Next Online Credit Account - Legal Advice Please

Spykee

I have no idea whether this is the correct forum to be posting in so first of all apoligies if its not but I am after some legal advice after an infuriating experience with the Next website this evening.

After adding an item to my basket I was then asked to proceed to follow a sign in procedure as I was new to shopping online with Next. This procedure at the time appeared to be like any other online shopping transaction where it asks for personal details in order to process your order and take payment.

However, when coming to the final screen of the procedure and selecting complete I was awaiting a page to load in order for me to add my debit card details and pay for the item but instead was presented with an account screen which stated that I had a £600 credit limit!

After phoning the Home department contact number and being put through to the 'accounts department' I was told that Next will have done a credit check on my personal financial circumstances and this will have been explained in their Terms and Conditions.

Now I regularly use the internet to buy things and have NEVER experienced this sort of situation over the years. What angers me so much is the fact that once you hit the complete button it does a credit check without warning you at all that this will/is about to take place. To me it is deceitful and misleading to the consumer and although it is in their terms and conditions (which I and hardly anyone else has probably not read) then every other website that I have used when applying for a 'credit' orientated account warns you that they will perform a credit check a number of times and also doesn't allow you to proceed until you have selected that you are happy for this to take place.

So the question is, where do I legally stand on this? I am aware that I can cancel the credit agreement due to distance purchasing legislation but the biggest thing that I am angry about is the fact they have done a credit check when I would not have wanted this at all. Are they allowed to do this? In my opinion it is not clearly stated on their website and does not warn you that by selecting complete you are agreeing to Next performing a credit worthyness check. What they do say, which is off the bottom of the page of your browser (in std resolution) is the following:

'A £3.75 charge for the Next Directory will be invoiced at a later date. I understand that a credit account will be opened for me, subject to status. For information on the Directory Account, including how we use your information, please view the Next Terms and Conditions'.

Ok so I didn't read everything and check the whole page properly but I'm sure that I'm not the only one to do this but to carry out a procedure as important as a credit check with so little warning shouldn't be allowed in my opinion.

I do not have a bad credit rating by any means as the last time I checked with Experian it was in the high 800's but I have been aiming to raise it as much as possible before my inevitable re-mortgage process, which I will be starting in about January/Feb time.

Where would you go from here and is there any way that I can sort out the fact I've had a credit check done? I'm guessing its a 'nothing you can do' situation which makes me even more angry as I like to be fully in control of all my finances at all times.

Any help or advice would be much appreciated.

Thanks,
Alex

TFD_2

Spykee wrote: »

What angers me so much is the fact that once you hit the complete button it does a credit check without warning you at all that this will/is about to take place.

Spykee wrote: »

What they do say, which is off the bottom of the page of your browser (in std resolution) is the following: 'A £3.75 charge for the Next Directory will be invoiced at a later date. I understand that a credit account will be opened for me, subject to status. For information on the Directory Account, including how we use your information, please view the Next Terms and Conditions'.

Spykee wrote: »

Ok so I didn't read everything and check the whole page properly

Ok so this is their fault how?

Spykee

I'm not saying they are to blame and have not said that at any point in my original post. I didnt read it properly which I have admitted to. Apart from being annoyed at myself for this, I am also annoyed about how poorly laid out their website is that it could make someone who is experienced with online purchasing think they are just registering their details when its actually doing a credit check. What about other users that are less computer literate?

Regardless of my !!!! up what I was asking is how I can sort this out? Can I do anything about my credit score being hit? Will they have even done a credit check this evening or would it be processed tomorrow by someone at Next when the account is activated? I intend to cancel the credit agreement that I have aparrently signed up to as I know I am able to do this in writing or complete a form that they should be able to send me but I am more bothered about my credit score than anything else.

no_cally_doe

@ TFD IF you don't have anything useful to say don't say anything at all people post here to get help not to be responded to with an unhelpful reply. Especially new posters (like myself)

I agree that from your post that they could have indeed made the whole process a lot more transparent. If it was me I would call their complaints department and state that there methods are misleading and you want them to cancel the account and remove the search.

