Metro Bank has reversed its decision and agreed to remove damaging late payment markers from a grieving couple's credit file after initially refusing their request for compassion following their son's death.
A Family's Unimaginable Tragedy
The parents missed two mortgage payments with Metro Bank in February and March while caring for their seriously ill 19-year-old son during his final months. Their son, who had suffered an acute mental breakdown at age 14 during the pandemic, passed away in July after years of hospitalisations and care in secure facilities.
The couple maintained their mortgage payments perfectly since April and had built a good repayment history before their son's deteriorating condition overwhelmed them. "The last years of his life were very difficult as we tried to support him while keeping life as normal as possible for our other children," they explained.
Credit File Crisis Compounds Grief
When the bereaved parents applied to remortgage their home with Nationwide, they discovered Metro Bank had placed late payment markers on their credit file, causing their application to be rejected. This added "extreme stress" to a family already struggling to rebuild their lives after profound loss.
In August, the couple contacted Metro Bank directly, explaining their circumstances and requesting the markers be removed as a goodwill gesture. Despite their previous good payment history and the exceptional nature of their situation, the bank initially refused.
Bank Changes Stance After Intervention
Following media involvement, Metro Bank reconsidered its position. A spokesperson stated: "We understand not all customers want to talk to their bank about personal circumstances. However, for individuals facing financial challenges, we'd advise speaking to us as early as possible to discuss support options available."
The bank acknowledged that had it been aware of the family's ordeal when the payments were missed, it would have made allowances. This aligns with credit rating agency Experian's guidance that lenders can amend files in exceptional circumstances.
Despite Metro Bank's change of heart, Nationwide maintained its refusal after a second review, citing bank statements that suggested the couple might struggle with repayments. The parents attribute this to funeral costs temporarily depleting their balance.
Important Lessons for Consumers
This case highlights several crucial points for banking customers facing difficult circumstances:
- Communicate with your lender early about financial difficulties
- Exceptional circumstances can sometimes lead to credit file amendments
- Multiple mortgage applications in quick succession can damage credit scores
- Allow time for finances to recover after major unexpected expenses
The couple have been advised to wait until their finances stabilise before making another mortgage application, as they continue navigating life without their son.
