How to remove Default Notices
In addition to county court
judgements (CCJ's) you may find that you have had default notices
or termination notices written on your credit file obtained from the
credit reference agencies.
Default notices and termination
notices are simply a record that is placed on your file normally by
banks and building societies or other financial institutions.
take out a loan or hire purchase agreement you sign a declaration
stating that you agree that should you not keep up your payments in
any way then the bank or other financial institution has the right
to inform the credit reference agencies of your default etc.
This could be due to late
payment or a query over the payment. These notices that are placed
in your file are nothing to do with the county court. They are simply
a way of alerting other finance companies that you are in default
against some other finance company.
Remember this is something
that you have agreed to allow the banks etc. to do when you took out
the loan. It is therefore their right to place these notices on your
file without consulting you or a county court.
The only way to have these
removed is by applying to the company or bank that served the notice
on your file in the first place. In order to do this you will need
to check through your credit file returned from the credit reference
agency as to who actually placed the notice on your file. Once you
have done this you should contact the people who placed the notice
to see if you can come to any kind of arrangement.
They may be willing to do
this in any of the following situations;
- The default notice was served but the payments have been brought
up to date
- The loan has now been totally repaid
- The payments are still in default but you have come to an arrangement
with the finance company
- You totally disagree with the default notice etc. being served,
as you think they have been placed on your file incorrectly
In any of the above cases
you should write to the finance company and ask if they would be prepared
to remove the notice from your file. If they do agree then you need
to get them to put this in writing to you.
They may write and ask you
to pay an administration fee for this, or they may write and ask you
to bring repayments up to date etc.
Once they have written and
agreed that you no longer owe them any money, or that they are happy
with the revised repayment schedule that you have now agreed, you
can then send a copy of this letter to the credit reference agencies
who will then be able to remove the default, termination notice, etc.
from your file.
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