HSBC Marker

maria-ts

Three years ago I took a £1000 loan from HSBC, at the time I was going through a divorce and due to paying high legal fees I stayed behind with the loan payments and the bank issued a final demand. I eventually settled the loan. A couple of months ago I tried to open an ISA savings account with HSBC and the application was rejected. After calling the bank a number of times and trying to come to the bottom of it I was told that a marker has been placed on my account and it will show for 12 years (please note that my current account and mortgage is with HSBC and I have been banking with them since 1996). During this time I will be unable to take out any new savings or lending products. It was the first that I heard that for a savings account the banks review the credit history and that the marker stays for 12 years. Is that legal? Why the bank didn't inform me of that before? HSBC wrote to me and advised that if I wish I can refer the complaint to the Financial Omdudsman. I explained to them that at the time I was going through a divorce and evidently I have kept up with all my payments during the last couple of years. Any advise you could provide would be gratefully received.

fermi

If they believe it is in their "legitimate interests" to record such a marker on the internal records they hold, then under Data Protection that is potentially valid reason to be able to process that data and do so. While it remains in their interests, there is no absolute time limit on how ling they can retain that.

If you go to the FOS/ICO you'll have to argue that it is not really in their interests, or is excessive or disproportionate to record that after all this time.

GingerBob_3

The ICO is completely useless; they don't really understand the meaning of data protection, so I guess you wouldn't get anywhere with them.


Talk about cutting your nose off to spite your face! HSBC must be stuffed full of d11ckheads if they have policies such as this; you're proposing to lend them money on this occasion: idiots.


I wouldn't spend too much time on this. Move away from HSBC. Open a saving account elsewhere and move your current account - and of course tell them why you're doing so. Require them to take your name off all marketing databases. Moving your mortgage will be a bit more difficult, but your overall policy should be to dispense with HSBC and brief against them whenever you can.