Currently in a Debt Arrangement Scheme should I still claim Charges?

LostBoy

Hello,
I have recently started a Debt Arrangement Scheme (DAS) with my creditors. - it is a Scottish mechanism which means for the next 10 years my creditors have aggreed to accept a certain amount every month from me and they can not take any further legal action against me. they have frozen all interest and charges going forward. -it is a legally binding debt management plan.

Given that this arrangment is in place should I still make the claim for bank account and credit card charges that have gone before?

Also, if I have entered into this DAS does that mean I am considered to be in financial hard ship and do I therefore not need to wait to claim my bank charges?

and is there a 'wait ' on the claims for credit card charges? or should I make that claim also?

hope someone can help
regards

courtneyarchie

Hi
We have been in debt managment for over 12 months now and have only recently started the process to reclaim bank charges from our previous bank who we now have an arragement with for 2 loans and an overdraft that we pay a reduced agreed amount.
I think that you should continue with the claim as at first our bank told us we had to wait until after the test case but then I used Martins template letters and now they have asked for copies of financial statments etc so that they can complete the assessment of our claim... our charges equate to over £4000 so I will be fighting on till the end....you shoul too

LostBoy

thanks.
I will use the template letter and just quote the arrangement reference number. - that should be enough to confirm hardship. - given that they have already accepted the DAS proposal.

If they have already accepted your paymant plan why have they asked you to complete another financial statement? - delay tactics I guess:eek:

since there is no test case for Credit cards i'm guessing they only have time specified in the template letters?

Littlegreelady

I'm wondering the same thing - I have loan with HSBC who have charged a fair bit over the years and credit card with Mint again with a few charges. I do want to claim them back but I read in the Martin's Guide that they might try and claim the full amount - which obviously I can't afford as am currently making payments to them through a DMP. Don't want to risk the set up I currently have, so I don't know whether to leave it for the time being or not.

LostBoy

Yep I dont want to jeopordise the current arrangement. Unfortunately, I cant answer your query.
Would be useful if someone else with more knowlwedge or experience could advise

regards

skintandhatingit

I was getting hammered regularly for being overdrawn on both accounts and credit card payments were of the bare minimum therefore I was never getting out of the bit. On the advice of a Debt Management company, I changed from Lloyds TSB to another bank in April this year. The DM co have negotiated payment plans with all the people I owe to including two accounts and a credit card with Lloyds TSB with whom I was a customer for over 20 years. Can I still claim for bank charges with Lloyds TSB? The DM co I'm with are sending out paperwork for me to sign to be in a Trust Deed so I'm not sure how this would affect things for me if I tried to reclaim my bank charges with Lloyds TSB.
Any help or advise would be much appreciated.

LostBoy

skintandhatingit wrote: »

I was getting hammered regularly for being overdrawn on both accounts and credit card payments were of the bare minimum therefore I was never getting out of the bit. On the advice of a Debt Management company, I changed from Lloyds TSB to another bank in April this year. The DM co have negotiated payment plans with all the people I owe to including two accounts and a credit card with Lloyds TSB with whom I was a customer for over 20 years. Can I still claim for bank charges with Lloyds TSB? The DM co I'm with are sending out paperwork for me to sign to be in a Trust Deed so I'm not sure how this would affect things for me if I tried to reclaim my bank charges with Lloyds TSB.
Any help or advise would be much appreciated.

You are in a similar position to me. My Debt Arrangement Scheme (DAS) just like your Trust Deed (TD) will be a legally binding agreement. which the creditors cannot get out of unless you default on your payments. - so on this basis I have sent the initial letters to HBOS for my 2 bank account charges. I have also been with HBOS for 20 years. - I heard a quote recently that all banks are the same. when the sun is shining they will give you anything and everything, even an umbrella. -however, as soon as it starts to rain, they will take the umbrella back!

on the basis that all my creditors have agreed to my hardship and agreed to my proposed payment plan via the DAS, I propose to go ahead and claim for the charges over the last few years. If I am succesful, then I am thinking they may send a cheque or even reduce the balance on what I owe them. worst case they will say no and atleast I am still on my DAS for the next 10 years. - with no new charges or interest accrued.

Does that mean I have just answered my own initial question? :T - would still be good to hear what the experts advise.

Im not sure how that would work with a TD though. my DAS means I am paying them back pretty much everything I owe over the 10 year period. - your TD would normally mean you are offering your creditors much less than you owe them normally over a 3 year period.

would your TD be protected?
I would ask the Debt management company where you stand with claiming . if your TD is protected you would probably have less chance of jeopordising your payment plan if you did then claim for charges. However, if your TD is unprotected then your creditors, in my understanding, can still pretty much do what ever they like.

hope this helps a little