When the lender causes a default

SimplyLindaW

Approximately 3 years ago, Capital One caused me to default on payments. I sent the money on time and greater than the minimum amount required. At Capital One, the money was paid into the wrong account, which could not accept the payment. The money was returned by Capital One  as a BACS payment. When alerted to the error, Capital One refused to accept that the money had been returned. A copy of my bank statement clearly showing payments being made and returned within days by BACs. My Bank confirmed that there had been no changes made on my account and the money was being sent to the same account at Capital One as it had always been without problem. Nonetheless, my credit score showed a default and Capital One refused to accept that the error was theirs.
I contacted the Financial Ombudsman - about as much use as a chocolate fireguard. I was told that I had defaulted and therefore the default would remain on my credit file. Totally ignored the fact that I had complained that Capital One had caused the default and would not accept responsibility!
Eventually an agent at the call centre identified the error and corrected it. The default however, remained on my file, despite having been told that the error lay with Capital One.
Fast forward to 19.10.2020 - my Bank advise that the Default was still showing on my credit score, despite the account having been closed - paid in full.  I contacted Capital One and was told by the Complaints team that it clearly showed on my now closed account, that I had reported the problem of BACS payments being made from Capital One to my account and that had placed me in the default position. The matter would be further investigated and - if it was found that an error had been made - the 'possibility' of removing the default from my credit core would be considered.
Today 22.10.20 I contacted Capital One. The first member of the complaints team I spoke to said that it was not possible to check my closed account to see what Bank statements had been submitted. I advised him to rethink his statement, as on 19.10.20 his colleague had confirmed that she had read the Bank statements. He quickly transferred me to the first member of the team I had spoken to. She again confirmed that she had considered the Bank statements; that payments had been made consistently until the point that the default was applied; she also confirmed that payments had been made and returned to my account by BACS.
BUT the default would remain, as the account WAS in default at the time it was applied. It was of no consequence to Capital One that the default had been caused by an error on their part.
How or where do I now complain?
There has been no default on the account for 2 years and 9 months. As my original complaint to Capital One was that there was an error at their end causing me to seemingly default, I cannot submit a further complaint about the matter. There's no point in going to the Financial Ombudsman - not only do they not listen, they do not operate objectively - might as well complain about them whilst I'm at it!
So - I'm penalised for 6 years for Capital One's error. Hardly seems fair.

Any suggestions most welcomed.

bradders1983

A default for ONE missed payment which I assume was quickly caught up with? Are you using the correct terminology here?

[Deleted User]

SimplyLindaW said:

Approximately 3 years ago, Capital One caused me to default on payments. I sent the money on time and greater than the minimum amount required. At Capital One, the money was paid into the wrong account, which could not accept the payment. The money was returned by Capital One  as a BACS payment. When alerted to the error, Capital One refused to accept that the money had been returned. A copy of my bank statement clearly showing payments being made and returned within days by BACs. My Bank confirmed that there had been no changes made on my account and the money was being sent to the same account at Capital One as it had always been without problem. Nonetheless, my credit score showed a default and Capital One refused to accept that the error was theirs.
I contacted the Financial Ombudsman - about as much use as a chocolate fireguard. I was told that I had defaulted and therefore the default would remain on my credit file. Totally ignored the fact that I had complained that Capital One had caused the default and would not accept responsibility!
Eventually an agent at the call centre identified the error and corrected it. The default however, remained on my file, despite having been told that the error lay with Capital One.
Fast forward to 19.10.2020 - my Bank advise that the Default was still showing on my credit score, despite the account having been closed - paid in full.  I contacted Capital One and was told by the Complaints team that it clearly showed on my now closed account, that I had reported the problem of BACS payments being made from Capital One to my account and that had placed me in the default position. The matter would be further investigated and - if it was found that an error had been made - the 'possibility' of removing the default from my credit core would be considered.
Today 22.10.20 I contacted Capital One. The first member of the complaints team I spoke to said that it was not possible to check my closed account to see what Bank statements had been submitted. I advised him to rethink his statement, as on 19.10.20 his colleague had confirmed that she had read the Bank statements. He quickly transferred me to the first member of the team I had spoken to. She again confirmed that she had considered the Bank statements; that payments had been made consistently until the point that the default was applied; she also confirmed that payments had been made and returned to my account by BACS.
BUT the default would remain, as the account WAS in default at the time it was applied. It was of no consequence to Capital One that the default had been caused by an error on their part.
How or where do I now complain?
There has been no default on the account for 2 years and 9 months. As my original complaint to Capital One was that there was an error at their end causing me to seemingly default, I cannot submit a further complaint about the matter. There's no point in going to the Financial Ombudsman - not only do they not listen, they do not operate objectively - might as well complain about them whilst I'm at it!
So - I'm penalised for 6 years for Capital One's error. Hardly seems fair.

Any suggestions most welcomed.

How did Capital One pay the money into the wrong account?  How did you make your payments to Capital One?

D3xt3r5L4b

Something is amiss here. You don’t default
after one missed payment 

bradders1983

I can only assume she means a "2" for a payment up to one month late, rather than a "default"