If you have a debt of more than $150 and it is 60 days overdue your creditor can mark a default on your credit report. A single default can make it hard to apply for a new credit. Several defaults will make it near impossible. Creditors include:
- Banks, credit unions and other financial institutions
- Service providers such as phone and electricity companies
- Any businesses which provide credit or goods and services before you have to pay.
A default could also be marked if you have late mortgage repayments, or if your creditor is unable to contact you regarding repayment of the debt (called a clear out).
Once you receive a default there is no way to have it removed and a default will remain on your credit report for 5 years. Even if you pay the debt in question, the default will remain and will simply be marked as paid. However, we can assist you to have it removed if you think the default has been wrongly applied.