No Default Notice Recieved

[ExeCute]

Hi Guys,

Hope you can help, I have 2 defaults for the same debt which I recently noticed on my credit file from 3 years ago which I did not even know existed. Basically I feel a little hard done by and now cannot get a mortgage which I was looking at getting. Heres the background :-

2006 - Open MBNA Credit Card account
2008 - Enter agreement with MBNA on reduced payment plan via 3rd party - Never missed a payment and paid for 2 years automatically.
2010 - My debt was sold to Moorgate and a default was issued on MBNA entry. Moorgate also has issued a default for this debt on the same date.
2013 - I discover these defaults and begin investigating as I had no idea there was a problem and was still paying up until this date.
2014 - Issued SAR to MBNA as I received no notice of default or any details from them on what was wrong.

Basically they took my reduced payments for 2 years then suddenly sold the debt without my knowledge at the time. I automatically paid a 3rd party who paid the agreed reduced payments to MBNA.

2014 History :-

January - SAR Recieved from MBNA and no notice of default or any details sent to me regarding selling this debt on
Febuary - I sent a complaint to MBNA about the above.
March - MBNA replied with final statement stating notice of default was sent in 2010, which I have never received. And default was issued because the debt would not have been cleared within 5 years. They also did not make this clear, this would have been a matter of £6 extra a month and If they had told me id have done something about it.

I have never missed a payment even prior to negotiating a reduced plan. I thought they were OK with this as they entered the reduced agreement with me for 2 years before then selling off the debt without my knowledge. Do I have any leg to stand on with this or know what I can do to possible have this default removed if I do have any options?

[ncf355]

Re: No Default Notice Recieved

Hi,

for now, I wouldnt pay too much heed

Until 6 years and 3-6 months from the date of 'breakdown of relationship' you wont have a case against removal of the Moorgate default

ICO guidelines state the Default should be registered within 3 to 6 months of the breakdown (first missed/partial payment) and last for no longer than 6 years.

And to be honest, whether you have 3 Defaults or 1 on your file, you won't get any credit from standard 'high street' souces (especially mortgages) so there is not much point in tackling this until (going on your dates above, roughly) December this year?

When was the last full payment made on the account (consecutive, unbroken period of at least the minimum required monthly payment)?

[ExeCute]

Re: No Default Notice Recieved

Hi ncf355,

Thanks for your reply. After reading my SAR again, I have looked through the logs and found the dates.

02/06/2007 - Last payment made
02/07/2007 - First Late Payment (Minimum payment required was around £70 on a debt of £3600 with a £3500 limit)
02/08/2007 - Missed Payment again
14/09/2007 - First payment via DFH for reduced payment £26
04/10/2007 - MBNA Approved Rate Reduction - 0% Interest with Fees Suppressed - Set and agreed at £31 payments

This continued for 3 years after which they sold the debt and issued a default.

[ncf355]

Re: No Default Notice Recieved

Hi

Based on that, they should have marked the Default by December 2007 and should have remove it by January this year

[ExeCute]

Re: No Default Notice Recieved

Hi

Based on that, they should have marked the Default by December 2007 and should have remove it by January this year

Hi,

Because I have already complained to MBNA about not receiving a notice of default will this affect me asking them to change the date?

How would you recommend I approach this ? A simple letter to MBNA and Moorgate alerting them to the information you stated?

Thanks!

[ncf355]

Re: No Default Notice Recieved

Hi,

Bit busy at the moment but I'll post a sample letter tomorrow morning for you

[ExeCute]

Re: No Default Notice Recieved

Hi,

Bit busy at the moment but I'll post a sample letter tomorrow morning for you

Much appreciated. Again thanks for being so quick.

[ncf355]

Re: No Default Notice Recieved

Regards default on your credit file:

__________________________________________

(TO MOORGATE)


I DO NOT ACKNOWLEDGE ANY DEBT TO YOU OR ANY RELATED 3RD PARTY

Dear Sir/Madam,

RE: ACCOUNT xxxxxxxxxxxxxxxxxxxxxxxx (FORMERLY MBNA)

On (DATE) In sent a complaint to the original creditor regards a Default entered against my credit file.

Having had time to investigate the situation further, I note that you have also entered a default for this alleged debt.

I am sure you are very much aware that the ICO's stance in such matters is that a Default should be entered within 6 months of the 'breadown of relationship'.

In this situation I believe that date to have been reached December 2007, at which point the default should have been registered by the original creditor.

This means that the default should now have been removed from my CRA files as we are now well in excess of the 'industry standard' 6 year period after which all data regarding this alleged debt should be removed.

Note that as a debt purchaser the ICO's position is also that you should not 'reset the clock' and the length of time a default should be entered and maintained remains the same.

Accordingly, I now require and demand that you take immediate steps to have this negative data removed from all 3rd party CRA files, this action to be taken within 14 days from the date of this letter.

Should you fail to meet this reasonable request and timescale, I shall make a formal complaint to the ICO regards your improper data processing and also consider civil action for damages.

Please note that I reserve the right to action for damages even if the offending data is removed immediately as I feel you have failed to take due care with my personal data.

Yours faithfully,

X


(IF YOU SIGN, USE A COMPUTER FONT!!)

_____________________________________________

(TO MBNA)


I DO NOT ACKNOWLEDGE ANY DEBT TO YOU OR ANY RELATED 3RD PARTY

Dear Sir/Madam,

RE: Account XXXXXXXXXXXXXXXXXXXXXXXXX

On (DATE) I sent a complaint regards a Default you have entered against my credit file.

