TESCO disgraceful behaviour

rutholiver

I am having a nightmare with my Tesco Credit Card. I chose to make fixed payments instead of full balance by Direct Debit from March 2011 onwards. In January 2012 customer services told me that I couldn't change the amount of the fixed payment even although I had previously done so. I therefore stopped paying by Direct Debit and since then their system has been expecting the fixed payment amount and if I pay less I am in arrears. This is in spite of the fact that what I am paying is well in excess of the amount that would be the normally calculated minimum payment. I have been trying to resolve via Customer Services since January but they don't phone back and haven't dealt with it so I raised a complaint on Feb 26th. In the meantime their collections department continue to harass me with letters, default notices, default charges (some of which have been refunded so they admit their system is wrong). They have progressively reduced the credit limit, have posted two late payment notes on my credit history and are now threatening court action. I have called several times since raising the complaint and am always told I will get a call back which doesn't happen. Today I am told there is no-one in the office who can talk to me and someone will phone me on Monday. When you phone they can only look at a computer screen which insists I am in arrears. I am also told that they look at complaints 'in rotation', which means that actually no one has looked at it yet. They say they have eight weeks to deal with a complaint. By that time I will have been taken to court. What can i DO?

chattychappy

When you say you stopped paying by Direct Debit, do you mean you cancelled with them or you cancelled with your bank? If the latter, then indeed they would still try to take the DD and a failed DD could result in extra charges. This in turn could result in higher minimums as the minimum is often a percentage plus interest/charges applied.

You also talk about the "calculated minimum". But did your actual payments arrive between the statement date and the due-by date and were they at least the amount of the minimum as printed on the statement?

Emmzi

that sounds like they suspended your account and had you on a repayment plan ie no new spends on it, is that right?

rutholiver

Direct Debit was cancelled with them. The problem seems to be that if you choose a fixed payment, that becomes the minimum payment. I chose fixed payment myself from the range of payment options they give you. I did not realise that it would become the minimum payment. I was allowed to alter it twice, but then they said that I should not have been allowed to do that. It wasn't because I was in arrears. I have always paid on time. Problems started when DD was stopped and I made payment of say £350 when Min payment was £1500. Note this is on a balance of around £3500 which under normal circumstances would result in a minimum payment of around £40 -£50. Frustration is even getting someone to talk to you in complaints. Today and on previous days have been told there is no one available.

tomsco

Yeh, I've heard there complaints dept is pretty poor - only way to get onto them is call in the morning before all the calls start flooding through.

pqrdef

Emmzi wrote: »

that sounds like they suspended your account and had you on a repayment plan ie no new spends on it, is that right?

Must be, nobody's ever heard of a CC provider taking enforcement action without stopping the card.

Could be the OP stopped the card to avoid an interest rate hike.

However, the account is then in run-off mode and they want the balance cleared in a reasonable time. The normal token minimum payments no longer apply.

But the only way to get a minimum payment of £1500 without running up charges for years is if they reduce the credit limit.

Once the monthly statement has spoken and the minimum payment has been pronounced, there's pretty nothing else to do except pay it. They don't retract these things. A breach is still a breach even if they take pity and waive the fee.

Ben8282

rutholiver wrote: »

The problem seems to be that if you choose a fixed payment, that becomes the minimum payment.

I can't accept this at face value.

rutholiver

pqrdef- Account has not been suspended. Fixed payment was not imposed by card provider but chosen by me. It is an option on the Direct debit form. Nowhere in terms and conditions or on the DD form does it say that this then becomes the minimum payment.

don't know what you mean Ben8282 by your comment.

JethroUK

rutholiver wrote: »

....urt. What can i DO?

No Brainer

Change credit card - prolly even find interest free one

rutholiver

Now have apology and compensation- result

Curr946

my father moved a few years back and called to change his address with them, they asked for the 3 numbers on the back but they were worm out and he could not tell them. The said they would need to send a new card... ??? my father told them so long as it was to the new address, to which he was told no.. So he declined the new card and paid what he assumed was owed... this year he get a debit letter for £13 odds stating he would be taken to court... my father called and paid it.. (dafty) and now we are trying to get the default removed from his file but they wont move on it saying he did in fact default... shower of beeps. he is 65 and its not that big of deal to him now, but its the principle