HSBC overdraft transferred to debt collection agency by mistake

Miss_Smith_2

I'm not really sure where to start sorting this one out effectively so I'm hoping someone out there can give me some advice!

I had a student overdraft with HSBC which I was paying back but which was transferred to their debt collection agency Metropolitan by mistake at the end of last year.

Clearly this was very annoying and I went through the complaints procedure, HSBC admitted (in writing) that the transfer was a mistake but they couldn't do anything about it.

The debt was paid off at the start of the year but having been rejected for a credit card a couple of weeks ago I checked my credit report and found that I have a big red default notice from HSBC which indicates that our credit agreement was ended because I wouldn't correspond with them / insufficient payments made. Everything else on it is good and I have had credit / store cards in the past which have all been paid up to date and on time.

Given that HSBC have admitted that it was their mistake that the debt was transferred, I'd like some opinions on 1) who should I go to first to have this cleared from my credit report, HSBC or the credit agency? 2) Would it be wise to go the CAB / someone similar or are these things usually simple to rectify?

Any thoughts on this gratefully appreciated as not sure where to start!

onlypaddy

Usually for mistakes on a credit report you can write to the credit agency itself to request that it's removed. It may take a while but it should happen, as presumably you have statements showing regular payments, the clearing of the debt and the letter from HSBC as evidence.

Make sure you have checked through and done this with all 3 credit reference agencies: Experian, Equifax and Callcredit

izools

Miss_Smith wrote: »

I'm not really sure where to start sorting this one out effectively so I'm hoping someone out there can give me some advice!

I had a student overdraft with HSBC which I was paying back but which was transferred to their debt collection agency Metropolitan by mistake at the end of last year.

Clearly this was very annoying and I went through the complaints procedure, HSBC admitted (in writing) that the transfer was a mistake but they couldn't do anything about it.

The debt was paid off at the start of the year but having been rejected for a credit card a couple of weeks ago I checked my credit report and found that I have a big red default notice from HSBC which indicates that our credit agreement was ended because I wouldn't correspond with them / insufficient payments made. Everything else on it is good and I have had credit / store cards in the past which have all been paid up to date and on time.

Given that HSBC have admitted that it was their mistake that the debt was transferred, I'd like some opinions on 1) who should I go to first to have this cleared from my credit report, HSBC or the credit agency? 2) Would it be wise to go the CAB / someone similar or are these things usually simple to rectify?

Any thoughts on this gratefully appreciated as not sure where to start!

Write to the HSBC Data Protection Officer:

FAO: Data Controller
HSBC Bank PLC
8 CANADA SQUARE
LONDON
E14 5HQ

Quote the student account number and sort code at the head of the letter.

I would entitle the letter "Pre Litigation Advice RE: Breach of Data Protection Act 1998 & Defamation of Character"

Explain the situation re HSBCs mistake and their admitting the mistake previously. Copy and paste the adverse information from your credit file into the letter.

Advise HSBC that they have broken the data protection act, reported false and defamatory data onto your credit file, defamed your character, and caused financial losses as a result.

State that they have 30 days for all trace of the incorrect adverse information to be removed from your credit file, and also state that you require compensation for their defaming your character.

Make sure the letter is send recorded delivery.

This will get their attention and likely sort out the problem

If my bank did this to me I'd sue them from here to the stone age.

Good luck!

preable

Write to the credit agency and send them a cop of the letter

Miss_Smith_2

Thank you everyone! Am in the process of drafting a letter to HSBC Data Controller (I didn't even think to do that!!) and think I'll forward a copy to the credit agencies with a short covering note. Will post the outcome