How to remove an incorrect default from credit reports

Bridlington1

cymruchris said:

Bridlington1 said:

Well I've just telephoned Barclays to find out why nobody has rung me as promised and was told that the last note on their system was saying that I must go to the credit reference agencies with the final response letter and get them to remove the default, so it appears they weren't going to ring me anyway.

Needless to say I shall now take the matter to the FOS and ICO.

You've put a lot of time and effort into this which shouldn't have been needed, and the costs that Barclays are incurring through all of your interaction for a straightforward mistake that needs correcting are mounting. In the grand scheme of the business for them, it's next to nothing, but it all adds up and hits the bottom line. They close branches to cut costs, yet carry on doing things like this that ultimately cost them £££'s and customers which in turn end up on forums like these showing them in a negative light. Good luck with the next bit - and please do come back and update us as to how you're getting on.

It was a simple mistake on Barclay's part and hopefully something should be done about it with the aid of the FOS and ICO. At the end of the day I am extraordinarily patient, provided I get my own way in the end and so long as the default is removed by the time I come to buying my first property I'm not too bothered how long it takes really.

I suspect it will take a few months to hear from the FOS and ICO but when they get back to me I shall update this thread.

TheBanker

Don't want to speak out of turn here but have you SARd CIFAS as well, just in case Barclays made more than one reporting error? 

Bridlington1

TheBanker said:

Don't want to speak out of turn here but have you SARd CIFAS as well, just in case Barclays made more than one reporting error? 

I did a SAR into CIFAS in March when LBG decided to close all my accounts and there was nothing from Barclays appearing on that.

MalMonroe

Hi, just another forumite popping up to agree agree about reporting to the FOS, definitely. Barclays really are useless. I banked with them as a student and they were fine - but as soon as I graduated, the service from them was abysmal. Never did find out why.  

However, when I submitted a complaint about Capital One to the FOS last year, it didn't take long for someone from their office to get back to me. Yours doesn't appear to be a complex complaint so hopefully they will get on it very quickly.

I do hope you manage to get it sorted out soon, it has been dragging on for far too long now.  All the best.

Bridlington1

I've now had a response from the ICO:

Dear Bridlington1

Thank you for your complaint form of 25 May 2023.

It is our understanding Barclays have marked your account as defaulted on your TransUnion and Equifax credit file. You raised this with Barclays in branch December and received a final response on 31 January 2023, which you have provided.

However, you have since contacted the two credit reference agencies and they have explained they are only showing the information supplied by Barclays.

The next best course of action will be to re-raise your concerns with Barclays in writing and providing them with the responses you have received from TransUnion and Equifax.

Your next steps

To progress your complaint about Barclays, we will require the following:

- Copies of any letters or emails you sent to Barclays complaining about this matter.
- Copies of any letters or emails they sent back, showing their complaints process has ended.

If you have not yet complained to Barclays since you have corresponded with the credit reference agencies, we would recommend doing so prior to raising this matter with us. We have information on raising a data protection complaint with an organisation that may help you with this. You may wish to contact Barclays’ data protection officer directly at DPO@Barclays.com or via post.

We recommend raising complaints with the ICO within three months of receiving your final response where possible.

Without this information we are unable to consider this matter further.

Yours sincerely

With the exception of sending them a copy of my credit report in March, all of my contact with Barclays since I received the final response letter from them in January has been by phone so I haven't sent/received any letters/emails from them since January. Consequently it's looking like I'm going to need to contact Barclays once again, this time by email, in order to get any further, or else get hold of the transcripts from my various phone calls with Barclays, which I suspect would take just as long, if not longer than simply sending an email to their data protection officer.

Bridlington1

I've received a response from the case handler at the FOS:

Dear Bridlington1

Your complaint about Barclays Bank UK PLC

I’ve now looked at all the information I’ve received about your complaint.

 

Having done so, I’ve been in touch with Barclays Bank UK PLC about what’s happened – and they’ve made an offer to resolve your complaint.

What they’ve offered to do

I’ve summarised the key points of your complaint below – and explained why I think Barclays Bank UK PLC's offer is fair.

Your complaint

 

You had a Barclays student account which you intended to use as your main current account – the account was open with no lending facilities, such as overdraft, etc.

On 25 November 2022 you received text messages from Barclays telling you that they had cancelled two direct debits you had set up on the account. you visited a branch and was told that they had closed your accounts and that you could go back to the branch from 28 November to collect the remaining funds that were in your account.

 

You made a complaint to Barclays regarding the account closure, as this caused you a great deal of inconvenience and stress. You’ve also said that since the account closure your access to credit has been reduced.

 

To resolve your complaint, you would like your credit file fixed, an apology and compensation.

