Lost my mortgage over a missed utility bill

Icanttakethisanymore · 2024-12-15T21:20:16+00:00

I’m posting here for traffic so perhaps that makes me immediately unreasonable but hoping someone has sone reassuring experiences they can share. I was accepted foe a new mortgage just over 6 months ago and for various reasons the sale took ages to go through. We are now making progress but I’ve had to reapply for my mortgage as the offer has expired. Unfortunately in the summer I missed 3 gas bill payments on our second home. It was an administrative cock up, not a lot of money. It’s now sorted and a DD set up so all good…. However, it has created an adverse event on my credit file and the bank has rejected my mortgage application. I’ve spoken then gas company as Experian and it sounds like the gas company are going to remove the adverse event… i’m a bit suspicious that it sounds a bit too easy. Has anyone had experience of this and managed to get an adverse event removed? I have no defence particularly, it wa just an error, but equally I have no history of not paying my billed or having outstanding balances. If I can’t get a mortgage I’m going to be absolutely buggered.

Katemax82 · 30/12/2024 09:59

Icanttakethisanymore · 15/12/2024 21:30

the bank has a rule that they wil not provide a mortgage to someone with a negative event on their file. 😭

My husband and I lost out on a remortgage because I had a default on my file because a final electricity bill was issued a year after we left the supplier. Because I argued it rather than pay it straight away it showed up on my credit file so left me stuffed for a remortgage and we ended up not doing it, selling our house and moving to rented property

Original poster

Icanttakethisanymore · 30/12/2024 09:50

My mortgage has been approved in case anyone is interested!

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Original poster

Icanttakethisanymore · 28/12/2024 13:43

snowyglobe · 27/12/2024 20:55

Well quite. I don’t see why you expect them to remove it when you didn’t pay?!

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I didn’t expect anything - I honestly explained the situation and they said they’d remove it because my account was up to date and a DD had already been set up. They can also see I have no history of defaulting. I gather in situations like this it’s common for them to do so.

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Original poster

Icanttakethisanymore · 28/12/2024 12:40

YouveGotAFastCar · 27/12/2024 20:59

I'm curious about if this will make any difference to that specific bank - because they already know about the issue. Surely they'd have needed contact from British Gas to say that it was their error, and not yours?

Just deleting the whole account seems odd. I'm surprised (but pleased for you!) that they've agreed to do so, given they have a legal requirement to report accurate and honest information, and are now not doing so - but perhaps that's why they've deleted the whole file. I don't believe they have any obligation to report to the CRAs, but what they choose to report must be accurate, so stopping reporting for you technically might keep them in the gray.

I hope it works out!

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The broker seems to think it will be ok but I’ll report back.

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Original poster

Icanttakethisanymore · 28/12/2024 12:39

Obviously I accept I was at fault but from what I now understand about he process it’s very normal for a provider to remove negative reports on someone’s credit file if they can see the account has been bought up to date. Obviously when the negative report went on, I hadn’t paid and they had no guarantee I would. Now it’s been paid and a DD has been arranged. A real person has also looked at it and can see that I have never defaulted before and the sums of money were tiny.

Obviously if people think I should be prevented from buying a house over one administrative oversight then you are entitled to your opinion.

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YouveGotAFastCar · 27/12/2024 20:59

Icanttakethisanymore · 27/12/2024 10:25

I received an email from Experian on Christmas day to say that my British Gas account has been removed from my credit file! My mortgage broker has forwarded on my new report to the Bank today so fingers crossed that will go through ok this time

I'm curious about if this will make any difference to that specific bank - because they already know about the issue. Surely they'd have needed contact from British Gas to say that it was their error, and not yours?

Just deleting the whole account seems odd. I'm surprised (but pleased for you!) that they've agreed to do so, given they have a legal requirement to report accurate and honest information, and are now not doing so - but perhaps that's why they've deleted the whole file. I don't believe they have any obligation to report to the CRAs, but what they choose to report must be accurate, so stopping reporting for you technically might keep them in the gray.

I hope it works out!

snowyglobe · 27/12/2024 20:55

Icanttakethisanymore · 27/12/2024 10:25

I received an email from Experian on Christmas day to say that my British Gas account has been removed from my credit file! My mortgage broker has forwarded on my new report to the Bank today so fingers crossed that will go through ok this time

Well you’re very lucky then, because other creditors will now not be getting to see the truth.

snowyglobe · 27/12/2024 20:55

DaniMontyRae · 15/12/2024 22:54

There's a difference between removing incorrect information and correct information. The credit reporting agencies have a responsibility to record accurate information. Unlike your husband, the OP has no right to have this information being removed because it is true. Hopefully she will get some help with it.

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Well quite. I don’t see why you expect them to remove it when you didn’t pay?!

PrincessAnne4Eva · 27/12/2024 20:45

Good luck OP.

Original poster

Icanttakethisanymore · 27/12/2024 10:25

I received an email from Experian on Christmas day to say that my British Gas account has been removed from my credit file! My mortgage broker has forwarded on my new report to the Bank today so fingers crossed that will go through ok this time

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Backfromhols · 16/12/2024 07:15

Yes, had one removed by VM who placed it on my file in error. My credit score immediately returned to normal.

Thesnoozingsighthound · 16/12/2024 06:39

I’ll preface this by saying this was 5 years ago, but I got a mortgage with Nationwide despite having 2 missed credit card payments 2 years prior to applying.

