Tweet
HI
We received a default notice (charge £50) and calling in notice (charge £60) in 2008 on a loan and received a second default notice and calling in notice (same charges) from the same company in 2009 almost a year apart and then a third when the loan was sold to another company. We did not act on the first notice so believed our agreement was therefore terminated.
Can anyone answer the following, your help would be most appreciated:
Interest not to be increased on default..
We received a default notice (charge £50) and calling in notice (charge £60) in 2008 on a loan and received a second default notice and calling in notice (same charges) from the same company in 2009 almost a year apart and then a third when the loan was sold to another company. We did not act on the first notice so believed our agreement was therefore terminated.
Can anyone answer the following, your help would be most appreciated:
- As they have effectively terminated the agreement by issuing the notices can they contiinue to charge interest as I was still charged after receiving the first lot in 2008 up to 1 month after receiving the second lot in 2009 and by the new company after they purchased the loan up until it went to court?
- What is a calling in notice? I cannot find any information on this, is it a legal charge?
- Can these charges be shown to be unlawful if they do not represent the true cost to the loan company?
- Can the new company also charge for default notices if a default notice has already been served?
- Is there a time period from serving the notice that they must take you to court by as it took them 2 years before they sold the loan and was taken to court by the new company, all the while charging interest, whats to stop a company serving a default notice and waiting 10 years charging interest before taking you to court?
Interest not to be increased on default..
The debtor under a regulated consumer credit agreement shall not be obliged to pay interest on sums which, in breach of the agreement, are unpaid by him at a rate—
(a)where the total charge for credit includes an item in respect of interest, exceeding the rate of that interest, or.
(b)in any other case, exceeding what would be the rate of the total charge for credit if any items included in the total charge for credit by virtue of section 20(2) were disregarded.
Thanks
(a)where the total charge for credit includes an item in respect of interest, exceeding the rate of that interest, or.
(b)in any other case, exceeding what would be the rate of the total charge for credit if any items included in the total charge for credit by virtue of section 20(2) were disregarded.