Having had time to investigate the situation further, I find your response in this matter unnaceptable.

I am sure you are very much aware that the ICO's stance in such matters is that a Default should be entered within 6 months of the 'breadown of relationship'.

In this situation I believe that date to have been reached December 2007, at which point the default should have been registered.

This means that the default should now have been removed from my CRA files as we are now well in excess of the 'industry standard' 6 year period after which all data regarding this alleged debt should be removed.

I now require and demand that you take immediate steps to have this negative data removed from all 3rd party CRA files, this action to be taken within 14 days from the date of this letter.

Should you fail to meet this reasonable request and timescale, I shall make a formal complaint to the ICO regards your improper data processing and also consider civil action for damages.

Please note that I reserve the right to action for damages even if the offending data is removed immediately as I feel you have failed to take due care with my personal data.

Yours faithfully,

X


(IF YOU SIGN, USE A COMPUTER FONT!!)

[ncf355]

Re: No Default Notice Recieved

On another note, have you requested a copy of the agreement?

Considering the date you took the card, I would definitely do this as you may find the agreement to be unenforceable, meaning they could never take it through court and you could, if you wished, stop payments altogether (assuming you are willing to ignore lots of letters!)

[ExeCute]

Re: No Default Notice Recieved

On another note, have you requested a copy of the agreement?

Considering the date you took the card, I would definitely do this as you may find the agreement to be unenforceable, meaning they could never take it through court and you could, if you wished, stop payments altogether (assuming you are willing to ignore lots of letters!)

Hi,

I requested this when I SAR'd MBNA. But I have paid off the balance in full 2 months ago.

Many thanks for the above, I will get them signed and sent.

Really appreciate your help!

[ncf355]

Re: No Default Notice Recieved

See, this is what REALLY bugs me

You paid the balance off in full, so to my mind that Default should have been given particular attention by MBNA and MC to get it removed on time (if not before)

The joke is, that once they Default you, if you think there is the slightest chance the agreement would be unenforceable (and lets face it, if the agreement was executed prior to April 2007 there is a damn good chance of that) why pay them anything?

Beyond not getting their 'threatograms' once they default you there is NO incentive

Whether you pay or not wont alter the Default

The ICO position on this always seems to be the fact the blance is updated matters - it doesnt

This need to change

[ExeCute]

Re: No Default Notice Recieved

I was quite ignorant to this "unenforceable" option, and always believe I should pay back what I owe so I guess that's why I never even thought of it. Though the way they have issued this default, as I honestly had no idea they actually did issue a default till a few years later does grate at me so maybe it would have been a nice option if I had known.

[ExeCute]

Re: No Default Notice Recieved

Regards default on your credit file:

__________________________________________

(TO MBNA)


I DO NOT ACKNOWLEDGE ANY DEBT TO YOU OR ANY RELATED 3RD PARTY

Dear Sir/Madam,

RE: Account XXXXXXXXXXXXXXXXXXXXXXXXX

On (DATE) I sent a complaint regards a Default you have entered against my credit file.

Having had time to investigate the situation further, I find your response in this matter unnaceptable.

I am sure you are very much aware that the ICO's stance in such matters is that a Default should be entered within 6 months of the 'breadown of relationship'.

In this situation I believe that date to have been reached December 2007, at which point the default should have been registered.

This means that the default should now have been removed from my CRA files as we are now well in excess of the 'industry standard' 6 year period after which all data regarding this alleged debt should be removed.

I now require and demand that you take immediate steps to have this negative data removed from all 3rd party CRA files, this action to be taken within 14 days from the date of this letter.

Should you fail to meet this reasonable request and timescale, I shall make a formal complaint to the ICO regards your improper data processing and also consider civil action for damages.

Please note that I reserve the right to action for damages even if the offending data is removed immediately as I feel you have failed to take due care with my personal data.

Yours faithfully,

X


(IF YOU SIGN, USE A COMPUTER FONT!!)

Just to update you its been almost 2 weeks from tomorrow these 2 letters were posted out recorded.

Moorgate has replied a couple of days after posting to say they were looking into it and MBNA have just ignored me.

[ncf355]

Re: No Default Notice Recieved

Hi,

I assume you have checked your files to see if they've removed it without telling you?


Also, looking back through, despite the SAR you still havent had a copy of the original agreement and related terms?



Please answer the above, and in the meantime, here's letter #2:

[ncf355]

Re: No Default Notice Recieved

(TO BOTH)


I DO NOT ACKNOWLEDGE ANY DEBT TO YOU OR ANY RELATED 3RD PARTY

Dear Sir/Madam,

RE: ACCOUNT xxxxxxxxxxxxxxxxxxxxxxxx (FORMERLY MBNA)

Further to my previous correspondence (copy attached), I note that you are yet to address my issue with the out of date default you currently report to credit reference agencies, causing damage my credit.

I consider you have had ample time (14 days) to investigate and take steps to address this issue, but have failed to do so.

Accordingly, I now give you a further 7 days from the date of this letter to remove the offending default or face further action for your reckless and unjustified attitude to my personal data.

I would ask that you consider the recent ruling in the Supreme Court regards Durkin v DSG Retail and Others, 26th March 2014 and note that this sets clear support for action for substantial damages in such an incident.

With reference to the above, and in addition to the removal of the data, I require that you offer realistic compensation for your actions.

Yours faithfully,


X

(SIGN WITH A COMPUTER FONT!!)