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

Karen’s income had been shrinking for a long time. Her salary dropped, rental income she relied on dried up and other commitments kept piling up. A St George credit card fell behind and ended up as a default of around $10,000, now owned by a debt buyer, Panthera Finance.

To settle it, Karen borrowed from family and friends. Then she lost her job, and she still hasn’t been able to pay them back.

Diagram of how this case was resolved: long-term hardship, debt buyer short on documents, two required notices missing, removed in 132 days

What it was doing

She’d done the hard thing and paid. The default still sat there, telling every lender she was a risk.

What we found

Karen’s mortgage broker referred her to us. We asked the debt buyer for the documents behind the listing. It didn’t supply enough of them. When we took it to the financial ombudsman, it even missed the ombudsman’s deadline to respond.

The key gaps were two notices: the formal default notice the National Credit Code requires, and the final written notice the Privacy Act requires before a default can be listed.

Why it came off

We complained to the ombudsman that neither required notice had been provided. Faced with that, Panthera Finance agreed to remove the default.

The result

We started on 6 January. The default came off on 18 May, 132 days later. Karen can now move forward.

What this means for you

When a debt is sold, the paperwork doesn’t always travel with it. A debt buyer still has to prove the original creditor sent the right notices. Our credit repair lawyers make them prove it.

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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