Not upheld: Credit file / adverse marker disputes complaint against Clydesdale Bank Plc trading as Virgin Money

Decision detail

Summary

Mr R complained that Virgin Money unfairly recorded a default on his credit file after he fell into arrears on his credit card account. Mr R claimed he was unaware of the arrears and default notices because he had moved address without informing VM. The ombudsman found that VM acted fairly by using the contact details Mr R had provided, attempting multiple phone calls, and following its contractual default procedures. The ombudsman concluded that Mr R's failure to notify VM of his address change, combined with VM's lack of awareness of his medical condition, meant VM had not acted unfairly in recording the default.

The Ombudsman's reasoning

The ombudsman concluded that Mr R had entered into a contractual agreement to pay his credit card debt on agreed dates. VM followed its contractual obligations and default process appropriately. Although Mr R had changed address, he failed to notify VM of this change. VM used the contact details Mr R had provided and made multiple attempts to contact him by phone, leaving messages with a third party. The ombudsman found it was not unreasonable for VM to conclude that Mr R did not wish to change his postal address when he had only updated his phone number and email in July 2022. VM was not aware of Mr R's medical condition and therefore could not be expected to take different steps because of it.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website