Wrongful default

Frinkz

Hi, hope somebody can direct me here!


I went in to buy a sofa today, hoping to get it on a buy now pay in 12 months (this is the first thing I've even had on credit), but got declined.

I've been online, got a free credit report from Experian, and it turns out there's a default on there from 3 years ago that I had no idea about!

A while back, I had an empty bank account that I no longer used any more. An old direct debit (the company shouldn't have been taking it out anyway) tried to take out a few quid, but failed. The bank, Abbey, charged me £1 for the failed direct debit. AFAIK, they never informed me, I knew nothing of it. 6 months later, this account, now -£1 balance, had ballooned to £112 from all the fee's they imposed on it, and it was the first I heard.

After quite some time of arguing, they admitted, over the phone, that this was incorrect, not my fault, and that they would write it all off.

Now, there is a default for that amount on my credit score ..

I checked with Equifax, who come and say that account was closed in May 2009, whereas Callcredit say the account still has a balance of £112 on it. So I don't know what to believe..

My "Account Holder Status" says "Gone-away", which I am unfamiliar with?



When I ended that phone call, over 2 years ago, it very much sounded like they'd just cancel it out, and call it quits, because they'd been morons.

Who do I need to contact to get this sorted ASAP? If I take it up with the bank, and make them dig out the records, can they sort from there end?

dancingfairy

Hmmm trouble I can see is 'Abbey admitted over the phone it was their mistake'. Unfortunately I guess you don't have this in writing?
You need to get in touch with Abbey as they will have informed the credit agencies - depending on their records etc they may be able to get your file updated but without any proof on your part it may be difficult to resolve.
The going away part would imply that they tried to contact you at your old address and you had moved and they couldn't contact you - basically that you have done a runner.
Obviously you need to talk to Abbey and find out exacly what address/addresses they have on file for you, whether the debt was sold on, when and what's happened etc. Hopefully Abbey will be reasonably helpful and ensure that all your credit files are updated accordingly
In terms of getting credit it seems unlikely that you will get much for a while until this situation is resolved - do the credit agencies hold you correct address? are you registered on the electroal role where you are? do you have a history of having to move (due to renting or other cirucmstances?). Speak to Abbey/Santander I think it is now and post back if you need more help or you have further info.
df

dancingfairy

I believe you can also get a notice of correction added to your credit file but whether this will have any impact I'm unsure. I would have thought it would only make a difference if a human manually looked at your files regarding lending you credit and I would think it's mostly done by compouter nowadays. Also clearly it's better to fix the original problem than just accept it and write a note on the bottom of your file.
df

Frinkz

Okay, thanks.

Correct, I have nothing written down. I suppose I could have been more anal about getting everything they said on paper, but I was only 18 at the time, and very very angry!

The 'gone away' is what I'm confused about - I have been living at the same address since birth.

The whole issue is that they were charging me ~£30 a month for the 'instant overdraft', and hadn't informed me. They told me it was on my statements. When I told them I don't get paper statements, they didn't seem to understand, only after some time of hounding them did they appreciate they made no effort to tell me I owed them money until they sold the debt on...

I'll get in touch with them first thing Monday.


Your help's much appreciated.

dancingfairy

Try and get any info in writing (depending on what the outcome is).
You might want to do a SAR (standard access request) on them - have a search on here for that. Basically it's a legal request to see everything they have on you on their files. This hopefully should shed any light on what notes were made as a result of the telephone call, whether any statements were actually sent out to you etc.
I hope that you actually get some sense when you phone them/go in and visit them but sense that it might not be that simple and that you will need to SAR them and then follow it up with an official complaint (using the evidence you have obtained from the SAR) before everything gets resolved. Whatever they say they will do to help get it in writing (and obviously if you're not happy you don't have to take their first response).
df

Frinkz

Phoned the complaints department.

Worst possible outcome, I expect. They have no record of me contacting them (the 5 dozen letters and hours of angry phone calls), or arranging anything on my account after passing it on to the debt collectors.

It's almost 3 years old now since this started, and I've since got rid of almost all the paperwork, as they informed me (by phone, not noted down .. ) this was sorted.

Thinking of what happened after that last phone call, the debt collectors never rang back or sent any more letters - so I assumed the bank MUST have contacted them? Yet again, no record on their computers.

I asked what the statement I've been getting from them every 6 months was, she had no idea. I said I'd taken it into the branch on 16th June, she'd gone through everything, told me it was sorted, and that I'd never get any more of these letters. Again, no record that ever happened.

She wouldn't let me lodge a complaint that all this has magically never appeared on their computers, only allowing me to start an official complaint that they weren't able to help me. So now all I can do is complain about the complaints department? !!!!!!.

If anyone has any thoughts, do drop in!

KingElvis

Gone away is a record from the Gone Away Information Network (GAIN), it basically records people who have run up debts and then legged it to avoid paying them. They mostly come up with catalog companies for some reason, maybe people don't like paying back their club books?

Anyway, I would start an official complaint.

Here's a brief faq on GAIN

http://www.creditreport.uk.com/faq-goneaways

Frinkz

It's Santander, and I've never moved ..

I've started a formal complaint with them.

I phoned back to find out which debt management company it went on to (again, it was years ago, and they never contacted me after I phoned the bank), to see if they remember all this. Now they won't speak to me until Tuesday, because 'Stage 2 Complaints' don't work weekends ...

>_>

KingElvis

Frinkz wrote: »

It's Santander, and I've never moved ..

It's normally when they've had lots of letters "returned to sender" as The King would say

Are you quite positive you've had no letters from them? even ones that looked like junk mail?

Frinkz

Certain, nothing until after 6 months of fee's, and no phone calls.

I'd ask them myself, but now they won't talk to me until Tuesday, do banks generally keep a record of everything (including these pseudo-statements I keep getting) they send out?

hami24

bet with any coplaint via santander is to email this dept

i had no luck with level 1 or level 2
make the complaint official state in email this is a formal complaint

[EMAIL="ceo@santander.co.uk"]ceo@santander.co.uk[/EMAIL]

they issued me with a default illegally may i add after they had refunded late payment charges .

they removed them eventually but i still have a ongoing problem with it but they are at least dealing with it

email them today
rememebr they are breaking the law if something on your credit file is incorrect