[Help] Legal advice over unpaid bill and its effects on credit rating

[Harry Wilson's tackle]

Perhaps the hive mind may be able to help me with this.

A person (lets call them X) left their rented accommodation rather abruptly last December, with the person they were sharing with (Y) taking over the accommodation and transferring bills into their name. The utility bills had been in X's name.

X has recently sought to negotiate a mortgage and when a mortgage company did a check on them the company found X's credit rating is affected by an unpaid utility bill for Jan/Feb this year from the old rented accommodation, which is after X moved out. The bill would have been sent to X's old accommodation after X moved out, and Y either didn't receive it, or received it and ignored it.

X had no access to the accommodation after moving out and therefore had no access to any post sent to that accommodation and was not able to set up a forwarding address for several weeks.

X has been told that this black mark on their credit rating will add some % to any mortgage they are offered. Moreover if X pays the outstanding bill they will still have a black mark on their credit rating. It seems to be an unwashable stain.

However X has been told explicitly by a mortgage broker and by the utility company that they can restore their credit rating if Y pays the bill.

Y is claiming they are not liable for the bill and are ignoring requests to help.

Here are my questions:

1. Is it correct that a 'black mark' on the credit rating cannot be expunged by X paying the overdue bill themselves?

A third party has offered to front Y the money to pay the bill but if this means that Y acquires the bad credit rating they are not going to play ball. (They are not being very helpful as it is). So,

2. If Y or a third party pays the bill will this mean they (Y or the third party) acquire the bad credit rating?

3. Is there any way of appealing this nightmare with whoever curates the credit rating, or with the utility company, and if so, how? I have heard of ombudsmen but don't know what this is.

It seems really unfair that someone can acquire a bad credit rating for not paying a bill they knew nothing about, and that ostensibly they cannot expunge the problem without dumping it on someone else.

X ideally needs to get this fixed quickly (weeks at most).

Advice greatly appreciated. Many thanks in advance. HWT.

 

[Questions]

Does X wear a dark blue fedora ?

 

[Light_Bulb]

I had a not dissimilar issue about 20 years ago, albeit with a housemate, not a partner. I wrote to Experien and from memory they put a note on my credit rating explaining the black-mark. I've no clue whether the same can be done these days though.

 

[KZNSeagull]

Did X write to the utility company to transfer the bills into Y's name? If so, have they kept proof?

 

[WATFORD zero]

I would PM @Uncle Spielberg personally. He was extremely helpful when my son had a different but 'difficult' mortgage to try and arrange, and he will know the best way to deal with it.

It's where I would go for any advice on mortgages

 

[HantsSeagull]

Perhaps the hive mind may be able to help me with this.

A person (lets call them X) left their rented accommodation rather abruptly last December, with the person they were sharing with (Y) taking over the accommodation and transferring bills into their name. The utility bills had been in X's name.

X has recently sought to negotiate a mortgage and when a mortgage company did a check on them the company found X's credit rating is affected by an unpaid utility bill for Jan/Feb this year from the old rented accommodation, which is after X moved out. The bill would have been sent to X's old accommodation after X moved out, and Y either didn't receive it, or received it and ignored it.

X had no access to the accommodation after moving out and therefore had no access to any post sent to that accommodation and was not able to set up a forwarding address for several weeks.

X has been told that this black mark on their credit rating will add some % to any mortgage they are offered. Moreover if X pays the outstanding bill they will still have a black mark on their credit rating. It seems to be an unwashable stain.

However X has been told explicitly by a mortgage broker and by the utility company that they can restore their credit rating if Y pays the bill.

Y is claiming they are not liable for the bill and are ignoring requests to help.

Here are my questions:

1. Is it correct that a 'black mark' on the credit rating cannot be expunged by X paying the overdue bill themselves?

A third party has offered to front Y the money to pay the bill but if this means that Y acquires the bad credit rating they are not going to play ball. (They are not being very helpful as it is). So,

2. If Y or a third party pays the bill will this mean they (Y or the third party) acquire the bad credit rating?

3. Is there any way of appealing this nightmare with whoever curates the credit rating, or with the utility company, and if so, how? I have heard of ombudsmen but don't know what this is.

It seems really unfair that someone can acquire a bad credit rating for not paying a bill they knew nothing about, and that ostensibly they cannot expunge the problem without dumping it on someone else.

X ideally needs to get this fixed quickly (weeks at most).

Advice greatly appreciated. Many thanks in advance. HWT.

Hi

Does X know what sort of black mark it is? Late payments, default or CCJ?

In my experience Y paying it is not going to make any difference to X's credit rating.

X would need to get the utility company to correct the credit record - which i fear is longwinded and unlikely.

 

[Harry Wilson's tackle]

Did X write to the utility company to transfer the bills into Y's name? If so, have they kept proof?

Yes, but transferring the utility bill from X to Y was not completed immediately X moved out, because Y was slow to complete the process. There is no question that X is liable for the settling the bill as it was in their name. This is not in dispute. But thanks, I will ask X to check correspondence.

The problem is that X was never sent the bill nor had it forwarded to them by Y. The first X knew about the bill was when their credit status was checked.

(It is likely that Y threw the bill away, but there is no value in pursuing that)

 

[WATFORD zero]

Yes, but transferring the utility bill from X to Y was not completed immediately X moved out, because Y was slow to complete the process. There is no question that X is liable for the settling the bill as it was in their name. This is not in dispute. But thanks, I will ask X to check correspondence.

