Trying to remove Default 8

[sncomputing]

During a prolonged period of unemployment I dutifully informed all creditors of my inability to pay the full minimum payment and instead suggeted £10 per month for each until I had a job. All agreed EXCEPT EGG who were a total pain.

Eventually I got a contract in Edinburgh so moved there and proceeded to pay off the accounts settling the 2 Egg accounts in full. I now find that they have registered Default 8's against the 2 accounts and I have been looking at ways of having these removed.

I therefore went down the 'I have not received a default notice, please send me a signed copy' route as expounded on several sites and sent the usual letter asking for signed copy of the agreement, a signed copy of the default notice and a copy of any deed of assignment.

Egg have sent a Template copy of a default notice, a Template copy of a credit agreement and also passed details to Barclaycard as they now have one of the accounts. Barclaycard have sent a 'reconstituted' copy of a credit agreement and they both state that this meets their statutory requirement.

The original letter to Egg was sent by registered post on 27/02/2012 so its well over the 28 day limit for them to reply.

Any advice?

[MrsD]

Re: Trying to remove Default 8

to be honest you defaulted if you didn't pay at least the minimum payment and they defaulted you. Its very rare to get defaults removed and if you actually defaulted almost impossible.

whether or not they a signed credit agreement doesn't affect the default, two seperate issues I'm afraid unless they are taking you to court.


If you've paid the accounts off in full, the CCA is isn't going to help, even if it's technically unenforceable, you've still paid it and they won't give it back.

Sorry if that's not what you want to hear.

[Never-In-Doubt]

Re: Trying to remove Default 8

Have a read here - identical situation...

---> Last payment date - Page 2 - allaboutFORUMS

[sncomputing]

Re: Trying to remove Default 8

Thanks for the reply evenlessdopey, the point I was trying to make was that I didn't even receive a copy of the default notice so had no chance to contact them to discuss. They have also failed to provide me with a true signed copy of the default, only a template that, quite honestly, I could have mocked up in MS Word myself.

I know that Judge Waksman ruled that a reconstituted copy of a CCA satisfies the enforcability of a debt, but what does a Credit Card company have to provide legally to back up a default. Surely some kind of proof that the default was sent to the correct address and proof of the date it was sent?

I am just so annoyed with Egg, all other creditors were OK, I only found out about the defaults when I was refused a car lease last July and examined my credit record. It turns out that the defaults were only registered a few weeks before I paid the balances off in full!!

[Never-In-Doubt]

Re: Trying to remove Default 8

No default is needed, you're getting confused with the provision of s.87/s.88 when you ought to be looking at the fact you did miss a payment thus they can default you, default you in the respect of defaulting the account due to your breaching the agreement by missing a payment. ICO guidelines suggest no earlier than 3 missed payments (3 months) and no later than 6 months.

See my last post, click the link for full details and the ICO Guidance factsheet which I also uploaded. Unfortunately you're snookered - you cannot demand removal.

[sncomputing]

Re: Trying to remove Default 8

Thanks NID, suppose I'll have to stop letting it get to me and wait another 3 years until it lapses, save my energies for the battles that matter!! Maybe another 3 years with no new credit won't be a bad thing!

Thanks for your advice.

[sncomputing]

Re: Trying to remove Default 8

NID, I am a bit confused by your post now as I have had a chance to search some other blog posts. In the post at http://forums.moneysavingexpert.com/...html?t=1868507 #5 (Default removal - Debt paid in full) has template letters "Request for removal of Default" and "Letter to resquest copy of Default Notice - Formal Demand" posted by you.

The second letter actually has a paragraph "As is clearly evident from all previous communication between us regards to this default, I never received any such notice and as a result I contest the accuracy of the default..."

As I stated earlier I didn't receive any Notice of Default and Egg cannot supply me with a copy of one, only a generic template that does not even contain my name or address.

John

Letter to request copy of Default Notice - Formal Demand

Dear Sirs,

Account No:

After recently obtaining a copy of my credit file from the credit agency, I was extremely concerned to note that you'd added a default notice against me on XX/XX/XXXX.

