Capital One kept my charges dispite debt been sold on

Wits_end_3

Sorry forgot to then put, The letter I then got from Capital One stated, "I can confirm that we have refunded the full amount of refund to your account". "This was to help reduce your debt with "Capital One"

ASB1984

Wow this is confusing!

I must point out that everything i have said i based on the fact that i asked for a refund of credit card charges on a skycard credit card account after The account got sold to First credit ltd. I recieved a cheque from sky card (barclays) for the full amount plus interest. This was last year- so naturally i believe it is possible to get a refund direct to you- it prob comes down to how you argue with Capital one.

From what you have said i believe you are in the same situation as me. (debt sold to a dca)

However what i dont understand is where your refund has gone?

to me it can only go 2 places:

1- directly to the debt balance(which would be to the DCA)- so you owe £254 less on the balance shown on your credit report (which is not a bad deal tbh) and the next letter from the DCA should refelect this

2- directly to you.

What i dont get is:"I can confirm that we have refunded the full amount of refund to your account". "This was to help reduce your debt with "Capital One"- wasnt the capital one account closed?

There must be documented proof of where this refund has gone.

You need a concrete response from capital one of where the £254 has gone then you can go from there

Wits_end_3

Exactly!! By the sound of it, Capital One have kept it and taken it off my balance? Which, like I say, I do not have an account with them as they sold it on!! Think I should write them a firm letter asking for the cheque, pointing out that they sold the debt, and ask where the money has gone, see how it goes, yeah?? lol

ASB1984

I think we need a thread on debt purchase and refunds.

mjm3346

Capital One purchase back the exact amount of debt to match your refund so it clears that and the balance that is still with the secondary parasites is reduced but not by them getting your refund but because Cap One have purchased that amount back from them.


(Not saying they have done that but don't think there is anything to stop them)


Cap One sell £1000 of debt for £100.
You have £254 of refund so Cap One split it with the DCA by buying back £254 of the debt for £127.
They and the DCA have both gained £127 and the DCA can continue to chase the £746 which is still outstanding (1000-254)

tifo

Premier wrote: »

Yes they can do that; it is quite normal.

The refund would have to be sent to the DCA if the debt has been sold in full (you received notice in writing). The bank cannot keep the money. Or they could send it to you but I know Cap One don't do this. Many others do.

tifo

mjm3346 wrote: »

Capital One purchase back the exact amount of debt to match your refund

don't think there is anything to stop them

There are legal processes that first need to be carried out in order to legally own a debt. If Cap One sold it by assignment, it would need to be repurchased by assignment and notice given to the debtor.

If they can buy and sell as they please, why does the law on assignment only apply to the debtor but not the creditor?

Don't be put off by the DCA saying they 'sent' the debt back. Ask how they did this and was it done lawfully.

tifo

ASB1984 wrote: »

I would look into FOS guidlines regarding "set off"

The FOS is NO help at all in these cases. They'll say the bank can pay the DCA, even if you've settled the debt. Or the they might make the bizarre decision that the bank can keep the refund towards it's 'write off' when it sold the debt. I've had all three things from them.

nichno

Hi all, Does anyone know who i can contact to retrieve charges from Citibank as they sold their CC business to Opus Cards last year as as far as i can tell im unable to look at historical statements pre Opus days. Thanks

Premier_2

nichno wrote: »

Hi all, Does anyone know who i can contact to retrieve charges from Citibank as they sold their CC business to Opus Cards last year as as far as i can tell im unable to look at historical statements pre Opus days. Thanks

I don't know the exact details of the business arrangement entered into between Citibank & Opus cards.

Usually in these situations, the whole business is transferred including all historical records. What makes you think Opus cannot see the histrorical records?