Fraud with my credit
My credit record has been impaired as a result of certain dubious acts of the vehicle finance division of a major bank. When I defaulted on my instalments my vehicle was auctioned and an amount was still owed. I made no payments for the outstanding debt and no summons was issued against me for 5 years by which the debt had prescribed, or expired. I later discovered that a court judgement had been obtained against me. Apparently someone or the bank had been making small payments into my account to stave off the prescription. Is that not fraud? How do I clean up my credit record?
Debts prescribe after 3 years if the creditor takes no action to recover it by way of summons to appear in court. Within that period if any payments are made, it interrupts prescription. If you can prove that payments were not made by you but by them to prevent prescription then that is fraud. To clear your credit record you can bring an application to court for a recission of judgement on the basis of prescription, and allege fraud as part of your application to prove that the debt had indeed prescribed. The decision will be based on the evidence.