Arrow Global Seeking Payment on a EGG debt Included in Bankruptcy (sold to them by Egg)

[BRIGADIER2JCS]

You can assess consequential loss if any, such as refused finance at 'normal' interest rates, damages as in Durkins posts and for stress caused time and costs in resolving the problem.

 

A 14 day Letter Before Action, to give them a chance to resolve your complaints, no resolution issue claim.

[BRIGADIER2JCS]

Arrow Global as beneficial owner of the account are responsible for maintain the CRA records.

Send the following to the Data Controller at Arrow Global(send evidence of BR and discharge).

 

The Data Controller

Arrow Global

 

 

FORMAL COMPLAINT:

 

Sir/Madam,

 

I refer to correspondence from Arrow Global ref: ......... regarding an alleged debt originating from an account with Egg, please note I do note accept or acknowledge to Arrow Global for the reasons set out below:

 

1. This account was subject to my personal bankruptcy, declared on ...........

2. I was discharged from BR on...................

3.Arrow Global has acquired this account some 20 months AFTER my discharge from BR.

4. It appears that the original creditor has sold /assigned this account with full knowledge

that the debt no longer exists, a situation that Arrow Global must be aware of.

5. Arrow global are causing inaccurate and defamatory data to be displayed on CRA files.

6. This inaccurate data is causing me extreme anxiety and distress, because I am unable to

obtain credit at 'normal' rates, and applications are rejected.

 

What is required from Arrow Global to remedy this complaint:

 

 

 

(a). Immediate removal of ALL data relating to this account from ALL CRA files to which it has been reported.

(b). Arrow Global WILL make a substantial offer of financial redress for the appalling misuse of the CRA system

and the problems this has caused me.

©.It is apparent also that the original creditor has acted improperly in collusion with Arrow Global to obtain payment

of a debt subject to a Bankruptcy, this matter will be reported to the OFT and the ICO.

(d). I reserve the right to take this matter to the FOS which of course will involve Arrow Global and the original creditor

in further costs.

I would now expect Arrow Global to respond quickly and favourably to this complaint, the right to initiate court action is reserved.

[BRIGADIER2JCS]

This is certainly a matter that needs confronting head on, there is reason to maker complaints to the regulators now, these can be escalated should AG fail to comply.

The sale of this may breach some of the insolvency rules too.

[BRIGADIER2JCS]

This post is to update my progress on my complaint with Arrow Global (AG)

 

I sent them a letter (recorded delivery) along the lines suggested by Brigadier.

I received no response.

 

I knew that I had to allow them a few weeks to respond, but then, as is the way with these things, I didn't pursue it as soon as I should have.

 

Fast forward to a few months ago and

 

I submitted a complaint to the Financial Ombudsman Service (FOS).

Once they were involved AG then started its complaint's procedure.

 

First off, they denied receiving a letter from me.

When I gave FOS proof that someone had signed for the package they then said that it must have gone astray (more on this later!).

 

It took them 8 weeks or so to finally send me a letter upholding my complaint.

They did go to great lengths to tell me about the due diligence they perform when buying account details

but that they are dependent on the warranties made by the vendor, in this case Egg.

 

They claim that Egg have now informed them that the account was sold in error

and to delete the default from my account. Hurrah!

 

What they do admit is that they should have done more to investigate whether the account had been sold to them in error

when they realised the completion date of my bankruptcy. (They bought my account details months after I had been discharged).

 

What is interesting is that they mention that Debt Managers, who were managing the account for them,

became aware of my completed bankruptcy, and sent an amendment to the CRAs to update my account as partially satisfied.

 

The date given for this was the exact same day that they received my letter, the one they denied receiving.

They made no mention that this information had actually come from my letter.

 

having received a letter that explained clearly the date of my bankruptcy discharge,

which pointed out that they should not have purchased my account details

and that they needed to remove the details from the CRAs,

all they did was to mark my account as partially satisfied.

They did not even feel the need to contact me, as I asked, to resolve the situation.

 

All they have offered by way of compensation is £50.

This barely covers the expense of checking and rechecking my credit files, postage, phone calls, time etc.

before even considering the negative effect on my credit worthiness and the stress of dealing with it all.

