Credit file nightmare

helpdotcom · 24 July 2014 at 4:47PM

Hello, I really need some advice, so I'll try to give as much info as possible.
Six years ago I struggled to pay off 2 creditors, a HSBC loan of £3000 (which was 8k when it started) and a Halifax overdraft of £3600. So, in 2009 got a debt relief order DRO for both.
However, I've recently checked my credit file and the Halifax debt shows as 18 "3 late payments" entries and was last updated in Dec 2010.
I asked Experian to ask Halifax to amend the entries because they are wrong and the debt should have been written off in 2010. The response was no and to contact them direct.
I spent an hour and a half on the phone yesterday with them to only find out that the debt has never been touched and is sitting with their recovery office still outstanding despite the relief order.
But, my problem is how to get my credit file to show the correct information. I have 1 more year until I'm relieved of the ball and chain of the debt relief order on my credit file, I don't want the debt that I got it for to still be sitting there! I've been so good with credit now, I feel like I'm going to be punished forever for this. How can I make Halifax amend the backdated entries on my credit file to defaults so I can be rid of them too next year? I hope this all makes sense, it's so complicated and I seem to be going around in circles.
Thanks for reading.
Kind regards
Helpdotcom

fermi · 24 July 2014 at 4:59PM

To Halifax by recorded delivery.

Include proof of the DRO.

Your Address
Goes Here

Data Control Officer
This Creditor
Data Controller Address

Dear Sirs

Re: Account Number xxxxxxxxxxx

After consultation with both the Information Commissioner and the Credit Reference Agencies, I am writing directly to you to request that you formally update my credit files in accordance with the Data Protection Act.

I entered a Debt relief Order (DRO) on <Start date of your DRO> and subsequently discharged on <Date of end of DRO>, and <name of creditor> was included within the DRO.

Currently the information that you have recorded against my name with the Credit Reference Agencies is factually incorrect, and despite several written requests to your customer services , as yet your company has failed to correct the entries as required.

• It is required that you default the account.

Inclusion of a debt in a DRO is an unequivocal and unarguable default on any agreement, so recording any other status is misleading and inaccurate, and a breach of the ICO guidelines and the provisions of the Data Protection Act 1998.

• It is required that the default entry must be no later than <start date of the DRO>, in accordance with the Data Protection Act.

• It is also required that you mark the account in some way as to indicate that it is settled or satisfied, in accordance with the Data Protection Act.

The Information Commissioner has indicated that I should allow you 28 calendar days from the date you receive this letter to comply, during this time you are requested either to update the Credit Reference Files correctly (of all three Credit Reference Agencies) or notify me in writing the reasons that you refuse to.

After the 28 days have elapsed the Information Commissioner has requested that I inform them if your company fails to update the records so that they may take any necessary enforcement action against your company.

Please note that if this account falls within the remit of the FOS, I will also be submitting a separate complaint to them regarding this matter if the Credit Reference Files are not correctly updated.

Yours faithfully

Fred Bloggs

Enc:

helpdotcom · 24 July 2014 at 7:30PM

Thank you Fermi, I didn't have a clue what to write. This is fantastic, I'm going to get it typed out and sent recorded delivery, with proof of my DRO and end letter, tomorrow.

helpdotcom · 17 August 2014 at 8:25PM

After posting my 'credit file nightmare', I followed fermi's advice and sent the recorded delivery letter he gave me, with proof of their error.

Today, I checked my credit file (experian one) and it had gone from 335 (very poor) to 760 (poor) which to me is fantastic!

They have backdated the default to the start date of my DRO so in just one year's time my file will be clear of defaults and any bad looking past credit.

I have got a credit card which I make regular purchases and payments on and I manage my credit really well these days.

It's hard for people like me, I'm not naturally very good with being able to manage money. I have to put a huge amount of effort into controlling how I control my money and I'm getting better. It's like a recovering alcoholic trying not to drink!

Anyway, I cannot wait until this is all over.

Thank you for your help Fermi and to this site for just existing!