Creditors & Lack of Contact - Anyone had similar cases?

sea2summit

Hi All,

I recently ran a Credit Bureau Report out of curiosity to see what my credit history/rating was like as I am trying to get my ducks in a row to hopefully apply for a Mortgage in 2-3 years time.

When I received the report, it became apparent that there was an outstanding loan that has not yet been settled that I was completely unaware of.

For added context, I lived abroad for 7 years - sent money home to family to repay university/car loans and when I returned to Ireland 3 years ago, heard nothing from the creditors and assumed it had been paid off. When I realised that I had unpaid debt, I called the creditor immediately to pay it in full but on the grounds that they remove the debt in it's entirety from the Credit Bureau Report so it doesn't affect my ability to apply for a Mortgage in a couple of years. They refused. I am beyond embarrassed, mortified and shocked that this debt has gone under the radar. If they had made any attempt to contact me, I would've settled it years ago. I genuinely thought it had been paid in full.

After the lack of engagement with the creditor, I then contacted them and made an access request under GDPR to receive copies of all correspondence they made to me over the years. On receipt of these files, it became apparent that no attempt of contact has been made to me since 2015. Last payment was also subsequently made in 2015. The debtor has my email, phone number and address on file and I received no phone calls, no emails and no letters regarding this debt.

Has anyone had similar situations like this? Any advice on how to navigate this?

I am more than happy to pay the balance in full immediately, but as I shared earlier, I need it to be removed from the Credit Bureau Report.

I spoke to a solicitor and they suggested to lodge a complaint to FSPO.ie

Lantus

Statute of limitations applies after 6 years so they likely cannot collect this debt depending when in 2015 you made last payment.

Would it get removed after 7 years? Or you just apply to have it removed. The creditor will never do this

This is a good resource.

https://www.citizensinformation.ie/en/money_and_tax/personal_finance/loans_and_credit/your_credit_history.html#

banie01

https://www.boards.ie/discussion/comment/117835154#Comment_117835154

The clock resets on the 6 years upon the debtor acknowledging the debt. Which the OP has done if any of their contact regarding the debt has been within 6yrs of the last 2015 contact.

To the OP, it's not a situation I've ever encountered. Regarding lodging a complaint to the FSPO, to advance a complaint with them, you generally have to exhaust the complaints process with the provider and receive a letter of final response.

So next step if that hasn't already been obtained is to get that.

You could ask them to issue a closing balance, it seems they have refused this previously?

If it's still not forthcoming, you engage with the providers complaint process and seek to settle with them.

If that still doesn't settle the issue, then request a letter of final response and seek FSPO intervention.

Claw Hammer

https://www.boards.ie/discussion/comment/117835240#Comment_117835240

The acknowledgment has to be in writing.

banie01

I'd hazard a guess that the OP mentioned it in his GDPR subject request, and further to that when the file was forwarded to him whatever balance was outstanding would have been confirmed to the OP.

I am more than happy to pay the balance in full immediately, but as I shared earlier, I need it to be removed from the Credit Bureau Report.

It sounds like you think you have some kind of leverage over the lender by not paying them back until you get what you want. If having this outstanding debt bothers you, the first thing to do is pay it off. You're in no way improving your position by keeping the debt open.

Also, the Credit Bureau is closing in October - you should be looking at the Central Credit Register instead. https://www.centralcreditregister.ie/borrower-area/your-rights/

You have a right to an amendment of the CCR if it's inaccurate, incomplete or not up-to-date. Ultimately, your debt does exist, so I don't think it's within the power of a lender to just wash something off your credit report. To be honest I'd actually see it as unethical if they were willing to manipulate customer's credit reports just because they complain.

You also have a right to add an explanatory statement to your credit report.

Paying off your debt will not affect your ability to lodge a complaint. It's the one fixable part of this situation so there's no reason to be hesitating. You can lodge your complaint after that, and if it's not resolved to your liking (which I don't think it will be), you can still complain to the FSPO (although I can't see that being upheld either).