CMC falsely claiming credit for packaged bank account compensation

[IronBadger]

My wife signed up with a CMC for a packaged bank account claim. She provided the CMC only with details of her bank account. The bank's claims team confirmed to her by telephone that this was not a packaged bank account. The bank's claim team then asked to speak to me regarding our joint account, which was packaged. I authorised them to look into the joint account and they offered compensation, which I accepted. The CMC is now invoicing for a fee.

The legal agreement was signed only by my wife, with the joint applicant details left blank. Additionally, the letter of authority would not have provided the details of the joint account, since my wife did not provide them. Does the CMC have a legal basis to invoice for the compensation received for the joint bank account?

[EXC]

Re: CMC falsely claiming credit for packaged bank account compensation

Does the CMC have a legal basis to invoice for the compensation received for the joint bank account?

From what you've said it doesn't sound like it but a couple of questions:

Who is the CMC (so we can check their T&Cs)?

Do you have the contract and the letter of authority that your wife signed and if so post them up (redacting any personal information)?

[IronBadger]

Re: CMC falsely claiming credit for packaged bank account compensation

The CMC is Ascend Finance.

I have attached a copy of the legal agreement.

I do not yet have a copy of the letter authority, despite several requests. I spoke to the bank's claim team today, and they are posting a copy of the letter of authority, as well as the final response letter. I will post these here when they arrive.

Thanks in advance.

[IronBadger]

Re: CMC falsely claiming credit for packaged bank account compensation

Letter of authority attached.

The redacted "Account Number" field contains the last three digits of my wife's single, non-packaged bank account number.
There is nothing pertaining to the joint bank account number. And of course there are no "joint applicant" details provided in any case.

Thanks again in advance.

[EXC]

Re: CMC falsely claiming credit for packaged bank account compensation

Ok thanks.

As there's no ''Name 2 (if joint account)'' I think it's pretty clear that any joint account doesn't apply to the letter of authority.

The only thing is in the T&C's it states:

2.1 We will request and gather documentation and information that we believe are relevant to your claim or claims for compensation. This applies to all packaged bank accounts held with the financial institutions specified in the Letter/s of Authority whether or not they are specifically referred to.

http://91.109.3.42/~ascendfinance/AS_TSANDCSV1.pdf

It's ambiguous as to what that means. However the MOJ and Legal Ombudsman do tend to take the general view that if a CMC does no work for a particular claim they shouldn't charge for it.

When you said in you first post that ''I authorised them [the bank] to look into the joint account'' did you & your wife actually submit a complaint?

[IronBadger]

Re: CMC falsely claiming credit for packaged bank account compensation

No, the bank's claim team contacted me directly and spoke to me, requesting authorisation.

[EXC]

Re: CMC falsely claiming credit for packaged bank account compensation

So in effect the bank invited you to complain.

I would make a formal complaint to Ascend Finance to the effect that you don't believe that you are liable for any fees on the basis that:

1) You and your wife did not provide your authority to pursue any complaint about your joint account.

2) They didn't provide any services in relation to the complaint in any event.

They'll have 8 weeks in which to give you their final response and if the complaint isn't upheld you can take it to the Legal Ombudsman.

[IronBadger]

Re: CMC falsely claiming credit for packaged bank account compensation

Thanky ou EXC, I'll let you know what happens when I receive the final response.

[Legal Ombudsman]

Re: CMC falsely claiming credit for packaged bank account compensation

So in effect the bank invited you to complain.

I would make a formal complaint to Ascend Finance to the effect that you don't believe that you are liable for any fees on the basis that:

1) You and your wife did not provide your authority to pursue any complaint about your joint account.

2) They didn't provide any services in relation to the complaint in any event.

They'll have 8 weeks in which to give you their final response and if the complaint isn't upheld you can take it to the Legal Ombudsman.

Thanky ou EXC, I'll let you know what happens when I receive the final response.

Hello IronBadger,

EXC is correct. If you are unhappy with the service provided then you should complain to the company and allow them 8 weeks to resolve the issue. If they fail to respond to you in that time, or you remain unhappy with their response, then you can bring your complaint to us. Alternatively, we can make the complaint on your behalf.

If you would like any more advice then please get in touch on 0300 555 0333 or email us on cmc@legalombudsman.org.uk. We also have a complaint template available for guidance http://www.legalombudsman.org.uk/wp-...t-Template.pdf

[IronBadger]

Re: CMC falsely claiming credit for packaged bank account compensation

We received acknowledgement on 21st April (by email) from the CMC that the complaint was being investigated. Then on the 22nd April (again by email) they made another demand for payment. Is this legal? Do we need to raise a second complaint?

[Wingco]

Re: CMC falsely claiming credit for packaged bank account compensation

My wife signed up with a CMC for a packaged bank account claim. She provided the CMC only with details of her bank account. The bank's claims team confirmed to her by telephone that this was not a packaged bank account. The bank's claim team then asked to speak to me regarding our joint account, which was packaged. I authorised them to look into the joint account and they offered compensation, which I accepted. The CMC is now invoicing for a fee.

The legal agreement was signed only by my wife, with the joint applicant details left blank. Additionally, the letter of authority would not have provided the details of the joint account, since my wife did not provide them. Does the CMC have a legal basis to invoice for the compensation received for the joint bank account?

Hi Iron Badger
Sorry to cut in on your thread, but can you advise the basis of the bank agreeing the refund? I have had packaged bank accounts and I'm about to start a claim for refunds, so any help would be greatly appreciated.
Wingco

[EXC]

Re: CMC falsely claiming credit for packaged bank account compensation

We received acknowledgement on 21st April (by email) from the CMC that the complaint was being investigated. Then on the 22nd April (again by email) they made another demand for payment. Is this legal? Do we need to raise a second complaint?

I wouldn't worry. You could respond to the demand by simply referring them to your complaint.

[Legal Ombudsman]

Re: CMC falsely claiming credit for packaged bank account compensation

We received acknowledgement on 21st April (by email) from the CMC that the complaint was being investigated. Then on the 22nd April (again by email) they made another demand for payment. Is this legal? Do we need to raise a second complaint?

The CMC are entitled to invoice for any fees they believe are due, and to chase you for payment. You can ask the CMC to put their invoice on hold pending the outcome of your complaint, but you should be aware that they are not obliged to do so.

If you would like to discuss your complaint in further detail, or if the CMC do not resolve your complaint within eight weeks, please give us a call on 0300 555 0333.

[IronBadger]

Re: CMC falsely claiming credit for packaged bank account compensation

Well the CMC's final response is that they are not upholding the complaint, so it looks like the next step is to take it to the Legal Ombudsman.
They also completely ignored the second point of the complaint, that they provided no service relating to any claim on our joint account.

[EXC]

Re: CMC falsely claiming credit for packaged bank account compensation

Ok, what did they say about the lack of a letter of authority from you & your wife's joint account?