Help please

[numpty1]

Hi,

I had a loan with Wonga which defaulted due to me being off on long-tern sick leave. I tried to set up a payment arrangement with them but they wanted £300 per month which was not an option for me and would not negotiate. I have heard nothing from them since July last year and then I checked my credit report with Experian today and the Wonga account is now in default! I have had no default notice although I did receive this last year during negotiations:

From:
To:
Date: Sat, 31 Jul 2010 22:24:29 +0100
Subject: Important notice from Wonga – do not ignore







Message body


Dear

As previously advised your account is seriously in arrears. Our NEXT STEP is to inform one or more credit reference agencies that your account is in DEFAULT*. This has SERIOUS CONSEQUENCES and will probably impact your credit rating. The notice of your DEFAULT may stay on your credit file for up to SIX YEARS.You can avoid this by calling us on 0844 842 9109 and paying your arrears of £1,538.87.Where we inform any credit reference agencies, we will then consider that we have little option to take one of the steps laid out below:

We may take LEGAL ACTION against you or instruct a SOLICITOR to do this on our behalf.
We can instruct a debt collection Agency to recover the debt by any means permitted by LAW. (This may mean that a debt collector calls to your home to collect payment or to assess your assets prior to taking Legal Action).
Where your debt is great enough we may instruct a SOLICITOR to commence BANKRUPTCY PROCEEDINGS against you by issuing you with a STATUTORY DEMAND.


You must call us today and we may still be able to help you. If you ignore this matter it will not go away and you will end up paying more and facing the inconvenience of the steps outlined above.ACT NOWCall 0844 842 9109 immediatelyCollections Department
As your agreement with us is already at an end, we are not required to serve you with a Default Notice in accordance with Section 87(1) of the Consumer Credit Act 1974.Wonga.com is a trading style of Wonga.com Ltd. Registered in England and Wales. Registered Number: 6374235. Registered Address: 88 Crawford Street, London, W1H 2EJ
docref[A4]"

So they do not have to issue a default notice?

Also how did our agreement come to an end? Because it was in arrears? Do they not need to issue a termination notice?

Thanks in advance

[jen_br]

Re: Help please

Um that letter that you got there is telling you they are going to default you-- pretty much you miss a payment your in default of your account. The agreement with you and said lender can come to an end as your not holding up your bargain. I suggest sending to them a list of your income and expenses and try to negotiate.

[numpty1]

Re: Help please

I thought a default notice had to contain certain things and this one states at the bottom that they don't have to send a default notice.

[Never-In-Doubt]

Re: Help please

See this:---> http://forums.all-about-debt.co.uk/showthread.php?t=17

However as you never paid, you'll get defaulted. Not much you can do really. After the McGuffick v RBS case, lenders can and will report accurate data to the CRA's. Sorry, you'll have to grin and bear this default.

[numpty1]

Re: Help please

So they don't have to send a correct default notice before placing the account in default?

[Never-In-Doubt]

Re: Help please

So they don't have to send a correct default notice before placing the account in default?

Nope, the moment you miss one payment they can default you - however they cannot enforce the debt without a correct and lawful default being added.

You'd be better appealing to their better nature for removal, we do have templates but only if you agree to settle to debt....