Help needed please

Lila_3

I am from UK and have been living in Canada with my Canadian bf now for 5 years. During this time i have being paying UK loans/credit cards via wire each and every month, but for the last year have not been working and rely on my bf's income. I am awaiting my permanent residency and am not permitted to work or leave the country till completed. My Virgin credit card has a debt of gb 3700, even tho i have been paying minimum balance all this time & not spending on it (the interest rate is 34%!!!!!!), it appears to be rising all the time. Yes i have asked them (virgin) for a rate reduction but to no avail. Now they have decided not to renew my card because i am currently unemployed (not by choice & have not missed a payment btw). I am extremley concerned because i don't know how i can get this debt down as i cannot apply for another 0% card being unemployed...What can i do, what are my options....any help would be great...

RAS

Hi

At 34% unless you are paying a minimum of 3% per month the debt will go up.

A couple of things.

1. is ther any PPI on this account?
2. Have you ever had any fees charged for late payment?
3. Have you requested the Consumer Credit Agreement?

Lila_3

hi RAS, thanks so much for your reply. I was paying PPI (total monthly payment on card including PPI roughly gbp100) I cancelled it sometime last year so i could pay more off the card then without PPI it jumped back up to 100 a month again!!?? My payment goes out direct debit so usually never late. What is the Consumer Credit Agreement?

RAS

Lila wrote: »

I was paying PPI (total monthly payment on card including PPI roughly gbp100) I cancelled it sometime last year so i could pay more off the card ?

You can probably reclaim all the payments that you made on the PPI over the years as these are seen as inherently unfair if sold with a loan or credit card. Seen here.

http://www.moneysavingexpert.com/reclaim/ppi-loan-insurance

Lila wrote: »

What is the Consumer Credit Agreement?

This is the document that you signed when you first took out the card. it has to be available and meet certain legal requirement in order to be enforceable in the courts.

Lila_3

thanks again RAS, looking on the reclaiming PPI info, i think i should go for it, except i can't remember any details, it also seems like Virgin have not been fined for this already (am surprised!!), the template letters are great but i don't know which applies to me!! I don't even remember when i cancelled it. Can i write to them first for details?

RAS

if you do a subject Access Request they have 40 days to send you all the paperwork. Not sure they are required to send it to Canada though. Any contacts in the UK still?

Lila_3

Yes, i can have it sent to UK no problem. So you think i should do that first, or can i send a general letter stating i think i was mis-sold the ppi. Once again thank you for your help.

Lila_3

one more question, is this letter ok to send????

Dear Sir or Madam,

Re: Account number: [Your account number]

I am writing in relation to the above payment protection (PPI) policy which I believe was mis-sold to me.

I believe you have not treated me fairly for the following reasons;

The PPI was added without my knowledge.

I was not asked whether I already had any existing insurance or employer benefits that would cover my repayments.

You have been punished by the Financial Services Authority for failing to treat customers fairly and I do not believe that the PPI I bought was sold in my best interest.

When I cancelled my PPI insurance I was not offered a refund as is required under FSA guidelines for PPI providers.

Unless you can prove that the policy was fair and reasonable and that I was treated fairly when I was sold the insurance, I demand a full refund of all premiums, and subsequent interest on these payments, that I have paid in relation to this policy. I also expect 8% interest to be added to each payment I have made as this is the statutory amount a court would pay.


I look forward to your full and prompt response to this letter. If this matter is not settled within eight weeks of this letter I shall be contacting the Financial Ombudsman to investigate my complaint.

Yours faithfully,