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  • British Gas Late Payments affecting my Mortgage!

    Sorry, I know this is an old thread. I have exactly the same issue though - well the details are slightly different but the end result is the same- no mortgage due to BG ruining my credit file.

    So far I have tried writing to the 'Minder Correspondence' address that I got from Experian. This did not help. I then wrote to Sam Laidlaw - I am still waiting for a response to that email. Don't hold out much hope to be honest. I have also started a complaint to the ICO - I think this will take a long time. Has anyone on here had any success with getting late payment markers removed? I have also requested all my data held by BG using a S.A.R. - still waiting to receive the data.

    Here are the details of what BG have done.

    The problem:

    I am attempting to move home and get another mortgage but I have found out that this is impossible due to late payment markers applied to my credit file by British Gas. This is obviously having a serious impact on my personal life.

    My credit file shows that I was 5 months late on my electricity account in the month of September 2010. October 2010 shows 6 months late and then November shows the account up to date and settled. For gas it shows that I was 6 months late in September and 6 months late in October. The account was up to date and settled in November. As far as i recall, i joined BG in April 2007.

    I am querying these entries as they are inaccurate and do not reflect the way my account was managed when I was a British Gas customer. They are unfair and excessive.

    British Gas have refused to remove the markers. Their correspondence states “I’m sorry if the advice you received at the time led you to believe that your Experian records wouldn’t be affected by transferring supply to an alternative provider and settling the resultant final bill.” If I had been given the correct information by British Gas then this would not have happened
    More information on the History of the issue is shown below.

    The History:
    In August 2010 I received a yearly statement that showed an estimated bill of £300+ for electricity and £600+ for gas was outstanding from my direct debit regular payment account. I spoke to someone at the time regarding changing the monthly payments to clear the shortfall. After that initial discussion I decided to leave British Gas and pay the outstanding amount in full. I spoke to someone at British Gas regarding this during September. I asked for a final bill for both accounts to be prepared and upon transfer of the supply I would settle the accounts in full. I was told that this was acceptable to British Gas.

    When the gas and electricity accounts were finally transferred and a final bill arrived I paid the outstanding sum as agreed. I walked away from British Gas believing I had managed my account in an acceptable way. I have since been told (by Christopher van der Heyden, EF Correspondence Team) that as I did not set up a Payment Plan my accounts were considered to be defaulting accounts by British Gas and therefore the late payment markers were applied to my account. Never once during my telephone discussions with British Gas during this period was a Payment Plan mentioned and nor would it have been as an agreement was in place regarding payment of the final bill upon transfer of supply. I was never once charged a late payment fee, something you would expect if the account was truly late - and something that would have alerted me to the issue at the time.

    In my opinion the two entries in my credit file made by British Gas Trading are unfair and excessive for the purpose for which they were processed, according to the principles of the Data Protection Act 1998. My understanding is that I was not late with any payment as I had kept them informed, and they agreed, to my making the payment when the final accurate, not estimated, bill was drawn up. I should not be penalised for the time it takes to transfer the accounts from one supplier to the next.
    Assuming for a moment that I made a late payment on the account, the amount of time between the bill being received and 5 and 6 months late (for electricity and gas respectively) status codes being put on my account was 1 month (bill received in August 2010 to credit file marked in September 2010).

    How can I jump from zero months late to 5/6 months late over the space of 1 month?

    How can the gas and electricity accounts show different data for the month of September? They are linked accounts that started on the same day and are billed at the same time.
    The information on my credit file states to other lenders that BG requested a payment and that I ignored that request for 6 months before making payment. This is only one step away from my account being in default. The definition of a default is ‘A situation when the lender in a standard business relationship with the individual has broken down’. I do not see how the regular communication between British Gas and myself during the period between August and October 2010, with assurances that I would settle my account on receipt of a full and final bill could be anywhere near to an account being shown as on the brink of a default.

    I have never defaulted or had a late payment for anything in my dealings with any other company and I am appalled at how British Gas have handled my account data.

    Here is a copy of the correspondence i got back from them.

    Dear Mr XXX

    As you’ll remember, you’ve recently been in touch and asked us to look into an important issue.
    I’ve tried to contact you, but this hasn’t been possible. As such, I wanted to let you know that I’ve been in contact with our Data Disputes team in order to follow up on your Experian record details, on your behalf.

    Upon speaking to them, I’ve been advised that, unfortunately, we’d be unable to amend your records, with regards to your accounts with us.
    As there was an outstanding amount on each account that remained unsettled when you initially brought your concerns about the estimated bill you received to us, both gas and electricity account were deemed ‘late’ by 12 September 2010.

