Discussions on life after your bankruptcy discharge.

Moderators: TalbotWoods, JaneClack

By loobyloo
#311593 Hi there

I hope someone can shed light on my situation.

I had to declare myself bankrupt, following an operation leaving me disabled and incapable of work. This was really not a path I ever thought I would have to take, but circumstances were such that I had no other means of maintaining my financial liabilities.

Since the bankruptcy, I have to say I've been SO relieved not to have the stress and upset of debt collectors hounding me all day, every day.

The bankrupcty was deemed straight forward by the trustee and I was discharged in less than 6 months, which was great news. However, dispite all my debts being included in my statement of affairs, my credit report still reads as if 3 loan accounts are active and in default up to present day, despite the date of the bankruptcy being Jan 2010.

The actual date of the default is stated as the date of the bankruptcy with santander and the date of the actual default in 2009 with Barclays.

I did have other liabilities, which were included in the bankruptcy and they have a "settled" status, so assumed all the other debts would be too.

So upon discovering that my account show as having "active" loan accounts, I called Santander and spoke with a number of "people" including a "line manager" who inform me that it is not their policy to amend a defaulted account as satisfied, bankruptcy or not.

Therefore, can you possibly clarify what the position acutally is, as I will never rebuild my credit status whilst they show me as having active loan accounts in default.

I'm currently trying to rebuild my life and hope to set up a small business working from home, as I can no longer perform my original job due to my disabilities. However, I cannot find any business banking facility due to my credit status, so need to get this cleared up if I am to move forward.

Any help you can offer would be gratefully received.

Thanks ever so in anticipation.

Loobyloo
By nomlas
#312803 Hi loobylou and welcome. I am not 100% sure on the answer but I am fairly sure that they must update your Credit File, the problem with most of the banks is that they will fob you off if they can and they certainly dont like assisting people who they think have taken money from them. They dont seem to care how or why people get in to financial difficulty even though they have been a major cause of it.

I would suggest that you write a recorded delivery letter to them stating that you formally request that they act accordingly. Hopefully someone will be allong who knows for sure the steps the creditors MUST adhere to. Regards. -- nomlas
By loobyloo
#312833 Hi Nomlas

Thank you ever so for taking the time to reply.

I will write to the chief compliance officer and see what kind of response I get.

I've also raised a dispute on the dates of the default through Noddle, so will see what they come back with, but I imagine the response will be that they can't change the dates without notification from Santander and Barclays.

I'll post back here when I get some form of response.

Thanks again.

Best Regards

Loobyloo
User avatar
By TalbotWoods
#312853 The problem is that the staff in the accounts departments do not have a clue about the laws relating to insolvency in the UK, and to compound this they are often told to adopt the owners countries rules (which obviously are different form our own).

Yes BY LAW thy have to mark any default no later than the date of the bankruptcy and BY LAW they must mark the account as being satisfied in some way (either settled or partially settled) no later than the date of discharge.

I would suggest using our template letter which can be found at the link below, (and can be adapted as you need), and yes make sure it does go recorded, to the following address:

THE DATA CONTROLLER
SANTANDER UK PLC
2 TRITON SQUARE
REGENTS PLACE
LONDON
NW1 3AN

This is the department that is legally responsible for ensuring that your records are correct, if they fail to the Information Commissioned can fine them.

Things to makes sure you include in the letter, is evidence of your bankruptcy, such as a copy of the bankruptcy certificate, and some proof of the discharge date (again a copy).

This then meant they have the proof they need to correct your records on ALL the credit reference files, so do not have an excuse not to. I would also suggest that you emphasise ALL credit files including Noodle (who incidentally are actually CallCredit under a different name).

Then once sent allow them 28 days (plus 5 postage days) before you can take it forward as a compliant to the ICO, whcih I doubt you will hve to do as most Data Controllers will act on thsi information!

Here is the template letter

viewtopic.php?f=24&t=9431

Tim
By loobyloo
#312873 Tim, thank you SO much for that.

That really is brilliant news. It just seemed so wrong that I've had to go through the trauma of bankruptcy, with the hope of one day getting back on my feet, only to have these individual liabilities still preventing me from moving forward.

Whist I appreciate the bankruptcy will remain with me for 6 years and affect my ability to obtain credit/bank accounts, but as it stands, these debts are showing as active, so for the purposes of a credit score, they're not closed from the date of the bankruptcy as others are, thus lowering my credit score even more.

Sorry to be a pain, but do you also have the address where I should write to Barclays too please, as this is the other bank still stating I have an active account in default from 2009.

I'll get on it right away and hopefully my file will finally get in some form of order.

Thank you again Tim, I feel so relieved knowing that I am within my rights to request these accounts be amended to satisfied in some way.

Massive appreciation.

Regards

Annie
User avatar
By TalbotWoods
#312883 Hi Annie

The address is

THE DATA CONTROLLER
BARCLAYS PLC
1 CHURCHILL PLACE
LONDON
E14 5HP

But they have a very bad reputation of NOT updating or correcting an entry, especially if they have already sold it on, so this one may have to go to the ICO.

In all the entries it is actually the default date that is the key, as long as that is set no later than (which means it can be any time before as well) the bankruptcy date, the account will fall off the Credit files 6 years form that date.

Now Barclays do tend to get rid of insolvency debts quite likely, so it may be that it has already been sold on. Have a look on your CRFs and see if there is an account that is similar in amount (normally a bit more) that to the old Barclays one ( I know they used to sell loads to Maxx Recoveries

Tim
By loobyloo
#312903 Thanks again Tim.

I've checked my account through Noddle last week and I can't see any other similar account. Neither have I been contacted by any debt collection company in regard to this account. It just shows as in default up to present date, as do the Santander accounts.

As they both stand active, they're never going to fall off the credit report, so will get these letters out today and keep my fingers crossed that I don't have to get into a battle.

Santander did seem adament that they never amend the account as satisfied, as from their perspective its not and is still an outstanding amount, regardless of bankruptcy. I was told by some kid that, "you can't expect to just get rid of your liability to us just because you went bankrupt"! Couldn't catch my breath! So I spoke to her Manager, who unbelievably also took the same attitude.

I'll get these letters out today. Thanks you for your help.

I could also do with a little advice in regard to the buy to let house which went into the bankruptcy, but in negative equity, so still in my name. Should I start a new post?

Thanks so much

Annie
Annie
User avatar
By TalbotWoods
#312913 Hi Annie.

If they are defaulted they will fall off the CRF 6 years form the date of the original default. The continuous default entry is just the way Noodle do it, Experian and Equifax both stop on the month the Default is first applied.

If it is any consolation, creditors, etc. dont look at Noodle, at all, they will look only at Equifax, Experian or CallCredits main one, not the one that call credit gives away free to encourage you to get a partners product.

Please let us know how you get on, we tend to like seeing the big boys having to kowtow to us mere humans
User avatar
By TalbotWoods
#312923 The Buy to Let as a new thread please