Claiming in a DMP/IVA (merged)

Edinburghlass_2

I'll pop your thread into one about claiming with a DMP/IVA as there is some useful information for you there.

hammerette_2

Hi
I am in an IVA and two of my credit cards are listed in the IVA. Although they would not have been without their stupid charges. Can I still claim back these charges and if I do would the IVA company expect the money back and class it as a wind fall. all help on this greatly received.

Thanks
Hammerette (an unhappy hammer at the mo:( )

Stonethecrow

Hi all,

Good site you have here!

Well, I got myself into a lot of debt a few years ago, something which I knew I had to sort out. So I did, and got myself into a Debt Management Plan which has been ticking along like clockwork for over 2 years.

However, during one month, I took out what I thought I had left in shopping money (I am on a strict budget) without realising a charge was coming out I thought had already left the account (why do they do that?).

Anyway this sent me over my overdraft and I was duly charged for it. I thought, OK, I'll struggle like heck, but hopefully I can manage on less to compensate. However, I couldn't, and I have to spend a certain amount which believe me is a low budget for a family of four (just me earning).

So due to this, and not having the funds to pay back the charges, then obviously the month after the same thing happened, only each time they were slapping on another £25 to the point where by the third month, it was £75 charges for one thing and £30 for another.

I was so shocked and simply can't account for that. Anyway, I asked them if they would refund the charges (not officially or six years worth, just the few months). they said they would refund £130 worth, but when the date came, they didn't credit my account, they just didn't take the charges off my account. Misled, I thought I would get my money back, but haven't, now because of the shortfall (I simply can't live on less due to giving all my surplus to creditors - and I explained all this to them), I will be charged again this month as I haven't the dosh to make up the short fall.

I am tempted to go after my bank charges (which will be 2 years worth), but am worried if they close my account they take the overdraft and I have even less.

Have you nice folks any advice as this isn't going away and I can't see another way out of it despite my best efforts to negotiate with the bank.

Neenos

I am on a DMP and have claimed back £2,400 worth of bank charges with the Halifax. HOWEVER!! they have paid it into my overdrawn accounts that i am no longer allowed to use. My problem is this........they sent me a letter telling me they were going to pay the money into the relevant accounts and i had 14 days to let them know if that was acceptable. I phoned them to tell them that this was NOT ACCEPTABLE and we wanted the money by CHEQUE ONLY. We also went ahead and filed a claim with the small claims court stating that we weren't happy with the 'way' they were offering the money. So they went ahead and paid it into our accounts any way and are now saying they can't take the money back. They have not filed a defence or even acknowledged it yet. The courts are saying i don't have a case if they have paid up. I am saying that ISNT my point, thats NOT what i'm claiming. The issue in dispute is NOT that i want the money, it is HOW i want them to return it to me. So the fact that it has been paid is irrelevant. Am i going mad? I'm sure im in the right can any one help?

Twinkly

I think the court could only rule on your claim if it was stated in the particulars of claim how you wanted the money paid (dont know if you can do this havent claimed in court yet). Technically though the court deals with the claim as it is written. I am afraid this is probably one instance where it would have been essential to have written and told them it wasnt acceptable instead of phoning. I hope you can do something about this but I am not sure what sorry

What is interesting is that you were offered the choice of not paying into an overdrawn account. There have been a lot of posts asking if there is a choice and I am sure this will help people so I thank you for the information

Edinburghlass_2

MSE_Martin wrote:

The following is the view of the top lot at the CCCS

Martin

"The answer is not very clear I'm afraid because there are too many variables.

Not all lenders freeze interest, so there may be no impact. For those that do, it may affect their decision whether to continue the freeze, particularly if they have had to fork out a lot in charge refunds.

I'm not aware that any have very specific policies regarding how they will treat DMP clients who request refunds. I'm certainly not aware of any clients who have suffered as a result of reclaiming their charges.

If a bank overdraft is comprised almost entirely of charges that were then refunded, that would essentially wipe one of the debts out altogether and remove it from the plan.We would expect the client to use the money towards clearance of the debts, unfortunately, as we are not actively involved in the process (i.e. we don't do it for them) we don't know to what extent they are successful and how much they get - we're reliant on their honesty!)"

This is what CCCS said to Martin.

laura_d

Hiya,

This is possibly an interesting one for y’all….

My mother has got herself into a bit of financial difficulty of late due to a change in both personal and work circumstances. The tune of her current debt is circa £40k which she will be unable to pay it off in her lifetime. Up until now her income was just enough to pay her debts and very basic living expenses but a change now means she cannot meet her repayment commitments.

Said debt is made up of overdrafts, credit cards and personal loans, all of which were initially taken out in order to consolidate and keep afloat. As is a common feeling around these forums, such credit should never have been provided as her income has never been high enough to comfortably pay off such debts although she has always tried to honour same as best as possible.

I digress….

She recently contacted the National Debt Line who firstly told her not to panic. They were very very helpful and advised they would help her come to an agreement with each of her creditors which would allow her to pay off what she could without being chased or hounded and, I believe, all interest/charges would be frozen.

She is to open a new account so that any future money received is separate to the accounts affected by this action (this in itself is a difficult process as banks want sight of current statements which show her in an unarranged borrowing position…).

However, from her current accounts, we are estimating a small fortune in bank ‘charges’ that I’m now wondering if we can claim on. The main difference with this situation is that I presume she will be entering into a creditors agreement of some kind with the banks and I wonder if any charges refunded would end up getting automatically swallowed up as a result?

Does anyone have any experience or advice they can offer?

Many thanks
Laura

Edinburghlass_2

She can claim but its likely any monies would go towards the accounts in debt, have a read of the above posts.

waynebailey30

Does anyone know if you have an IVA which obvioulsy has a few different credit cards and banks in there?

Can one ask for those charges applied to be refunded even though they are now part of the IVA and you are paying back monthly payments?

enaid

Could someone please tell me if this is correct. My friend asked her I.V.A manager about reclaiming her bank charges, and he said if she did it would terminate her I.V.A. I have seen people on I.V.A claiming and I just wondered if the different I.V.A firms have different rules, or are the rules the same for everyone. Thanks to anyone who can answer this.