Lowell refusing to default 2 yr old debt

[paulo671067]

Hi Everyone,

Hoping i might find some help here. Lowell bought two of my debts from Creation Finance back in march 2020 ( 1 x unsecured personal loan (£13,000) & 1 x Credit card (£3500)), I first fell in to arrears on both debts back in October 2019 whilst the debt was still with Creation, In Nov 19 I started a DMP through Stepchange and have made regular payments since, no Default was registered on either debt by Creation before the debts were sold to Lowell.

Since Lowell purchased the debts they have been placing missed payment markers for both accounts on my credit file, they state despite receiving payments through my DMP, these are not for the contractual amounts and therefore will be marked as missed payments and that this will not change until I start making full payments again. The missed payment markers are continually hammering my credit score and giving little to no hope of any improvement going forward.

My total debt on the DMP is £35,000, most of which was through a gambling addiction / self distruction that i went through whilst trying to cope with the final stages of a loved ones terminal ilness, all of my other creditors registered defaults on my accounts within a few months of arrears, apart from Creation. I've complained to Lowell that i feel that there has been an excessive delay to both of these accounts being placed in default, that these defaults should have happened at the very latest 6 months after i fell in to arrears, Lowell are stating that it is at their discretion to default the accounts and that they do not see any reason to do so at this time.

I've kept up with Payments on my DMP since it started, i have not had any late or missed payments anywhere since the commencement of the DMP, but my credit score keeps reducing due to the missed payment markers added by Lowell. The defaults from the other creditors will be two years old later this year, i should be seeing some light at the end of a very dark tunnel, but it just seems to be getting darker.

Can anyone give me some advise as Stepchange don't seem that bothered.

[MIKE770]

hang on was originator owner have a default and issued to you>> only one needed but new owner (say lowells if purchased it) can amend name only (add their instead of originator)

[paulo671067]

Original creditor did not issue any default notice against either of the debts despite me being in arrears for 6 months before the debt was sold on to Lowell in March 2020, no notice of default has been issued by Lowell either since they bought the debt. I've complained to Lowell that both of the debts should have reached the default stage by now as normal practice is 3 months in arrears and then notice of default and for no default to have been issued by month 21 is unduly excessive. they just keep telling me to make my DMP payments and that my credit file will continue to be marked with missed payments until i start making the original full amount of the contractual payments as per the original credit agreement.

i can't help but think something is very wrong here and they are holding off the default and using the damaging tactics on my credit file in order to force me to make payments i just can't make1

[MIKE770]

try not to speak to loweels unless advised. you are giving them ammunition to correct their mistakes.

have you SARd the originator to see all details held by them on you? it would show a default date if they sent you one?? no charge for SAR to originator (do not alert lowells)

ubject Access Request Letter send with prrof of posting its free and keep copies of everything in date order they have 30 days to respond.

[paulo671067]

ICO have asked me to raise a complaint with Lowell before they can do anything, I've logged the complaint Lowell with them and they are going to look in to it. Also spoke with FCA who are confused as to why notice of default wasn't issued as per usual practice by the original creditor once the account had passed 4 months of arrears.

I've just requested SAR from the original creditor.

[paulo671067]

Been a while since i posted on this one but quite a bit has happened.

I got nowhere whatsoever on this until i spoke to a really helpful chap at the FOS, I explained the background to me falling into debt & the actions of Lowell. The FOS then felt that I had a case against Creation for Irresponsible lending, the complaint was upheld by the FOS in March 23 for the loan & the debt was reduced considerably as a result.

Lowell immediately stopped reporting both debts to my credit file ( No record of the debts through any CRA), there has been zero communication from Lowell ever since, not even an annual statement.

We had real difficulties getting any relevant paperwork from Creation, which makes me wonder if Lowell have the original agreements to make the debts enforceable?

I'm applying for a mortgage in a few months, I'll declare the Lowell debts even through they are not showing on my credit file, i can't afford to slip up on the application. My fear though is more as to why Lowell suddenly went silent & will they then suddenly resume the late payment markers on my credit file & blow my mortgage application out of the water?!!?

I found a default for the loan on an old credit file listed at March 2020, but no default can be found for the Credit card, i'm thinking about doing a CCA for both after March 26 - 6 years after the loan Default date & we will see from there if they do indeed have the paperwork to make this enforceable.

Just curious as to why Lowell & those debts would seem to fall off the face of the earth so suddenly?

[echat11]

When were the accounts opened?

There could be more that Lowell's knows, but don't want you to know.
So it's better for them to do nothing.

[paulo671067]

Accounts were opened October 2018 , stopped paying in Oct 2019, debt sold on to Lowell in March 20. Been paying to Lowell via Stepchqnge DMP since 2020, the Loan default is due to hit 6 years in March 26, so a little cautious about poking the bear while it's staying off my credit file.
Once the 6 years are up they cant add the loan back on my file as a default, not sure about the credit card though as no default has ever been registered.

Just can't figure out Lowells behaviour around it all though as I would think they'd be