 

I had problems opening a bank account because they were showing that I owed over £6000

and was still in default years after my bankruptcy had taken place.

 

While I realise that the most important thing is to get my CRA files corrected

I feel that not only were they responsible for the original error,

but that they were negligent in not correcting the problem when I informed them by letter.

 

I think that I have clear evidence that they did not resolve the complaint properly when they had the chance

and continued to display inaccurate information on my CRA files.

 

After all I have been through it just doesn't seem right that they can make these errors

which have had such a large effect on me, and then just fob me off with a standard lowest level compensation payment.

 

Does anyone have any experience or suggestions as to what I should do next?

 

What would be a fair amount of compensation that takes into account the years t

hat this negative information has been on my CRA files and the stress and inconvenience it has put me through?

 

Thanks!

 

 

Hello Andrew,

 

 

Was this letter headed final response? If so take the case back to FOS, this in my opinion is an inadequate response.

 

 

How far are you prepared to go with this ? There is the court route open to you to seek redress, prior to this you should send a letter before action which lays down the " problems" and what exactly require AG to do to remedy the damage done and financial redress for it.

[BRIGADIER2JCS]

Thanks for the replies.

 

The letter wasn't headed final response and AG stated that if I was dissatisfied then I could refer it back to the FOS.

 

Obviously they have resolved the default on my account - I still have this to check though - but my issue is just that the compensation seems to be on the low end. I was hoping to get a feel for what CAG members think is reasonable.

 

I feel that AG have been negligent in buying up my account details in the first place and not resolved the issue when I contacted them last year. I think that their response that they never received that letter, then changed to "we've mislaid it" shows them in a bad light since it can be shown that they did act on that letter , but in a limited, inadequate way. Consequently, they continued to display incorrect details. The fact that they indicated that I owed over £6000 would have severely limited my ability to rebuild my credit rating, apply for a mortgage etc.

 

How does one estimate compensation? I can't come up with a figure linked to actual financial loss - as I have read about elsewhere - but the fact that AG has displayed damaging information on my CRA files has limited me in those opportunities and caused inconvenience and stress over several years.

 

If I contact the FOS and say that the compensation is too low, they will want to know a figure presumably? Will the FOS accept the argument that if the actions of AG are negligent, and have caused inconvenience, stress and damage to my credit worthiness leading to lost opportunities, then compensation should be higher? I just have a feeling that the FOS, while happy to arbitrate and ensure that companies do the right thing, are happier to get the quick win and not necessarily get the best compensation deal for the consumer. Or am I wrong on this?

 

I'll assume that the general consensus is that £50 is way too low? So as a first step what do I tell the FOS?

 

If AG stick at £50 can I pursue a claim through the small claims court or will it need to be an alternative court? I don't mind going to court but want to strike a balance between getting fair compensation and not wasting years of my life to get slightly more.

 

 

 

If you go down the court route or ask FOS to intervene you will have to show provable loss.

[BRIGADIER2JCS]

Well this is my point. How do you prove loss that is associated with time wasted checking CRA files, writing letters, phone calls, emails, inability to open a bank account without having to provide details of bankruptcy, inability to even apply for credit due to erroneous records on file, not to mention the stress over an extended period.

 

How does one quantify that?

 

Is provable loss based purely on financial metrics or do they take other factors into account? £50 does not seem adequate compensation for all of the above, particularly as AG seem to base their business on buying up loan details, harrassing people over often unenforceable debts and not responding to complaints made against them...unless you involve the FOS. Only then will they offer meagre compensation. It's too small a price to pay for the harm they do.

 

 

Do you have letters declining credit/ banking facilities/ being offered higher rates for credit?

 

 

I would still take AG on for redress for the embarrassment, stress/distress of having AG harass for what is now a nob existent debt.

 

 

Did Arrow or any other company disregard your requests to cease contact e.g. contacting you only in writing and the continue phoning?

[BRIGADIER2JCS]

Yes I would go back to FOS.

Put your case for the stress/anxiety/ problems with getting a bank account and applying for any credit product being impossible, entirely due to the action of AG.

No guarantee of success of course.

 

 

I would also make a complaint to the ICO regarding the manner in which the data has been processed and

displayed.