Default information can be loaded to one or more Credit Bureaus, ensuring that when a Debtor's Credit History is checked by a prospective Lender, enquirers are aware that an individual has an outstanding debt.
This information can assist you and other Credit Providers to better assess risk throughout the credit life cycle as it illustrates that a financial commitment was not previously met (non-payment).

According to both Centrix and Equifax NZ, before you report a default you need to make sure that the debt in question meets the following criteria:

• A minimum of 30 days must have elapsed since the payment was due.
• You must have notified the debtor of the overdue payment and requested payment.
• You must have taken steps additional to a request to pay, to recover the overdue amount.
• You must not be prevented by or under any law from recovering the overdue payment, e.g. a debtor under 18, a default not loaded prior to, but covered by a bankruptcy.
• The overdue payment must be over $125.00.
• The debt must not be in dispute.
• The default must not be over five years old (this is the maximum reporting period).
• Equifax and Centrix also allow the loading and maintaining of defaults where there is more than one party responsible for the payment default and can include Guarantors to a debt.

You can read more about this on Centrix or Equifax's websites. For more information on managing defaults from finPOWER Connect, please review the Help Pages starting with the relevant Overview as listed below.

Consumer default reporting is regulated by the Privacy Act 1993 (the Act) and the Credit Reporting Privacy Code 2004 (the Code).