Names and identifying details in this case study have been changed to protect our client’s privacy.

Mark had guaranteed an account for a business with an equipment hire company, Coates Hire. The business went into liquidation.

The first Mark heard of the debt was a letter that arrived 18 months after a default had already been listed against him. Nobody had tried to contact him before that.

Diagram of how this case was resolved: business liquidated, final notice misaddressed, late notice did not count, removed in 147 days

What it was doing

Mark had two defaults on his credit file, both from the time the business failed. This one was for about $2,800. He couldn’t get finance until they were dealt with.

What we found

Coates Hire was adamant the default was valid and refused to remove it. So we looked closely at the notices.

Before listing a default, a creditor must send a final written notice under the Privacy Act to your last known address. Coates Hire had sent Mark’s notice to an incorrect address. It did send one to his correct address, but only after the default had already gone on his file.

Why it came off

We lodged a complaint with the ombudsman, setting out that the final notice went to the wrong address and the notice to the correct address came too late. The credit reporting body agreed to remove the default.

The result

We started on 7 April. The default came off on 1 September, 147 days later. With both of Mark’s defaults removed, he could apply for finance.

What this means for you

Order matters. A notice sent after the listing doesn’t count. If you’ve guaranteed a business debt and only found out after the default went on, our credit repair lawyers can check the dates and addresses on every notice.

This is a past matter. Names and identifying details have been changed to protect our client’s privacy.

Results depend on individual circumstances. Every credit file is different, and a past result doesn’t guarantee the outcome of your matter. This case study is general information, not legal advice.

Don’t spend another month stuck in Credit Prison. Call our credit repair lawyers on 1300 667 218 or book a 15-minute intro call at https://mycralawyers.com.au/15min-credit-repair-intro-call/ . If we think your chances are low, we’ll tell you straight.

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