My Bank Being Silly

[BigNick2]

Hi,

 

A Few months ago I re-negotiated a loan with my bank. I paid of nearly all the outstanding balance with a refund of charges, and reduced monthly repayments by 50%. Wouldve thought this would be simple but since then every month since may Ive been pesred by their collections department saying the loan is in arrears, depsite the fact Ive been making payments every month on time. One of their software systems is showing that I should still be repaying at the higher amount apparalently.

 

I sent a letter recorded delivery to their complaints dept last month detailing what has happened, asking for £25 compensation for every month they have messed me around (totalling £125) and to have my phone number removed from their records, quoting the administration of justice act and undue pressure from creditors.

 

I got a quick reply, very apologetic, saying the problem had been solved, offering me a goodwill gesture of £125 and assuring me i wouldnt be contacted by phone in future.

 

Got a call yesterday from their collections department, saying again my loan is in arrears! Should I go to the ombusman now? Really dont know how to sort this out.

[MilkTrayMan]

It would help if U told us WHICH Bank is was?!...

[BigNick2]

It would help if U told us WHICH Bank is was?!...

 

HSBC

[PriorityOne]

I got a quick reply, very apologetic, saying the problem had been solved, offering me a goodwill gesture of £125 and assuring me i wouldnt be contacted by phone in future.

 

 

Was this in writing ? If so, send a copy to the Collections Dept by rec. delivery....

[BigNick2]

Was this in writing ? If so, send a copy to the Collections Dept by rec. delivery....

 

Yup Ive got everything in writing. Thats a good idea, ill see if I can get the adress next time they call. (Ive had nothing whatsooever in writing from their collections dept bizzarely, so dont have the addy)

 

That should stop them calling, but it doesnt solve the prob of them saying im in arrears when im not. I keep getting told the probs been fixed, when it hasnt been.

[BigNick2]

Bump

[PriorityOne]

Yup Ive got everything in writing. Thats a good idea, ill see if I can get the adress next time they call. (Ive had nothing whatsooever in writing from their collections dept bizzarely, so dont have the addy)

 

That should stop them calling, but it doesnt solve the prob of them saying im in arrears when im not. I keep getting told the probs been fixed, when it hasnt been.

 

Once they receive the copy letter, then they no longer have any grounds to say you're in arrears IMO. Meanwhile, don't get into any more 'phone conversations other than to get their address. Once you have this, tell them to expect a letter in the post and hang up.

 

[NailPost]

Send the copy of the letter along with a note stating if you receive one more call again you'll complain to the Financial Services Ombudsman (for harrassment) and the Information Commissioner (for misuse of your personal data). Ask them to confirm in writing they have deleted your number from their system.

[BigNick2]

Cool thanks guys, ill do that. Do you think its worth while asking for more ££? Was quite nice taking the credit card balance down by 100 odd quid

[BigNick2]

Had a phone call from a manager on new years eve, she assured me all has been sorted and when i asked if this would have affected my credit recrod she replied 'definitely not.'

 

Just got my credit report through and guess what - payments recorded as late for every month since re-negotiaitng the loan!!

 

What should be my course of action now? I feel like ive exhausted the banks in-house complaints procedure,I keep talking to them and im getting nowhere.

[BigNick2]

Bump;)

[BigNick2]

Has anyone got any ideas for me?

[BigNick2]

Did I say something to upset everyone?:o

[BigNick2]

Ive written a letter of complaint (again!), if anyones got any comments Id really appreciate it:

 

Dear Sir(s),

I write, following previous correspondence with yourselves (see attachment 1 which shows my initial complaint and your reply). The promptness of your reply, and the apologies therein were greatly appreciated.

Unfortunately, since that correspondence, and my assurances this matter has been resolved, I received yet another call from your collections department in the last week of December 2007. I was again informed that this account was in arrears. Following that I had a phone call from a manager at your Reading Branch (on the 31/12/07) informing me that she personally was going to ensure that this matter was resolved. I asked her if my credit rating would have been affected by all of this, and she replied in the negative.

The phone call from your collections department, after receiving written assurances from yourselves (see attachment 1) that this matter had been resolved, leads me to believe that it has, in fact, not been resolved.

I have recently received a copy of my credit report from Experian (at my expense) to check that it reflects payments on this loan have been made in full, and on time, every month since re-negotiation in May 2007. It shows late payments every month since re-negotiation of this loan (see attachment 2 section C4).

As this is due entirely to HSBC’s negligence, I trust you will contact all credit references you pass information to in order to correct this information, and forward written proof to me that this has been done.

I also request that HSBC compensate me for this defamation, and clear breach of the Data Protection Act. The 4th principle of this act states that:

‘Personal data should be accurate, and where necessary kept up to date.’

