new arrangement plan and secondly that I had read some where that a incorrectly default notice could stand as the FOS had found that it was incorrectly applied in December 2011.
Lloyd s have not amended my file as I have not excepted the decision from the FOS I have also contacted the information commissioners office and made them aware and they said they would apply pressure if Lloyds do not ammend the file.
My problem is that I would like the default removed completely or have it at least back dated to May 2008 when I first put onto a payment plan as I was not meeting my contractual payments as I am now fully aware of this but was never told this prior to this investigation.
My file reads defaulted/settled on the above as for the rest of my lenders I have no defaults against me this is why I feel I have been so unfairly treated in paying back everybody I owed I ended up with a default that I was totally unaware of.

And if I had known this even back in 2010 from when FOS say it should be back dated to I cannot do anything about this as was not given the chance to.
regards
Jon
ps the letter was from a solicitors acting on behalf of Lloyd s