IVA item not removed from credit file.

[skint]

Hi All,

After a long six years my IVA came off my credit report on JAN 24th this year.

There was an entry on there which was clearly in my IVA.

When looking at the dates this company actually defaulted me in 2008 when my IVA started in 2006.

I wrote to them towards the end of last year and they just updated it to satisfied but they said the outstanding amount was the original amount of 477 when I know they were paid money from my IVA.

I just recently contacted them again and they completely ignored me.

I was told by a mortgage advisor i should get this removed and the last time they could have defaulted me was probably on the day I went into the IVA. Can anyone give me any advice on who I would need to contact?

This is getting ridiculous now.

Many thanks

[plasticdaft]

If the company wont play ball contact the information commissioners office to raise a complaint. The latest you could be defaulted is the date your iva was approved. The ico website gives you info on what to do when someone holding info on you is incorrect but you will be expected to prove that you have given you creditor a chance to fix the entry on you file(copies of letters,recorded delivery etc).

Good luck.

Paul

[TheMatrix]

The original amount will NOT change it stays the same. What should change though is the fact they have marked it as satisfied which means that they cannot chase you for it.

In terms of the default date, they MUST amend this when you contact them as per the ICO guidelines. Any default date should not be later than the date your IVA was agreed.

An example of a good default on your file assuming the IVA agreement date was 24/03/2006 will look like this


Provider: Max Recovery
Account Type: Credit Card
Account Number: ************
Account Status: Satisfied
Date Updated: 21/09/2007
Account Start Date: 16/07/2005
Account End Date: 21/09/2007
Account Opening Balance: £3102
Repayment Frequency: Monthly
Default Date: 24/03/2006
Default Satisfied Date: 21/09/2007

Status History D D D D D D
Limit History 0 0 0 0 0 0
Balance History 0 3102 3102 3102 3102 3102

Above example the first D is the latest so balance is now ZERO.

[TheMatrix]

Oh and as it's been six years they should delete it!

[skint]

Thank you for your replies. I just received a letter from the company from their litigation department. They said they have updated my credit file correctly. They will not remove it and will not ask for it to be removed and they said they have also mentioned the IVA.

So basically they are saying that they were right in defaulting me in 2008 on the debt to them that was clearly started in 2006 listed in my IVA. So they have said it will remain. This is not good at all. Every other debt that was on my IVA is not on my credit file anymore. As the six years have passed. So my credit file indicates I defaulted them in 2008 so I need to wait until 2014 for it to come off this is ridiculous. Really don't know how companies get away with this. It is a fairly large car company as well!

[TheMatrix]

Have you wrote to their Data Controller? That should be your next step citing Para 47 from this guidance note specifically stating that when the customer requests it a default should be back dated to the date of your IVA agreement.

From http://www.ico.gov.uk/~/media/documents ... 20doc.ashx

Failing that write to the Information Commissioner.

[skint]

Thanks for your reply thematrix. I sent my letter to their data controller and I have received the reply from their litigation department. This stated what they did was correct and that they would not and could not remove the record. Yet they were quite happy to put it there 2 years after I started the IVA. I will write to them again but I would love to lodge some sort of complaint against them as what they are doing is wrong.

[kallis3]

They cannot keep a default on your record post IVA once the IVA is completed.

Write again, enclose a copy of your completion letter and tell them that if they don't remove the default you will take matters further.

[TheMatrix]

Defaulting you 2 years after the start of your IVA is simply not cricket.

Take the matter further NOW. They have basically given you a final answer which is what you now need to go to the Financial Ombudsman and Information Commissioner. I'd lodge a complaint with BOTH referencing the document I put a link to in my previous post.

Visit their websites for details on how to do this. It may take some time though certainly it wont take 2 years.

[skint]

Many thanks for this TheMatrix I will get on the case this week. I have already started writing my letters. For dispatch on monday.

[skint]

Hi kallis I've written to them numerous times. I sent them an in depth letter with dates and all the possible information they would require. And even this managed to escape them. I clearly showed them that my IVA began in 2006 and they were on there. They acknowledged the fact that they were and said they made a note of it but the default they put on my credit report shows 2008. So for them to send a letter saying they have updated the credit agencies correctly and they cannot and would not update my credit report to reflect this is terrible.

It amazes me that companies are allowed to be so careless with people's information like this. Their terms and conditions clearly states that they can fine us or end agreements if we provide incorrect or false information yet they can knowingly as it seems tarnish ones credit even further by doing something like this.

If they put their hands up and said fine our mistake we will sort it I'd be happy but I think the letter they sent just made me even more pissed off.

[TheMatrix]

It would p*** me off too. I'd probably be writing to the Financial Ombudsman and asking if he could award some compensation for your time and expense in dealing with their incompetence.

[skint]

Just an update. I have written to the ICO.gov and provided them with details but Im still waiting. It seems like forever. I sent an email to my IVA supervisor:

my email:

I am writing to yourselves for some an advice on an issue I am having still which is with reference to PSA finance who have put a default on my credit report in 2008 for the item which was in my IVA that I started with your company in 2006. I have written to PSA finance a number of times for incorrectly adding items to my credit file. The last date of any default they could have possibly added was the start date of my IVA and the file shows that 6 years on it should have been removed. I have reported PSA finance to the ico.gov.uk website but as you can imagine this is taking quite some time. When I contacted them they replied saying they had updated my credit file to say it was satisfied but cannot and would not remove the default in 2008. Isn’t this breaking the law with regards to my IVA? Have you had any situations like this before and will it be necessary to take some sort of legal action as this is proving detrimental to my credit report as I am currently looking to obtain a mortgage. I have attached the latest correspondence I have received from them. Thank you for your time.

