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Loan company threatening my family with my debt

Hi,

I’m wondering if anyone can give me any advice on this situation.

A few weeks ago my mum called me to tell me that she had just visited a local credit union where she has a savings account to enquire about a loan.

The person behind the counter told her that I had a debt with them and that unless this was paid off, they would refuse her credit.

The debt was a genuine mistake on my part – never had credit problems and I’d simply forgotten about this DD when I moved a bank account and they never chased me for the money.

I spoke to someone there and set up a standing order to pay it off – first payment has gone.

I have now just had a call from my sister who has been there today and a different person again told her I was in debt and that she would not get a loan until I had paid it off.


My question is – are they allowed to do this?

Are they allowed to discuss my debt with my family without my permission and are they allowed to use my debt as a reason not to provide credit to my family?

Is there anything I can do about this?

The company is question is called Castlemilk Credit Union and is based in Glasgow.

Thanks in advance

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