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

Tanya missed some credit card payments. When she received a default letter, she called the card provider straight away and made several payments.

She kept paying every month after that. The calls kept coming anyway. Each time, she’d confirm she was paying, and each time she was told that because of the default, she’d keep getting monthly calls, even though she was up to date. Her statements stopped showing a minimum payment and just showed the full balance. She checked and was told that as long as she paid each month, nothing further would happen.

Diagram of how this case was resolved: paying every month, payments misallocated, arrears not accurate, removed in 182 days

A default of around $5,600 stayed on her file regardless.

What it was doing

Tanya’s broker found it when she applied for finance. She’d been doing what she was told and paying every month, and she still couldn’t borrow.

What we found

Citibank didn’t respond to the complaints we sent. We kept at it. As we went through the account, the real problem showed up. Tanya’s payments hadn’t been allocated to the correct account.

Why it came off

Because Tanya’s payments weren’t applied to the right account, the arrears behind the listing weren’t accurate. The default was removed.

The result

The default came off 182 days after we started. Tanya can move forward financially.

What this means for you

Keep your payment records. If you’ve been paying and the creditor still says you’re behind, ask where the money went. Misallocated payments are more common than you’d think. Our credit repair lawyers will keep pushing when a creditor stops answering.

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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