I am sure more experienced posters will chip in who have a lot of knowledge when dealing with situations like this but I think their complaints dep might be a good place to start

veryunsure

I agree with your comment about unhelpful replies. I wish it wasn't done.

I have been through the NEXT process too and was surprised and annoyed that there appeared to be no alternative. ... imagine being given £600 to spend just like that! Far too easy to be tempted!

I hope you do complain to NEXT and if you do get a reply as to why their process is like this, please post the reason. Thanks.

never-in-doubt

Hiya,

Unfortunately you have no legal argument whatsoever (sorry to dampen your horizon). There are a number of factors for this but the one you need to focus on is the last screen prior to finalising your order - step 3 below.

Step 1 - Name and date of birth
Step 2 - Address details
Step 3 - The following screen



Now lets assume you missed the disclaimer at the bottom of the page that states the following -

'A £3.75 charge for the Next Directory will be invoiced at a later date. I understand that a credit account will be opened for me, subject to status. For information on the Directory Account, including how we use your information, please view the Next Terms and Conditions'.

You'd still clearly be able to see that an account would be applied for, simply by the screen print above showing step 3. It clearly says 'buy now pay later! Open a Next account today.....'

See where i'm coming from with this?

Basically, you can close the account if you're not happy and request removal of search - they may oblige. But to be fair, this one search will not affect any mortgage application you submit so i'd not worry too much and if you don't use the account then fine, ask them to close it.

Think you're making a mountain out of a molehill to be fair - sorry if this isn't what you want to hear but I hope the proof above will convince you that really, it was your own mistake and no real harm will have been done.

Jemma-T

Why don't people act like responsible adults and read what's clearly been put in front of them?

They then continue to act like a baby/idiot and then come here and expect everyone to agree that the shop/bank/agreement is evil?

This is a great forum and like any forum you'll get all sorts of views. If you don't like it phone Next's Indian call centre. I've not read anything in the replies that is bad.

TFD_2

never-in-doubt wrote: »

lol - small fry numbers! I ask again, care to show them?

No. I really can't be arsed.

I stand by my original comment though - the OP acknowledges they made a mistake, but were passing the buck to Next. This should have been a non-starter!

If they want to close the account, great. But the credit search will show, because Next DID carry out a credit search, which the OP consented to (albeit unintentionally).

It's hardly the end of the world, opening a Next account.

sarahevans

I experienced this, and appeared on BBC breakfast this morning after contacting Credit Action. Next have promised to stop misleading people but not until Feb 2010 - after the Christmas rush and a whole load more customers that get sucked in to unwittingly taking out unwanted credit agreements. To read more visit my blog on blogspot sarahevanslabour or catch BBC 1 Breakfast news from Sat Nov 7, 2009

ILW

sarahevans wrote: »

I experienced this, and appeared on BBC breakfast this morning after contacting Credit Action. Next have promised to stop misleading people but not until Feb 2010 - after the Christmas rush and a whole load more customers that get sucked in to unwittingly taking out unwanted credit agreements. To read more visit my blog on blogspot sarahevanslabour or catch BBC 1 Breakfast news from Sat Nov 7, 2009

So it appears that a good way to get yourself on th telly is to do something stupid and blame others. Whole new meaning to the "big brother" society.

zzzLazyDaisy

I have to say, I really don't think these comments are fair! The OP is complaining about a system which is not usual for internet purchases and which therefore was not expected.

Lots of people shop on-line with amazon, play.com, debenhams and the like. The normal procedure is to input your credit/debit card details and make the payment.

Next is the only company that I know of (yes there may be others, but I haven't come across any) that does not give you the option to pay for the goods on purchase, but automatically opens a credit account. I bought some curtains from next a couple of years ago and was completely taken by surprise when the purchase went through without getting as far as the credit/debit card screen!

I have never made another purchase with Next, because I am against credit and prefer to pay as I go.

Personally I think Next should make flag up the situation more clearly on its website.