Stitched up by credit card company

MickKnipfler

Lasy year I set up my own Ltd Co. However, I have since been unable to trade as I can't open a bank account. The reason:....Bad credit history:

I got a copy of my file from experian and is appears that this is due to me defaulting on a credit card. On closer examination, I have discovered that:

:mad: The credit card was issued to my old address a few years after I move out
:mad: The credit card was issued without any security
:mad: The card was used in a branch of B&Q that I never use
:mad: B&Q sent me a copy of the sales docket and the signature doesn't resemble mine at all

So far, I have written numerous letters to both the credit card company and their debt collection agents, made numerous phone calls, logged on their website numerous times and asked them to contact me to discuss and even walked into a branch of the bank and kicked up a fuss. None of this has worked and I'm still unable to operate my business.

What should I do next?

The_Boss

Write to Experian, call them or challenge it online. They will write to the company asking for an explanation and make a temporary amendment to your credit record saying you are contesting the accuracy of this. I'd give the company another call too. In the meantime, might help if you have a mortgage/rental agreement as proof you moved out and this happened after you left.

TheChillPill

Did you lodge a fraud complaint with the Police? It sounds like whoever occupied your previous property after you (or has access to the mail there), has fraudulently applied for a card in your name.

If you do report to the Police, take the crime reference number and revisit the bank and speak to the manager - they may take you more seriously at that point (of course, they should have done so from the outset).

The_Boss

Thats also an excellent suggestion. The guy after you might have had a credit card statement or replacement card delivered and chose to do dodgy things with it.

MickKnipfler

I've done all that:

Experian have ammended my record to say that I've Challenge the debt. They have also written to anybody that has searched my record recently. However, the Abbey still wont allow me to open a bank account, even without any credit facilities....

I also wrote to the CC company last week threatening further action.....nothing! Do I comlain to the FS Ombudsman, the FSA or just take them to court? If I opt for the latter, how do I calculate my losses?

MickKnipfler

I did report it to the police and gave the crime reference number to both the CC company and the debt collection agency. I then heard nothing for a number of months, then......another threatening letter from a different debt collection agency

MickKnipfler

Also....when I moved, I tol them. However, it wasn't a card that I ever used. It was only when the card expired and they sent out a new one to my old address with no security that the issue arose...

TheChillPill

Ahhh, in that case I think the legalities are slightly different. I had assumed that the person using the card had actually applied for it fraudulently in your name. If it was an existing account, and the person was simply using the 'new' card, I think things are a little different. Though it's still fraud, I think it's something that would be dealt with in a different way.

I suspect your problem here is that you obviously didn't query transactions previously (as I assume statements will have been going to your old address to?) - hence the bank will likely assume you were ok with them.

Your best bet is going to be to try to pin down a single point of contact within the bank - complaints manager or something similar. Otherwise, you're going to find lots of different people all singing different songs, if you like.

In the meantime, try Natwest bank for a business account - even if the default was your own doing, they will accomodate you for an account (Direct Business Account or something along those lines).

Also, check that your credit file doesn't have a 'CIFAS' mark, which is technically there to protect you (it's basically a flag that tells lenders your name or yourself has been used fraudulently). Some lenders throw out any applications immediately at the mere sight of a CIFAS.

MickKnipfler

There were no previous transactions as I had the old card. There was only the one transaction that was made on the new card.

I did call a couple of weeks ago and got put through to their special complaints dept. The lady assured me that she would investigate the matter......then I got a letter saying that I should report it to their fraud dept....that's where I was about 18 months ago....

MickKnipfler

I chose Abbey for my business account as they are free. They won't even give me an account with zero credit facilities because of this.

TheChillPill

I suspect there must be more behind all this - for example, a CIFAS mark on your account as mentioned previously.

If your credit history is good, with the exception of this issue, I'm amazed that you're being denied any facility at all. I've known people with numerous defaults, CCJs etc get offered basic business banking facilities. In fact, Abbey and Natwest are the 2 that are usually recommended to people in that very position.

I suggest you get some professional advice, such as the Citizens Advice Bureau - they may even be able to take it all on for you and deal with people on your behalf.