UPDATED- 4 years of late payments recorded- delinquent account

ZsaZsa

I wonder if anyone can help, I've made so many phone calls and trawled the Internet that I'm completely addled!

I was in a DMP with Payplan from 2005-2014, when I was able to pay off all my debts. I made all my payments to Payplan on time . Of all the accounts, only one, HFC, remains on my file.

The accepted the agreement in 2005
In 2007 I had to reduce my payments due to a reduction of income
In 2009 HFC started to record late payments (6+) to my account. They continued to record this until they passed the debt to DCA in October 2013.
I wasn't notified of the change, but Payplan must have been as they transferred payments over to them and I assumed everything was fine with my account.

I have only recently seen this late payment markers on my credit file (I know, I should have been more vigilant!)

HFC have said (by telephone) that they have correctly recorded information, as I was not making my contractual payments. However, I reduced my payments in 2007, and no late payment markers were placed for 2 yrs.
I thought that the entry should reflect that I was on a DMP? Surely by recording late payments it does not reflect that I was making an attempt to pay off the debt responsibly?

I have been waiting for 5 weeks for a response. I called today to see if a decision had been made, to be told that HFC are waiting for a copy of my Default Notice to be sent from a different dept before they can investigate. However, I have never been sent a default notice, nor is there any indication of this on my file. They are adamant that a default was issued, although they are having trouble locating it, and can't give me any idea of when it was supposedly issued. I'm really frustrated that they are delaying my case, waiting for a document which I'm pretty sure doesn't exist :mad:

Should a default have been issued before passing the debt to DCA?

If anyone can offer any advice I'd be really grateful, while I plan what to do next.

speedbird1

If a default notice has been issued before being sent to the DCA then that account should have been reported as a Default on your call credit file.
Therefore now that account should have been removed a long time ago from your CRA.

They should have complied with ICO at that time ,clearly breached the rules.

You need to be persistent,and insist the Default recorded at the correct time,late markers for this period of time is against guidelines.
If they play ball then the account should be removed.

Having same problem with NatWest
Late 6 markers for six years,they are now investigating,but have proof that Default notice issued and not complied with,so no brainer.

Good luck

ZsaZsa

Thanks so much for taking the time to reply. I've been following your thread, as there are definitely similarities with my case. I hope you get your case resolved swiftly- frustrating isn't it. Unfortunately, I do not think a default has been issued as a) I haven't received a default letter (and I'm certain that I haven't lost it, I'm quite a horder with paperwork) and b) no default was ever recorded by CRA.

I think my argument will have to be that a default should have been issued, either in 2007 when I started making the reduced payments, or in 2009 when HFC started recording them as late payments.

speedbird1

Thanks no problem.

It seems that those that pay get penalised,in my case have paid over 7000 off the debt since 2009.
Others who were correctly defaulted 6 years and over have clean credit files and can make nominal payments,

Have just seen someone had a 15 k debt with NatWest,they got defaulted and then the bank agreed a 30% f and f,

So I applying for the correct default date,the removal of all adverse data,ie 6 code late payment markers and immediate removal of my file from all CRAs.

And have told them that I have been severely penalised by doing the right thing,I am pressing for balance write off too.

Best Rgds

ZsaZsa

It's a headache isn't it! Fingers crossed for you

ZsaZsa

Unfortunately I had a call from HFC to say that my complaint has been rejected. I will now send a complaint to ICO and FOS, but I'm not expecting a favourable outcome.
The lady I spoke to said that "hypothetically", if arrangement to pay markers existed (she's adamant there's no such thing and all DMP payments are recorded as 6+), they could not be retrospectively applied to my credit file, as the debt was passed on to DCA, and once its assigned, no changes can be made. She said all she can do is ask the CRA to make a manual entry that payments were part of a DMP.
I also asked why the account wasn't ever defaulted, and she said that legally HFC had to accept any payments I made as I was under a DMP, and therefore couldn't default. ( the debt was assigned to a DCA eventually, so I thought that did imply a default?)

Reading and re-reading the guidelines, I still think I have some grounds for dispute, as I do feel that the 4yrs of late markers have been used instead of a default. I also dispute that if AP markers were not placed as they should have been, and HFC don't have the ability to change them, then the info should be surpressed from my file as it is not correct??
If anyone has any thoughts I'd be really grateful.

fermi

ZsaZsa wrote: »

The lady I spoke to said that "hypothetically", if arrangement to pay markers existed (she's adamant there's no such thing and all DMP payments are recorded as 6+)

She's talking nonsense.

ZsaZsa wrote: »

they could not be retrospectively applied to my credit file, as the debt was passed on to DCA, and once its assigned, no changes can be made.

Again, nonsense. They can change their entry if it's still there, as can the DCA if they have their own. There also should be some agreement bewteen them and the DCA regarding updating and correcting both should that be required.

ZsaZsa wrote: »

I also asked why the account wasn't ever defaulted, and she said that legally HFC had to accept any payments I made as I was under a DMP, and therefore couldn't default.

Absolute nonsense again. DMPs are not legally binding, and they can default.

ZsaZsa wrote: »

( the debt was assigned to a DCA eventually, so I thought that did imply a default?)

It does, yes.

Have they replied in writing with any of that?

Given the complete pile of bovine excrement you have been told there, I would doubt they would dare put it in writing?

ZsaZsa

fermi wrote: »

She's talking nonsense.



Again, nonsense. They can change their entry if it's still there, as can the DCA if they have their own. There also should be some agreement bewteen them and the DCA regarding updating and correcting both should that be required.




Absolute nonsense again. DMPs are not legally binding, and they can default.



It does, yes.

Have they replied in writing with any of that?

Given the complete pile of bovine excrement you have been told there, I would doubt they would dare put it in writing?

Fermi, thanks so much for taking the time to reply. I was on the phone to her for about 20mins, and she just kept repeating the same things. Every time I said anything, she just kept replying that I was mistaken. We were going round in circles, so I started to doubt myself. The phone call was just this morning, she didn't say that she was going to put it in writing. Perhaps rather than going straight to ICO/FOS I should respond asking for clarification on the statements she made, in writing? I'd so much prefer to get this sorted I house if poss, as it seems that there are a few on here who have had their cases rejected.

fermi

Can't recall if you have to have it in writing or not.

Give the FOS a call to see what they say.

http://www.financial-ombudsman.org.uk/consumer/complaints.htm

ZsaZsa

Thanks Fermi, I think I'll go straight to FOS. Will draft my letter tonight

ZsaZsa

I just wanted to add a little update.
I referred this matter to FOS. I gave HSBC over 8 weeks to respond but they didn't reply. FOS have received my complaint but haven't started looking into it yet.
HOWEVER, this morning I have received a letter from HSBC , with a copy of a default notice, dated November 2008. They sent this to my old address, which is why I never received it. It was never recorded on my credit files. The letter also states that the "6" codes were not placed to represent late payments, but to indicate default! I'm pretty certain that this is a clear demonstration that they have recorded incorrectly, so fingers crossed I'm on my way to getting this corrected. I would have thought that FOS would have to instruct them to place the default on there for Nov 2008.
Thanks for all your advice everyone.:)