Self-administered DMP - what are CC companies legally entitled to see?

robthesnapper

We've started getting some letters back from our CC creditors. Some are accepting, some have yet to respond and a couple - namely Santander and Capitol One are asking to see bank statements, proof of income and last year's tax return (we're both self-employed).

My own view on this is that they have no rights whatesoever to see the daily coming and goings of money from my business and my personal bank account. I can understand wanting to see proof of income but being self-employed that's not exactly an easy thing to provide, although we can show we we know to be coming in for the next 12 months.

I remember seeing one of the NDH template letter basically saying "even if you took us to court, the court wouldn't ask to see this". So how best to respond to these letters? I don't want to give them more than I need to but equally I just want them to accept what we can pay. I absolutely *do not* want them going through my personal and business accounts with a fine tooth-comb.

Jinx

Debt companies dont have any right to see your personal documents. But by the same token you dont have any right to reduce your payments etc without good reason. Only a court could order you to provide proof of income and they would then set the payments and/or any interest.

When I broke all my credit agreements I gave them a copy of my SOA and a list of my creditors and it showed what percentage of my total debt they owned. They all agreed quite quickly but one did argue about some of my items on the SOA - eg my daughters pocket money! lol I just told them it was my SOA and if they werent happy to let a court decide. I think giving some info helps as they can see clearly you can only afford x amount. Your call entirely. I also never filled out their SOA, I used the one on this site and added my own bits too.

robthesnapper

That's actually what we've already done Jinx. They all got a detailed A4 page showing total income for the year, all the outgoings and the % of the debts compared to each other.

I'm quite happy to break down the income and show them all the bookings for jobs we have coming up but the fact that their asking for statements and tax returns suggests to me that they have ulterior motives. But then, it is Santander we're talking about.

So far, we've had agreements from:

M&S
Tesco
Mint
Halifax (albeit at 6.9%, not 0%, need to work on that)

Those asking for statements, POI and godknows whatelse:

Santander
Capital One

Those yet to respond:

MBNA
Opus
Natwest
Debenhams

Those being utter pains in the backside by ringing me up all the time with silly machines or people who can't speak english but have yet to actually reply to my letter:

Barclaycard

Jinx

In that case - stop taking their calls. Deal with them all in writing. I found life MUCH easier when I changed my number. I appreciate if you have a business that may not be possible. So if you prefer not to change number do a search on here re not communicating by phone, only in writing and send the template letter to them all. Or dont go through the security questions.

If some are not responding or not accepting your offers, ignore them. Start making the payments you proposed by recurring online payment - that way if it ever ends in court you can prove you made the effort and kept to your side of the deal. I always replied to the companies but never provided any further info, my letters went along the lines of I cant pay the full amount so please accept this and im commited to paying off my debt etc...... I also asked as Im sure you have for interest to be frozen.

Most of the companies will pass you to a debt collection agency soon enough and default you. Barclaycard will eventually get to you, then their in-house solicitors will write to you, then a debt collection agency will write to you, then Barclaycard will again write to you....get the picture? lol Get a big file for all those letters

robthesnapper

Yeah, a bumper 3-pack of box files from Staples is coming I think

I actually just don't answer the phone any more. I just 1471 and call back anyone who I need to speak to. The phone is there for my convenience, not theirs.

DEVONLIFE_2

Hi
I had the same with Capital One. In the end I sent Bank and Wage slip. Everything blanked out I didnt want them to see such as balane/Account details etc etc and I do that every 6 months and they are happy. The statements I send show them absolutely nothing of any interest. I guess they are just putting a tick in a box. They have with held interest so saving me thousands! Best of lUck DL

Jinx

robthesnapper wrote: »

Yeah, a bumper 3-pack of box files from Staples is coming I think

I actually just don't answer the phone any more. I just 1471 and call back anyone who I need to speak to. The phone is there for my convenience, not theirs.

A great attitude to have Sounds like you're in great shape as a debt-free wannabe :j

Billy_two_speakers

robthesnapper wrote: »

We've started getting some letters back from our CC creditors. Some are accepting, some have yet to respond and a couple - namely Santander and Capitol One are asking to see bank statements, proof of income and last year's tax return (we're both self-employed).

My own view on this is that they have no rights whatesoever to see the daily coming and goings of money from my business and my personal bank account. I can understand wanting to see proof of income but being self-employed that's not exactly an easy thing to provide, although we can show we we know to be coming in for the next 12 months.

I remember seeing one of the NDH template letter basically saying "even if you took us to court, the court wouldn't ask to see this". So how best to respond to these letters? I don't want to give them more than I need to but equally I just want them to accept what we can pay. I absolutely *do not* want them going through my personal and business accounts with a fine tooth-comb.

What did they ask to see when they gave you the loan ? if they asked for all that detail then let them have it again... if they where happy for you to call and get credit by saying you had X pounds income well why should they not trust you now, if you are now calling and say you have less ? there should be no reason not to trust you anymore.. as another poster said they could just be box ticking if they are writing off profit which they will want to claim against there tax bill they will have to do a bit of paperwork ...

Jinx

OP - just a final thought for the evening; you've obviously done some research so I trust you have changed banks so that you do not owe money where you bank.... Nothing worse than hearing that a bank has applied the offset rule taking all your budgeted cash to pay your credit card!

robthesnapper

Billy - it was a credit card, not a loan and I tend to agree with your sentiments regarding trust.

Jinx - the business bank account was originally with Alliance and Leicester who are now swallowed up in the monster that is Santander. I don't put much in there now and take out whatever comes in very quickly!