One of the most frustrating parts of dealing with debt isn’t always the debt itself. Sometimes it’s simply trying to get lenders to report the correct information.
Recently I found myself having to raise two formal complaints, one with Lloyds Bank and another with Link Financial, about something that should have been resolved long ago.
The issue? A default date that had already been investigated and confirmed by the Financial Ombudsman Service yet was still being reported incorrectly.
Here’s what happened.
The Background
The account originally related to a Lloyds Bank debt that was later handled by Link Financial.
At some point both companies reported different default dates for the same debt on my credit file. That might sound like a minor detail, but default dates matter a lot.
In the UK, a default stays on your credit file for six years from the default date, regardless of whether the debt is later paid or settled.
So even a small error can have long-term consequences.
After raising the issue previously, the Financial Ombudsman investigated the case and confirmed that the correct default date should be 8 March 2024.
Both companies were expected to update their reporting accordingly.
Problem solved, right?
Not quite.
The Problem That Wouldn’t Go Away
Despite the Ombudsman confirming the correct date, the credit reporting is still inconsistent.
- Link Financial now reports the default as 8 March 2024
- Lloyds Bank reports it as 11 March 2024
Three days might not sound like much, but when two companies report different default dates for the same debt, it can create confusion on a credit file and potentially give the appearance of multiple defaults.
More importantly, the Ombudsman had already ruled on the correct date.
So, the fact that the reporting still hasn’t been aligned more than a year later is extremely frustrating.
My Complaints to Lloyds and Link Financial
I have now raised fresh complaints with both companies.
My complaint to Lloyds Bank
My complaint to Lloyds focuses on the fact that they are still reporting the wrong default date, despite the Ombudsman confirming the correct one.
I have asked Lloyds to:
- Correct the default date to 8 March 2024 with all credit reference agencies
- Confirm in writing once this has been completed
- Provide compensation for the distress and inconvenience caused
- Consider recalling the debt from Link Financial or writing off the balance given the ongoing reporting failures
If Lloyds does not correct the issue promptly, I will refer the matter back to the Financial Ombudsman Service on the basis that the agreed outcome has not been implemented.
My complaint to Link Financial
Although Link Financial has updated its own reporting, my complaint to them focuses on a different issue.
During the Ombudsman investigation, Link indicated it would ensure that Lloyds corrected its reporting so both entries would match.
That clearly hasn’t happened.
I have therefore asked Link Financial to:
- Confirm what steps they took to ensure Lloyds corrected its reporting
- Work directly with Lloyds to ensure both companies report the same default date
- Confirm when the reporting across all credit reference agencies is consistent
- Provide compensation for the distress and financial impact caused
Why Accurate Credit Reporting Matters
Credit reporting isn’t just a technical detail.
Under Financial Conduct Authority rules, lenders must ensure the information they report to credit reference agencies is accurate and not misleading.
Incorrect reporting can affect:
- Mortgage applications
- Loan approvals
- Interest rates offered by lenders
- A borrower’s overall financial opportunities
For people trying to rebuild their finances, accuracy is essential.
What This Means for My Credit File
If the default date is correctly recorded as 8 March 2024, the entry should automatically disappear from my credit file on:
8 March 2030
Getting the date wrong may only shift that slightly, but when you’re rebuilding your credit profile every detail matters.
Lessons From This Experience
If there’s one thing I’ve learned from years of dealing with debt and credit files, it’s this:
Always check your credit reports carefully.
Mistakes happen more often than people realise, and lenders do not always fix them unless you challenge them.
If you notice an error:
- Raise a complaint with the lender or debt purchaser
- Give them the opportunity to correct the information
- Escalate the issue to the Financial Ombudsman Service if necessary
Sometimes it takes persistence to get the right outcome.
Final Thoughts
Dealing with debt is hard enough without having to fight to get basic information reported correctly.
In this case, the correct default date has already been confirmed by the Ombudsman, yet the issue still isn’t fully resolved.
Hopefully these latest complaints will finally bring the matter to a close.
And if nothing else, this experience is a reminder that when it comes to your credit file, you often have to be your own advocate.
