British Gas ruined my credit report and my chance of purchasing a house

tnicky

Hello

I'll like some advice on an issue I am currently facing. Three weeks ago I applied for a mortgage and my mortgage broker call me to say there is an issue with the application. I was in the process of buying a house and with the offer accepted the day before; I was sorting out the mortgage. I expected this process to be pretty straight forward with the mortgage application because in my mind I have a very good credit history.

So when my mortgage broker notified me of an issue with the application I couldn’t understand why this would be the case. He advises me to go on my credit report (Experian) and check this. When I logged in Experian I noticed straight away the problem. BG mark 2 lines on my credit report a few days prior as delinquent payments which dramatically dropped in my credit score.

When I telephone BG that evening to understand the issue I was told by numerous advisers they cannot see any reason for these delinquent payments on my report as there is nothing on my account to this effect. The last time I had an account with BG was last year April, before I switched to another provider. I was with BG for 9 years up to April 2016. When the BG advisers checked my account they could see no outstanding balance, in fact BG refunded me when I left last year as my account was in large credit. The following day I telephone BG again and similarly to the night before no one could explain to me what happen. So I put a compliant in. 2 weeks later BG emails me to say that this was an error and they’ve now removed the marker off my file. By this time the house was offered to someone else which is the biggest financial loss and the interest rates have now increased due to the bank of England rate increase. BG cannot explain what caused the error.

When I was notified by BG the markers were removed I get in touch with my broker to continue the application, only to find out the following day that only 1 of the 2 markers was removed. It took another 1 week and some days for BG to remove the other marker.

This error has cost me time and money and I’ll like to know the avenue out there to claim compensation. I cannot allow BG to get away with this. When this issue started I telephone my current energy provide and leant something for the first time. In April 2017, BG requested my gas account from them to say I was switching back to BG. They allowed the switch and then in June 2017 BG sent them a letter to say they switched the wrong customer. BG took down my meter number for my neighbour. My current energy provider switched me back to them on hearing this, and back dated my bill to March as if I never left. All this is going on without my knowledge. BG denies the marker on credit report was caused by this error of switching me back in April 2017 but at the same time they cannot explain what has caused the error.

Keen for some advice pls?

footyguy

tnicky wrote: »

...I’ll like to know the avenue out there to claim compensation. ...

Welcome back after 2 years away, 2 years since joining MSE infact.

Well it's always best to follow the suppliers complaint procedure if you feel you have grounds for complaint.

Following that, if unsuccessful, then probably best avenue is court action.

Hope your compo claim bodes well. Be so sad to see the death of the compo cuture we seem to have inherited from the US. :cool:

Good luck.!

Cardew

Firstly I wouldn't go to the Ombudsman, you will get their usual decision of £50 or £100 compensation!



I would get your solicitor to write to BG outlining the issues and requesting £xxxx compensation.

If no joy! Go to the Small Claims Court yourself. It is really important that you detail your losses.

Cardew

footyguy wrote: »

Hope your compo claim bodes well. Be so sad to see the death of the compo cuture we seem to have inherited from the US. :cool:

Good luck.!

I appreciate the above is 'tongue in cheek' but a big problem lies with the power that Credit Reference Agencies wield.

It is outrageous that they can hold potentially damaging reports on individuals without the knowledge of that individual. I suspect there are many thousands of people who have been disadvantaged by a 'black mark' on their record and, like the OP, have no knowledge of that entry.

I would add that it is not just missing out on loans etc. Candidates for a new job requiring financial integrity might never even get to the interview stage.

Farway

OP, you could also look at the Data Commissioner for redress.

I do not know all the ins & outs but try the web site. It is apparent that BG had incorrect data on you, this is an offence, whether it will result in compo I know not, but maybe a BG fine?

Cardew

Farway wrote: »

OP, you could also look at the Data Commissioner for redress.

I do not know all the ins & outs but try the web site. It is apparent that BG had incorrect data on you, this is an offence, whether it will result in compo I know not, but maybe a BG fine?

BG have apparently admitted, in writing, they sent incorrect information to Experian who hold that Data, albeit given to them by BG.

Experian think they cover this situation by this procedure: http://www.experian.co.uk/consumer/questions/askjames308.html

However it doesn't cover the OP's situation where he was completely unaware there could possibly be a black mark on his record.

Given the reliance on the 'all seeing, all knowing, Computer' by energy firms handling many millions of accounts, I suspect that these reports are automatically generated and sent off without any human intervention.

Carrot007

Is your mortgage broker useless?

First thing I would expect them to do is request copies of all 3 credit reports from you.

And when Applying for a mortgage I would expect you to be checking them monthly too.

As such if you did not do that you are due about £50, if you did that than maybe £100.

Cardew

Carrot007 wrote: »

Is your mortgage broker useless?

First thing I would expect them to do is request copies of all 3 credit reports from you.

And when Applying for a mortgage I would expect you to be checking them monthly too.

As such if you did not do that you are due about £50, if you did that than maybe £100.

Why should someone who has never had any kind of financial problem be required to check their credit record, and pay for the privilege, in case some company has made an error?

We all have to pay for water, gas/electricity, use banks etc. Any of those organisations can make a mistake and get an entry put on our credit record, and neither the organisation or the Credit Reference Agency need to inform us of that black mark.

sheff6107

Losing out on a house you'd like doesn't amount to a specific financial loss to yourself.
Same applies to the mortgage offer no longer being available.

You would be much better quantifying the time you have had to spend dealing with their errors and incompetence at the rate of £19 per hour. And that isn't going to add up to much I'm afraid.