RBS Wrongly defaulted me.

pthree_2

Hello Everyone.

I checked my Equifax credit file today and found 10 late payments recorded again my mortgage account since Feb 2012. and the current status is recorded as: In Arrears. I have always paid by direct debit and missed no payments.

I rang RBS after a 20min call with much waiting they looked into this and apologised saying this was a systems error and that they will contact all credit agencies to remove all 10 missed payments within the next 5 working days,so we will be back to full clean bill of credit health.They also ensured this wont happen again.

RBS asked if I had been affected since Feb 2012 in being rejected for any other credit which I had not applied for anything. So all was ok here.

The RBS are sending out a £30 cheque for my inconvenience.

If I had not checked I would have not found the record of late payment and would still have been recorded without my knowing.

This has not happened to me before, I have not been financially affected, I have not had any late payment charges or been affected in applying for loans, which I havent applied for any. Just the incorrect late payment recording to equifax and other agencies.

Does anyone think this is enough? do you feel there should be some level of compensation even though all I did was raise the concern to the bank and they have begun to correct this? or is the £30 cheque for my inconvenience enough for the bank to apologise for?

Thanks everyone for your time and help.

Joe

izools

Please note the difference between a default and a late payment marker.

A default is where a lender has closed an account and sent a statutory demand to the borrower for the full outstanding balance. This is very negative data.

Arrears are when an account is behind, but the account has not been terminated by the lender.

You are describing arrears, not a default.

Back to the question at hand -

I would ask for more, however anything above £50 would be unreasonable considering you haven't suffered any material loss from their error.

StuC75

If you havent been affected in anyway by this then it is hard to define any loss as a result; Nor have you had to put a lot of time into them resolving this.. so likely best to be happy with the £30..

pthree_2

izools wrote: »

Please note the difference between a default and a late payment marker.

A default is where a lender has closed an account and sent a statutory demand to the borrower for the full outstanding balance. This is very negative data.

Arrears are when an account is behind, but the account has not been terminated by the lender.

You are describing arrears, not a default.

Back to the question at hand -

I would ask for more, however anything above £50 would be unreasonable considering you haven't suffered any material loss from their error.

Hi

RBS talked about default when the equifax report showed yellow blocks with the number 1 in them. As I hovered my cursor over them I has this text saying late payment? I was a bit confused here.

I thought the £30 would have been correct as you say considering the time involved putting this right.

Thanks for your time and help which has helped confirm my thoughts.

Tixy

£30 seems fair for the time spent calling them to rectify the issue.

They may be prepared to go a bit higher if you wanted to I would guess.

pthree_2

I did wonder if they may have made a slightly higher offer, but for the time,effort and letter writing, calls etc involved trying to get what maybe a small about on top of the £30, this £30 seemed fine.

I had read some posts where people have had financial loss, charges , fighting to clear the mistake on the equifax etc. I understand these people maybe would require a more substantial claim.

Thinking of equifax, I hope in 5 working days it has been corrected? time will tell.

Thanks

izools

I suggest that in a few weeks you obtain fresh copies of your credit files from all three credit reference agencies - Equifax, Call Credit, Experian - to ensure that RBS have actually cleaned up after themselves.

Often times in cases like this lenders fail to do what they claimed they would, so do check and do chase them up if they haven't sorted it out.

I would suggest you point out to them the material loss involved in regards to the cost of you obtaining statutory credit reports and the time / cost of corresponding with them.

pthree_2

I did consider after checking with the agencies and that all has been corrected and when the call costs have come though to write to RBS with any associated costs to be considered for compensating.

StuC75

await cashing any payment received until such a time that you have confirmation that everything has been resolved to your satisfaction across each of the CRA's..

JimmyTheWig

pthree wrote: »

I have not been financially affected
...
Does anyone think this is enough? do you feel there should be some level of compensation even though all I did was raise the concern to the bank and they have begun to correct this?

Assuming that you are out of pocket (e.g. cost of phone calls, cost of credit reports to confirm that it has been fixed) by less than £10 (which I would imagine is the case) then I would expect a goodwill payment of between £20 and £50. So I think the £30 is perfectly reasonable. If you went after them for "compensation" through the courts, all you would actually get back is what it had cost you - i.e. the less than £10 figure. So you are relying on their goodwill.

I would say leave it for now, but if they mess up again (e.g. don't send the £30 when they say or your reports aren't clear when they say they should be) then get back onto them and ask (a) for them to sort it out and (b) for more goodwill payment due to the extra inconvenience.

Buzby

If you accepted you cannot go back for more - even to pay for additional reports to ensure they are correct.

However if these are still wrong, they will form the basis for a new claim. I would have expected £50 as a minimum, especially to cover to time/costs to ensure they did what they say they would.