seeking advice on hfo

leeanne32

HI

First ever post so if its on wrong place, sorry.

I took out a loan in 2004 with welocme finance, I deafaulted and it was passed to hfo services. Since June 2009 i have paid 30 pound a month with out default.

They had my back card detaisl and took payments from my account every month.

I lost my bank card last month so when they attempted to take the money this month is was declined. I have received a letter, charges of 24 pound added and to call then asap.

My net balance in 2009 was £2290

Now it is £1720

and £ 1134 accruing interest???? what is this, am i paying back more than i should?? never heard of this interest thing before/ they have never mentioned it??

Tried to call them but its an answering machine and there website is unavailable......

Little confused what to do any advice really appreciated.

I dont mind paying just dont want to pay more than i owe!


Thanks in advance......

fomirster

Hi only just seen your pm,

HFO are a nasty bunch.

I suggest if you haven't already send a CCA request to HFO, this should give you a copy of your origional agreement and a statement of account. It will cost you £1 and the letter can be found in the site library

interest can only be added after default provided that there is a specific term to do so in the original contract. If not it falls clearly within the OFT's debt collection guidelines regarding collection costs...

So, the answer is NO they can't just add interest. They can apply what they want, doesn't mean they can enforce it