Defaults and CRAs / DCAs - With Poor Advice from Halifax

[BalliffHater]

Hello again CAG.

 

I have been contemplating writing on here for some time with regards to this issue, and today decided I should after doing some more research.

 

In 2005 I attended University, leaving full time employment in the Royal Navy. I was lied to by halifax who said they would be able to do something with a credit card and personal loan accounts that I held, that had been ran perfectly with no late payments and an excellent credit history.

 

With payments of roughly £350/Month at the time, it was not plausible to maintain this commitment once at University but had been advised that "once I was at university, something could be done".

 

Unfortunately this communication took place over the telephone, and I assumed that they were being honest - which was incorrect, because once at university their advice was "We cannot look to assist you with reducing your monthly payments until your account has defaulted." (I actually find this amusing now, being a little more mature). Their advice to me at that point (Autumn 2005) was to allow my accounts to default. That's exactly what I did.

 

I was still using two Halifax current accounts simultaneously to this, and they froze the accounts and took my money, and began eating my overdraft to make payments towards the loan/CC.

 

This was a terrible situation at the time (late 2005) as this left me with absolutely no money and nowhere to turn. I opened an account with Barclays and practically told Halifax that they can get stuffed, as they nearly ruined everything for me.

 

Once "defaulted" I contacted Halifax and they said that, now the accounts were defaulted (Early 2006), that I can make an arrangement to pay. In my frustration with them, I did this at £1 or so per month - and they accepted. This continued until some point in 2007.

 

I obtained a copy of my credit report from Experian in 2007, and learnt that I had been lied to again - the accounts had not defaulted as I had been "advised" but in fact just late. My credit report shows late payments from 2005 onwards, of 3 months every single month until they default much later on.

 

The result of this is that we (my wife and I) and now unable to obtain a mortgage, or even a clean credit history, because Halifax have continued this debt and not defaulted on it, as they should have done.

 

Defaults were actually registered very late on:

 

06/12/07 - Bank Account - £1352 - Still Shows "Halifax"

17/09/08 - Bank Account - £936 - Still Shows "Halifax"

23/08/07 - Personal Loan - £6450 - Shows "Arrow Global"

 

However, the Credit Card has totally disappeared, so it is likely that the CC default was applied much earlier - which is when the others should have been registered.

 

I wrote to Halifax at the start of this year, questioning the "default" status that I was advised in 2006.

 

They wrote back and said that, while they agree that the terminology "default" was used, this was an internal status, and by my making an arrangement to pay, the account never defaulted until this was stopped. They apologised for this, and said that the default dates will stand.

 

Another blow from Halifax. No comment on their advice to actually default in the first place etc.

 

I just wanted to see what peoples thoughts are here - as this seems somewhat unfair and extremely bad practise. I've really been messed around by Halifax since 2005 when this all started, but this means that my credit file is shot until 17/09/2014 - for three accounts that should have defaulted in early 2006, and already be statute barred.

 

Please feel free to comment.

 

Many Thanks

[Bazooka Boo]

Shallowfax are quite frankly the worst bank out the lot of them.

 

I would enter into their non existent complaints procedure and exhaust it, are you still paying them anything?

 

Hit them where it hurts and reclaim ALL of their fees and charges including interest.