Credit Report showing money owed after BR and discharge

MrSkipsey

Hi, I went bankrupt last year 3rd November 2006 as I was unemployed and was discharged in June 2007.

I opened a basic acount with Abbey to pay in my JSA and was told that if it had £500 going in each month I would be able to apply for a debit card after 6 months if the acount was run sufficiently.

I have been on a low income since August 2007 and and have applied for my Abbey debit card only to be refused due to my credit.

I obtained a copy of my credit report via Experian and Im concerned about what it says.

There is no mention of my BR in Nov 06 or discharge in June 07 (which Im quite happy about)!
But out of all my creditors 3 (Tesco, MINT, Max Recovery) are still showing that I owe a total of £12k (ie. default balance £5000. current balance £500) and displaying the 'red 8' symbol (account is defaulted and credit agreement has ended).

The rest of my creditors are all displaying settled with the 'green 0' (payment up to date)

I have contacted my OR who is sending me a copy of my discharge letter and I will be forwarding this on to the 3 companies mentioned above asking them to resolve their records.

Are they able to change their records so that my credit report displays 'cleard' and the 'green 0' like the others?

Although between the 3 creditors it looks like I still owe £12k they are not pursuing me for the funds and have not sent any correspondence.

Im not worried about the money owing as all creditors were included within my bankruptcy so I know they can no longer pursue me for the monies but Id like to get these 'red 8's' and current balance cleared.

Is this possible and does anyone have a template letter I may use?

Regards,
MrSkipsey

fermi

Creditors can default the accounts, but it should be a single default dated NO LATER than the date of the bankruptcy order. The account should also be marked somehow to indicate it is satisfied/settled.

Go to the following link to see exactly how your Credit Reference Files and account info should have been correctly updated:

CREDIT REFERENCE FILE CLEAN UP – POST BANKRUPTCY

Then for the accounts that are not correct write the letter in the next link to their "data controller(s)" by recorded delivery.

Letter to former Lenders post Bankruptcy

If they then fail to update your account and records correctly, raise a complaint with the Information Commissioner:

How to raise a complaint with the Information Commissioner

If necessary the Information Commissioner will force them to update correctly, and even fine them heavily if they don't.

The process is a bit lengthy, but it always gets the job done.

MrSkipsey

Cheers for that fermi. Ill get it all into the post this week!

Ok,...So after finding out my account deatils for each account (which took longer then expected)! I have posted three letters off RD.

Ill give it the months grace then if I havent heard anything by the end of Jan '08 (Im allowing for Xmas, arent I a nice bloke)?! Ill contact the IC and go from there.

MrSkipsey

Ok,....Ive had all the correspondance back from the 3 creditors that hadnt updated my CR and this is what has been said.

Eversheds LLP (Max Recovery) 10/12/07

I can confirm that I have updated our system to reflect that you have now been discharged from your bankruptcy.
I have taken steps to amend the account on your credit file that is owned by Max Recovery to show a zero current balance and a status "satisfied". Equifax and Experian have both been contacted regarding this issue. Please allow 7 days for any changes to be implemented.

RBS (MINT CC) 12/12/07

I can advise that the credit reference agencies have been requested to update your credit file entry as satisfied with immediate effect.
The satisfaction on the account confirms to any lender that there are no longer any monies outstanding.

However, in accordance with an agreement set up between the British Bankers Association and the DPA, your default will remain registered for a period of 6 years from the original date of registration. This agreement carries the approval of the Office of Fair Trading.

Natwest 31/12/07

Further to your request to mark the Credit Reference Agency report as satisfied due to your discharge from bankruptcy, I regret that it is not this Department's policy to do so. The outstanding balance will remain on the record for a period of 6 years from the date of registration and this will be shown as a partial satisaction from the the date your bankruptcy was discharged.

The bank has a duty to be a responsible lender. It would not be responsible to mark the register as satisfied where the debt has clearly not been repaid, as this would give a false impression to any new lender appraoched. In this instance the Bank is prepared to mark your Credit Reference as partially satisfied.

Well, thats the body of text from all 3 replies. What do you guys think? Im abit miffed that Eversheds/Max Recovery can clear the balance and show satisfied but Natwest wont??!?!?!

I havent checked my report yet, Ive learnt my lesson about spending, so dont want to pay to get my reports again untill I know all avenues of getting it finalised and as accurate as possible have been exhausted.

Ps. BIG THANKS to Femmi again for providing the links to the letter template!

fermi

Assuming that the defaults mentioned weren't dated after the bankruptcy date then that looks acceptable according to my understanding of the ICO guidance.

Natwest are doing the bare minimum they have to by marking it as "partially satisfied", but it is acceptable.