Upheld: credit file reporting; adverse information recording; agent responsibility complaint against Vodafone Limited

Decision detail

Summary

Mr W complained that Vodafone recorded adverse information on his credit file after he fell behind on a fixed sum loan taken out in August 2022. Vodafone had passed the administration of the outstanding balance to a third party (B), which reached a partial settlement agreement with Mr W in October 2024 but failed to communicate this to Vodafone. The ombudsman upheld the complaint, finding that B was acting as Vodafone's agent and therefore Vodafone was responsible for honouring the agreement. The ombudsman directed Vodafone to confirm Mr W owes nothing further and to mark the account as partially settled, with the outstanding balance of £65.40 waived as fair redress. No additional compensation was ordered.

The Ombudsman's reasoning

The ombudsman found that while B gave Mr W incorrect information, B was acting as Vodafone's agent and therefore Vodafone was responsible for honouring the partial settlement agreement reached. The ombudsman considered that Vodafone waiving the outstanding balance of £65.40 constituted fair redress, particularly given that Mr W did not follow through on paying the compensation from B to Vodafone as agreed, which could have resolved the matter earlier. The ombudsman noted that although there was inconvenience caused, the steps Mr W took to mitigate the impact must also be considered.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website