 

Barclays have made an offer

 

Since your complaint has been with our service, Barclays have reviewed the complaint and outcome and have proposed an offer. Having looked at the offer, I think it is fair and therefore am writing to notify you of the offer.

 

You were issued with a notice of closure on your bank account. I have reviewed the terms and condition of the account and it does advise your account may be closed at any time and the bank are not bound to provide a reason for closure. I do appreciate this must’ve been distressing and I don’t disregard the worry this may have caused you. That being said, as the terms suggest, no reason is needed and therefore I cannot suggest Barclays have done anything wrong.

 

We wouldn’t be able to ask that Barclays reopen an account, or indeed open a new one as our service is not able to tell a business who it should or shouldn’t offer its services to, this is not the role of the service.

In relation to the default, you’ve said you have on your credit file as a result – Barclays have confirmed no default against you has been applied to your credit file as there was no overdraft, no loan and the accounts were not in a negative balance – so there would be no need to record adverse data. Barclays also checked and were unable to locate any such default had been registered on your credit file.

I am persuaded that no adverse information has been recorded on your credit file and because of this I cannot suggest Barclays can do anymore regarding this.

 

Barclays maintain the correct decision to close your account was made, however acknowledged that a two month notice period for the account could’ve been issued instead of the immediate closure.

Because of this, Barclays would like to offer you £100 in recognition of the abrupt closure of your account.

 

I don’t doubt the level of stress and inconvenience this situation has caused you, but I am pleased to see Barclays have made an offer and this offer is in line with what I would’ve recommended.

 

Conclusion

 

I think the proposed offer is fair and reasonable, therefore I will not be recommending Barclays to do anything differently.

Next steps I think this is a fair outcome in the circumstances, for the reasons I’ve explained. If you’d like to accept Barclays Bank UK PLC's offer, please let me know by 21 July 2023 and I’ll arrange for Barclays Bank UK PLC to get in touch with you. But if you decide that you don't accept what I’ve said – and want an Ombudsman to make a final decision on your complaint – you must provide any further evidence or representations by 21 July 2023. Requests for more time must also be made by that date. If I don’t hear from you by 21 July 2023 we might not be able to look at your complaint again.

What's everyone's thoughts on this?
I've been offered £100 for the abrupt closure of my accounts but nothing in relation to the default that shows on Equifax and Transunion since both Barclays and the case handler are saying that Barclays didn't put a default on my credit reports.

Should I accept the £100 specifically for the closure of my accounts but take the rest of the complaint to the Ombudsman since it doesn't address the main issue of the default?

ForumUser7

Bridlington1 said:

I've received a response from the case handler at the FOS:

Dear Bridlington1

Your complaint about Barclays Bank UK PLC

I’ve now looked at all the information I’ve received about your complaint.

 

Having done so, I’ve been in touch with Barclays Bank UK PLC about what’s happened – and they’ve made an offer to resolve your complaint.

What they’ve offered to do

I’ve summarised the key points of your complaint below – and explained why I think Barclays Bank UK PLC's offer is fair.

Your complaint

 

You had a Barclays student account which you intended to use as your main current account – the account was open with no lending facilities, such as overdraft, etc.

On 25 November 2022 you received text messages from Barclays telling you that they had cancelled two direct debits you had set up on the account. you visited a branch and was told that they had closed your accounts and that you could go back to the branch from 28 November to collect the remaining funds that were in your account.

 

You made a complaint to Barclays regarding the account closure, as this caused you a great deal of inconvenience and stress. You’ve also said that since the account closure your access to credit has been reduced.

 

To resolve your complaint, you would like your credit file fixed, an apology and compensation.

 

Barclays have made an offer

 

Since your complaint has been with our service, Barclays have reviewed the complaint and outcome and have proposed an offer. Having looked at the offer, I think it is fair and therefore am writing to notify you of the offer.

 

You were issued with a notice of closure on your bank account. I have reviewed the terms and condition of the account and it does advise your account may be closed at any time and the bank are not bound to provide a reason for closure. I do appreciate this must’ve been distressing and I don’t disregard the worry this may have caused you. That being said, as the terms suggest, no reason is needed and therefore I cannot suggest Barclays have done anything wrong.

 

We wouldn’t be able to ask that Barclays reopen an account, or indeed open a new one as our service is not able to tell a business who it should or shouldn’t offer its services to, this is not the role of the service.

In relation to the default, you’ve said you have on your credit file as a result – Barclays have confirmed no default against you has been applied to your credit file as there was no overdraft, no loan and the accounts were not in a negative balance – so there would be no need to record adverse data. Barclays also checked and were unable to locate any such default had been registered on your credit file.

