MBNA and Restons

nigel_witham

Hello

First a short history. For 25 years I have been a successful self-employed designer. About 5 years ago I lost about £200,000 in a legal case that didn't go my way. I had taken bad advice. I picked myself up and in 2008 did some great work but the client couldn't pay for all of it (having lied about his wealth) and entered an IVA. As a result I lost another £150,000. The same thing happened again in 2009 albeit for a lesser amount. In paying for this I had run up my mortgage and credit card debts, which are now about £60,000. I serviced these debts for the five years during and after the legal case never missing a payment. Then a year ago and somewhat unsurprisingly I was diagnosed with severe depression and haven't worked much since. I survive only because I was wise enough to take out some health insurance about 15 years ago but I only have enough to pay the mortgage interest and get by on and make this up by selling my possessions on eBay.

When I knew I would not be able to meet my commitments I went to the CAB and they wrote to all the credit card lenders most of whom have been supportive and have frozen interest and recovery proceedings. I have sought help from a Human Givens therapist and both she and my Doctor have advised that I am suffering from something similar to PTSD in that I have lost the connection between working and receiving the just rewards and am shell shocked by all the legal action I have had to go through time after time. My GP has written letters explaining that I will only be able to get better and pay my debts if I am left in peace to recover first so that it is counter-productive for anyone to pressure me. This recovery may well take years.

One credit card was with MBNA (who bought out my Abbey credit card a while back before I was diagnosed and could not pay). I owed MBNA about £13k but a firm of solicitors called Restons has been relentlessly pursuing me for this debt and are now claiming about £16k. I refused to take their calls as they made me ill and referred them to the CAB but they took county court action even though they knew it would effect my health.

In the circumstances, I defended knowing that many of these debts are not administered correctly, that illegal and unfair charges are piled on them and stating that I was not well enough to consider my position. The court adjourned the hearing and I expect they will continue to do so all the time I am ill. It looks like I am going to be ill for a long time since Restons don't seem to understand that I am unwell and keep pressing regardless.

Today Restons spoke with the CAB and told them that since we are at stalemate I should let them have a charge on my house. Obviously, I am not going to volunteer this and I doubt the court will hear the matter whilst I am unwell anyway. I am not even sure they are entitled to a charge. After all I paid for an unsecured loan by making comensuratley high interest payments for years.

I just thought, that since this is the type of thing that has driven people to desperate extremes (I am lucky to be strong and won't do anything silly) you might like to think twice about dealing with MBNA. They don't have any sympathy no matter what.

If you've ever read Tom Wolfe's novel Bonfire of the Vanities you will remember how Sherman McCoy's was pauperised simply because he took the wrong turn off the freeway. I'll remember this if I ever consider borrowing again. You really can't tell what's around the corner.