Late payment loan - Bank error

vickielouise87

Hi, 
Looking for some reassurance/ advice. 

I have a TSB loan which usually goes out on 28th of each month. I wanted to change the account the direct debit is set up from, so TSB sent a mandate out in the post, which unfortunately never arrived. I called them a few days before my payment was due & they told me to call back on the due date to make a manual payment over the phone with my debit card - I stressed how important it was that I didnt risk getting a late payment mark on my credit file as had just had a mortgage offer through (which took 6 long weeks & had to jump through hoops to get!) 
They took payment via my debit card on the due date and said there was absolutely no way a late payment mark could be raised. Perfect. 

8th December I get a call from them, chasing my non payment for November 😫

I explained the above and the lady on the phone said the payment had gone down as an overpayment instead of my monthly payment. She couldn’t confirm if this would show as a late payment on my credit file or not, but sent a correction request through just incase. 

She said the payment wasnt ‘returned’ until the 2nd December, so when the arrears team picked it up, it was showing as 6 days late - this was rectified and arrears removed that day. 

I am checking every single credit agency there is checking to see if this has had a negative impact. 

I have read so much conflicting information about these type of errors online so really dont know how it will pan out. 

Usually I wouldn’t be too bothered, but typically the timing couldn’t be worse as we are due to complete on our new house in a few weeks - I’m petrified my mortgage offer will be withdrawn if this appears 🥺

[Deleted User]

Sounds like it should be fine and if not, you can provide the evidence.

bermudianmark

Doesn't usually get registered with credit agencies if rectified within so many days - I think 10 or 14 days (usually the time they take to retry the transaction.

Also your credit file would have been accessed at the point of the mortgage offer and it isn't standard lender practice to recheck credit files multiple times during the loan process.

vickielouise87

Thats good news. I read on the mortgage forums that the lenders tend to do another credit check before releasing the funds, which is what is creating all this anxiety. Really frustrating as TSB (loan provider) keep saying they cant tell me whether or not its been reported as late or not - I don’t understand how they cant find this out for me, when its coming from them. 

[Deleted User]

It's because the front line staff you talk to will have no idea of the CRA reporting cycles and corrective actions.

vickielouise87

Even the complaints department that investigated it all had no idea .. I’ll just have to hope it doesn't crop up in the next few weeks. A lot of the info online seems to state that you have to miss a whole payment cycle in order for it to show up on your credit file 🤞🏼

cymruchris

If it does show up - you have plenty of evidence to get it removed again - it's just a hassle you could do without. In hindsight (it's a wonderful thing!) I wouldn't have tried changing a direct debit so close to getting a mortgage - but it's easy to say that now! If you get another mortgage in years to come - you'll know what not to do in the lead up to approval!