What is a default?
In light of the current COVID-19 we will not be accepting any new loan applications. The well-being of our customers is of absolute priority and therefore we ask you to contact us via chat, email or phone if you have an existing account and require any help.
Many customers will be faced with income interruptions as a result of this crisis and so therefore we are recommending that you refer here for useful advice: https://www.moneyadviceservice.org.uk/en/articles/coronavirus-what-it-means-for-you
Default notices are given to non-paying clients after 62 consecutive days of non-payment for all Ferratum products (Microloan, Plusloan and Credit Limit). The default notice specifies the amount owed and a repayment date (this is usually 30 days after receiving the letter).
An account defaults when you have broken the terms of the credit agreement. Your account can only default once and this will be marked on your credit file. This is the point that your creditor may start further action to collect the debt.
A default on your account shows that you have failed to repay your debt. If you apply for credit in the future, creditors who check your credit file will see this. If steps are not taken to repay the debt, you could be issued with a CCJ (County Court Judgement). This can have serious consequences and result in you finding it difficult to obtain credit in the future and can affect your credit rating.
If you’ve had a default notice and wish to speak to our team, please Contact us.