Warning - British Gas wrecked my credit rating

Lightninge

Hullo all.

Thought I'd share a very unpleasent experience I've just had as it may well affect other people.

I sold my home last summer and moved into rented accommodation, promptly settling my final gas and electric bills with British Gas.

I've just applied - and been turned down - for a mortgage because British Gas reported me as having missed payments. I was stunned to hear this as I've never defaulted on anything in my entire life.

The reason British Gas gave me a poor rating is because I was paying by monthly direct debit and the amount that British Gas set was too low to cover my actual use. On the day of moving out I phoned through my final meter readings and was told that there was several hundred pounds outstanding. I gave my forwarding address, received my final bills and paid them promptly. However in between my final bills being raised and my payment being received, British Gas ran their report for the credit agency. Their system did not take into account that final bills had been raised and just reported me as having missed five payments for my electric and six for my gas.

It's been rectified now and I'm hoping that it won't affect any further applications I make for credit. As it stands I'm looking at possibly having to seek compensation as the mortgage product I wanted has since been withdrawn from the market. The woman I complained to at British Gas said she hadn't heard of this situation affecting anyone else but I have to say that's very hard to believe.

WhiteHorse

You might have a claim against BG - but only if the lender has stated in writing that the BG report was the sole cause of your refusal. They would also have to state in writing that they were definately going to grant the mortgage. As it is unlikely that they will do this however, it's probably not worth the bother.

What you could do is make a complaint to BG themselves (ask for a goodwill gesture), and to ICO on the grounds that BG have maintained an inaccurate database. You should also contact the credit reference agencies and see to it that your file is amended.

missile

Credit reference agencies will not accept instruction from you. You will need to get BG to amend their entries on your credit files.

It's been rectified now

I understand this to mean that BG have corrected your credit files?

Lightninge

Hi chaps. Thanks for the advice. British Gas contacted the credit agency and corrected the error. My credit score has gone right back up again to where it should be. My mortgage broker is going to try again with a new product so fingers crossed.......

My main concern in the whole thing is that British Gas are allowing their systems to report missed payments on a final bill when the time to pay it hasn't even elapsed. I refuse to believe that I'm the only person this has ever happened to.