HSBC Have Something to Hide!!!

mancuk

Hi all,

Something very strange has happened!

I recently wrote to HSBC repeatedly (three letters over three months) to simply ask what late payments they have recorded against me in the last 12 months. The reason, which I did not mention to them in the letters, was because I was late in paying them at the end of last year (2012) but they have recorded different months on Experian and Equifax. So my objective was to simply clarify which months the late payments actually occurred in and then have this accurately displayed on both credit files.

However, they wrote back with a letter offering a settlement of charges and interest, covering the last few years and a legal document to state that I will accept this and take no more legal action against the bank!! I know it's the season of goodwill but, this seems bizarre as I at no point asked for any refund (I had actually missed payments) and more to the point what further legal action!!! I have recorded below the contents of the letter and would be really grateful if anyone could suggest any reasons as to what maybe going on.

Thank you in advance.



xth of December 2012

Without Prejudice

Dear xxx

I refer to your letter dated the xxnd of October 2012 in relation to your HSBC credit card.
Default charges are charges payable if customers do not make the required minimum payment by the due date, if they exceed their credit limit or if a payment to their credit card account is returned unpaid. The amount of these charges and the circumstances in which theta re applied, is set out clearly in HSBC'c credit card agreements. We believe that HSBC's charges to customers are fair and reasonable.
In 2006 the Office of Fair Trading published the findings from its enquiry into default charges on credit cards. HSBC carefully considered the OFT's publication and although we do not accept its findings, the OFT's investigation did lead to a change in market practices and HSBC decided, for commercial reasons and in the interests of customers. to reduce its credit card default charges. Those changes did not affect charges that had already been applied.
However, notwithstanding the above, I would like to acknowledge that you are a valued customer of the bank. Therefore, I would like to offer you a goodwill payment £x.xx, which represents a 100% reduction of the charges payable, including interest at the contractual rate. The payment is being offered on the basis that you are agreeing that you will not make any further claims or take any legal action on this matter. This gesture of goodwill is without prejudice to our right to impose and recover default charges in the future.
If you agree to our goodwill payment, I would be grateful if you could sign and return the attached letter at your earliest convenience to confirm acceptance. Upon receipt I will be happy to apply the credit to your credit card account. To assist you in this I have enclosed a pre-paid envelope.
I enclose an itemised list of the charges including any refunds, covering the period in question and am happy to waive any fees for the production of this information.
I hope that our offer of a goodwill payment will settle this matter to your satisfaction.
Should you wish to discuss matters further please call the OFT department on 08455873401 or you can write to the following address:
HSBC Bank Plc, Customer Resolutions, PO Box 6001, Coventry, West Midlands, CV3 9FP
If you are not satisfied with this response, you can also refer to the Financial Ombudsman Service. Further details about the Ombudsman Scheme are set out in the enclosed leaflet and you have six months from the date of this letter within which to refer to them. Clearly, I hope that you will not find this course of action necessary.

Thank you again for taking the time to bring your concerns to our attention.

Yours Sincerely,

Mr A Jones
Customer Resolutions Clerk



The signed agreement reads:

I accept a goodwill payment of £x.xx the equivalent to a 100% refund of default charges plus contractual interest, in full and final settlement of my claim against the bank.
ANY GOODWILL PAYMENTS OFFERED WILL BE CREDITED TO YOU IN THE FOLLOWING ORDER, DEPENDANT ON CIRCUMSTANCE
1. Applied to your HSBC credit card, should an outstanding balance remain, to return the account to the position it would be had the charges not been applied
2. Raised directly to your HSBC Bank Account
3. Applied to a non-HSBC account. Should your credit card balance be nil, and you do not have a HSBC Bank Account, please confirm the relevant sort code and account number to transfer these funds to.
4. If we are unable to credit any of the above, a cheque will be issued directly to you.

Signed
Date

The other page details charges ranging from between £12.00 and £5.00 between the May 2008 and November 2011.

meer53

Nothing is going on, they've just assumed you're asking for the charges back. With the amount of letters they'll be receiving at the moment about this and PPI claims, they've probably just put your letter on the wrong pile.

Why do you think they have something to hide ?

Curr946

So, you will now be able to contact the CRA's with proof of the correct late payment dates and the bank is willing to refunds all charges. Seems like a good outcome to me.

mancuk

Thanks Meer53, It just seems very odd-Banks giving money bank when not asked or legally obliged to do so!! As I said I had no intention of asking for any of the charges back, just to find out what months I was actually late in to rectify the correct information on credit files.

Obviously I would gladly accept the refund but just so long as it doesn't prejudice me from taking action should they have done something they shouldn't have.

mancuk

Thanks Curr946,
Absolutely, without even a slight fight!! Which is why I'm so sceptical about it and thinking something else maybe going on!! (Maybe I'm just to cynical when it comes to banks!)

In your opinion, I could just forward the letters with dates on to Experian/Equifax and they would accept this as enough proof and amend records? Would they actually change the late payment information (1's to 0's) or just correct it to the actual months in which they ocured?

Curr946

CRA's would contact the bank with the proof your submit, the bank would have to agree they are correct and then any error would be corrected.

mancuk

Thanks Curr946, Really appreciate your help.

meer53

If your late payments were at the end of last year, and you haven't made any since, what difference will the change of dates make ? They'll still be recorded.

mancuk

meer53, Accuracy of the information that they are recording? As I mentioned in paragraph 2 of my original post they have recorded late payment details in the wrong months.

If I am not wrong, they are obliged to record accurate information, not negative information as and when they choose to record it. Further, as I understand it they have an obligation to amend records if they make a mistake.

The difference of having this change made, may seem a little clinical but I feel they should record accurate information. I have no other missed/late payments anywhere on my file, and doubt once late payment would make the blindest bit of difference to anything in the future, but out of principal I think it should be done.

meer53

Your statements will show when late payments have been applied, can't you match them up ?

rb10

It seems to me that:

1. The letter they sent was probably an error - someone just pressed the wrong key.

2. I don't understand why you're wanting this to be corrected? From what I understand, they have (for example), recorded November's late payment in December. So the 'correction' will still leave you with the late payment showing, just in a different month.

It is possible that the difference in month is just over interpretation of their definition of date - is it the date the statement was produced, the date the payment was due, or the date the late payment was actually paid. And remember that the date showing on your file will actually be the next time the bank reported to the CRA - which could be as much as a month after the event.

Provided the number of late payments is correct, and the date is correct to within a few months, then it really doesn't seem worth worrying about.