Credit file inaccuracies

Black_Eyeliner

Hi everyone

Just checked my credit report after a clear up ahead of a mortgage application.

I was made bankrupt in 2007, so my credit report no longer shows my defaulted accounts.

However, I had an overdrawn joint bank account with my husband, which was not included in my bankruptcy, so there is no default date, only a settlement date.

My husband became responsible for the account, which was closed so he couldn't use it, and he set up a payment plan for the balance and never missed a repayment.

Despite me not being responsible for the account after I was made bankrupt, the account details remain on my credit file but NOT on my husband's.

What is shown on my credit file is that payments were missed every month from the date the plan was set up until it was paid off, despite the balance reducing every month.

Should this account even be on my credit file? If so, why is it showing that payments were missed when they weren't? And why is it not shown on my husband's credit file?

fermi

Credit file entries should reflect the account conduct.

As of your bankruptcy, you were not liable for payments to the account, so it would seem to be unfair and inaccurate for the account and payments (in arrears or missed) or not to continue on your report.

Now this is one of those areas of disagreement when it comes to making a formal complaint about this, because at times the authorities say that the record should be on your report as it shows the status of the account, while at other times they consider it unfair to continue reporting. There is no real consistency.

Best thing to do is carefully make your case in a formal complaint to the lender, and then take the matter to the ICO and FOS if they do not remove or amend the info.

Here is a recent example I posted earlier today where someone had success in a broadly analogous situation.

Ombudsman decision - mortgage payment liability and credit file

In that the FOS found that due to the bankruptcy they were not liable for the mortgage payments, and consequently the creditor was ordered to stop reporting any information regarding them on his credit file.

Yours is a different type of debt, but the same principle.

Black_Eyeliner

Thanks fermi.

I'm not sure whether it's worth kicking up a fuss in case the details are put onto my husband's credit file, which is completely clean. I figure it's best for at least one of us to have a clean record.

fermi

Your call then. As it stands, uncorrected, it will be on YOUR report for 6 years from the settlement date.

Black_Eyeliner

Although, on second thoughts, my husband never missed a payment once the plan was set up (although what's recorded on my file is that every payment was missed) so would that have an adverse affect on my husband's credit score?

Black_Eyeliner

Hmmm. I suppose it would be the case that my overdraft was over its limit as presumably the limit would be £0 as soon as I was made bankrupt, even if hubby was making repayments every month.

Seems it still shouldn't be on my credit report though. But there's no point getting it removed from my credit report if they just stick it on hubby's. Do you know if that's likely to happen after do long?

Is something like this viewed really negatively on a mortgage application? The account is recorded as settled in September 2009.