I feel this default entry was not only added unlawfully but also without merit as I agreed to settle in full and was told no default was be registered against me, doing so has immediately put you liable to a breach of Consumer Credit Act 1974, in particular s.87(1) of said Act; I quote the relevant parts for your perusal:

Section 87(1) of the 1974 Act allows the creditor to send you a default notice giving you fourteen days from the date you receive it to pay the arrears. The default notice must contain all of the necessary information under the Consumer Credit (Enforcement, Default and Termination Notices) Regulations 1983 ('the 1983 Regulations'), which includes

• a statement saying the notice is a default notice served under section 87(1) of the 1974 Act
• a description of the agreement
• the name and address of both the debtor and the creditor
• details of the breach (i.e. late payment) and, if the breach can be remedied, the date by which it must be remedied or, if the breach is not capable of remedy, the amount required to be paid after the expiry of the specified date;

As is clearly evident from all previous communication between us regards to this default, I never received any such notice and as a result I contest the accuracy of the default and until such time you can provide proof that you complied with the above Act, you must remove all derogatory data from the files of any credit reference agency (CRA).

I am more than happy to issue you a Subject Access Request which should include a copy of the documents I request, which I am hopeful will include a copy of said termination and default notices which, if they are missing, will leave me no alternative but to seek legal enforcement via CPR31.16. Without sight of said default notice, I cannot argue the authenticity, enforceability or execution and therefore will use this as my claim if I am forced into taking legal action, all costs will also be claimed.

It would, however, be in both our interests if you simply agree to remove the default being that I did actually make full payment as per our agreement. There are so many inconsistencies with the alleged default notice, the execution, the enforceability and the legal compliance that you must surely have no other alternative but to remove it, least of all as a gesture of goodwill?

As I was never in receipt of any of the statutory documents (Notice of Termination of Contract; Notice of Assignment or Default Notice) then the actual default notice that is shown on my credit file is unlawful and should be immediately removed. I do not want to take this through the courts but I will enforce removal by judgement if necessary, at the end of the day you have acted unlawfully by not issuing a fully compliant and correctly executed legal document.

Therefore, assuming you are happy with my proposal please confirm, in writing on letterheaded paper, the following points will be carried out;

• The Default Notice will be removed
• The Status of the account will change from “Defaulted” to “Settled”
• The Current Balance will appear as £0.00
• The Default / Delinquent Balance will be set to £0.00
• There will be no date in the “Defaulted Date” field (as it will be removed)
• There will be no date in the “Date Last Delinquent” field on the report
• This will apply to all 3 Credit Reference Agencies, namely Experian, Equifax & Call Credit

Failure to agree will result in more formal papers being sent, by return and in the meantime, I look forward to your response within the next 21 days.

Yours faithfully




Sign digitally

[swanfan]

Re: Trying to remove Default 8

Have a read here - identical situation...

---> Last payment date - Page 2 - allaboutFORUMS

A quote from the above thread:-

Did you breach the terms of the account? Yes. Ergo the bank has a right to default you. Nothing you can do about that unfortunately - not unless the default was fundamentally incorrect insofar as the ICO agreed with you and told the lender to remove it but they will ask you, did you fall into arrears? You say yes they will say then the default stands.

Different altogether if they tried to enforce this, that is the only time that a faulty DN would ever come into play.

[alangee]

Re: Trying to remove Default 8

sncomputing

I used to think exactly the same as you until Paul explained that a Default Notice and a default entry on your credit file are two different things.

The Default Notice is purely to allow the creditor to take the next step - enforcement of the debt. The default entry on your credit file is to denote that the relationship between the creditor and the debtor has broken down. Thus you could have your credit file in default without receiving a Default Notice.

I think the confusion arises because both of the above are normally enclosed in the Default Notice - i.e. threatening to take further enforcement action, and informing you they will inform the CRA's. Although this is the norm, I am told that they could be dealt with as separate issues.

Alan

[Never-In-Doubt]

Re: Trying to remove Default 8

Have a mooch here. If you wanna argue the DN on your credit file, then the guidance notes used in my complaint are relevant to an extent.

---> allaboutFORUMS - View Single Post - Niddy vs HSBC

[Never-In-Doubt]

Re: Trying to remove Default 8

NID, I am a bit confused by your post now as I have had a chance to search some other blog posts. In the post at

Ermm, you realise this was my post on MSE right (its my template anyways)

However when was it dated, ie the post that you read that from?

Things change mate, after McGuffick v RBS EVERYTHING default notice wise changed. You are arguing over a default entry on your credit file, if you missed payments the lender can and will default you - nothing we can do unless they messed up (as in my case above)!

[Never-In-Doubt]

Re: Trying to remove Default 8

any update to this....?