Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

[duder]

Hello everyone, first time poster here :beagle:

I have used the search but I've had nothing similar come up or any other posters who are at the same stage as me in dealing with Barclaycard.

My experience has been pretty good so far as in their first reply BC admitted that they can't find the CCA and admit that the debt is unenforceable but then mention Philip McGuffklck V Bank of Scotland and state they can still report me to the credit record agencies and send debt collectors round.

I've now received a letter from Mercers stating they'll be arranging a local visit. Most of the threads I've read are from last year, can I send a letter stating this constitutes harrassement and I do not agree to visits etc? or has the above case over ruled that?

I'm really confused, my understanding is that they can't make me pay but will still try...isn't that pointless? I don't mind letters to my door but would rather not have bayliffs etc to ward off. Could I show them the letters and state that this is dispute and tell them to go away?

Am I in the home straight?

[WendyB]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt

Perhaps you could give us a bit more background info? Whats the history? Are you in financial difficulty/arrears/DCAs/default notice etc? Why did you request CCA in the first place and what are you hoping to achieve?

[duder]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

Like some, I have got to a stage where paying back loans is really affecting my life and I wanted to settle my credit cards with full and final settlements so requested copies of CCAs from two of my credit card companies, one has complied and I'm looking to make an offer to settle.

Barclaycard replied stating they couldn't oblige and stated that they accepted that the debt is unenforceable as above. Would this put me in a good position to settle or if they can't enforce, is there any point? I've started reading on CCAs but it's all pretty contradictory.

BTW I took out a consolidation loan to pay off my cards at a lower APR to make sure I was debt free in 5 years but was unable to take out the full amount to pay off both cards hence the idea to go the full and final route.

[middenmess]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

Forget bailiffs as they would only be used if you were taken to court,lost the case and then failed to pay whatever the court ordered and as Barclays have told you that the debt is unenforceable they are unable to take it to court.

Instead they will get various DCA's to phone and write requesting payment which is tedious but something that can be dealt with.

As to doorstep visits you can send a letter saying that they can only call by appointment and you will not be making any appointments with them.

Even if a 'collector' turns up they have no more rights than any other citizen and you can refuse to answer the door or just tell them to leave before you report them.They will leave passively.They really are not a problem and certainly nothing to worry or be concerned about.

I get about 2 calls a week but just refuse to talk with them and just put the phone down--a minor irritation at worst.

Some weeks they fail to call and I feel quite lost!

[duder]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

Thanks for the tipoff! I'm new to this but getting the hang of it! They really do try to confuse you with their letters. I'll fire one off tomorrow! Are you in the same position, if so, how long?

I can put up with sending off some letters every now and again, have they ever actually stuck a default notice or anything on your credit file? Mercers have threatened to do so this week.

My credit rating was flawless but whats the use of having one if you dont need credit and can't afford to live?

[middenmess]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

Would this put me in a good position to settle or if they can't enforce, is there any point?

The debt still exists even though they cannot enforce it in court.
If you decide not to pay then you will have to put up with DCA's chasing you as I've put above.
If you want to clear your account then Barclays might listen to a F & F but they might not as they might in time find your agreement and if it's compliant then they will expect to be paid in full.

If making a F & F then bare in mind that if they sell the debt on then the 'going rate' is approx. between 3%-10% of O/S amount.Start low and then they can nudge you up.If you start high they will try and push you for more.
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It's been a year since I last paid them.[after getting my late charges and some interest back by bank transfer!!]
They wrote telling me that they couldn't enforce as they couldn't produce the original T & C's but they also clucked up the D/N and the CCA is a one sided postal application.

At my age having a crap credit report has no threat as I've no intention or desire ever to have credit again--lesson learnt but a little late!

[duder]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

Completely agree, although I'm only 29 but have no real desire for credit and will now save for anything I really need or go without. Most of this debt is from my silly younger years.

My debt is for £4200 so might offer them £300 to do one!

[middenmess]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

Completely agree, although I'm only 29 but have no real desire for credit and will now save for anything I really need or go without. Most of this debt is from my silly younger years.

My debt is for £4200 so might offer them £300 to do one!

Best you buy some 'lucky' white heather,a four leaf clover and cross your fingers before making that offer as I'm sure they will take great umbrage at such a low sum--better to wait a while and see what develops.

Have you claimed back all your late charges etc?

Is the account still 'live' or have they terminated and if so did you receive a compliant Default Notice?

[duder]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

It's only been three months and I've just had a letter from Mercers with "default Notice" as the heading. Does this mean no more interest and late charges added on?

I've never previously missed any payments are far as I'm aware. Sad thing is, I would never have taken this route if they Morgan Stanley hadn't cancelled my 0% for life of balance as I missed the first payment as they forget to setup the DD properly! Guess that's what you get for poor customer service!

[middenmess]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

It's only been three months and I've just had a letter from Mercers with "default Notice" as the heading. Does this mean no more interest and late charges added on?

Well the good news is that if the D/N only has Mercers name and address on it then it is probably non compliant with the prescribed terms for issuing a D/N as it should have the original creditors details on it.
As you haven't paid them for 3 months the arrears requested will have an element of late charges in them.

The bad news is that until they terminate the account and demand the full outstanding balance they have the option to issue another D/N which ticks all the boxes so I wouldn't refer to it if you correspond with them.

It's advisable to keep the envelope it came in as it's also possible that they haven't given you enough time to remedy the breach.

They will continue to add late charges and interest to the account and if they haven't already done so they will reduce your credit limit to a figure that the addition of a couple more late charges to will soon be exceeded --they will then charge you a monthly 'over limit' fee as well.

If you want to have the Default Notice dissected by others on here then post it up minus any personal details.

[Curlyben]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

As B'card have admitted, IN WRITING, that the agreement is unenforceable, then file any and all demands for payment under I.
Especially Mercers as they are simply B'cards in house threat monkeys.

Keep that letter in a VERY safe place as it might prove useful later on.

[shirlthepearl]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

Hi,

I have a Barclaycard account, which was originally Morgan Stanley.
I got into arrears and was being chased by various debt collectors. I wrote and asked for the cca, cost £1.00, which they were unable to produce, and stated the agreement was unenforceable but would still pursue me for the outstanding balance. I have heard nothing for about 6 months.

Am I right in thinking that because the agreement is unenforceable I can claim back all of the penalty charges applied to my account? If so any guideance as to how to do it?

[Celestine]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

Whether the balance is enforceable or not, you can request unlawful over limit/late fees etc be refunded. However, as you have an outstanding balance, they will merely credit the balance rather than send you a cheque......

[pt2537]

Re: Morgan Stanley/Barclaycard admit unenforcement on debt...what now?

If the account has been assigned to a debt purchaser then it may be more tricky to recover the charges, since Jones v Link it is the creditor who you would have to take action against.

Unenforceability may be open to argue, have a read of HFO capital limited v Roland Wegmuller, that is reported on BAILII and may help you