Mr Blue Sky

[Mr Blue Sky]

Hi. I have an issue with an old favourite of yours : Bank Smart/MIL Collections

[Mr Blue Sky]

Dear Legal Beagles
I wonder if you can advise on a situation that has arisen between myself and Bank Smart/MIL Collections?
At some point last year I asked Bank Smart to have a look at whether I was entitled to PPI, as the closing date for applying was looming. I filled in the appropriate paperwork, returned it and then forgot all about it.
Until about 3 weeks ago when I received an overdue payment letter from MIL Collections for £199.40. They were apparently acting on behalf of Bank Smart. The letter quoted a Bank Smart A/C No. and gave a phone number to contact.
I rang the number and spoke to a gentleman. It was almost like he’d been waiting for my call. I asked him what it was all about and he told me it was charges for cancelling my contract with Bank Smart and did I want to pay? I didn’t. At no point had Bank Smart contacted me to chase up this amount and I had certainly not been sent an Invoice.
That night I sent a formal letter of complaint to Bank Smart and followed it up with the same letter being sent via email. (I thought PPI was on a no win, no fee basis?)
A couple of days later I contacted MIL Collections to inform them of my Formal Letter of Complaint to Bank Smart. They asked me again if I wanted to pay. My answer hadn’t changed and they weren’t really interested in what I was saying.
I received an email from Bank Smart confirming receipt of my Formal Complaint. They said that if I wanted to change it from being a Formal Complaint they could respond within 5 days, but if I persisted with my Formal Complaint they would respond but it would take a number of weeks of investigation. I opted for the latter.
I heard nothing then for about a week when I received another letter from MIL Collections. It was a further letter chasing the £199.40. The letter began by saying that I had ignored their initial letter. I rang immediately, complained about the inaccuracy of the opening paragraph of their latest letter and was immediately asked if I was ringing to settle the debt. The gentleman I spoke to was no gentleman. He was quite rude and openly admitted that he was there purely to take payments over the phone and he obviously had no interest whatsoever in hearing my side of things.
Quite simply, Legal Eagles, I’m interested to hear your advice on the above events. Can I get away with not paying this fee? Can MIL Collections continue to harrass me for this amount or am I best to just settle up? Are Bank Smart likely to come back and say that I was treated unfairly and cancel the charge? If I paid MIL Collections now would I get the money back off Bank Smart? You have much experience of these 2 companies so am wondering what advice you can give me on this situation?

Regards
Mr B S