Fault from switching bank accounts wrecked my credit rating. Advice gratefully received.

CleanBandit87

Hi all. I switched from Ulster Bank to Starling in April 2022. I used the starling switch service which worked brilliantly and all my DDs looked as though they transferred across. 

A couple of months later I received a call from Ulster Bank to advise payments to a loan I had with them were outstanding. I made a payment of the arrears over the phone and asked if I could make a new direct debit when they advised the direct debit was cancelled. They said they couldn't help with this. 

This battle went on for months where I was told they couldn't set up a new direct debit for the account and I was continually paying off arrears manually. I even called in to branch on the advice of customer service and the manager spent 2 days trying to find someone to help and was told she couldn't get an answer. She told me to do a faster payment and set up a standing order. 

I tried this but the account number and sort code wouldn't let me set up a standing order or let me make a bank payment. 

I raised a complaint which was resolved in February 2023 and they agreed to send over a DD mandate form and sort out the mark on my credit file. They didn't. But I did set up the DD and this has been on-going since April. 

However, they have served a debt recovery notice and ive been chased by this company since April. 

I contact the financial ombudsman who are now investigating. 

Ulster Bank have given conflicting information. They have also told my current bank the DD was 'non transferrable' and as there were no payments on it they cancelled it in July last year. The information was sent over as part of the switch but the information was incorrect. 

But I'm worried as the new investigation could take 8 weeks, there's no FOS case investigator assigned, and mortgage is now needing renewed. Now I can't even move and looks like I will get offered a SVR. My partner is about to be made redundant so this is terrible timing for my mortgage rate to go to nearly 8%. 

Does anyone have any advice?

WillPS

Help and support to make sure your current account switch goes smoothly -> If something goes wrong -> My Direct Debit hasn’t moved across after I’ve switched. What do I do?

If you're missing a Direct Debit and your switch is complete, contact your new bank. Remember all payments are covered by the Current Account Switch Guarantee and any charges or interest incurred on your old or new account as a result of the error will be refunded.

Starling should be sorting this out for you.

penners324

Was having the loan contingent of having a bank account with them?

Maybe open a bank account with them and link the loan to them so payments can be made?

If not what was Ulster's final notice to your official complaint?

Also get the loan payments upto date

xylophone

mortgage is now needing renewed. Now I can't even move and looks like I will get offered a SVR. My partner is about to be made redundant so this is terrible timing for my mortgage rate to go to nearly 8%. 

Have you arranged a face to face meeting with your mortgagee's mortgage advisor so that you can explain the circumstances?