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Not so long ago if you stopped making repayments on your credit card debt, your bank would eventually take you to court.
This is something that just doesn't happen any more. When is the last time that this forum has been helping someone taken to the court by the original credit card lender? Instead, your bank is now much more likely to sell the debt and write off the remainder as a bad debt.
I think it may be a coincident but there's a chance that all this was changed by a former BBC investigative journalist.
Diana Mayhew had defaulted on her store to credit Harrods card. Santander had bought all Harrods branded cards. Ms Mayhew had agreed to make a token payment to Santander on her Ł5k plus debt. In early 2010's Santander issued a money claim.
The rest is history. The Santander vs Mayhew case is often quoted in case of store cards converted to credit cards such as Marks & Spencer (HSBC). Whilst Judge Manners ruled in 2012 that Santander had fulfilled its obligations relating to section 78 CCA request, Santander lost in other points, the main one being that converting a store card usually with limited use and relatively low credit limits to a credit card requires new prescribed terms and conditions to be sent to and signed by the debtor. Santander lost and was also ordered to pay the costs, rumoured to be around Ł50k.
Furthermore, Diana Mayhew used her old contacts at the Beeb and got a dominant coverage of her case on their website. This had serious consequences not just to Santander but likes of Marks & Spencer Money (HSBC) too.
This is something that just doesn't happen any more. When is the last time that this forum has been helping someone taken to the court by the original credit card lender? Instead, your bank is now much more likely to sell the debt and write off the remainder as a bad debt.
I think it may be a coincident but there's a chance that all this was changed by a former BBC investigative journalist.
Diana Mayhew had defaulted on her store to credit Harrods card. Santander had bought all Harrods branded cards. Ms Mayhew had agreed to make a token payment to Santander on her Ł5k plus debt. In early 2010's Santander issued a money claim.
The rest is history. The Santander vs Mayhew case is often quoted in case of store cards converted to credit cards such as Marks & Spencer (HSBC). Whilst Judge Manners ruled in 2012 that Santander had fulfilled its obligations relating to section 78 CCA request, Santander lost in other points, the main one being that converting a store card usually with limited use and relatively low credit limits to a credit card requires new prescribed terms and conditions to be sent to and signed by the debtor. Santander lost and was also ordered to pay the costs, rumoured to be around Ł50k.
Furthermore, Diana Mayhew used her old contacts at the Beeb and got a dominant coverage of her case on their website. This had serious consequences not just to Santander but likes of Marks & Spencer Money (HSBC) too.
