Requesting CCA information on a defaulted current account/overdraft

monkeybuster · 14 August 2017 at 12:38PM

Hi,

After years of paying £1/month to my creditors, I am now following the advice on this forum and will be writing to my creditors to see who can produce enforceable CCA-compliant documents (terms/conditions; payments and charges; etc).

Having looked at one letter from a creditor, I think they've made a big mistake, which I'm hoping might mean it's non-enforceable.

It supposedly relates to a current account (they've stated that the agreement was signed in 1997). I DID have an account with the particular bank, but my overdraft was never more than £4000. However, this debt agency is claiming £16k! Now, I DID have a loan with the same bank, and I think that they may have mixed these up, but the sort code and account that the debt agency gives is definitely for my old current account and not the loan. Might this suggest that they don't have the proper paperwork?

I think I have read somewhere that the asking for CCA information is different for current accounts and overdrafts than for loans and credit cards.
Am I still able to make a CCA request? And I if dispute the amount on the grounds that I never had such an enormous overdraft, is the burden of proof with me or the debt agency?

Thanks.

sourcrates · 14 August 2017 at 12:59PM

Hi,

Banks do this all the time, if you have numerous different debts with the same organisation, and these accounts default, they tend to bundle the different accounts into one single amount, then sell that balance on.

Years down the line the DCA that buys it has no idea how this debt originated, and usually all the original account numbers have been lost or changed, and your left with a 16k debt and most likely no paperwork to prove who is liable for it.

Yes you can CCA the loan, the bank account is not covered by the same legislation.

The burden of proof is always on the DCA, they must prove liability.

monkeybuster · 14 August 2017 at 1:50PM

Thanks Sourcrates,

But isn't it the bank account debt that I need to challenge? That's the one they're saying is £16k when I know that it can't be more than £4k. Under which legislation, and with what kind of letter/application, can I get them to justify/prove the bank account debt is (or is not) £16k? Should I just write and say it's wrong?

Thanks.

sourcrates · 14 August 2017 at 2:43PM

In that case send the "provit letter", available from here :

http://forums.moneysavingexpert.com/showthread.php?t=2607247

adapt the letter to say you dispute the amount they are claiming.

The legislation you are relying on is contained within the FCA handbook CONC 714 available here :

https://www.handbook.fca.org.uk/handbook/CONC/7/14.html

monkeybuster · 15 August 2017 at 8:50AM

Thanks Sourcrates,

A counter-argument somebody has put to me about making this enquiry is "let sleeping dogs lie" - that if the debt agency are accepting my £1/month without harassing me, then maybe I should just leave it alone and keep my head down. But having recently had a CCJ just as my credit record was finally clear again, I'm feeling like these debts will always be hanging over me and want to try to make steps to reduce or get rid of at least some.

Do you think sending requests etc is likely to stir up more trouble? Or if they've mixed up a loan and an overdraft etc is there a chance that the debt they have is unenforceable and so I could walk away from it and in 6 years it would be statute barred and actually gone?

Thanks.

Requesting CCA information on a defaulted current account/overdraft

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