Selling on of debts post bankruptcy

KJAVW

Hi!


I went Bankrupt in 2010 without having had any CCJ's, was discharged one year later and have done a credit clean up....however......


I went bankrupt owing money to Santander (two accounts) and they sold my debt onto MAX Recovery post bankruptcy. This makes my credit record look as if I have defaulted on 4 accounts when it is only two as there are both accounts listed with Santander (shown as defaulted and partially satisfied, with all correct dates and figures) but then Max recovery are listed, the only difference being that they are shown as satisfied with no figure in and all the correct dates?


When the debt was passed to MAX recovery I was told that Santander no longer had any dealings with me and any correspondence should be sent to MAX, I have written querying this and they tell me I must contact Santander as they cannot adjust their records - is this right?


The registered information for Santander is correct but I have never defaulted on anything with MAX Recovery, they bought the debt post bankruptcy so surely they need to remove/amend their record?


Also, I understand that after 6 years the individual defaults come off my credit record but will the actual bankruptcy record be removed too from the bankruptcy and insolvency section of my credit file or does that remain?


Any advice would be much appreciated.


Thanks

fermi

Debts can be sold on and can be recorded in the name of the purchaser on your credit files.

The default date and the fact that they are settled should be the same as the original.

If a new entry is created then the old one with the old creditor should be removed, by the old creditor.

An exception to that is where the original is marked with a "debt assigned" flag, in which case only YOU see the original. Anyone else checking only sees the new one.

The bankruptcy order comes off the file after 6 years as well.

KJAVW

OK that's very helpful thanks. So basically I do need to write to Santander and explain that I would like their two entries removing if the Max recovery ones are to remain - I will do that tomorrow.

Can I also ask if I can reasonably expect my credit rating to improve if I keep my finances in order and have done the credit clean up or should I expect it to remain pitiful until the 6 years are up? Don't get me wrong, I am not naive enough to think I will have a good credit rating but currently with Call Credit it's 1/5 and I have 3 bank accounts in good order and a cashbuilder mastercard and its nearly 4 years since I declared myself bankrupt. It also records 2 loans pre bankruptcy paid in a timely manner and settled in full.

Was kind of hoping I could get to 2/5 at least but has anyone done this or am I grasping at straws?

Thanks

fermi

Depends how the entries are marked. As said, if the originals say "debt assigned" then technically they are OK to stay. If not they need to be removed and complained about.

In the end while the BR is on record a few extra defaults will have a tiny impact. The BR order is the big negative factor that completely swamps any other.

Most crucial thing is that any defaults, copies or otherwise, have their default date as on or before you bankruptcy date. That ensures you have a clean file 6 years after BR, no matter what.

MisterBaxter

KJAVW wrote: »

OK that's very helpful thanks. So basically I do need to write to Santander and explain that I would like their two entries removing if the Max recovery ones are to remain - I will do that tomorrow.

Can I also ask if I can reasonably expect my credit rating to improve if I keep my finances in order and have done the credit clean up or should I expect it to remain pitiful until the 6 years are up? Don't get me wrong, I am not naive enough to think I will have a good credit rating but currently with Call Credit it's 1/5 and I have 3 bank accounts in good order and a cashbuilder mastercard and its nearly 4 years since I declared myself bankrupt. It also records 2 loans pre bankruptcy paid in a timely manner and settled in full.

Was kind of hoping I could get to 2/5 at least but has anyone done this or am I grasping at straws?

Thanks

I had an IVA that has recently been removed from my credit file as it was over 6 years old. My call credit score went from 1/5 to 2/5. I then had a credit builder credit card and 18 months down the line and with a solid payment record my callcredit score is now 5/5 so things do improve over time provided you keep finances in order. I don't know what this will mean in practical terms as I haven't applied for any other credit.