Egg registered default without my knowledge

m00m00

there are specific legal guidelines to issuing a default

a default notice must be issued, and this must give means to rectify the situation with a set legal time frame (14 days)

this does not appear to have happened.

It is virtually unheard of for a default to be registered after 1 missed payment

This seems very much an issue for the ICO, and I would be raising a formal dispute with the CRA's that are showing this default

oldtup

EGG can do whatever they want, and will - they don't care about their customers at all. Ditch them!

m00m00

oldtup wrote: »

EGG can do whatever they want, and will - they don't care about their customers at all. Ditch them!

only in this case, they can't


there is a VERY specific legal path to raising a default under the CCA 1974

if Egg have deviated from this, as they appear to have, they are in trouble.

ahperks

m00m00 wrote: »

only in this case, they can't


there is a VERY specific legal path to raising a default under the CCA 1974

if Egg have deviated from this, as they appear to have, they are in trouble.

I am not familiar with the legalities of CCA etc, and this has just left me feeling really sick even more so having discovered it on a holiday weekend and not being able to speak with anyone until Tuesday.

Having read everyones kind and helpful comments, I am worried that I have unintentionally made an error with the application surrounding bankruptcy status on the online application. If there were such a question I feel sure I would have read it as 'have I been decalred bankrupt? (and would have answered no because I have been discharged from a previous bankruptcy, as opposed to currently being a decalred bankrupt!)

If this is the reason they have acted as they have, I am concerned this would have a different bearing on the CCA 1974 regarding the raising of a default. When all is said and done, I just want to clear the card asap but more importantly, fight to have the default removed!

izools

ahperks wrote: »

I am not familiar with the legalities of CCA etc, and this has just left me feeling really sick even more so having discovered it on a holiday weekend and not being able to speak with anyone until Tuesday.

Having read everyones kind and helpful comments, I am worried that I have unintentionally made an error with the application surrounding bankruptcy status on the online application. If there were such a question I feel sure I would have read it as 'have I been decalred bankrupt? (and would have answered no because I have been discharged from a previous bankruptcy, as opposed to currently being a decalred bankrupt!)

If this is the reason they have acted as they have, I am concerned this would have a different bearing on the CCA 1974 regarding the raising of a default. When all is said and done, I just want to clear the card asap but more importantly, fight to have the default removed!

Even if you unintentionally lied on your application about Bankruptcy, this does not allow Egg to default you under these circumstances.

The default notices tells other creditors that you did willfully ignore multiple requests to bring a delinquent account back up to date and Egg have terminated the agreement with you due to your continued failure to stick to your side of the credit agreement.

You have not breached the credit agreement, even if you inadvertently lied on the application, so the default has been registered in breach of the Consumer Credit Act 1974 and in breach of the Data Protection Act 1998.

You need to raise a Notice of Dispute with all three credit reference agencies stating this.

You need to write to Egg stating this, using this address:

FAO: Data Controller
Egg Banking PLC
Citigroup Centre
33 Canada Square
London
E14 5LB

Provide them 28 days to remove the default notice save your referring the matter to the ICO. Invite them to, in their reply, to prove any breach of the credit agreement between you both.

If the default is registered still within 28 days, refer the matter to the ICO and seek compensation.

Good luck! :beer:


EDIT: There is only one part of your agreement with Egg referring to Bankruptcy:

[FONT=Arial, Helvetica, sans-serif]21.2 As long as we have sent you any notice as required under the Consumer Credit Act 1974, we can ask you to pay the full amount which you owe us under this Agreement if you:

• seriously or repeatedly fail to comply with your obligations under this Agreement;
• die; or
• become bankrupt, are sequestrated, or if a proposal is made for a voluntary or other arrangement with all or any of your creditors.

[/FONT]

[FONT=Arial, Helvetica, sans-serif]

Ergo - they have no right whatsoever to do what they have, and you have not broken their terms. No where does it mention in their terms or credit agreement that you should never have been BR.

They can issue a statutory demand if you become bankrupt, not if you have been. I suggest quoting this in your correspondence with them and the ICO, as they are now in breach of the DPA, the CCA, and their own terms.
[/FONT]

ahperks

Thanks for all the valuable info izools.
Made me feel a little more positive having read your reply. I have spent the last 2 days feeling worried sick and feeling like some sort of criminal.
I will put your advice to good use tomorrow and update you as soon as I have a reply from them.

Many Thanks once again.

izools

ahperks wrote: »

Thanks for all the valuable info izools.
Made me feel a little more positive having read your reply. I have spent the last 2 days feeling worried sick and feeling like some sort of criminal.
I will put your advice to good use tomorrow and update you as soon as I have a reply from them.

Many Thanks once again.

And remember, unless a creditor *SPECIFICALLY* asks whether you are bankrupt, you are under no obligation whatsoever to volunteer this information, unless you are currently undischarged and want to borrow £500 or more.

As an undischarged bankrupt, I borrowed £300.00 from Provident. I didn't tell them about the BR, in doing so I wasn't breaking any laws because the amount borrowed was under £500.00

I know RBS / Natwest have a tick box on their current account application asking "Have you ever been bankrupt?" - I've never seen this on any other application in my life with any other financial institution.

HBOS have similar - they ask that you haven't had any CCJ / Decree / Bankruptcy recorded against you in the last 36 months, that's all.

You have a solid case. Good luck, and keep us posted :beer:

ahperks

Spoke to advisor in collections department today. He seemed puzzled, checked with his supervisor and then came back to say he would need to investigate further and get back to me.
His first statement was to say that I had been declared bankrupt, to which I said I Had been so in 2004 and was discharged in 2005.
He took the trouble to ensure he had all the details surrounding my consistent on time payments, the date of last payment and the date the default was registered. He also noted they had not made any communication to me in relation to this issue.

Although I have not had a response yet, Im presuming it is not as 'cut and dried' as me making some sort of error on the online application as I thought they would have been able to state that to me immediately.
I will chase them in the morning and update you when I know more

m00m00

there is absolutely no chance this default will remain on your record by the time you are done with this.

If they don't remove it, then it's time to start looking at compensation (current level is about 1k per default) so it's in their interest to get this sorted

jon_boy75

I think the guidelines suggest you need to have missed months of payments before a default can be issued, so you're bang to rights to have it removed, and fast. Don't let them hang about. It's the ICO (Information Commisioners Office) you would deal with as it's a data issue. This is from their Data Protection Technical Guidance:

• Accounts should not be routinely filed as being in default where full payments or those due under a rescheduled agreement are fewer than three consecutive months in arrears.
• Accounts should normally be filed as being in default where those payments due have not been received for six months.

http://www.ico.gov.uk/~/media/documents/library/Data_Protection/Practical_application/DEFAULT_TGN_VERSION_V3%20DOC.ashx