Credit Card Company Does As It Please's

rebel_2

Hi guys,

I set up a credit card account (a) in june 1996,
I wrote to the credit card company in december 1999 to close the account (a).
The credit card account was never closed (a), they left it dormant.
The last statement I received was during december 1999.
They changed the account (a) number in may 2004, but didn't inform me about it.
I had another account (b) with the same company.
I received a statement during November 2004 for account (a), the statement was not accompanied by any other documentation, i.e. terms and conditions, it was a continuation of the last statement that I had received in december 1999.
The credit limit on the card had been increased from £8,700 (1999) to £10,300 (2004).
I wrote a credit card cheque thinking that my credit limit for account (b) was £10,300. They've charged me interest and other charges.
They added the cheque amount to account (a) as the limit for (b) was only £2,500.
I've never received a credit card for account (a).

My question is have they broken the terms of consumer credit law by there actions?

Caped_Avenger

To answer your question, i doubt that they've broken the terms of the CCA.

As much as you haven't received (or don't remember receiving, possibly) documents outlining the changes, it doesn't mean they weren't sent out.

I'd call them and kick off, if i were you. Sounds like you have perfectly justifiable grounds for a complaint there.

Galstonian

Do you have any proof that you sent letters closing the account? If you do not send them registered/recorded then you should at least ask for a confirmation.

I would be surprised at them not querying such a large discrepncy between the amount on the check and the credit limit and simply adding it on to the other account seems to be taking a step too far in my view, it certainly leaves huge questions about detecting fraudulent transactions. Secondly, if the terms and conditions of the account are in any way different from the last time they informed you of them (and suggesting they may have sent mail that you did not receive over a period of so many years is silly) then they cannot enforce them, they are legally obliged to give you written notice at least 30 days before such changes. Whether the terms then default to the old ones I couldn't say.

Perhaps a letter explaining things and suggesting what you see as a reasonable solution: close down the first account, transfer the credit limit and balance to the second and proceed as if this had all gone through as a balance transfer under the original terms of the offer, i.e. at 0%.