Is this legal?

[bartell]

For the last few months I have been trapped in the cycle of pay day loans. My last one was due on 29th Dec but a few days before I knew the money would not be there to cover it. So I emailed the company and asked to set up a repayment agreement 3/4 months so I could break the cycle and start sorting out my money.

It is worth pointing out that they had no DD set up for payment and the card they had was cancelled after a ATM snapped it. The due date came and went and nothing. Then 30th Dec a email saying I was in default. Then amount of money starting going from my account without me knowing where. In fact it would be fair to say it was emptied. A balance of £227 went down to £2.80 in a hour without me leaving the house! This left a 4mth pregnant woman and 3 young children with no food shopping and me with no petrol for work.

Fearing the worst I rang the bank thinking we had been targeted by on line hackers etc. To be told that Quick Quid had taken the money.

So without consent they took a random amount of money from my account using a cancelled card? After many emails and phone calls I'm still waiting for them to respond to this. What is my stand point here?

The bank have said that all they can do is send me a form to fill in for a charge back... But why have they allowed a cancelled card to debt my account?

[teaboy2]

Re: Is this legal?

No its not legal and a the bank is at fault for allowing a cancelled card to be used to obtain money.

Quick Quid are the lowest of the low and i bet the agreement would have been iffy too as they may well have set up a second loan agreement for the extra month prior to defaulting you. Obviously you would not know anything about the second loan agreement as they merely set it up without telling you and simply add your printed name to it in an attempt to pass it of as you signing in digitally (I.e. they commit fruad). They did the same for one case i worked on involving them and i soon put them in their place. Also the am pretty sure OFT guidelines make it clear they should accept your repayment offer.

So fire of a complaint to your bank, the OFT and to the finanical ombudsman and see if the police will investigate theft too.

Can you provide us with the full details of the loan, i.e how much the total loan was, whats left outstanding, when the loan was taken out, date you sent offer of repayment plan, date the original loan was due to be repayed, date of Default, a copy of the defualt notice (blank out your personal details) and the date they took the money from your account?

[Angry Cat]

Re: Is this legal?

Complete the charge back form and get it back to your bank A.S.A.P!

[labman]

Re: Is this legal?

Absolutely illegal. Do the chargeback and I'd be inclined to demand compensation for the inconvenience you must have suffered.

[Shadowcat]

Re: Is this legal?

These people clearly need to get with the programme, it looks like they've jumped on the bandwagon too late and more and more, we are getting wise about what is allowable. That is so blatantly wrong it's ridiculous.

From the perspective of someone who does everything in my power to try and stop people using these companies, can I thank you for sharing this.