Devious.mbna

dubs1967

Right i need some legal advice here.I will be breif.I had an early settlement arranged with MBNA in which i could pay 800 in aug or 900 in sept if i couldnt meet aug.The deadline was sept 25th.This was an email arrangement and i requested it be put in writing and outlined as a full and final etc..THIS WAS NEVER DONE.So i didnt pay in august.On the 2nd of sept i recieved two default notices for both accounts.I spoke with someone from mbna who had phoned my partner and he said my accounts had been SOLD!!When i questioned this i was told that i failed to make a payment in aug,so i sent a copy of my original email to compliance.They sent me a letter admitting that the email was deceptive but the defaults stood.On the 23rdsept i got a letter from compliance saying they would still honour the deal.There was no mention of the defaults being removed or what position my credit file would be in.I didnt settle on the 25th as i still wasnt satisfied with my position.I have now recieved a letter stating both acconts are sold to DCA and MBNA will have no further correspondence with me.I feel cheated and decieved.Any help please.Thanks DS.:mad:

BigDave81

In my opinion the default would stand as you defaulted on the payment by not paying it. If you had simply paid as per the agreement you received everything would have been resolved at the time.

You haven't paid a debt and you received a default, I think that is the long and short of it but maybe I am looking at this too simply?

dubs1967

Dont forget they gave me untill the 25th sept to settle with no mention of any payments HAVING to be paid in aug.It was an option.

jonesMUFCforever

Why would they let you miss a month?

dubs1967

What do you mean?Why wont they let you miss a month!!

olly300

BigDave81 wrote: »

In my opinion the default would stand as you defaulted on the payment by not paying it. If you had simply paid as per the agreement you received everything would have been resolved at the time.

You haven't paid a debt and you received a default, I think that is the long and short of it but maybe I am looking at this too simply?

Nope.

Personally knowing a judge, barristers and solicitors I've always been advised that if you make a verbal agreement as a lay person with a person/company:
1. you follow it up in writing
2. can prove the other party is likely to have got your letter/email/fax
then you should pay up as per what you agreed.

It's always best to leave 14 calendar day deadline for the other person/company to reply to you by to say they don't agree to your repayment schedule if possible. If you can't then less or no notice is fine.

You do not need to wait for the final agreement as a letter. Emails and faxes count a legal documents for contract purposes as long as they show names both parties can be recognised by.

It's far easier legally with a judge/regulator as a lay person, to argue that the stronger party ,who you owed the debt to, agreed to the repayment schedule then if you didn't pay at all.

Now OP all you can do is:
1. Pay the money as agreed
2. Write a letter with the title "formal complaint" to their complaints address and point out that you didn't receive a formal answer to your letter. State what you want to happen then tell them you are taking them to the financial ombudsman service if the issue isn't resolved.

One thing you should add to your add to your complaint letter is that due to the postal strike - Royal Mail are still responsible for delivering letters to individual householders addresses even if they use another service like TNT - they didn't leave enough time for you to receive their reply before they took their action.

Next time ask advice via the CAB or on here, what counts as a legal agreement before deciding what to demand from companies.

dubs1967

This is how i see the problem.How can they sell the debt before my final settlement date of 25th sept.Surely thats illegal.

never-in-doubt

dubs1967 wrote: »

This is how i see the problem.How can they sell the debt before my final settlement date of 25th sept.Surely thats illegal.

Its not illegal its more a breach of Consumer Credit Act (1974). To make it illegal you'd have to actually take civil action against the bank and win. BUT in saying that, they must also give you a minimum of 14 days (or thereabouts) in a default warning letter prior to issuing an actual default notice. Also, whilst the account was in dispute (i.e. negotiating a F&F settlement) they cannot act or sell the debt, nor can they add derogatory data against you.

This is also a breach of the first principle of the Data Protection Act (1998) if they defaulted you - they are treading dodgy ground and legal advice may not be a bad idea....

olly300

dubs1967 wrote: »

This is how i see the problem.How can they sell the debt before my final settlement date of 25th sept.Surely thats illegal.

It's not illegal.

It's a civil matter not a criminal one so relies on a judge or equivalent of a judge to rule on the matter. Companies or individuals who realise a ruling is very likely to go against them will settle.

What they did is not good practise however they are relying on you not knowing the nuances of the law (which you illustrated you don't by waiting for the letter before paying them what you agreed when you had proof that they had enough time to reject the agreement) , not knowing how to complain, not acting promptly (it's the 1st October 5 days after your payment deadline passed) and not knowing how to kick up a stink.

When you send your letter to them use recorded delivery as that way you have proof that they are highly likely to have received the letter, and when you posted it.

Legally you don't have to but having been involved in legal action it just means you have one less thing to worry about as it's very common for companies to deny receiving formal complaints to courts and regulators to delay action and show that you are unreasonable.

Also before writing the letter research that you are allowed to ask for these things. In addition I would suggest sending them a cheque for the amount you agreed to pay them and writing the cheque number in the letter.

Just don't spend the money as they can cash it 6 months later.

dubs1967

Ill post more details later.

dubs1967

Right then.Just spoken to FOS and got a case number.Watch this space.:T