The problem is that X was never sent the bill nor had it forwarded to them by Y. The first X knew about the bill was when their credit status was checked.

(It is likely that Y threw the bill away, but there is no value in pursuing that)

I wouldn't get involved in the intricacies of what happened. If the issue is the mortgage, see my post above. Good luck

 

[PILTDOWN MAN]

Perhaps the hive mind may be able to help me with this.

A person (lets call them X) left their rented accommodation rather abruptly last December, with the person they were sharing with (Y) taking over the accommodation and transferring bills into their name. The utility bills had been in X's name.

X has recently sought to negotiate a mortgage and when a mortgage company did a check on them the company found X's credit rating is affected by an unpaid utility bill for Jan/Feb this year from the old rented accommodation, which is after X moved out. The bill would have been sent to X's old accommodation after X moved out, and Y either didn't receive it, or received it and ignored it.

X had no access to the accommodation after moving out and therefore had no access to any post sent to that accommodation and was not able to set up a forwarding address for several weeks.

X has been told that this black mark on their credit rating will add some % to any mortgage they are offered. Moreover if X pays the outstanding bill they will still have a black mark on their credit rating. It seems to be an unwashable stain.

However X has been told explicitly by a mortgage broker and by the utility company that they can restore their credit rating if Y pays the bill.

Y is claiming they are not liable for the bill and are ignoring requests to help.

Here are my questions:

1. Is it correct that a 'black mark' on the credit rating cannot be expunged by X paying the overdue bill themselves?

A third party has offered to front Y the money to pay the bill but if this means that Y acquires the bad credit rating they are not going to play ball. (They are not being very helpful as it is). So,

2. If Y or a third party pays the bill will this mean they (Y or the third party) acquire the bad credit rating?

3. Is there any way of appealing this nightmare with whoever curates the credit rating, or with the utility company, and if so, how? I have heard of ombudsmen but don't know what this is.

It seems really unfair that someone can acquire a bad credit rating for not paying a bill they knew nothing about, and that ostensibly they cannot expunge the problem without dumping it on someone else.

X ideally needs to get this fixed quickly (weeks at most).

Advice greatly appreciated. Many thanks in advance. HWT.

Is the bill a lot or small amount? If small could H pay it to the company while confirming H has no connection to the property. P did something similar for someone called son who was able to get the "debt" corrected on file.

 

[ROSM]

It is also sensible to challenge this with the credit reference agency. Clear score for example allows you to correct and error of one exists. That will address future credit questions over and above the current issue of a mortgage.

Evidence needed will be a) any correspondence between x and y. B) any correspondence with utilities c) proof once outstanding settled d) any proof of when leaving the rental property

 

[Harry Wilson's tackle]

Hi

Does X know what sort of black mark it is? Late payments, default or CCJ?

In my experience Y paying it is not going to make any difference to X's credit rating.

X would need to get the utility company to correct the credit record - which i fear is longwinded and unlikely.

Not sure. Thanks for advice.

 

[Harry Wilson's tackle]

Is the bill a lot or small amount? If small could H pay it to the company while confirming H has no connection to the property. P did something similar for someone called son who was able to get the "debt" corrected on file.

It is easily affordable by a third party and there is a third party who is ready to pay the bill.

The problem is X has been told this won't remove their bad credit rating.

I have just taken a look at X's correspondence from the utility comapny. First they told X that as he wasn't living at the property during the billing window they would resolve the problem. Later thy sent another email to say they 'are unable' to resolve the problem. No explanation and no guidance on solution. X has not responded to that and I have told X to ask for clarification/explanation.

Rather a lot of 'computer says no' here.

 

[Harry Wilson's tackle]

It is also sensible to challenge this with the credit reference agency. Clear score for example allows you to correct and error of one exists. That will address future credit questions over and above the current issue of a mortgage.

Evidence needed will be a) any correspondence between x and y. B) any correspondence with utilities c) proof once outstanding settled d) any proof of when leaving the rental property

Thanks!

 

[HeaviestTed]

Has X checked whether they, at least, marked the spot?

 

[Harry Wilson's tackle]

Has X checked whether they, at least, marked the spot?

yes.

 

[Uncle Spielberg]

Get a copy of the experian credit file before you apply for any mortgage, then use a mortgage company who does a soft footprint as you do not want multiple searches showing there are many of off high street lenders that would look at this. Happy to help if you send me a pm

 

[Harry Wilson's tackle]

Get a copy of the experian credit file before you apply for any mortgage, then use a mortgage company who does a soft footprint as you do not want multiple searches showing there are many of off high street lenders that would look at this. Happy to help if you send me a pm

Thank you! I will get my, er, client, to get his-or-her shit together....maybe a few days

 

[Wrong-Direction]

Do you need to have one of the credit score apps for brokers to check your credit?
I'm pretty sure I have a high credit score as ive always paid cards off in full, had money in the bank ect.
I logged on to one of the apps I must've set up years ago and it only has one card added so the score isn't what it should be BUT does this matter if I wanted a mortgage surely they'd look into all my accounts?

 

[Weststander]

Do you need to have one of the credit score apps for brokers to check your credit?
I'm pretty sure I have a high credit score as ive always paid cards off in full, had money in the bank ect.
I logged on to one of the apps I must've set up years ago and it only has one card added so the score isn't what it should be BUT does this matter if I wanted a mortgage surely they'd look into all my accounts?

No. Lenders can check anyone.

 

[Uncle Spielberg]

Clearscore credit check is free to give you a guide but lenders do not use this