MBNA presure to take out a secured loan

silvdo

Hi,

I am appling for an IVA via Payplan see privious thread. (Im not alowd to post the link as im only a newbe) but if you search via my username its my only other post.

They have been very good and have been supportive. Its now reached the point when A cresitor meeting has been booked for the 30th August, so rolling on nicely. However i am still getting calls from creditors asking for money, and claiming that they do not know about the IVA.

One of these companies is the MBNA who i am now 4 months behind with repayments. The call i just recieved from them was the first one that i would say was horrible. They put presure on me to make a payment today despite me telling them i had absoultely no money available today. After pesuing this for far too long they started asking if i was a home owner, and asking that i get a quote from their third party to take out a consolodation loan.

Despite me saying that i had considered consolodation loans and did not feel that it was approprieate he was very keen to get me to speak to them. Despite me telling them "I felt like i was being presured in to taking further loans" he persisted in trying to get me to agree to talk to this third party now. Eventually i relented and agreed that they could discuss it with me but not untill tommorrow. I feel that the behaviour of MBNA was wholy inapropriate.

I mainly just wanted to vent my frustration with them through this post but i do have 2 concerns.

1) Will they reject my IVA preposal and force me in to debt consolodation?
2) Can i do anything about the way they were presurising me in to this option?

also if there are any tips for dealing with creditors suring this phase theyd be much appriceated.

_______________________________________________

Appologies for spelling mistakes, I am dyslexic and find it very difficult to spell check everything. BUt i hope you get the gist of what im saying.

Sparklyfairy

Grrrr! MBNA make me so so angry! Firstly - never, ever take out a secured loan - once you default, they can take your home. Second - you need to report MBNA to the OFT - what they did is against their guidlines & MBNA know they shouldn't ask you to consolidate...

Do NOT speak to creditors or 3rd parties on the phone. Ever. Only communicate via letters - so you have all facts in black & white in paper for future reference.

I'm unsure what their guidlines may/may not be with agreeing to an IVA but they SHOULD NOT ever put pressure on you to consolidate your debt.

Hth, be strong - this is the tough part - it DOES get easier! x

RAS

Starting point.

Do not alk to any creditor - write to them.

And make a formal complaint about this phone call - now, ccing in the OFT.

Tixy

Hi

I don't know whether this is likely to make them reject the IVA - my guess would be that the chap you spoke to is just trying to get a commission on selling you a new loan and the IVA decision will be made independant of this.

They certainly cannot force you into debt consolidation and if the IVA doesn't work presumably your alternative would be a DMP (or even bankruptcy?) not consolidation.

His actions were certainly against the OFT debt collection guidance - https://forums.moneysavingexpert.com/discussion/2992820 (eg 2.6b) and you could make a complaint to the OFT - however I'm not sure whether that would be the thing to do whilst trying to get your IVA approved (?). But if they try the hard sell again I would consider adding in to what you said last time about them acting not in accordance with the OFT guidance - might make them stop applying the pressure to you?

I'd also mention to Payplan about this and your concerns over MBNA rejecting the proposal.

When the secured loan company phone tomorrow I would simply say you have changed your mind and no longer need a quote from them.

RAS

Tixy wrote: »

When the secured loan company phone tomorrow I would simply say you have changed your mind and no longer need a quote from them.

Just refuse to even answer the phone; if you do by accident then refuse to answer the security questions.

Do you realise that if You take out a secured loan, the debt cannot even be included in an IVA? So they are trying to avoid the IVA altogether and your other creditors wiill be disadvantaged.

Not sure that the Insolvency practitioner will think that it is even an acceptable thing for you to do (securing debt) after aPPLYINTG FOR AN iva. Could get you into trouble.

Butti

2 Options as I see it.

Option 1
Have you ever watched police interviews with hardened (and guilty criminals)? It goes something like this.

Police question:
Criminal: No comment
Next police question:
Criminal: No comment
Next police question:
Criminal: No comment.


This needs to be your approach with MBNA.

Maybe two phrases;


'I am going for an IVA. I have been advised not to talk on the phone'.


'I am going for an IVA. I have been advised not to talk on the phone'.


'I am going for an IVA. I have been advised not to talk on the phone'.

Followed by;
'I am putting the phone down'.

Then put the phone down.

Option B
Don't pick the phone up

silvdo

Thanks everyone for the advice, I did tell Payplan all about this issue and they basicaly said that i have to put up with the calls for now and that they are nothing to worry about. They also confirmed that they were wrong to suggest the answer to my problems was to take out more loans.

Good to hear from all of you much appreaciated. Especcially like Option A from the last post.

InDeepDebt

MBNA were right PITAs when we started on our DMP (self administered). They would phone as we had only made a five pound token payment - we'd go through an SOA - they said we needed to pay more - we said we couldn't - and on it went. Put the phone down and another would ring from MBNA.

Then, all of a sudden - they were one of the better creditors. Accepted £5 a month on a £9k debt but advised that we would get a default in so many months. The phone calls stopped. We did get a default and the debt is with a third party now who keep offering to do a "you pay one pound, so will we" to clear the balance.

Not sure what advice I can offer you. Who is the IVA through (just seen - Payplan) and have they written to your creditors yet? If so, when they do phone just ask if they have the letter from the IVA company and tell them to deal with that as that is the route you are looking to take - basically, Option A above.