HSBC - removing default from credit

[QD1]

The default on my credit history was mostly as a result of charges, but ideally I am looking to get it removed straight as quickly as possible.

 

Do you think it would be quicker to reclaim my charges and demand removal as the default was as a result of charges, or whether to demand the cca paperwork (as I KNOW that none was received).

 

Im not actually all that interested in reclaiming my charges from them as it was less than £250, I am just looking to get the default removed asap.

[Rayne]

If it were me I would go the whole hog with them, end of the day the charges were applied unlawfully.

 

Is it just a standard bank account, credit card etc? Not sure where you would stand with regards to the CCA request, although even if you were fully in the right, which I'm sure you are, HSBC will most likely come back with a fob off letter saying the CCA 1974 sections 77-79 doesn't apply. They're good like that.

[QD1]

It was a standard bank account with no overdraft facility and only a solo card. Somehow I defaulted on £202

 

Ive moved since the account was closed in 2003. At a push I am able to use my old address as a mailing address, but would rather use my current one for ease.

 

Should I send proof of address when sending off my SAR?

[Rayne]

I would yes, a copy of a utility bill etc.

[QD1]

I have just read about the OFT test case... if they wont even look at my claim until the test case is heard, surely it would be better to try and get default removed?

[Castlebest]

I think you will have problems doing that because until you have proved the charges were unlawful they will insist the default notices are fair

 

pete

[QD1]

But I thought (and I could certainly be wrong here) that unless they can provide me with a copy of the signed Consumer Credit Agreement the debt was never enforceable, and unless they can can provide a copy of the default notice they MUST remove the default on my credit history?

[Castlebest]

That is true, if you do a Consumer Credit Act 1977 section 78 request and they cant provide a true copy of the credit agreement within 12 days the account is in default. If that continues for a further calendar month they are committing a statutory criminal offense and the account becomes unrecoverable.

 

As you say if you get the account into this position I think you will have a good case to demand to have the credit defaults removed from your record.

 

pete

[QD1]

What if they never agreed to give me credit? Will that make it easier?

 

I simply had a bank account with them, without an overdraft and with only a solo card. They somehow reckon that I defaulted on £202, which was obviously made up of charges, but to be honest Im really not interested in the charges, I just want to remove the default. According to my credit record, I defaulted on 29/5/2003 and it was satisfied at the last update which was on 27/7/2003.

 

Today I drafted a S.A.R - (Subject Access Request) regarding charges, but I also included a bit asking for a copy of the credit agreement under s.78. Would you send that letter? Or would you send two seperate letters?

 

Im aware that they have 40 days to respond to the S.A.R - (Subject Access Request) but less to the s.78 request. for the sake of £200 Im not really all that interested in the money. The default is seriously harming my job prospects as a mortgage advisor.

[QD1]

How does this letter sound?

 

Dear Sir/Madam

Account number – 5434 XXXXXXXXXX

 

After recently obtaining a copy of my credit file from Experian I was concerned to note that your company has placed a "Default" notice against an account in my name.

 

 

Further to this I have no recollection of ever receiving such a notice, and I therefore require you to substantiate this data at your earliest convenience.

 

1. You must supply me with a true copy of the alleged agreement you refer to. This is my right under your obligation to supply a copy of the agreement under the legislation contained within s.78 (1) Consumer Credit Act 1974 (s.77 (1) for fixed sum credit). Your obligation also extends to providing a statement of account. I enclose a £1 cheque in payment of the statutory fee, Cheque number xxxxxx.

 

 

2. You must supply me with a signed true and certified copy of the original default notice

 

I would request that this data is provided to me within the next 14 days, if you are unable to provide this data then I must insist that it is removed from my files as unsubstantiated.

 

 

In addition, take this letter to be a Subject Action Request and please supply me with a complete list of transactions and charges relating to my banking history with your organisation. Alternatively, a complete set of statements for that period will be acceptable.

