O2 overdue bill

[Cellular_Data]

So i recently received a lovely letter saying there’s been a breach of contract between Telefonica and myself based on a payment that was about 14 working days overdue.

O2 have already suspended my SIM card after 14 days of the due date.

Unforunately at the minute I have a BNPL with another creditor which is falling due by the end of this month and since the compound interest is extemely high over £1,000.00. I am literally throwing everything I earn at this and O2 isn’t exactly a priority with a £3.50 late payment fee, I would rather take that then £1,000.00 interest.

My current issue is how long do Telefonica give you before the likes of Defaults, CCJ’s, Attachment Of Earnings are issued? As i’m a little concerned due to the letter i got because of a 10 day late paymen they were listing actions they could take etc.. I’m sure it’s just a scare etc but it’s a little excessive over 10 days.

When I speak to O2 they want me to speak to a specialist team and go through a expenditure form and I think it’s a little excessive when I ask to pay after my BNPL is due which is less than a whole month. I have been through this before with another creditor during hard times and it’s not that i’m In a hard time it’s just that I want to prioritise bills which are going to cost me more in the long run, but before I went through a expenditure form I had a DMP (Debt Management Plan) marker placed on my credit file which impacted my report significantly compared to a late payment mark, which obviously I am trying to avoid.

Obviously right now my priority is I throwing everything at this debt with this other creditor to minimise to the full the amount of compound interest charged.

My question really is what will happen if I leave it until the next month to pay? 

Is it just going to be a late payment marker on my credit file? And a £3.50 charge if so I can live with that.

Are O2 (Telefonica) really going to place a Default or CCJ on my file for a payment which is let’s say 30 days late?

Obviously the concern is the letter I received just after 10 working days which isn’t exactly a long period of time and although i’m going to take a educated assumption it’s a automated computer generated letter but it’s using very scary words.

[Cellular_Data]

Obviously in addition to the above I don’t want to have High Court Enforcement Officers at my house over a balance that is 30 days overdue.

[Bambino · Accepted solution]

@Cellular_Data  O2 are ruthless when  it comes to late payments. I don't think they'll send the bailiffs, but they will most definitely put a negative mark on your credit rating. You can call O2 for free from any phone on 0800 032 1402. I suggest you try to speak to someone about this.

[TallTrees]

Hello there @Cellular_Data 

Bailiffs can only enter your home with a court order. They are Court Bailiffs.

No one else has the right to enter your home. 

CCJ is a County Court Judgment and it has to be issued by a court obviously.

In my opinion you should deal with this and speak to the O2 Special Team

Good Luck 

[jonsie]

You need to call 202 and ask to speak to the Payment Management Team. It can't be done online unfortunately.

Rest assred that O2 will legally have to put a default notice on your credit file. Even after 30 days O2 are likely to sell the debt on to a collection agency so it's imperative that you call them and arrange a payment plan. They will usually expect you to pay up the contract in full unless you speak to them.

[Cellular_Data]

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@jonsie wrote:

You need to call 202 and ask to speak to the Payment Management Team. It can't be done online unfortunately.

Rest assred that O2 will legally have to put a default notice on your credit file. Even after 30 days O2 are likely to sell the debt on to a collection agency so it's imperative that you call them and arrange a payment plan. They will usually expect you to pay up the contract in full unless you speak to them.

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Hi Jonsie,

I was under the impression that you have to miss three consecutive payments for a default to be issued on a credit file?

Obviously a default notice isn’t a default on your credit file it’s just a term they use when a charge has been applied to your account based on a missed payment.

[PhoneChanger]

@Cellular_Data you need to consider what you want to do in the future as well, if you're late / behind with payments on the BNPL will they put a marker on your credit report or is it just that interest will be charged? if this is the case then you would be better (in my view) paying your O2 bill to avoid a marker on your credit report as these stay for a number of years and will effect a lot including interest rates on future loans, credit card, and mortgages should you ever need one.

Yes the interest rates on your BNPL may be quite high, but if they won't put a marker on this may be a better option to take the hit on. Just my view only.

[PhoneChanger]

Also Default notices are recorded on your credit file, and stay there for 6 years.

Based on information online they are usually applied after 3-6 missed payments

[Cleoriff]

Yet we hear of people who have cancelled their contract and think they have paid the small amount remaining (sometimes as little as £10) They haven't, only to find a default noice served against them and a mark on their credit file.

We had one last year when someone was applying for a mortgage and it was turned down due to that piffling amount.

[Cellular_Data]

I spoke with O2 about the letter and they said ignore the letter it’s just a scare that automatically sent because you didn’t contact us.