Sure widespread tarnished credit reports are not sustainable for the population but the glaring fact are a lot of people are in trouble in this country and with the noose of personal debt, negative equity, more taxes, less work - does it really matter that much?
A fair chunk of the population are stiffed for years to come anyway.
Remember when driving license points were brought in?
First nobody had any, then before you knew it everyone you know has a few. After 3 years the points go away.
Credit Rating Reports are the same, except take 5 years to go.
If you decide to stop paying them anything they will do a lot more than mark your cards in the credit rating agency.
Pay something.
Suggest you wander over to the threads concerning Judgements and Court procedures involving Debt. Given the general feel of what banks are like these days, it won't surprise you when they keep pushing and take it to the next level.
But do your best and lay it all out for them to see. Don't spoof. Don't expect a miracle from the bank but being honest I found gets you a better standing with a bank than lies and expecting a deal from them.
Time to eat humble pie unfortunately. Is there anything more degrading than stooping to a bank?
I remember when my bank used to give me a bottle of wine at christmas for my custom. Ohh how days have changed.