MBNA nightmare

spindle19

The OP was well aware (prior to the renewal date) that the AA was re-activating the subscription. S/he did not object to that fact or tried to cancel the subscription.

I think, no-one but the OP is to blame.[/QUOTE]


I was aware of the renewal, but not which card they were charging to (nothing on the renewal docs). An easy mistake to make after 5 years. I never claimed to be entirely fault free, but MBNA and the AA didn't make much of an effort to avoid the situation in the first place. Anyway, thanks for your contribution, but I didn't intend this to be a debate, I was just telling the story to hopefully help others not fall into the same trap. Also, if MBNA *really* wanted to find me they could have done so, after all I spotted this transaction on my credit report and it was linked by my address history (and I've always been on the electoral roll)

spindle19

YorkshireBoy wrote: »

I got that wrong then...but you did say nearly 5 years to the debit in your OP!Not even the last 4 digits? ie "XXXX XXXX XXXX 1234" or "card ending 1234" as is normally the case...and certainly is with my RAC renewals.

No, not even the last four digits. Even the chap I spoke to at the AA was surprised by this.

YorkshireBoy

spindle19 wrote: »

...if MBNA *really* wanted to find me they could have done so, after all I spotted this transaction on my credit report and it was linked by my address history (and I've always been on the electoral roll)

There's probably a threshold balance amount below which it's not cost-effective to chase, bearing in mind the costs involved. Much easier to tell other lenders you don't pay your debts and hope you come running when you're declined credit due to the default.

You can bet that, had you not addressed it now, or soon, they'd have found you eventually so they could go to court to obtain a CCJ against you...and then you would be really angry!

spindle19

Just to be clear, the renewal charge was made in December 2009, after the 5 year suspension (£55.50) and after 6 months of non-payment (statements not received by me as they presumably went to a the old address) the charged just mounted up.

magpiecottage

In theory, you can complain to MBNA and, if you want, take it the Financial Ombudsman Service because it is covered under the Consumer Credit Act 2006.

You can also complain the the AA and, if you want, take it to the Financial Ombudsman Service too because breakdown cover is a contract of insurance.

My view is that you are unlikely to get any redress from MBNA. You might get somewhere with the AA but it is likely you will be considered at least partly responsible because you ought to have realised it should appear somewhere in your financial statements and raised your concerns with the AA when it did not.

spindle19

YorkshireBoy wrote: »

There's probably a threshold balance amount below which it's not cost-effective to chase, bearing in mind the costs involved. Much easier to tell other lenders you don't pay your debts and hope you come running when you're declined credit due to the default.

You can bet that, had you not addressed it now, or soon, they'd have found you eventually so they could go to court to obtain a CCJ against you...and then you would be really angry!

Yes, exactly, I feel quite 'lucky' to have spotted this relatively early!

knightfox

spindle19 wrote: »

The account was closed around the end of 2005, can't remember exactly. I moved twice since then so I never received the statements (sent to an address I haven't been at for 5 years). I only found out after I spotted the 'default' on my credit report (I check it a couple of times a year). The charge to the account was made in Dec 2009. The renewal docs have nothing on them to say which card. It was me who contacted MBNA because I thought the default was a mistake or fraud. I haven't had a card from MBNA or one linked to MBNA since that one closed.

Did you close the account or did you just stop using the account with a zero balance.

I am surprised that MBNA would have kept details for any closed account that long then decide to open it again.

Billy_two_speakers

The problem with using credit cards for any insurance policy is companies are scared not to renew when asked they cant always tell if its cars house or life and if they dont do the trans action and its life cover its going to end in extra tears

I dont think people should be allowed to do any insurance on a credit card

spindle19

knightfox wrote: »

Did you close the account or did you just stop using the account with a zero balance.

I am surprised that MBNA would have kept details for any closed account that long then decide to open it again.

I closed the account and this was confirmed to me by MBNA while I was on the phone to them last week.

jonesMUFCforever

You can close a credit card at any time but it will be reopened if there is a CPA on it as has happened here.