    When you spoke to us and advised that you would be changing supplier and would pay the final bill that would be calculated upon your transfer, the length of time for the final bill to be calculated was dependent upon your new supplier providing us with a meter reading upon which to base our final meter reading. Whilst I’m aware that the processes that govern the transfer of supply from one energy supplier to another aren’t dictated by you, we were unable to produce a final bill for you until we had received meter readings from your new supplier.

    Whilst the transfer was occurring, the debit balance on your accounts with us remained unpaid, with no payment plan in place to ensure that the outstanding amounts were settled. As a result, your credit record notes this and this is why the default notices are currently reflecting on your account.

    I’m sorry if the advice you received at the time led you to believe that your Experian records wouldn’t be affected by transferring supply to an alternative provider and settling the resultant final bill. As there was a debit balance that remained unpaid, this has been recorded and I, unfortunately, cannot remove the late payment marker from your account.

    Thank you for your letter. As I am unable to take any further action with regards to your enquiry, I’ll now make the necessary arrangements to close your enquiry. If you feel I haven’t answered all your questions, or you‘re not satisfied your enquiry has been completely resolved, please feel free to contact me on the details above. I’d be more than happy to help you further.

    If you’d like information about our complaints handling procedure you can view a copy by either going online at
    britishgas.co.uk/energycomplaints, or by getting in touch and one of our advisors will arrange to send you a copy free of charge.

    Yours sincerely
    Christopher van der Heyden
    British Gas


    I have since spoken to Mr van der Heyden on over 8 occasions to try and resolve the issue. He has been in contact with the Data Disputes Team who continue to state that since a payment plan was not in place the late payment markers are valid. This seriously misses the two key points. A) we had an agreement, which I upheld and B) however you look at it, the account was never 6 months in arrears

    Does anyone have any experience with this kind of thing and can offer advice on a course of action? I'd be interested to hear from someone who has succeded in getting BG to remove the data from their credit file.


  • #2
    Re: British Gas Late Payments affecting my Mortgage!

    Hi Mr J and welcome to AAD, I've moved your post to it's own thread for more views and replies.

    Best wishes
    IF
    "If wishes were horses, beggars would ride"

    Comment


    • #3
      Re: British Gas Late Payments affecting my Mortgage!

      Hmmmm this is vile. BG really are the pits.

      Leave this with me, I'll reply properly later. Sorry for the delay in anyone (other than super IF) for responding

      There is an avenue left but let me read through it all first before commenting. Back later
      I'm the forum administrator and I look after the theme & features, our volunteers & users and also look after any complaints or Data Protection queries that pass through the forum or main website. I am extremely busy so if you do contact me or need a reply to a forum post then use the email or PM features offered because I do miss things and get tied up for days at a time!

      If you spot any spammers, AE's, abusive or libellous posts or anything else that just doesn't feel right then please report them to me as soon as you spot them at: webmaster@all-about-debt.co.uk

      Comment


      • #4
        Re: British Gas Late Payments affecting my Mortgage!

        Thanks for getting back to me. I have an update.

        So i got a response from Sam Laidlaw. Basically the outcome is the same. I spoke to someone in the 'highest area' of customer complaints who is now handling my case. They are adamant that BG are in the right and their reasoning is this:

        I was sent a bill in August 2010, this was for G&E used from May 2010 to August 2010.

        I was on a Direct Debit payment plan, paying around £100 a month for both G&E.

        I did not pay the bill in August as i told them i was leaving. I also cancelled the Direct Debit - as i did not want them to walk off with around £1000 from my account until i'd received a final meter read bill. This is their key issue - if i had kept the payment plan in place then i would never have been late - because they would have kept taking money out of my account.

        Anyway, because i did not pay the bill in August it immediately became late all the way back to May....! hence the 6 months late in October (they still haven't explained why i was 6 months late in September for gas).

        How am i supposed to know that despite paying regular payments every month on time that they are going to count a late payment as being all the way back to the date the billing cycle started - I THINK THIS IS AN OUTRAGE AND AN ABUSE OF MY DATA! The on-time direct debit payments count for nothing. British Gas have an internal system that you would only understand if you worked for British Gas. Each and every British Gas customer has the possibility of becoming between 3 and 6 months late by paying a single bill late!

        All of that explains British Gas' side of the issue - which i wholeheartedly disagree with. It also does not answer my claim that BG agreed to me paying the bill when i moved supplier.

        British Gas state that i have now reached the end of the road with them and the only way to move this forwards is to take it to the Ombusdman, which i have done. I have not heard anything back from them at this stage as i only started that process on Wednesday 2nd.