I am persuaded that no adverse information has been recorded on your credit file and because of this I cannot suggest Barclays can do anymore regarding this.

 

Barclays maintain the correct decision to close your account was made, however acknowledged that a two month notice period for the account could’ve been issued instead of the immediate closure.

Because of this, Barclays would like to offer you £100 in recognition of the abrupt closure of your account.

 

I don’t doubt the level of stress and inconvenience this situation has caused you, but I am pleased to see Barclays have made an offer and this offer is in line with what I would’ve recommended.

 

Conclusion

 

I think the proposed offer is fair and reasonable, therefore I will not be recommending Barclays to do anything differently.

Next steps I think this is a fair outcome in the circumstances, for the reasons I’ve explained. If you’d like to accept Barclays Bank UK PLC's offer, please let me know by 21 July 2023 and I’ll arrange for Barclays Bank UK PLC to get in touch with you. But if you decide that you don't accept what I’ve said – and want an Ombudsman to make a final decision on your complaint – you must provide any further evidence or representations by 21 July 2023. Requests for more time must also be made by that date. If I don’t hear from you by 21 July 2023 we might not be able to look at your complaint again.

What's everyone's thoughts on this?
I've been offered £100 for the abrupt closure of my accounts but nothing in relation to the default that shows on Equifax and Transunion since both Barclays and the case handler are saying that Barclays didn't put a default on my credit reports.

Should I accept the £100 specifically for the closure of my accounts but take the rest of the complaint to the Ombudsman since it doesn't address the main issue of the default?

Certainly pass it to an ombudsman - make it clear that CRAs get their data from financial providers and that 2 different CRAs show the default. Then include a copy of the statutory report with each that shows the default.

You could ask if you can take the £100 specifically for the closure of the accounts and then refer the rest, or you could possibly challenge further why they closed it so quickly and go down the route of them not giving the notice per the ts and cs and explaining how it couldn’t have been any of the things that allow immediate closure (if this is the case)

Bridlington1

ForumUser7 said:

Bridlington1 said:

I've received a response from the case handler at the FOS:

Dear Bridlington1

Your complaint about Barclays Bank UK PLC

I’ve now looked at all the information I’ve received about your complaint.

 

Having done so, I’ve been in touch with Barclays Bank UK PLC about what’s happened – and they’ve made an offer to resolve your complaint.

What they’ve offered to do

I’ve summarised the key points of your complaint below – and explained why I think Barclays Bank UK PLC's offer is fair.

Your complaint

 

You had a Barclays student account which you intended to use as your main current account – the account was open with no lending facilities, such as overdraft, etc.

On 25 November 2022 you received text messages from Barclays telling you that they had cancelled two direct debits you had set up on the account. you visited a branch and was told that they had closed your accounts and that you could go back to the branch from 28 November to collect the remaining funds that were in your account.

 

You made a complaint to Barclays regarding the account closure, as this caused you a great deal of inconvenience and stress. You’ve also said that since the account closure your access to credit has been reduced.

 

To resolve your complaint, you would like your credit file fixed, an apology and compensation.

 

Barclays have made an offer

 

Since your complaint has been with our service, Barclays have reviewed the complaint and outcome and have proposed an offer. Having looked at the offer, I think it is fair and therefore am writing to notify you of the offer.

 

You were issued with a notice of closure on your bank account. I have reviewed the terms and condition of the account and it does advise your account may be closed at any time and the bank are not bound to provide a reason for closure. I do appreciate this must’ve been distressing and I don’t disregard the worry this may have caused you. That being said, as the terms suggest, no reason is needed and therefore I cannot suggest Barclays have done anything wrong.

 

We wouldn’t be able to ask that Barclays reopen an account, or indeed open a new one as our service is not able to tell a business who it should or shouldn’t offer its services to, this is not the role of the service.

In relation to the default, you’ve said you have on your credit file as a result – Barclays have confirmed no default against you has been applied to your credit file as there was no overdraft, no loan and the accounts were not in a negative balance – so there would be no need to record adverse data. Barclays also checked and were unable to locate any such default had been registered on your credit file.

I am persuaded that no adverse information has been recorded on your credit file and because of this I cannot suggest Barclays can do anymore regarding this.

 

Barclays maintain the correct decision to close your account was made, however acknowledged that a two month notice period for the account could’ve been issued instead of the immediate closure.

Because of this, Barclays would like to offer you £100 in recognition of the abrupt closure of your account.

 

I don’t doubt the level of stress and inconvenience this situation has caused you, but I am pleased to see Barclays have made an offer and this offer is in line with what I would’ve recommended.

 

Conclusion

 

I think the proposed offer is fair and reasonable, therefore I will not be recommending Barclays to do anything differently.

