**WON** Bank Smart insisting I have "cancelled" claims

[Never_again]

Good afternoon, could you please advise a newbie?

After engaging Bank Smart to investigate PPI claims around 3 years ago, almost all of them came to nothing. A few were settled for a small amount and I paid all fees as requested.

Then, for a number of the lenders, Bank Smart began sending me Letters of Authority to investigate “Default Charges”, which I did not want to do. As far as I can remember (Bank Smart won’t send proof) I did not sign and return them. They sent them repeatedly for another 2 years, I did not return them.*

Eventually in October this year when they sent another letter regarding “documents outstanding” I replied via email to say I did not believe documents were outstanding, as I was only required to sign and return them if I wished to pursue the claims, which I did not.

They have now said this was a “cancellation email” and are charging me a significant amount for cancelling existing claims.

I immediately contacted them to say this was a misunderstanding and it had never been my intention to cancel active claims – I just did not wish to pursue new ones (which I believed this was all about). I’m not clear whether my original PPI-turned-default charges claims were “legally” active (the details on their claims portal is confusing and they will not send me proof of signed Letters of Authority regarding default charges)… but regardless, it was never my intention to cancel active claims, if they were.

By not following their stated cancellation policy in their Terms & Conditions (which states cancelling claims requires emails to be sent to cancellations@bank-smart.co.uk; letters to be sent via recorded delivery to Bank-Smart Cancellations, First Floor Building A, Green Court Truro Business Park, Threemilestone, TR4 9LF; or their online cancellation form used), can they simply interpret any email to be a cancellation, when I have since explained my confusion and informed them it was never my intention to cancel active claims? None of my messages ever stated claim numbers and the fact I wished to "cancel" them. They did not respond to my email, they simply issued the invoices without any clarification as to my intent.

I have now sent a message to their official complaints email address, which I then plan to refer to the Financial Ombudsman, but would really appreciate some advice here.

Thank you so much.

[Never_again]

Update on this... having raised an official complaint (which was not acknowledged until I then sent a Subject Access Request) they have responded saying “as a gesture of goodwill” they will accept a one-time payment of x amount +VAT to settle the matter, cancel the invoices and all claims.

This offers expires in 72 hours (less than 24 hours from now, the email went to my Spam so I've only just found it!)

I have no idea what to do. It's considerably less than the invoices (but still a substantial amount, well over Ł1k) but if it gets rid of them I'm tempted to pay.

Should a goodwill payment include VAT, for a start?!

By offering this, are they admitting any liability? Should I keep fighting? I still don't know for sure if the default charges claims should ever have been live (I've requested copies of my LOAs 8 times now to no avail, and the SAR will take 30 days)... if I wait until the proper channels are complete, this offer will be off the table.

Any advice would be gratefully received, thank you.

[EXC]

Hiya

I'm sorry but I completely your posts but I'm sure we can help you.

Whatever you don't pay them.

Can you give post a summary of your dealings with them and also either post up or send me (nick@legalbeaglesgroup.com) the email exchange about the cancellation confusion and also their gesture of goodwill offer?

I take it you haven't had the response to your SAR yet?

[Never_again]

Thank you very much for your response but I fear it's probably now too late... their “goodwill” gesture expired this morning and I'm afraid I couldn't cope with the stress of this any longer so I agreed to pay it. I phoned the Financial Ombudsman yesterday morning but they couldn't really help without all the evidence. I was so worried that eventually this may not go my way, that it's better to pay up a smaller amount now so that they go away and leave me alone.

They haven't officially responded to the SAR - they would have until early January to do that, and the 8-week official complaint response would be some time in February.

I was actually only just popping back on to the forum to ask another question... having replied to their “goodwill” email requesting that they send an actual letter to my home address confirming it will be the end, they have not said they've done that. Their invoice payment terms are 14 days and with Xmas post, even if they do send a letter, it may be beyond that date. I've asked for the claims on the online portal to be updated to reflect the fact a new invoice is outstanding, rather than the others, but they haven't done that either. I'm getting their usual unhelpful email replies.. pay up or else, basically.

Would their email stating “yes, it's full and final settlement” be considered legally binding? I don't want them coming after me again... obviously I don't want to pay them anything at all as I don't think I've done anything wrong, but I certainly don't want them coming back after they've had Ł1000 from me. I'm not sure if my agreement to their offer is binding, because they're saying if I don't pay the smaller amount, then the original invoices (which they've now added late fees onto) will just reappear anyway.

