Newbie seeking help and advice

[Kat1973]

Re: Newbie seeking help and advice

I've missed the odd payment (literally no more than 3 I think) and they have charged from 12 to 20 pounds extra a time but that's it - is that the sort of charge you mean? x
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As I said they agreed to drop the interest so the minimum payment has gone down to £25 on each card (was 100 and 150 - just on interest) but they are only willing to do this until May which doesnt give me much time to make a difference.

Just a bit of thinking time I guess!

[TUTTSI]

Re: Newbie seeking help and advice

Yes - that is the type of charge.

I've missed the odd payment (literally no more than 3 I think) and they have charged from 12 to 20 pounds extra a time but that's it - is that the sort of charge you mean? x


------------------------------- merged -------------------------------
As I said they agreed to drop the interest so the minimum payment has gone down to £25 on each card (was 100 and 150 - just on interest) but they are only willing to do this until May which doesnt give me much time to make a difference.

Just a bit of thinking time I guess!

[Kat1973]

Re: Newbie seeking help and advice

Hmm dont think there would be many but maybe worth a try - could you point me in the direction of what I need to do please?

Tx

[TUTTSI]

Re: Newbie seeking help and advice

Hi Kat

This is the type of letter which you should send.

Address - Yourbank

Dear Sirs,

I am writing to insist that you refund the penalty charges incurred on the above account since inception. These are listed as “Late Payment Charge” and “Over Credit Limit Charge” amongst others.

I am aware that these charges are unlawful at Common Law & Statute. This is further reinforced by the Office of Fair Trading report of 05/04/06 which concluded that these charges are unfair to the consumer. In addition, following a recent Freedom of Information request to the Office of Fair Trading I was informed that:

“Following consultation with eight leading credit card issuers we have concluded that default charges in most credit card contracts across the sector are highly unfair in terms of the UnfairTerms in consumer Contracts Regulations (UTCCRs) and therefore unlikely to be enforceable against consumers”

If you believe that they are not penalties, then will you please demonstrate this by giving me a full breakdown of the costs you have incurred as a result of my breaches, in order to prove to me that your penalties really do reflect your actual losses.

I therefore insist that you refund to me, by way of cheque, the total amount of all charges incurred plus any interest accrued at the contractual rate thereon. I will not accept partial repayment nor will I accept that the Office of Fair Trading report of 05/04/06 deemed £12 to be an acceptable charge, as it clearly did not. I will give you 14 days to reply to me accepting, unconditionally, my request in principle and letting me know a date by which I will receive a refund in full which would return me to the position had these charges and interest thereon not been incurred.

If you do not respond, or you do not respond positively, within this time period, I shall refer the matter directly to the Financial Ombudsman and Office of Fair Trading for further investigation.

Should I not receive satisfaction in this way, I shall then seek recovery by way of a County Court claim against you.

Yours faithfully,

[Kat1973]

Re: Newbie seeking help and advice

Written and sent recorded today - I guess even recovering a small amount helps.

Thanks Tuttsi x

[Celestine]

Re: Newbie seeking help and advice

Can I just check something?

You have a bank loan that you maintain decent payments on with XXX bank.

You have two credit cards about 10k that you know you can't manage? With different lenders?

If you default on those credit cards etc, why are you thinking something will happen with an already established bank loan. As far as I know, if you keep up with the loan payments, nothing should happen.....you will eventually repay the loan.

Or am I missing something?! .......... probably!

Also got the T shirt hun, still trying to get the blasted thing off actually!! best of luck x

[Kat1973]

Re: Newbie seeking help and advice

Can I just check something?

You have a bank loan that you maintain decent payments on with XXX bank.

You have two credit cards about 10k that you know you can't manage? With different lenders?

If you default on those credit cards etc, why are you thinking something will happen with an already established bank loan. As far as I know, if you keep up with the loan payments, nothing should happen.....you will eventually repay the loan.

Or am I missing something?! .......... probably!

Also got the T shirt hun, still trying to get the blasted thing off actually!! best of luck x

Yes Celestine - that's exactly right. I am just worried that somehow my bank would be notified. Part of me thinks I should throw the towel in and take the lot to Payplan and work something out, but I dont earn badly so I can just about manage the loan (as much as it sticks in my throat) and at the moment having an overdraft is handy, and I dont fancy trying to find another bank account (boyfriend did this and ended up with Abbey who were appalling).

[Kat1973]

Re: Newbie seeking help and advice

Well after an hour on the phone this morning MBNA finally agreed to put me in an arrangement (DMP?) for 10 years subject to secondary approval in their system. I thought I might stop worrying but am now panicking that they will some how be able to find out that I have overegged my I & E's and that my bank will find out about the note on my credit file that I have gone into an arrangement to pay.

[Kat1973]

Re: Newbie seeking help and advice

*BUMP* do people think I've done the best thing in the circumstances?

[Celestine]

Re: Newbie seeking help and advice

Kat, if you are happy to enter into a 10 yr DMP with MBNA in return for a mark on your credit file then go ahead, I can't see how it could have any effect upon your existing loan with your bank.
When I got into difficulties with MBNA they automatically offered me a 60% full and final settlement deal, again in return for 'partially settled' marker on my credit file for 6yrs.

Keep up payments on your loan and nothing should should happen.

Best of luck xx

[Kat1973]

Re: Newbie seeking help and advice

Thanks Celestine - did you find the marker on your file caused you any major hassle? I'm not planning on any more loans / cards/ mortgages anytime soon I hasten to add! Just dont want the bank to pull my overdraft facility. It's not as bad as having a default on your file is it? x