Help needed please - Wrong Default Date

[charitynjw]

Re: Help needed please - Wrong Default Date

Oh yes, they are desperate for you to contact them by 'phone!

"........hopefully agree a resolution with you verbally. This is the quickest & easiest way for us to *callously screw you out of your hard-earned money."

Everything in writing, with proof of postage - makes it a bit more difficult for them to bulls........er, be economical with the truth!

(*is how I would read it)

[ncf355]

Re: Help needed please - Wrong Default Date

Can't believe how helpful everyone has been on here.

I have written a letter using the above template and added that under OFT rules/procedures the alleged default should be statute barred. I will keep you updated.

How long do lowell have to get back to me?

Chris

Hi Chris,

just a note here that Statute Barred isnt connected to credit reports - this relates to whether they can take legal action against you for a debt that is more than 6 years old, where you havent acknowledged the debt in writing or made a payment.

The 6 years for the Default is the ICO's (not OFT) guidance on when the Default (and all data related to the account) should be removed - this is also "industry standard practice" (as quoted by many lenders in many court papers!)

See the ICO Default guidance paper HERE (well worth a read)

[chrisnecca]

Re: Help needed please - Wrong Default Date

Hi Chris,

just a note here that Statute Barred isnt connected to credit reports - this relates to whether they can take legal action against you for a debt that is more than 6 years old, where you havent acknowledged the debt in writing or made a payment.

The 6 years for the Default is the ICO's (not OFT) guidance on when the Default (and all data related to the account) should be removed - this is also "industry standard practice" (as quoted by many lenders in many court papers!)

See the ICO Default guidance paper HERE (well worth a read)

Thanks NFC , I am going to write another letter anyway as that one says they are going to look into it but sound like they want all correspondence on the phone which I am not going to do given the fact I can't trace it.

[remy70]

Re: Help needed please - Wrong Default Date

I have a problem with Lowell portfolio too at moment. I had a lot of debt which has now disappeared after the 6 year period stated for credit reference agencies. but now I have noticed just one default notice from Lowell portfolio on 2011..... I have never had any dealings or made any payments to Lowell portfolio. I know have Equifax dealing with this on my behalf as I have never had any credit since 2007/2008 so why has a default now cropped up in 2011????? any assistance would be appreciated thanx

[FlamingParrot]

Re: Help needed please - Wrong Default Date

I have a problem with Lowell portfolio too at moment. I had a lot of debt which has now disappeared after the 6 year period stated for credit reference agencies. but now I have noticed just one default notice from Lowell portfolio on 2011..... I have never had any dealings or made any payments to Lowell portfolio. I know have Equifax dealing with this on my behalf as I have never had any credit since 2007/2008 so why has a default now cropped up in 2011????? any assistance would be appreciated thanx

My guess is Lowell must have purchased an old debt of yours and recorded their own default. They shouldn't, but they often do. They are supposed to just update the record with their name as the new owner, leaving the default date intact. Any idea what debt this could be for?

[remy70]

Re: Help needed please - Wrong Default Date

yes Lowell bought it off hfc bank years ago about 2008. so how would I tackle this? thanx for getting back to me

[remy70]

Re: Help needed please - Wrong Default Date

also I thought it was only lenders could leave a default not debt collectors? just a thought......thanx

[ncf355]

Re: Help needed please - Wrong Default Date

Do you know the date you made the last payment on the account?

What type of account is this? (credit card /loan)

DCAs are permitted to write data so long as they now own the account

[remy70]

Re: Help needed please - Wrong Default Date

I believe it was for a loan....I haven't made any payments since 2008 jan so this is why im confused this has popped up now??? thanx

[FlamingParrot]

Re: Help needed please - Wrong Default Date

yes Lowell bought it off hfc bank years ago about 2008. so how would I tackle this? thanx for getting back to me

Presumably this was defaulted in or before 2008, in which case the default should be on its way out (depending on what month in 2008 it was defaulted on). The guidance states defaults should be filed 3 to 6 months after you first miss a payment.

11 Time framework
Although there will be some flexibility in the definition of a breakdown, we believe there should be general rules for the minimum period of arrears which should exist before a default can be filed. Equally there should be a maximum period after which, if anything is to be recorded with a credit reference agency, a default must be filed. The following are in line with the practices currently adopted by most lenders.

• Accounts should not be routinely filed as being in default where full payments or those due under a rescheduled agreement are fewer than three consecutive months in arrears.
• Accounts should normally be filed as being in default where those payments due have not been received for six months.

[remy70]

Re: Help needed please - Wrong Default Date

oh also looked on my credit file the start date says 2006 so I wouldn't of made any payments probably going back to 2006 then. as I have never ever paid a DCA thanx any help appreciated

[FlamingParrot]

Re: Help needed please - Wrong Default Date

also I thought it was only lenders could leave a default not debt collectors? just a thought......thanx

The original default should be recorded by the lender, since debts would only be sold to debt purchasers after being defaulted. The debt purchaser can update the CRA records to reflect the new ownership of the account, but the default date should be unaffected.

The Technical Guidance for filing defaults with the CRAs states the following:

The ‘sale’ or assignment of debts on defaulted accounts

52 When the rights to a debt are sold to a third party, the lender has to make sure the records with the credit reference agency are accurate, up to date and adequate. If they want information about the debts to continue on the credit reference file they will need to come to an agreement with the purchaser about who is to be responsible for this.
53 If the purchaser agrees to take control of the record, the customer should be informed that the debt has been sold or assigned and to whom. The credit reference agency file should be changed to show the name of the purchaser and that the rights to the debt have been sold or assigned. The purchaser should then make sure the record is kept up to date including changes to the amount still owed. The purchase should not affect how long the record is kept. It should be removed six years after the default.

[FlamingParrot]

Re: Help needed please - Wrong Default Date

oh also looked on my credit file the start date says 2006 so I wouldn't of made any payments probably going back to 2006 then. as I have never ever paid a DCA thanx any help appreciated

That being the case, you should write to the CRA(s) requesting the removal of said default, as it's older than 6 years. :thumb:

For the purposes of CRA defaults, it wouldn't matter if you paid a DCA afterwards, as above, a default should have been recorded shortly after you stopped making your contractual payments.

It WOULD matter for the purposes of the Limitation Act, if you had made any payments after defaulting, the debt may not be SBd even after dropping of your credit files, from the above, it sounds like this one would be SBd. :thumb:

[remy70]

Re: Help needed please - Wrong Default Date

all my debts have dropped off apart from this one and all my debts were stopped being payed by me at the same time. hence I cant see why Lowell have added a default notice in 2011???? so how do I get this default removed? do I get in touch with Lowell?? also on my Experian report which I got back in 2012 showed a default date with Lowell which the date was 12/03/08 which I assume is for the same date...thanx

[remy70]

Re: Help needed please - Wrong Default Date

sorry I meant debt not date...im in the middle of Equifax dealing with Lowell portfolio but I suspect they will come back and say the default date is right. if so how do I tackle it then? thanx parrot