1 month loan - attachment of earnings?

smegs1978

I stupidly took out a 1 month loan 2 months ago to tie me over until payday, however due to a change in my circumstances i was unable to repair the loan. I have now made the decision to go bankrupt.

Obviously the company is now hounding me for the money, they have threaten loads of things, however i have now received the below email.

"Dear sir/ madam

Below is section 13 from the agreed terms and conditions (these can be found at the bottom of the 1monthloan web site) as you keep ignoring my advances of help and ignoring my calls I will be going straight to your employer and applying for a 10% attachment of your earnings.

If you contact me before Monday via email or by phone then I will come to an amicable agreement with yourself and will save you the embarrassment of going to your employer to obtain the monies owed.

Many thanks

13. The information that you have provided in this Agreement will be used by 1 Month Loan to enable 1 Month Loan to lend you the Loan. We will not pass your information to any third party without your consent. However, in the event that You default in Your repayment of the Loan, or we believe that false information has been supplied, we shall revert to your employer and any other relevant parties in order to recover any sum including interest for the outstanding Loan or confirm that you are in fact employed by the Employer you claim to be employed by. If you wish to benefit from the Loan, you will be required to provide 1 Month Loan with consent to contact your employer and any other relevant third parties in order to secure repayment of the Loan. If you do not wish 1 Month Loan to contact your employer, then 1 Month Loan cannot advance a Loan.

I confirm that I provide Oasis Financial Services Limited with consent to contact my existing employer as is required in order to arrange for the repayment of the Loan at a rate of no more than 10% (ten percent) of my monthly or weekly wage and I hereby consent to 1 Month Loan making disclosure of the Loan to my Employer on my behalf.

Barry Sillence

Debt Manager
1monthloan
Oasis Financial Services Ltd
9 Clifton Court
Cambridge
CB1 7BN


Reception: 08707 650 410
Fax: 08707 65 65 90
Email: [EMAIL="shatch@mis-sold,"][/EMAIL]Bsillence@mis-sold.com
Websites: www.mis-sold.com

I thought to do an attachment of earnings it had to go to court first, can they just send my employer a letter and do it. Can i contest it if it goes to court.

I can't afford 10% of my wages to pay them.

Are they just trying to bully me in making a payment to them.

I am hoping to go bankrupt in the next couple of months but am just saving for the fee.

Help appreciated.
Regards.

gettingoutofdebt

I've just had a look at the website and these guys look like nothing more than loan sharks - Typical 2339%APR!!!

Check the terms and conditions of the loan agreement that you have to see if the section they have quoted is shown. Did you provide your employers details to them?

JCS1

have to go to court for an attachment of earnings:

http://www.hmcourts-service.gov.uk/infoabout/enforcement/ae/index.htm

But I would like other opinions on that clause they've quoted, it appears to be that they are trying to go round the court system and go straight to your employer. Opening bit mentions AofE, the clause doesnt so I'm slightly confused.

JCS1

gettingoutofdebt wrote: »

I've just had a look at the website and these guys look like nothing more than loan sharks - Typical 2339%APR!!!

Check the terms and conditions of the loan agreement that you have to see if the section they have quoted is shown. Did you provide your employers details to them?

And they try to defend their APR!
Common Misconceptions: The quoted APR is very high

By law, APR's are calculated based on paying a fixed amount of interest on an annual basis. If you borrowed £100 and paid £30 every month for a year, these charges would be very high. In reality, payday loans are only for a maximum of a month and so the APR is not the most appropriate measure in this case. However, by law, we have to publish the APR using the FSA rules which make them appear expensive.
Payday loans are usually cheaper than bank charges for unauthorised usage - which would be your last resort?

Also, checked Companies House, they changed name to Fortress Group (UK) Limited on 11th May but haven't yet updated their details on website.

smegs1978

Thanks both for your replies.

Yes when i took the loan out i had to give them my employer details.

I have replied to the email to try and stall them, as i obviously do not want them to contact my employer.

But am really worried they will do it before i get the chance to find some money to petition for bankrupcy.

Does anyone else know whether they can go direct to my employer?

philnicandamy

as said they "should" file for an attatchement of earnings through the courts.....but the way these scumbags work who knows what they'll try

JCS1

http://www.consumeractiongroup.co.uk/forum/payday-loans/177994-1-month-loan-unscrupulous.html

Someone else having problems with the same company. They make a very good point, no payroll department will process and AofE unless it is through the courts.

blind-as-a-bat_2

and no court will give one as it is an unfair relationship, they would never get the court on there side with that APR, and they know it, so be prepared for them to throw every lie they can at you:rolleyes:

blind-as-a-bat_2

JCS1 wrote: »

But I would like other opinions on that clause they've quoted, it appears to be that they are trying to go round the court system and go straight to your employer. Opening bit mentions AofE, the clause doesnt so I'm slightly confused.

It used to say OXO on busses, but you could not make gravy with a bus;):p:rotfl:

They can put what they like in an agreemant, but if it is unlawful its a waste of time

smegs1978

Thanks all for your replies.

We will see what response i get from them tomorrow.