Credit reference files and partial settlements

[Never-In-Doubt]

Re: Credit reference files and partial settlements

Hi

Ok if it's a PDL then chances are they'll leave it as late for as long as poss then add a sneaky default later. Easy to remedy if they do this with the CRA's but really to resolve it you would need to contact the CRA's and request they update the status as ICO Guidelines suggest that they should default within 6 months of non payment.

That said, I see no harm in sending the DCA a cheeky offer based on the debt being a £200 loan, possibly offer £200 to settle. Do not mention the credit reference agency at all and then after you settle you can then request an update which would cancel any future late payment markers etc as it'd become settled.

However with all the above in mind - the DCA will likely want paying the full amount so making an offer may be futile. Its up to you really.....

Tell us more details such as;

1. Name of PDL
2. Date of loan
3. Was it carried over or just never repaid?
4. When did you last contact the PDL firm

[JohnS]

Re: Credit reference files and partial settlements

Thanks,

My wife's debt but I understand the details were;

1/ 321 Cash
2/ August 2010
3/ Never repaid at all
4/ November 2012

She received a number of letters and e-mails from a DCA called Resolution Recoveries but they stopped contacting last year. She then received the e-mail from 321 cash in November stating Mackenzie Hall were now dealing with the debt. I have just spoken to her and she said at that point she e-mailed them saying sorry for not paying it and that she did not want to speak to Mackenzie Hall and would they accept an offer direct cutting out the DCA. They said no and said all communication must be through MH. She then asked who owns the debt and they said they still owned it but were using DCA for collection? She then didn't reply and a week later got the first of numerous e-mails from MH and hasn't contacted them at all.

[Never-In-Doubt]

Re: Credit reference files and partial settlements

Thanks,

My wife's debt but I understand the details were;

1/ 321 Cash
2/ August 2010
3/ Never repaid at all
4/ November 2012

She received a number of letters and e-mails from a DCA called Resolution Recoveries but they stopped contacting last year. She then received the e-mail from 321 cash in November stating Mackenzie Hall were now dealing with the debt. I have just spoken to her and she said at that point she e-mailed them saying sorry for not paying it and that she did not want to speak to Mackenzie Hall and would they accept an offer direct cutting out the DCA. They said no and said all communication must be through MH. She then asked who owns the debt and they said they still owned it but were using DCA for collection? She then didn't reply and a week later got the first of numerous e-mails from MH and hasn't contacted them at all.

Hiya

If you want to settle, why don't you email Mc Hall and make an offer to them of say £200 which was the original loan amount? Using the following as a base --> allaboutDEBT | Our Templates | Creditor Offer Templates

[Never-In-Doubt]

Re: Credit reference files and partial settlements

p.s. what has happened is they have sold the duties to Mc Hall but kept the rights for themselves so chances are any offer to Mackenzie Hall will be rebuffed as they'd need to consult the OC.

In this respect your contact must be Mc Hall - not the OC.

Ignorance at this stage could be bliss.....

[JohnS]

Re: Credit reference files and partial settlements

Thanks very much for all your help.

Just regarding your point "ICO Guidelines suggest that they should default within 6 months of non payment". Is this within six months they must send a default agreement or within six months they must inform the CRA that the entry is at the default stage? E.g. if loan taken out August 2010, they send default notice to customer within six months (e.g. January 2011) but never update the CRA entry from late payment to default stage but then decide to in Jan 2013 does this fall within the guidelines of what the ICO have stated?

[JohnS]

Re: Credit reference files and partial settlements

Thanks very much for all your help.

Just regarding your point "ICO Guidelines suggest that they should default within 6 months of non payment". Is this within six months they must send a default agreement or within six months they must inform the CRA that the entry is at the default stage? E.g. if loan taken out August 2010, they send default notice to customer within six months (e.g. January 2011) but never update the CRA entry from late payment to default stage but then decide to in Jan 2013 does this fall within the guidelines of what the ICO have stated?

[JohnS]

Re: Credit reference files and partial settlements

Thanks very much for all your help.

Just regarding your point "ICO Guidelines suggest that they should default within 6 months of non payment". Is this within six months they must send a default agreement or within six months they must inform the CRA that the entry is at the default stage? E.g. if loan taken out August 2010, they send default notice to customer within six months (e.g. January 2011) but never update the CRA entry from late payment to default stage but then decide to in Jan 2013 does this fall within the guidelines of what the ICO have stated?

Can anyone help with the above post please?

[Susie]

Re: Credit reference files and partial settlements

Logically to me, if they have sent you a default notice then I would have thought that the CRA default should reflect that date, but I suspect someone will prove me wrong!

[ken100464]

Re: Credit reference files and partial settlements

Think you will find the word guidelines is what causes the problems.

For that is all they are and each and every occasion will be different.

The thing with the AP marker is that it will keep the debt alive on the CRA's past the 6 years and allow leverage on the debtor by being able to threaten default sometime in the future if they are naughty boys.

I think this is where Niddys advice is particularly sound. If its going to happen get it happened as quick as possible.

[Never-In-Doubt]

Re: Credit reference files and partial settlements

Thanks very much for all your help.

Just regarding your point "ICO Guidelines suggest that they should default within 6 months of non payment". Is this within six months they must send a default agreement or within six months they must inform the CRA that the entry is at the default stage? E.g. if loan taken out August 2010, they send default notice to customer within six months (e.g. January 2011) but never update the CRA entry from late payment to default stage but then decide to in Jan 2013 does this fall within the guidelines of what the ICO have stated?

The guidelines are specific to CRA entries, it's regarding the actions a lender "should" take before updating records. The ICO suggest that the account should be marked as default within 6 months of first missed payment.

Regards defaulting in line with s.87/s.88 CCA1974 - this is totally different and allows a lender to default you and request full payment (after the expiry of a remedy period) of all sums due. This means nothing in relation to the CRA's and is quite a separate matter.

[JohnS]

Re: Credit reference files and partial settlements

I am just worried about three PDL debts - 2 are marked as late payment, 1 marked as up to date with the CRA's.

Loans opened early 2011, no payments made at all.

According to ICO guidelines they shoudln't mark these as defaults with the Credit Refernce Agencies as it's more than six months since missed payment? Is that correct?

In the meantime I'm currently corresponding with them to get these accounts settled with reduced offers using the templates provided. Got my first reponse today from MMF accepting reduced settlement offer of £125 from registered late payment of £375 with Experian/ Call Credit. They are sending me a letter out today confirming this and I am then going to get my mother to send a cheque.

[vint1954]

Re: Credit reference files and partial settlements

I am just worried about three PDL debts - 2 are marked as late payment, 1 marked as up to date with the CRA's.

Loans opened early 2011, no payments made at all.

According to ICO guidelines they shoudln't mark these as defaults with the Credit Refernce Agencies as it's more than six months since missed payment? Is that correct?

In the meantime I'm currently corresponding with them to get these accounts settled with reduced offers using the templates provided. Got my first reponse today from MMF accepting reduced settlement offer of £125 from registered late payment of £375 with Experian/ Call Credit. They are sending me a letter out today confirming this and I am then going to get my mother to send a cheque.

Hi John,

As Niddy has said above, they are only guidelines unfortunately.