What happens if my account falls into arrears?
If you miss a payment, we’ll ask you to bring your account up to date as soon as possible. If your account falls further behind, you won’t be able to make new drawdowns, any active instalment plans may be cancelled and their balances transferred to your running account, and we may report the arrears to credit reference agencies or take steps to end the agreement and recover the outstanding balance through third party collections agents.
This may affect your credit rating and can make it more difficult to access borrowing in the future.
We always prefer to resolve things early, so please don’t wait to get in touch if you’re struggling.
Related Articles
What happens if a payment fails or can’t be collected?
If we’re unable to collect your payment on the due date, for example, due to insufficient funds, the payment will fail and your account will be one payment behind. We may attempt to collect the payment again up to twice during the following 7 days, ...