Their email:


Your arrangement was approved on 24 January 2006 and completed in August 2009. Your creditors should have updated their records upon receipt of the final report.

Your creditors are able to update their records to confirm the arrangement has being satisfied, but it is my understanding that they can't change the history of your credit. This will stay intact. However, any default added to your credit score from the creditors within your arrangement should be justifyable.

The reports and dividend payments went to Banque PSA Finance following receipt of their proof of debt on 19 March 2007. This could possibly have meant that Citreon Financial Services were not told the proof of debt had been issued and settled.

A copy of your final report will have been passed to 'The Court' and 'The Registrar of Individual Arrangements' at the same time you received yours. Upon receipt of this report, they will have updated their records. The title 'IVA' will be removed 6 years following the approval of your arrangement, as long as the arrangement has concluded and they have processed the update to their records.

I am unable to comment on whether the default should remain on your credit rating and the period of time it will exist on there. I can't think of any legal action with regard to a detriment to credit scores.

You should be able to provide your mortgage lender with a copy of your proposals and final report to confirm that all items have been dealt with and that you have been clear of debt for x period.

I hope this helps answer your questions, but if you have any further queries please let me know.

My response:


Your arrangement was approved on 24 January 2006 and completed in August 2009. Your creditors should have updated their records upon receipt of the final report. ***They didn’t do this I have been writing letter after letter to them about this. They only updated their records in Dec 2011.***

Your creditors are able to update their records to confirm the arrangement has being satisfied, but it is my understanding that they can't change the history of your credit. This will stay intact. However, any default added to your credit score from the creditors within your arrangement should be justifyable. ***My original correspondence didn’t infer that I expected them to change the history of my credit. However the agreement which they defaulted me on ended in 2004. My IVA started in 2006 and they somehow managed to add a default to my credit report in 2008. My concern remains around the fact that the default should have disappeared in Jan 2012 along with the rest of the IVA. Now they have defaulted me in 2008 I think it very unfair that I should now have to wait until 2014 for it to disappear from my credit report. There is actually no justification for this. Nor have they provided me with any***

The reports and dividend payments went to Banque PSA Finance following receipt of their proof of debt on 19 March 2007. This could possibly have meant that Citreon Financial Services were not told the proof of debt had been issued and settled. ***They were however told that I was in an arrangement with yourselves and they did confirm eventually that they received a dividend.***

A copy of your final report will have been passed to 'The Court' and 'The Registrar of Individual Arrangements' at the same time you received yours. Upon receipt of this report, they will have updated their records. The title 'IVA' will be removed 6 years following the approval of your arrangement, as long as the arrangement has concluded and they have processed the update to their records. ***This is correct. All of this was removed***

I am unable to comment on whether the default should remain on your credit rating and the period of time it will exist on there. I can't think of any legal action with regard to a detriment to credit scores. ***A defaulted account will remain on my report for 6 years after it has been issued. If the agreement came to an end in 2004 I still don’t understand why they have the ability to mark a default on my credit report after jan 2006 when my IVA started.***

You should be able to provide your mortgage lender with a copy of your proposals and final report to confirm that all items have been dealt with and that you have been clear of debt for x period. ***I aim to do this but as you can imagine it does not look good that I was actually defaulted by a car company whilst in an IVA The whole idea of the IVA was to pay back most of my debts. This goes against the very grain of one trying to repair ones credit rating***

Sighs this seems to be a bit of a nightmare really. How can large companies get away with this!!! AHHH. Sorry rant over (for now)...

Hope everyone is having a good year!!!

[TheMatrix]

you should point out point 47 of the following document http://www.ico.gov.uk/~/media/documents ... 20DOC.ashx which clearly gives guidance on this matter.

Have you complained to the Financial Ombudsman too? Your IP will probably not want to get involved as this is not their responsibility. It's down to us to resolve these issues.

First of all I'd write to the CRA's to dispute the default, it should not be there and I'd suggest you ask that they suppress this data from your file until such time the creditor can validate the default.

Given that this creditor was included in the IVA, the ICO guidelines are very clear, they should back date any default to the date of your IVA when requested to do so by yourself. They are in breach of their duties to ensure data is accurate and kept up to date based on the Data Protection Act.

The delay from the ICO is unfortunate, I trust you have sent them all the documentation, dates and information needed for them to make a ruling. It does seem they are taking an age to get back but sure they will at some point in time.

The financial ombudsman is another route, as I've said previously they seem to have given you a final answer and it has been longer than 8 weeks so could go to them stating their legal obligation under the act enclosing a copy of the default guidance note above highlighting point 47.

[skint]

Many thanks TheMatrix I will try getting in touch with the financial ombudsman as well and see how that goes. Yes I have sent the necessary documentation to the ICO with all the letters and correspondence.