It was for a tiny amount of money (around £20) and it was completely my own fault for forgetting to pay so there was no grounds for getting the defaults removed from the file.

AnImaginaryCat · 16/12/2024 06:30

Might depend on what the administration error was.

Where it's an error or fault of the company, it'll be removed immediately. No issue. Mine was - removed after a phone call.

If it's the fault or error of the payee I'd imagine it'd take longer. No experience of this though so can't advise on time scale.

Original poster

Icanttakethisanymore · 16/12/2024 06:17

Thanks everyone - I’m feeling more confident it will get removed so I guess it’s just a matter of time! I’ll keep nicely chasing the gas company and hope for the best!

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DaniMontyRae · 15/12/2024 22:54

HellofromJohnCraven · 15/12/2024 22:46

They can remove it.
Dh had insurance with the AA, they marked him as defaulted, wrongly. I found this out when I went to apply for credit.
After a complaint, all evidence of default was removed from hid credit report.

There's a difference between removing incorrect information and correct information. The credit reporting agencies have a responsibility to record accurate information. Unlike your husband, the OP has no right to have this information being removed because it is true. Hopefully she will get some help with it.

HellofromJohnCraven · 15/12/2024 22:46

They can remove it.
Dh had insurance with the AA, they marked him as defaulted, wrongly. I found this out when I went to apply for credit.
After a complaint, all evidence of default was removed from hid credit report.

fivebyfivebuffy · 15/12/2024 22:35

Simply adverse brokers are incredibly if you can't get it sorted anywhere else
I was nearly in tears with having been let down my brokers etc and having debt, they got me a DIP in 24hrs and were stars all the way through

I'm remortgaging and using them again

Ihatelittlefriendsusan · 15/12/2024 22:26

Not sure on the impact for your mortgage but exh defaults on the mortgage after I left him. I had a letter from his solicitor stating that inwas not financially responsible for the mortgage which halifax accepted and stopped trying to come after me. They also had all the negative events removed from my credit file after exh finally sold the house and closed down the mortgage.

Hope you get sorted

PrincessAnne4Eva · 15/12/2024 22:20

Get your broker to try Empower Mortgages OP. They offered us under similar circs earlier this year. We never did get a response from Experian when trying to sort it, but Empower offered us anyway.

spirooh · 15/12/2024 22:17

Yes, the adverse can be removed from your credit file. I have known it to sometimes take around 2 months but other occasions where it's been updated almost immediately. You may need to keep chasing the utility company and keep checking your credit file.

Original poster

Icanttakethisanymore · 15/12/2024 22:15

MorphandMindy · 15/12/2024 22:12

It is "easy" for them to do, OP, I wouldn't worry about that part... but it does take a bit of time. Utilities often don't report all that regularly to the credit reference agencies (CRAs) so they won't put it in immediately, and you may not see a change to your credit file for 6-ish weeks. They can just tell the credit reference agencies to update the information whenever they send their reports through, and they'll usually update all 3 CRAs at the same time so TransUnion, Experian and Equifax will all receive the update.

(Many years ago we found that DH had a default recorded that he wasn't aware of with a mobile company over a disputed bill, but we did get it taken off and our mortgage then went through no issues. He was annoyed that in order to get the mortgage he had to pay out the penalty charges in full to the phone company who definitely didn't deserve it, though!)

Thank you - the guy at the gas company said it could take a while and suggested I contacted Experian and raise a query with them (which have done). This means that they’ll request new data out of the normal schedule so apparently should happen sooner…🤞

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Original poster

Icanttakethisanymore · 15/12/2024 22:12

Dontbesaft · 15/12/2024 22:04

i checked my credit history a year ago. Shocked to find an adverse event on my history. It turned out to be a private parking fine I hadn’t noticed which got referred to a debt collection agency. As soon as I received the debt collection agency letter I paid the amount owing.
Didn’t realise it would impact my history. But once I realised, I did contact the company and they did remove it just as you have been told. My credit history is now completely clear.
Hope this is your experience too

Ahhhhh - fingers crossed. Thank you for sharing your experience. That’s cheered me up no end

OP posts:

MorphandMindy · 15/12/2024 22:12

It is "easy" for them to do, OP, I wouldn't worry about that part... but it does take a bit of time. Utilities often don't report all that regularly to the credit reference agencies (CRAs) so they won't put it in immediately, and you may not see a change to your credit file for 6-ish weeks. They can just tell the credit reference agencies to update the information whenever they send their reports through, and they'll usually update all 3 CRAs at the same time so TransUnion, Experian and Equifax will all receive the update.

(Many years ago we found that DH had a default recorded that he wasn't aware of with a mobile company over a disputed bill, but we did get it taken off and our mortgage then went through no issues. He was annoyed that in order to get the mortgage he had to pay out the penalty charges in full to the phone company who definitely didn't deserve it, though!)

tweedledee12 · 15/12/2024 22:10

I had 6m of missed payments on my credit score with BMW for a car - it was a PCP agreement which I had terminated so no longer had the car. BMW still logged it as miss d payments despite me not owing anything. Thankfully I complained and BMW removed these and I secured a mortgage

Dontbesaft · 15/12/2024 22:04

i checked my credit history a year ago. Shocked to find an adverse event on my history. It turned out to be a private parking fine I hadn’t noticed which got referred to a debt collection agency. As soon as I received the debt collection agency letter I paid the amount owing.
Didn’t realise it would impact my history. But once I realised, I did contact the company and they did remove it just as you have been told. My credit history is now completely clear.
Hope this is your experience too