Can Halifax register a default with Credit Ref. Agencies if my account is in dispute?

[markj1960]

Can anyone answer this question please?

 

I have an account in dispute and for which I have sent off off my S.A.R. They have 18 days left in which to send me my statements.

 

The Halifax sent out a Default Notice letter on 14th September (the exact same day that they received my S.A.R. by the way!) stating that the default is due to register on 12th October.

 

I wrote to them stating that I was in the process of obtaining a refund of the charges on the account and that as the account/amount was therefore formally in dispute, under the Banking Code (section 13.6), they should not pass any details of the account to Credit Reference Agencies.

 

(Section 13.6 states: We may give information to Credit Reference Agencies about the debts you owe us if:

 

* You have fallen behind with your payments;

* The amount owed is not in dispute; and

* You have not made proposals we are satisfied with for repaying the debt, following our formal demand.)

 

I have received another letter from them this morning stating that:

 

"The default notice was sent to you on 14th September 2006 and is due to register on the 12th October. This is the time when it will be sent to our debt recovery agents Blair, Oliver & Scott, and will also register with the credit reference agencies."

 

Should they be continuing to say that they are going to register the default and tell the credit reference agencies? As the account/amount is in dispute are they not obliged under this section of the Banking Code to wait until a decision has been reached on the account?

[Guest bluecloud]

I think you've answered your own question with the quote from the banking code.

 

Banks will threaten customers with all kinds of weird and wonderful ultimata and because they are a bank we, as customers, believe that they stick to their own rules so any ultimatum issued must be true.

 

As soon as Blair, Oliver & Scott get in touch then write back to them informing them that the account is in dispute and it should be returned to the bank immediately.

 

In light of the threat you can alter the contents of the preliminary letter and the L.B.A. to include the section about default notices. If a default notice is registered as a consequence of unlawful bank charges then you can demand that the default be removed from the register. Failure to remove such a notice is an offence under the Data Protection Act.

 

Hope this helps.

 

 

.

[markj1960]

Hi Bluecloud

 

Thanks for your reply.

 

Can I not get them to stop the default and/or certainly prevent them from registering it with credit reference agencies at this stage?

 

I'd rather stop them doing it now than have to refer to it later in my prelim/L.B.A. 's?