CO-OP Bank Letter Not Acting in accordance with Credit Act (compensation?)

That link is very helpful and it's interesting to see it says 'will be required', not 'may be required'.

There is a lot of nonsense in this thread. Anyone who believes that banks set their prices to achieve a set level of profit really needs to understand basic economics. The level prices need to be to be sustainable is set by the operating costs; the level prices need to be to be most profitable is set by the market. Refunding customers doesn't push up prices, it reduces profits. The amount of extra cash put aside suggests it's not going to reduce profits sufficiently to make the bank unsustainable, so won't make any difference to customers at all.

It's also not true to say that a mistake in an annual statement in one year cannot affect the lifetime of the loan. If they have failed to provide what they were contractually obliged to do, they are in breach of their contract. If a breach of contract on their behalf invalidates their claim to interest repayments, then they will have to refund all interest repayments. Without knowing what the mistake is it can't be claimed that will happen, but it seems absurd that speculating one thing is wrong but speculating something equally as unfounded is appropriate.

There is also no way that my credit record can be affected negatively by a loan ending earlier than agreed due to a banking error. It is also absurd that all the comments pushing negatively on this thread have omitted to correct such an obvious error. That's why I don't think the motives of many on this thread are about providing useful information and clarification.

A refund isn't something I deserve or have earned, since I did nothing to contribute towards it and wasn't affected in any tangible way. But, it's something I'm entitled to if they broke the law. We live in a world where people park their cars irresponsibly and then use technicalities referring to the wording of signs to avoid fines. There is a huge difference between proactively seeking injustice and inadvertently stumbling across good luck. If people want to whine about others benefiting from technicalities, do so on a discussion were people are actively attempting to misuse the system for their own profits. Such situations are very different to what this thread is about.

magpiecottage wrote: »

You are still confusing a criminal law, for which a fine may be due, with civil law, which compensates for losses.

A fine may be paid to the Treasury or the FCA - but not to you.

If you have not lost anything, or suffered no material distress or inconvenience, you should get nothing.

If the terms of loan state that it is being carried out in line with the CCA, and it isn't, then the agreement isn't valid.


Therefore any interest charged, was done so, against the rules of the CCA.


I enquired, with Co-op, about changing the date of my standing order, bringing it forward 5 days.


I was told this was not allowed, as it was a Fixed agreement(the interest rate and the repayment period are Fixed, but Co-op deem that everything is fixed and cannot be changed).


I asked if I simply changed my date, what would happen.


Their reply: It would be a technical breach of the agreement and we would demand repayment of the loan in full.


They wouldn't have lost anything, or suffered no material distress or inconvenience, be me repaying slightly early, but they would've claimed technical breach.


They cannot have it both ways.

I am in the same boat, except I have been making my payments as agreed, they have been fine with me and if I get nothing out of this mistake, I wont care as I haven't lost anything and they and I have honoured the deal we made.