 

Additionally, where there has been any event in my account history over this period which has required manual intervention by any member of your staff, or any other person, I require disclosure of any indication or notes which have either caused or resulted in that manual intervention, or other evidence of that manual intervention in relation to my banking business with you.

 

If you are unable to supply this data because there has been no such manual intervention, then please be so kind as to confirm this in your response.

 

I enclose the statutory maximum fee of £10. You have 40 days in which to comply. Furthermore, if I discover that you have levied disproportionate penalties against me, then I shall be reclaiming them, and also reclaiming the enclosed £10 Data Protection Act subject access request fee.

 

If there is specific information which you require in order to satisfy yourself as to my identity, please let me know by return. However, please note that the above address is the one which you normally use to communicate my private business to me and which you have hitherto found to be acceptable.

I would be happy to collect the Data from my local branch.

 

Should you forthwith remove the default from my credit history and send me written confirmation within 14 days, please disregard my Subject Action Request without prejudice to any future requests.

Yours faithfully

[Rayne]

Couple of suggestions:

 

1. Subject Access Request as opposed to Subject Action Request

 

2. Which address are you using? I ask because of your earlier questions where I suggested a recent utility bill as proof of address. IF using your current address, which I believe is different then I would change that last but one paragraph to read something along the lines of;

 

"If there is specific information you require inorder to satisfy my identity please let me know by return. In the meantime please find enclosed copies of blah blah blah which you should find acceptable."

 

Hope that helps

[Castlebest]

My post #8 above refers to credit cards and loan agreements having said that I cant see why they have posted a default on your credit record for a current account? so I would leave the section 78 reference in your SAR and see what they say.

 

pete

[QD1]

Today I sent pretty much the above letter, but with details of my new address and copies of ID and utility bills for my new address.

 

I emailed it with the scans of my documents and I also sent it recorded delivery with the copies and the cheque.

 

I think it will be quite interesting to see what happens. If I emailed it, as well as posting it, can I start counting from today?

[QD1]

I have just received a letter from HSBC

 

....Having had the opportunity to investigate you concerns I can confirm that my records indicate your account was closed and the outstanding balance of £202.86 passed to our recovery agents on 27 May 2003 following the issue of Final Demand.

 

Final Demand was issued on 24 April 2003 as the account was being operated outside of its agreed terms and conditions. At that stage the account was overdrawn and inactive. Regrettably due to the passage of time that has lapsed since the closure of your account I am unable to provide you with a copy of the final demand...

 

As a subscriber to the Credit Reference Bureau the Bank has an obligation to other lenders who use the data in assessing credit applications to ensure that this information is accurate.

 

I am satisfied that the entries recorded with Credit Reference Agencies provides a fair and accurate representation of the manner in which your account had been operated. In these circumstances, it would not be appropriate to amend them.

So they have not provided me with a copy of the default notice, nor the CCA and they have pretty much said that they are unable to provide a copy of the default notice.

 

Can anyone help me with the next letter I write to them? I know that they must removed the default on my history if they cannot provide the paperwork, but under what grounds do I need to request it?

[Penfold92]

QD1,

 

I have to say I am fighting a similar case with the Woolwich, HOWEVER, in my case the account is so old they have no info on the whole thing so cannot say how it occured. If they can show exactly how you got into negative and so it was passed to a DCA then I am sorry to say there is not much you can do. IMHO.

 

The only thing is via the bank charges route etc, but as you pointed out before this is on hold for now. The best you can do is put it into dispute via the CRA's and hope that the OFT case does not take too long. The CCA route does not apply for overdrafts as I have discovered. If you read the posts you will see the relevant legal angles, which believe me I have explored...

 

Penfold

PS It's not what you want to hear

[Castlebest]

They should have this information they are bound by the banking code and the data protection act to hold all information regarding your account for 6 years.

 

If they have no information regarding the defaults posted against your name demand they are removed imediatly and confirm if they do not do this within 14 days and confirm back to you this has been done you will report them to the FSA and the FOS.

 

pete