EWOV’s investigation finds that a credit default was listed correctly and cannot be removed

Debt collection and credit default listings
Case Number 2017/21937
Outcome Conciliation

The Issue

Mr P was unhappy with an electricity company because he discovered a default listing for an electricity debt of $280 when he was applying for a loan. He had paid this account late, however he was not aware that it had been listed on his credit history file.

Mr P contacted the company. It advised that it believed the default had been listed correctly and so it would not remove it. Unhappy with this response, Mr P contacted EWOV for assistance.

EWOV lodged an Assisted Referral. The company confirmed it had default listed Mr P for a debt of $280. It advised the debt had been updated as paid but the default would not be removed as it had been listed correctly. Mr P contacted EWOV again and we commenced an Investigation. 

The Investigation

EWOV requested Mr P’s account and contact history, copies of bills, overdue payment notices and debt collection letters from the company.

EWOV reviewed the account history and noted the legal requirements for default listing a debt. EWOV confirmed all bills and reminder notices were sent to the correct postal address and the debt was more than 60 days overdue on 13 January 2016 when it was default listed. EWOV confirmed the final bill and several reminder notices had been sent to Mr P before the debt was default listed and these complied with the legal requirements for listing a default. 

The last payment before the debt was default listed was $110 on 9 October 2015.  EWOV noted a discussion occurred on 19 November 2015 when Mr P advised he was unable to make a payment that day but would contact the company to advise when the next payment would occur. The company sent two SMS messages to Mr P but he did not respond and no further contact was made with the company until after the default was listed. Mr P contacted the company on 25 January 2016 in response to a message advising of the default listing. During that call, he was advised the listing would be updated as paid once the debt was cleared. He subsequently paid the debt. 

The Outcome

The company empathised with the inconvenience and impact of this default listing to Mr P. However, it did not remove the default from his credit file. Mr P was disappointed, however he understood the reasons for this decision and accepted that the default had been listed correctly.  

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