Next steps I think this is a fair outcome in the circumstances, for the reasons I’ve explained. If you’d like to accept Barclays Bank UK PLC's offer, please let me know by 21 July 2023 and I’ll arrange for Barclays Bank UK PLC to get in touch with you. But if you decide that you don't accept what I’ve said – and want an Ombudsman to make a final decision on your complaint – you must provide any further evidence or representations by 21 July 2023. Requests for more time must also be made by that date. If I don’t hear from you by 21 July 2023 we might not be able to look at your complaint again.

What's everyone's thoughts on this?
I've been offered £100 for the abrupt closure of my accounts but nothing in relation to the default that shows on Equifax and Transunion since both Barclays and the case handler are saying that Barclays didn't put a default on my credit reports.

Should I accept the £100 specifically for the closure of my accounts but take the rest of the complaint to the Ombudsman since it doesn't address the main issue of the default?

Certainly pass it to an ombudsman - make it clear that CRAs get their data from financial providers and that 2 different CRAs show the default. Then include a copy of the statutory report with each that shows the default.

You could ask if you can take the £100 specifically for the closure of the accounts and then refer the rest, or you could possibly challenge further why they closed it so quickly and go down the route of them not giving the notice per the ts and cs and explaining how it couldn’t have been any of the things that allow immediate closure (if this is the case)

Thanks as ever @ForumUser7 for your reply.

I wasn't expecting to be offered £100 for the account closure since at the time I opened the Barclays student additions account I held a TSB student account, therefore I wasn't eligible for the Barclays account and they could close the account immediately in line with the Ts&Cs, irrespective of the fact that I closed the TSB student account about half an hour after opening the Barclays account. Consequently I am inclined to accept the £100 for the abrupt account closure.

On the advice of the ICO I sent an email to Barclays’ data protection officer earlier this week raising a data protection complaint and gave them one calendar month to reply. I imagine I would stand a much better chance with the Ombudsman if I have a response from the data protection officer since they should hopefully be able to confirm that a default has been placed on my reports by Barclays.

Therefore I think I will see if I can take the £100 specifically for the abrupt closure of my accounts and then refer the rest to the Ombudsman. I should then be given 2 weeks to provide further evidence so I shall see if I can get a 2 week extension on this, as I did with my recent unrelated Co-op complaint, to give me 4 weeks in which to provide further evidence. This should give Barclays’ data protection officer ample time to respond to the email I have sent them, which could be used as evidence for the Ombudsman's review.

sourcrates

With the account closure complaint, annoying, but within their rights to do so, accept the £100.

What I cannot get my head around are the defaults showing on your credit file.
I assume you have shown those screenshots to Barclays and the FOS, yet they categorically state they never defaulted your account, as there was no borrowing facility.

And yet you have evidence to the contrary, you should definitely escalate that part of your complaint, as it makes no sense at all, surely the FOS case handler can see a discrepancy in what they say, and what you say, they cannot just ignore evidence on the basis of an "it wasn`t us guv" denial by Barclays.

Someone at Barclays has passed on that information to the CRA.

Bridlington1

sourcrates said:

With the account closure complaint, annoying, but within their rights to do so, accept the £100.

What I cannot get my head around are the defaults showing on your credit file.
I assume you have shown those screenshots to Barclays and the FOS, yet they categorically state they never defaulted your account, as there was no borrowing facility.

And yet you have evidence to the contrary, you should definitely escalate that part of your complaint, as it makes no sense at all, surely the FOS case handler can see a discrepancy in what they say, and what you say, they cannot just ignore evidence on the basis of an "it wasn`t us guv" denial by Barclays.

Someone at Barclays has passed on that information to the CRA.

I agree, Barclays were within their rights to close my account so I will accept the £100 for the abrupt closure of my accounts.

They should have more than enough evidence that there is a default from Barclays on my credit reports. I sent Barclays the screenshots showing the default back in January followed by a full copy of my full Equifax credit report in March, along with a quick message telling them which page of the report the Barclays default was on. They've then had another copy of all of the above again plus the responses I've received from Equifax and TransUnion when I emailed the data protection officer earlier this week.

I sent the screenshots along with full credit reports and the responses I've received from Equifax and TransUnion to the FOS when I took the complaint to them in May. Consequently I am completely baffled as to why they are still maintaining that they did not put a default on my credit reports since I can't see how anyone other than Barclays could've put a Barclays default on my credit reports.

Therefore I will send my case handler an email next week telling them that I accept their decision in part. I will accept the £100 in relation to the account closure, thus settling that part of the complaint, but do not accept that Barclays did not put a default on my reports so would like to escalate that part of my complaint to the Ombudsman.