I know it was my fault for getting involved with them in the first place, but I can't believe a business is allowed to operate in this way. It's just got completely out of hand when I thought a simple “there's been a misunderstanding” email would have cleared things up a month ago.

I will however send you via email the conversations to date... at least then you may be able to say that I don't have a leg to stand on and paying the “goodwill” is my best course. Thank you for your help.

[EXC]

I'll just have a quick look at what you've sent and post my initial thoughts up in a few minutes...

[Never_again]

Yes, my apologies, I did send you a lot of information! Thank you very much for taking the time to read it and reply, it is much appreciated.

[EXC]

Hiya

I've emailed you.

In the meantime PLEASE don't pay them, I think this is easy to sort out with a carefully drafted letter which I can help you draft.

In the meantime and to give you some confidence, listen to this - it's the second item on the show which starts about 7 minutes in https://www.bbc.co.uk/sounds/play/m0009z2m

[EXC]

Draft response attached.

Obviously I've emailed FCA and copied you in.

[Never_again]

Wow. I honestly don't know what to say. You have just been so incredibly helpful, thank you so much.

They've responded this morning with an official "this will be in full and final settlement" letter attached to an email but within it state:

" You have also stated that this will resolve your complaint with the Ombudsman and therefore we will take no further action in dealing with your complaint(s)."

At no point did I ever say any such thing.......

Would you still advise your letter above to be my response, or should that comment above be addressed, too?

Thank you so much again for all your assistance.

[EXC]

Wow. I honestly don't know what to say. You have just been so incredibly helpful, thank you so much.

You're welcome.

Would you still advise your letter above to be my response, or should that comment above be addressed, too?

I've just seen you've sent it to me - let me read it and I'll post back.

[Never_again]

Thank you very much indeed (I'm running out of ways to say that! :-) )

[EXC]

Ok, the letter itself is just the PDF you requested confirming the terms of the Ł740 settlement so it doesn't bring anything new to the table that you need to reference in the draft.

I'm not quite sure what the reference to the Ombudsman is but as you're withdrawing your acceptance of their offer in our draft and have stated you want them to continue considering your complaint I can't see it's relevant. If and when you want to take your complaint to the Ombudsman you are at liberty to do so, you don't need Bank Smart's permission!

So if you're happy with it I'd send the draft as is. You'll have seen the response from FCA, I think you're in a fairly strong position now.

[EXC]

….on the other docs you sent this morning, the Letter of Authority does specify it's for default charges (in all the ones I've seen sometimes they do and sometimes not) but as you rightly say in the claim status entries you sent me yesterday (that were within your complaint) it references the ''potential default charges claim'', clearly implying the original LOAs were for PPI.

Thanks for sending the contract - it's clarified the position and works to your advantage. Term 12 clearly states that you must sign the letter of authority before you can breach it. As you haven't signed any of the default charges LOAs you are self-evidently incapable of breaching them.

On your rather touching reference to Beagles being free and asking if we charge, the answer is no, we don't charge. Sure we like helping people out but the best bit is we get to shoot the bad guys.

[Never_again]

Thank you - I just didn't like their comment that "I'd said" I would drop my complaint with the Ombudsman as a result (I'd stated previously that I would involve the Ombudsman if I wasn't satisfied with their response to my complaint).

Firstly, I didn't say I would do that, and as you point out, that's not down to them.

Regarding the other docs I sent... as mentioned, I'm only 99.9% sure I didn't sign a Default Charges LOA. It doesn't look as though I did, and why would they keep sending them to me if I had? I even have blank ones now, that they sent to me when they put my invoices on hold. I attach one, and it definitely says Default Charges on it. I notice another point in their T&Cs which said "One LOA per claim", so yes, something was signed, but new LOA = new claim?

Also, they've not sent proof I signed them despite asking repeatedly... and as my dear old mother just pointed out to me, if they were so sure they were in the right and the Default Charges LOAs had been signed, why would they send their "goodwill" offer?

Your help has been much appreciated and for free.. amazing. Thank you so much.

[EXC]

Also I've just seen the claim status entry for the Lloyds default charge claim that the

default chargesLOA referred to and it was rejected by the Ombudsman for being out of time, so I can't see that they've got a leg to stand on.