Can HSBC report you late on a current account?

[res123]

Hello,

 

I have a weird situation that I do not understand and am hoping that someone can provide an explanation. I looked up my credit report and it seems that I am being reported late by HSBC on my current account.

 

I do not have any credit arrangements and I do not know why they would do that? I always had money in the account and have never had a negative balance. Can someone shed some light and how do I do by getting this corrected.

[what_todo]

unless your account has a negative balance or is within a o/d limit the, you should have no late markers on you account.

 

have you spoken to hsbc about it?

[res123]

Thanks for your response. I called HSBC to discuss the matter. It turns out that there was direct debit from an isnurance company, that payment (a small one) was retruned back. As a result, they reported me to Equifax.

HSBC tells me that they are right in doing that. The problem is that I told the insurance company to not process my payment through that account. My question is first that is HSBC right in reporting me late or derogatory on a one off thing?

 

HSBC tells me that if I can get a letter from insurance company that they made an error in processing that payment then and only then would they be able to reverse the reporting. The problem is that this happened in January 2009 and I am no longer that insurance company's customer.

 

What are my choices here? I simply spoke to someone on the phone when I told the insurance company to not process the direct debit, I have no other proof.

 

Any suggestions?

 

unless your account has a negative balance or is within a o/d limit the, you should have no late markers on you account.

 

have you spoken to hsbc about it?

[rdm2006]

Let me get this right

 

HSBC has reported you as being late paying another companies D/D

 

If so I would ask them what Procedure/Law/Regulation allows them to do this

[res123]

RDM-

 

No, that is not the case. According to HSBC, I am being reported to bureaus because an insurance company sent their direct debit to be processed and I had insufficient funds at the time. I did not have any overdraft facility so they returned the payment for insufficient funds and reported to equifax.

 

I hope this helps and any thoughts are much appreciated.

[rdm2006]

An entry on your credit file for insufficient funds?

 

I would still ask the same question - by what right do they do this.

 

IMO this is so wrong

[res123]

Let me guess, here standard answer is that they are a data controller and by law they are to provide accurate depiction of my account. According to HSBC, they report that to the credit bureaus and how they handle it from there is up to them.

 

I am just baffled that a NSF has resulted in them reporting me late as 30 days. It is so bizarre, because techincally I am not behind by 30 days. One has nothing to do with the other. HSBC says that they cannot control how or what equifax handles or reports the data on their system, once it is reported by HSBC.

 

I called equifax and they say that I need to take matters with HSBC, as they are the ones reporting me and all they are doing is reporting what has been reported to them by HSBC.

 

Obviously, I cannot be late on a current account, how is that even possible. The only thing that resulted in this late is that I had NSF for one particular transaction which was quite small insurance payment.

 

Still do not know which door to bang:(

[gil_jnr]

I've just recently discovered HSBC did the same thing on my credit file as well, and it cost me a job offer.

 

How long does it ususally take between the late-payment event, and it being reported to the CRA's and appearing on your file?

 

 

I have a weird situation that I do not understand and am hoping that someone can provide an explanation. I looked up my credit report and it seems that I am being reported late by HSBC on my current account.

[res123]

I think the update happens within 45 days. May be someone else can shed some light on this.I am sorry to hear about the job situation. I am not sure about your situation, but mine was just strange. There was a direct debit that could not go through and it was only about £120.

 

I do not have any creditcards or anything of that sort with HSBC, and I never knew that if an item is bounced or returned, you can be reported late. It is understandable that a bank or creditor may report you late if you had some sort of credit facility/credit card and you did not pay on time.

[gil_jnr]

I think the update happens within 45 days. May be someone else can shed some light on this.

 

What sort of indicators should be looked out for that third parties such as the CRAs or others have been contacted in the SAR documents that the bank send back?

 

I've not requested a copy before so not sure what details will be listed and where to start looking once it arrives

[johnnymitch]

There is a bit of a grey area here I think gil_jnr ......... the banks will argue that they are not required to keep or supply copies of Default Notices.... it's a get-out they often try to use ...... and I'm not sure of the way around it .......

 

Maybe someone else on here can enlarge on this ............

[the_shadow]

Hmm bizarre set of circumstances this one.

 

Does this account have an overdraft facility. Did HSBC charge you for the payment that couldnt be made? As far as I'm aware only accounts with overdraft facilities can be reported to the CRA's as they are in effect on demand credit facilities. The terms and conditions of these accounts are your agreement to them reporting.

 

But if the account has no credit facilities then how can they report them to the credit reference agencies?????

 

Might be worth taking this to the ICO or FOS, neither are very efficient or speedy I'm afraid, perhaps one more letter to the hsbc customer relations dept? Try and get hold of the terms and conditions of your account to see what the blurb states about reporting info to credit agencies.

 

S.