By informing credit referencing agencies that payments were in arrears, when they were not, and passing on this inaccurate information HSBC has clearly breached the act, and acted in a negligent manner. Because HSBC have continuously, despite complaints, managed this loan in a negligent manner, and have broken data protection regulations in a manner which must be regarded as defamation, I request that you write of the outstanding balance of this loan (as of today, 11/01/08, this stands at £483.34) as compensation. I am sure that the financial ombudsman would agree.

This clear breach of the data protection act has caused months of stress, inconvenience, and actual financial cost to myself, as I am sure you can appreciate.

Thanking you in advance for your reply,

[powelll]

This looks fine to me & covers everything. If you don't get any joy go the FOS route. On thecred ref side of things if this isn't sorted you can escalate to the Information Commissioner:

 

Information Commissioner's Office

Wycliffe House

Water Lane

Wilmslow

Cheshire

SK9 5AF

 

Tel: 01625 545745

Fax: 01625 524510

E-mail: [email protected]

Website: www.informationcommissioner.gov.uk

[BigNick2]

Thanks powell, and thanks for ICO contact info. Ill see what HSBC say to this letter then and escalate it if neccesary.

[BigNick2]

Got a reply from HSBC today. Apologies for the collections dept contacting me again, and advising that they have contacted credit ref agencies.

 

'I note your request to write off the balance of the loan as compensation. However, whilst I recognise that HSBC has made errors in dealing with your loan, I cannot accept that it is appropriate to waive the monies which you owe the bank.'

 

They're offering £100 in full and final settlement, and theyve attached a letter for me to sign and send back accepting this, which they didnt do when they made the previous £125 goodwill gesture.

 

I think they know theyve screwed up big time.

 

Should I accept the £100? doesnt seem sufficient to me.

 

Its quite insulting that they put such a low value on defammation. Especially considering that they previously paid me £125 just for the sheer amount of inconvieince theyve caused me. I put more value of my reputation than I put on the inconvieince they've caused.

[BigNick2]

Letter draft:

 

Dear Sir,

Thank you for your letter dated 15/01/2008. Unfortunately I am not satisfied with HSBC’s offer of settlement, so as instructed, have escalated this matter to yourself.

I find the offer of £100 compensation insulting. My name, and credit rating, have been tarnished over the last 6 months by HSBC’s mis-management of this account. HSBC has acted repeatedly in a negligent manner since re-negotiation of this loan, which has ultimately resulted in defamation. I believe I would be within my rights to request a four-figure sum for compensation, but in order to be reasonable, I requested for this small loan to be written off. I am disappointed HSBC disagrees.

I find your statement that I have suffered ‘no financial loss except Experian fees’ false. This statement completely ignores the fact that I have sent a number of letters, made numerous visits to branches and telephone calls to your premium rate customer service line at a financial cost to myself in order to resolve this matter.

I am also disappointed that not only was there no apology in your previous correspondence for the defamation I have suffered as a result of HSBC’s negligence, but that this fact was completely omitted.

You also saw fit to neglect to mention what has been a clear breach of the Data Protection Act in your previous correspondence.

HSBC previously made a goodwill gesture of £125 for your negligence on this loan, purely to compensate me for the inconvenience I suffered (I have since discovered the inaccurate entries on my credit report). HSBC is offering a lower sum to compensate for defamation and a clear breach of law than it did for inconvenience. This absolutely beggars belief. .

In order to resolve this issue without the need for further action, I am willing to accept compensation of £450 (as opposed to the £480 previously requested) in full and final settlement of this matter. I consider this a more than reasonable offer considering the sheer gravity of HSBC’s negligence. If, however, it becomes clear in the future that HSBC have not fulfilled their obligation to inform all credit reference agencies that this account has been paid in full and on time every month since re-negotiation, I reserve the right to take further action against HSBC.

I also previously requested that my phone number be removed from HSBC’s records and not that my account be marked as having a preference for non-telephone contact. Please confirm that all telephone numbers that HSBC have for me have been removed from your records.

If HSBC is unable to abide by these simple requests then I request a ‘deadlock’ final letter, so that I may escalate this matter to the Financial Ombudsman and/or the Information Commissioners Office.

 

You guys think it's too strong?

 

I thought I should reduce the compo I'm asking for slightly to be reasonable, but Im tempted to add on a £25 'admin' fee for the inconvieience of writing to them again.

[PriorityOne]

Hi Nick,

 

Getting compensation from a bank is difficult at the best of times, but worth pursuing... since you already have it in writing that they were originally willing to offer you £125. Send your letter (rec. delivery) and see what happens....

[BigNick2]

Thanks Priority, sending it off on mon.