I feel so helpless... any advice would be much appreciated

Joanne89

Hi everyone, thanks for reading my post.


I'm in a bit of a mess because I've just realised there's a huge black mark on my credit rating, in the form of 5 late payments end of September 2014 / beginning of 2015. These are all from o2. I've tried getting loans and credit cards over the years and only looked at clearscore, which doesn't give you an indepth breakdown the way Equifax etc do.


Anyway, I just assumed it was due to my lack of credit cards/car finance/utilities etc. Until I've now come to get a mortgage and looked into it more indepth. My credit score is fair but the only red mark I can find on all 3 credit score companies is 'repayment history', and the only thing that comes up are these late payments with o2.


There's a bit of background here so I'll try to split it out the best I can.


Original complaint in 2014


I incurred charges for making calls from the UK to Spain, which were billed in September 2014. Prior to this, I knew that I would be making a large number of calls to Spain so I specifically asked o2 if there was a bolt on which I could add to reduce these charges, at which point I was advised no. That was incorrect, as once I’d incurred the charges a different advisor told me that I could add a bolt-on. This was what started my complaint, as it was negligent customer service which led me to incur these charges.

I proactively asked the question and had I been advised correctly, I would not have incurred the charges in the first place. This led me to bring the case to the Ombudsman. The outcome of this investigation was for the Ombudsman to speak to o2 and agree to credit back £60 of the charges, due to poor customer service. I agreed to this in settlement which was then actioned by o2.

All of the above relates to the initial complaint of the charges billed in September 2014 and it’s important to acknowledge that this is not what the new complaint is about.
Still 2014/15 but not part of the original complaint

In-between me contacting the Ombudsman about the above and the case actually being closed, the customer service from o2 was absolutely appalling. I cannot find the words to express to you how bad it was. My phone was cut off multiple times in a week, sometimes even multiple times in a day, beginning end of September / early October. Please bear in mind, this is at the point that the 1st bill was due (which I was disputing with the Ombudsman).

I contacted o2 18 times from the September bill being generated and receiving the letter of deadlock on 10th November. Over 2 months they cut my phone off upwards of 10 times as I had the September bill in dispute.

I wish that the trouble ended there but unfortunately it didn’t. As o2 wouldn’t recognise that this September bill was ‘on hold’ as it was being disputed with the Ombudsman, when I tried to pay each subsequent bill, they demanded the full amount (including September). I do not know if this is their policy or it is another customer service training issue, however I was not going to pay for the September bill whilst it was being investigated by the Ombudsman.

I completely appreciate that every bill following on from September should have been paid and this is what I tried to do on multiple occasions. O2 continued to demand the ‘all or nothing’ payment from me and in the end I spoke to a supervisor who said he would place a note on the account to stop my phone being cut off, which is what led to me incurring 5 late payments in the interim whilst the September bill query was resolved. Again, is this another customer service issue? Do they understand the impact that this will have on a person’s credit file? If so, that should be explained to a consumer.

It is unfair that o2 have backed me into a corner of either pay everything or they will destroy my credit file. This is penalising me for following the Ombudsman process, as the Ombudsman process dictates that 8 weeks must pass or I must receive a letter of deadlock.
Why I'm 'reviving this'/ trying to resolve it now


This has had a huge detrimental impact on my life because a large organisation has not fulfilled their duty of care to ensure their staff are fully trained, competent and communicate properly with their consumers. I have not been able to get credit cards with any less than 24% APR for the last 4 years, nor have I been able to get a loan with a reasonable interest rate. Now I cannot get a mortgage for on house I’ve been saving for, for 4 years. All that I am asking they do is fix what they’ve incorrectly made a mess of.
I've been to the Ombudsman and explained all of this, to which they sided with o2. They looked into the original complaint and said that they didn't find o2 in the wrong, so they were siding with them now.
I appealed and asked them to please separate out the two issues. I understand that can be difficult to do, but this isn't about the September 2014 bill and if it was correct or not. It's about them misadvising me since that date, refusing to allow me to pay any bill since, and for raising each following payment as a late payment after telling me they'd place a note on my account to explain the situation.
The Ombudsman then said it's o2's prerogative if they want to ask me to pay the September bill also, so they sided with o2 again. It probably doesn't help that the Ombudsman mentioned they'd 'lost' all of the notes of the previous complaint due to their systems changing.


They've then said that I can go to the small claims court and I'm 100% behind that, but can I take this to the small claims court? I don't want any money, I just want them to fix my credit rating.


Any advice would be much, much appreciated. Thanks for reading x

spadoosh

Have you actually applied for a mortgage?

Its just late payment markers arent usually a huge reason as to why youre declined a mortgage. Theyre more likely to effect rates that you receive rather than outright declines.

I got a mortgage with a high interest credit card and probably about the same amount of late payment markers (possibly further back than 3 years though) with ease. They wherent even mentioned.

Court is unlikely to offer the resolution you desire. If the ombudsman have sided with o2, youd imagine that theyve at least followed process and for all intents and purposes are correct insaying you where late paying. I appreciate there was complaints going on but with things like phone contracts where they tend to go straight to your credit file to report its usually worth paying whatever they ask for and arguing about it later. Its typically easier getting money back than it is getting changes to your credit report.

Getting it updated is never going to be that easy even and youre at a point where theres not many to turn to in order to overrule their decisions. Which is why i point out late payment markers arent typically a huge problem when it comes to lending. Its not great, but there will definitely be a lender willing to offer you a mortgage providing you can afford it. When you consider people get mortgage with CCJ and Defaults youre certainly in a more favourable position than them.

Basically its will require a lot of time and effort to argue about this, and there no guarantee it will be overturned. And you should still be able to get a mortgage, all be it potentially slightly more expensive initially.

Joanne89

Hi Spadoosh,


I've applied for one and sorry I should of mentioned, I've applied but it's the rate I've received which has put me off. Worst comes to worst I'm thinking I should just apply and then wait until the point I mortgage to get a better rate (I believe that this will drop off my credit rating after 6 years)


Definitely a lesson learned and I'd say the same to anyone else in the same position, pay it first then ask for it back later


Thanks for the advice x

spadoosh

Are you using a broker? And what rate did it come back as?

I paid vastly over the odds for the first two years of my mortgage, i just wanted to get the mortgage in place. Its much easier remortgaging than the first time (And youll be a lot less apprehensive). Ok its not what we know as the most moneysaving but the way housing tends to work, holding off can cost you more money if that makes sense (depending on when you buy, how much is being paid in rent etc)