Welcome Finance overcharging, threatening court, asking for credit card details????

[Amethyst]

Posted on behalf of new user


I took out a secured loan with welcome finance in 2005 for 12,000.

to date I have paid them back nearly 32,000.

back 2 months ago I was told that I still owed them 8,500. I phoned them and went absolutely berserk. I asked how I still owed all this and they told me it was because I was in arrears 3 years ago in which I paid them when I claimed my ppi back.

when I told them that I wasn't gonna pay no more to them they told me that they had made a mistake and I only owed 4,000.

I still refused to pay them anything and now they've told me that another mistake came up and that I only them 940.00 now.

I did agree to pay this amount off on the 17th feb just to get rid of them.

they sent me a default notice in the post a few days ago saying that if I didn't clear this amount of 940.00 by the 18th feb that they would take legal proceedings .

then they phoned me yesterday asking for my credit card details so as they can take the money that I owe them out of my account on the 17th feb.

I told them NO and that I would phone them on Monday to pay . im worried this loan is still on my house ,would they take their name off the house once I pay them off. the loan was for 100 months so it should of been paid off months ago . what do I do ?

[Amethyst]

Re: Welcome Finance overcharging, threatening court, asking for credit card details??

Do you have copies of your statements showing how the amounts have been calculated and how on earth the arrears ended up costing so much ?

Also do you have a copy of your original credit agreement and terms ?

[tayabrooke]

Re: Welcome Finance overcharging, threatening court, asking for credit card details??

I do have my credit agreement. I don't know how they calculated that I owe so much , all I know is they told me it was all the interest that was still owing because of my arrears going back 3 years ago. I do have my statements from when ive paid them 2005. when I threatened that was gonna give all my statements to a friend of mine to look through them , that's when the amount I owed came down.

[seduraed]

Re: Welcome Finance overcharging, threatening court, asking for credit card details??

I used towork for welcome some years ago. It looks like the outstanding amount is made up of charges and late payment fees. You need to get a statement and look for the charges which can then be disputed . I'm not surprise that het collection agent tried to get the credit card details of you today . It is nearly the mid month friday and your payment would have probabally meant he guaranted bonus at the end of the month .

[Amethyst]

Re: Welcome Finance overcharging, threatening court, asking for credit card details??

You can ask them for a breakdown of the amounts (unlikely they'll give them to you) or you could send a full Subject Access Request to ask for full transaction lists, notes on your accounts and so on, so you will be able to see exactly what they have done. This will cost you a £10 statutory fee and takes them 40 days to complay with but can be rather enlightening;

Dear Sir/Madam

SUBJECT ACCESS REQUEST under the Data Protection Act

ACCOUNT NUMBER(s): xxxxxxxxx

I formally request that you forward me a true record of any Data held by your organisation relating to myself for the complete term of the account(s) to include but not be limited to ; full transaction lists, any credit agreements, telephone logs, call recordings and screen notes made about me (Add anything you want specifically)

I am aware this request should include any Data held for more than 6 years as under the Data Protection Act there is no time limit for information requested.


I enclose the statutory maximum fee of £10. You have 40 days from receipt of this request in which to return to me the information requested , securely and in legible condition.



Yours faithfully,


(signature)


(name)

[Amethyst]

Re: Welcome Finance overcharging, threatening court, asking for credit card details??

Actually do you have all your statements ? If so can you track back and see where this amount has accrued from ?

On your original credit agreement what are the terms, the period of repayment and monthly amount ? If you can scan it in that would be brilliant.

As it is for 'only' £12000 it should be regulated under the consumer credit act and it might be worth sending a request for a copy of the agreement and original terms to them to see if they do actually have the right to enforce the debt at all.

Probably want to send quite a strong one (again this does cost but only £1 this time) if they don't want it looking into too much then they'll scuttle off under a stone I suspect. Would like to see the terms of the agreement £32k on a £12k debt is quite a lot of interest and charges. Was it over 10 years ?

Quick calc would show the interest rate being 28% odd PA ?
Results

Monthly
repayment: £273


Number of Repayments: 120


Total amount
paid: 32,700


Total interest paid: 20,700

Dear Sirs,

Account or Reference No.:

I hereby formally request a copy of my Consumer Credit Agreement, pursuant to s.77-79 of the Consumer Credit Act 1974 (CCA1974).I require you to provide me with a true copy, or reconstituted copy of the credit agreement relating to any account you deem to be mine, together with any other documentation the Act requires you to provide. I expect you to comply fully and properly with this request, within the statutory time limit (12 + 2 days).

If it is your view that you are not the creditor, s.175 of the CCA1974 applies in the case of a simple assignment, and places a duty upon you to pass this request to the creditor. In the case of an absolute assignment, you are a creditor as defined by s.189. If you contend that you purchased the rights but not the duties of any agreement, you are reminded that s.189 of the Act is clear that an assignment is of both rights and duties. Your attention is drawn to ss.5(2), 3(b), 6 and 7 of the Consumer Protection from Unfair Trading Regulations 2008 (CPUTR).

In line with recent OFT Guidance (issued Oct 2010) surrounding Unenforceability, I presume you're aware that the OFT has stipulated that 'sections 77-79 of the Consumer Credit Act 1974 outline the information creditors must provide to debtors under fixed-term, running account & Hire Agreements'. This simply means that under these sections a debtor can pay £1 to get:

• a copy of their agreement
• copies of some of the other documents mentioned in their agreement
• a statement of account

If this information is not provided within 12 working days the debt becomes unenforceable. This means a creditor cannot:

• make the debtor pay the debt before they're supposed to
• get a court judgment against the debtor

So, in line with the OFT Guidance, and the Consumer Credit Act, please find attached my £1 payment, which is the statutory fee - note that these funds are not to be used for any other purpose.

Yours faithfully,