Missed two phone payments and credit rating hit
Discussion
My daughter innocently missed two consecutive months payments on her EE phone contract and she has taken a hit on her credit rating. The error was a result of switching current accounts and the direct debits not being carried across. She repaid the amount owing and re-instated the direct debits. Her previous payment record was impeccable. Apparently EE can't do anything about it even though it's been remedied. Any suggestions as to how we might try and fix this?
Many thanks
Many thanks
It's not totally not her fault. She should have checked the DD's had transferred over correctly.
I think she can request that a note is put on the credit file to explain the defaults. This is done with the credit reference agencies.
Whether any potential creditor would actually look though is a different matter.
I think she can request that a note is put on the credit file to explain the defaults. This is done with the credit reference agencies.
Whether any potential creditor would actually look though is a different matter.
You are right. She is not blameless. I have three kids in their 20s and, like many, they don't read hard copy mail immediately. The phone companies don't help because they constantly phone/text customers with upgrade offers so my kids don't answer these calls even though some may be reminders. However a 10 year unblemished record should count for something.
ChasW said:
You are right. She is not blameless. I have three kids in their 20s and, like many, they don't read hard copy mail immediately. The phone companies don't help because they constantly phone/text customers with upgrade offers so my kids don't answer these calls even though some may be reminders. However a 10 year unblemished record should count for something.
How old is she? (Not for obvious PH reasons...)My rating took a little bit of a hit, but you can quite easily, if you are careful, build it back up with some sensible credit card use.
So unless she is looking to a buy a house tomorrow she has plenty time to improve.
EE did similar to me, although luckily I picked it up before they put a default on file.
I switched current account, which I had previously paid the EE bill from (but had since changed to another account).
After the switch EE decided to just delete all the details and not bother telling me - then I got charged a fee for paying by debit card.
w
kers.
I switched current account, which I had previously paid the EE bill from (but had since changed to another account).
After the switch EE decided to just delete all the details and not bother telling me - then I got charged a fee for paying by debit card.
w
kers.ChasW said:
You are right. She is not blameless. I have three kids in their 20s and, like many, they don't read hard copy mail immediately.
I dont think I have any accounts which still send me postal mail. They're all set to email or online management, so anything arriving in the post should be advertising. is there a particular reason you are so worried about it. its bound to happen and it will probably happen again too, its not the end of the world.
You cant do nothing about it expect request to have a note put on the system against it with the credit agency but in all honesty that is going to be no difference at all except for make yourself feel better.
You cant do nothing about it expect request to have a note put on the system against it with the credit agency but in all honesty that is going to be no difference at all except for make yourself feel better.
ChasW said:
My daughter innocently missed two consecutive months payments on her EE phone contract and she has taken a hit on her credit rating. The error was a result of switching current accounts and the direct debits not being carried across. She repaid the amount owing and re-instated the direct debits. Her previous payment record was impeccable. Apparently EE can't do anything about it even though it's been remedied. Any suggestions as to how we might try and fix this?
Many thanks
2 missed/late payments are not even worth mentioning on a 10 year credit history that's been good in all other respects. You are worrying about nothing and there's nothing you or her can do to fix it other than pay the debt asap. I have more than my fair share myself because I get that much sMany thanks
t through the letterbox that I only round it all up every month or so and deal with the bills then, by which point there's often a couple of reminder bills. It's not that I don't have the means, it's just that I can't be arsed and I don't like automatic direct debits because of their habit to automatically adjust them to suit themselves. None of this lazy approach to paying my bills has adversely affecting my credit rating. I have no problems getting approved for large loans and credit cards with good limits should I want them.Mattt said:
EE did similar to me, although luckily I picked it up before they put a default on file.
I switched current account, which I had previously paid the EE bill from (but had since changed to another account).
After the switch EE decided to just delete all the details and not bother telling me - then I got charged a fee for paying by debit card.
wkers.
A missed payment isn't a default. You only get a default after about 6-8 months of not paying anything.I switched current account, which I had previously paid the EE bill from (but had since changed to another account).
After the switch EE decided to just delete all the details and not bother telling me - then I got charged a fee for paying by debit card.
w
kers.Did she switch her bank account using the full Current Account Switching Service (CASS) - where her old current account would get closed in the process?
This switch would come with a Switching Guarantee which means that your new bank are responsible for remedying any issues caused by the switch on your behalf.
This switch would come with a Switching Guarantee which means that your new bank are responsible for remedying any issues caused by the switch on your behalf.
2 missed payments on 1 account is not a big issue, not brilliant but not disastrous. The main thing is to get the account back up to date, bringing the account back to status 0.
Terminology is key - when a payment is missed, a company will send out a payment default notice, showing any fees or charges alongside the request to pay. This is different to a default being registered with a CRA. To get an actual default on your credit file a min of 3 payments need to be missed, generally it's 6.
Regards the point from the mobile phone company. They could absolutely change the reporting if they wanted to/deemed it necessary. They are the data controller, so have ultimate responsibility for what is reported. The CRA is a data processor - and cannot stop a company making a change, in fact the CRA cannot change any of the data reported without the specific say so of the originating lender.
Don't get too hung up on credit scores. Most lenders don't take generic credit scores, the large ones especially create their own, and will built the score to find specific customer groups. Those that take generic scores may set the score cut off's differently depending on the type of customer they are looking to accept/decline. The type of lender will vary greatly as well - a Payday lender will look different to a prime ccard lender. Unless the score has totally bombed, in which case I would think there is another issue, don't get too hung up on it.
Make sure the account is up to date, sign-up to a credit file monitoring tool, and keep an eye on all accounts to make sure nothing is a miss. ClearScore are good for tracking your score monthly, otherwise all the CRA's have their own direct to consumer business lines.
Terminology is key - when a payment is missed, a company will send out a payment default notice, showing any fees or charges alongside the request to pay. This is different to a default being registered with a CRA. To get an actual default on your credit file a min of 3 payments need to be missed, generally it's 6.
Regards the point from the mobile phone company. They could absolutely change the reporting if they wanted to/deemed it necessary. They are the data controller, so have ultimate responsibility for what is reported. The CRA is a data processor - and cannot stop a company making a change, in fact the CRA cannot change any of the data reported without the specific say so of the originating lender.
Don't get too hung up on credit scores. Most lenders don't take generic credit scores, the large ones especially create their own, and will built the score to find specific customer groups. Those that take generic scores may set the score cut off's differently depending on the type of customer they are looking to accept/decline. The type of lender will vary greatly as well - a Payday lender will look different to a prime ccard lender. Unless the score has totally bombed, in which case I would think there is another issue, don't get too hung up on it.
Make sure the account is up to date, sign-up to a credit file monitoring tool, and keep an eye on all accounts to make sure nothing is a miss. ClearScore are good for tracking your score monthly, otherwise all the CRA's have their own direct to consumer business lines.
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