Is this unlawful rescission

david.l_4

Well I had a credit card with capital one and stopped paying due to financial difficulties.
I received a number of letters from them asking for payment it goes something like this-

- firstly I was receiving the general letters (please pay your over due balance)

- Then I received letters saying if I do not pay my outstanding balance my account MAY go into default and that will effect my credit rating bla bla.
(In these letters it never stated when my account will default and that it will)

- Then just yesterday I received a letter saying “As of the 2nd of June your account has defaulted and been handed to a collections agency we capitol one are no longer dealing with this matter and to contact the collections agency.

I ask if this is unlawful rescission as I never received a default notice giving me the standard 14 days notice I thought they were required to do by law?
p.s do they have to give you the notice in writing and if this is unlawful rescission where should I go with this from here?

Thanks.

gonzo127

to be honest i am not sure on the actualy standing in law however from reading your post it comes accross that you are still either unwilling or unable to start paying the originaly contractual amount on your debts.

if this is the case the only thing that causing a fuss about will do is cost you time and effort to get a default put on your account at a later point as the most you will eb able to do is get the default removed at which point unless you start paying the contractual amount plus the interest and fee's for your late payments you havent made since you stopped paying they will just issue the your account will be defaulted in 14 days letter to cover this situation and then put your account into default after those 14 days.

which basically means it will be however much time it takes you to get the default removed plus the extra 14 days so 1-2 months longer untill that eventual default drops from your file.

so what i am trying to say is.

its only worth taking it further if you can and will start paying the amount your originally should

if you cant pay you will still have defaulted so you may as well accept this one and have it drop from your file in 6 years from the 2nd of june instead of 6 years from whenever they put the default on your file in future

simon_the_poet

HI
I think i have come acros this mistaken belief before, it orriginated on cag. The idea is that if a creditor gives a debtor a default notice and then terminates without waiting the prescribed period he has unlawfully rescinded the agreement, and that by some strange mechanism the debtor no longer owes the money.

Not quite sure how they arrive at this conclusion accept to say that whoever thought of it does not know the meaning of rescission in law.
Simon