        Comment


        • #5
          Re: British Gas Late Payments affecting my Mortgage!

          playing devils advocate for a second, you say you had a bill in august, didnt pay it, and cancelled the direct debit as you was moving supplier.

          Can i ask why you didnt pay the bill in august? because if im reading this right, you could have paid august, then cancelled the direct debit and waited for a final bill?
          I'm an official AAD Moderator and also a volunteer, here to help make the forum run smoothly. Any views or opinions are mine and not the official line of AAD. Similarly, any advice I have offered you is done so on an informal basis, without prejudice or liability. If in doubt seek advice from a qualified insured professional - Find a Solicitor or go to the National Probono Centre.

          If you spot an abusive or libellous post then please report it by Clicking Here. If you need to contact me, for instance if I've issued you a warning, moved, edited or deleted your post, please send me a message by clicking my username.

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          • #6
            Re: British Gas Late Payments affecting my Mortgage!

            When the August bill arrived it was ridiculously high and estimated. I told them i wanted a meter read bill. In the meantime i looked on line and decided to switch supplier. I told them of this and they never came round a did a proper meter reading until i left them. When i did leave them, given that it was 2 months later, the final bill was around the same amount as the August estimated bill - which just goes to show how over the top the August bill was.

            In hindsight i should have paid the bloody bill! I had no issue with paying for what i had used - i just wanted to make sure that i didn't over pay and saw no reason why i could not do what i proposed.

            Comment


            • #7
              Re: British Gas Late Payments affecting my Mortgage!

              Originally posted by MrJiggins View Post
              I have not heard anything back from them at this stage as i only started that process on Wednesday 2nd.
              Any update...?
              I'm the forum administrator and I look after the theme & features, our volunteers & users and also look after any complaints or Data Protection queries that pass through the forum or main website. I am extremely busy so if you do contact me or need a reply to a forum post then use the email or PM features offered because I do miss things and get tied up for days at a time!

              If you spot any spammers, AE's, abusive or libellous posts or anything else that just doesn't feel right then please report them to me as soon as you spot them at: webmaster@all-about-debt.co.uk

              Comment


              • #8
                Re: British Gas Late Payments affecting my Mortgage!

                Yes. British Gas eventually saw the error on their part and removed the late payment markers. Over night my credit rating went from a poor rating of around 500/1000 to excellent at 978/1000. Unfortunately this came after i had sold my house so i am now living in rented accommodation and looking to buy again soon.

                I have incurred significant costs due to this error from BG. They stated that they would correct my file as a goodwill gesture, presumably to cover their backs if i decided to sue.

                The ICO have also been in touch with BG and told them off regarding my situation. Not sure what that means exactly, but the ICO certainly felt that BG were wrong for what they did. BG actually resolved the issue before the ICO got involved (the ICO were very slow to get going).

                Thanks for asking.

                Comment


                • #9
                  Re: British Gas Late Payments affecting my Mortgage!

                  Originally posted by MrJiggins View Post
                  I have incurred significant costs due to this error from BG. They stated that they would correct my file as a goodwill gesture, presumably to cover their backs if i decided to sue..
                  I think you should sue. Stay in touch because we're awaiting news of an important Supreme Court judgment on the issue of consumers' credit ratings being destroyed by wrong defaults on CRAs. The trial is over but the judgment won't be handed down until next month because of the potential impact it could have on the wrongdoers if consumers can claim significant damages as a result

                  Comment


                  • #10
                    Re: British Gas Late Payments affecting my Mortgage!

                    Thanks for the information. Keep me in the loop. I'd be interested to see what happens.

                    Comment


                    • #11
                      Hello Everyone

                      Yes, unfortunately the same issue started on my Experian Account around January this year. My credit score has been affected by late payments by British Gas. I have never made any late payments. I spoke to customer advisors and they said they would look into this for me. Since my last correspondence with them, I was informed that that my claim reference has been closed and resolved and all late payments have now been removed of my Experian account. However, just checked this today, and found the existing late payments are still recorded, but to my horror, another one has been recorded on the 24th April!! I made my last payment on time and account is in the clear!!

                      I have reported it to Experian and will have to speak to BG again tomorrow. I have not gone as far as speaking to anyone in their "back office" which they keep relating to, nor have I ever had any kind of response via a phone call or letter to inform me why this has happened. No apology either.

                      I am very disappointed in BG and I feel that this is going to continue unless I do take it further. Again, I have never been informed about a Payment Plan, as I don't need to be on one, as I make all my payments in time.

                      Sam

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                      • #12
                        I can see this thread is from 2014, and I appear to have the same problem, 10 years down the line!!

                        So BG I can see are still causing this problem on customers accounts!!

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