Not upheld: Credit file / adverse marker disputes complaint against V12 Retail Finance Limited

Decision detail

Summary

Mr T complained that V12 unfairly refused to remove a missed payment marker from his credit file after he paid a late instalment on 2 May 2025, following two failed direct debit attempts in April 2025. Mr T argued exceptional circumstances, including bereavement and being abroad, justified removal of the arrears marker. The ombudsman found that V12 accurately reported the arrears in accordance with ICO principles, as Mr T had not cleared the arrears by V12's end-of-month reporting date. While sympathetic to Mr T's difficult circumstances, the ombudsman concluded that these do not obligate V12 to report inaccurate information and upheld V12's decision.

The Ombudsman's reasoning

The ombudsman applied ICO principles requiring firms to report data that is fair, accurate, consistent, complete and up to date. Since Mr T failed to make his contractual payment by the agreed time and had not cleared the arrears by V12's end-of-month reporting date, the arrears marker was accurate. Removing accurate CRA data would violate ICO principles. While Mr T's circumstances were difficult, they do not obligate V12 to report inaccurate information. The situation was not dissimilar to previous occasions when Mr T had cleared arrears before reporting, except the timing meant the arrears were captured in the CRA report.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website