Will cancelling a DD affect my credit score?

pk83

Hi folks,

I have the misfortune of having a lease/rental on two Pitney Bowes franking machines until 2018. The scumbag salesman amended the lease date after I signed and despite arguing, it's my word against his so the agreement stands. That was several years ago and I have since moved to a Royal Mail OBA account which is infinitely better in terms of price and customer service.

Anyway, I have been emailing and calling Pitney Bowes for months to ask that they change the DD to come out of my new business bank account. Yet again, this quarter they have used my old account for the DD. I've had enough of their blatant incompetence and despicable customer service. I have cancelled the DD agreement with my bank. What impact will this have on my credit rating? I don't care if they close my account etc as I'll never use their over priced franking machines again but I don't want to end up with a poor credit rating because of this. I don't need credit BTW but will be remortgaging in a couple of years.

Any advice much appreciated!

jaylee3

If it was a contract and you renege on it, and don't make the payments as promised, then I would have thought it would affect your credit rating yes.

Tixy

Presumably the agreement is in your personal name?

Whether they can report the service agreement to the credit reference agencies will depend on whether they obtained your permission to do that when you entered the credit agreement.

However even if they cannot report as a credit account to your credit file if you break an agreement and do not pay when due there is presumably a risk of them taking court action to try to obtain a CCJ against you. If they were successful in doing so, and if you don't pay the full CCJ in a month then that would have a serious impact on your credit file.

In terms of the original contract and amendment - presumably your own copy would be evidence that the agreement had be changed after signing?

Regarding asking them to change the bank account the direct debit is taken from - if you have asked for a new direct debit form and they haven't supplied it then I would write a written complaint to them.