New Credit Card Conditions

thenudeone

Thunderdolly wrote: »

Surely this condition would be null and void if it were ever to be challenged as I didn't sign for it as part of the original terms and conditions. Anybody have a clue about this?[/SIZE][/FONT]

A contract can be agreed or varied without signing anything; it doesn't even need to be in writing. In fact most contracts aren't signed for. The parties' actions demonstrate agreement with the terms of the contract.

When you pay for goods at the till of a shop and that payment is accepted, you have both agreed to a contract. If the shop has a prominent sign saying they'll exchange or refund returned goods within 28 days even if they're not faulty, then that is also part of the contract even though nothing is signed.

Although consumer credit contracts are much more tightly regulated, you can still be bound by a change in terms if you continue to use the product. If banks were forced to obtain signatures for each change, it would push the administrative cost up. Guess who would pay for that? And some would bound to get lost in the post leading to cancelled cards, furious customers, and complaints.

If you don't like the change - inform them and return the card.

pooch

Gromitt wrote: »

If you don't like it, you don't have to accept it. Ring them and tell them you don't agree with the new terms and they'll let you stay on your existing terms and conditions. You will not be allowed to use the card further however, and you must make any payments required until your balance is zero. You are then free to open a card with another lender who does not have such a condition.

So yes, you have a choice.

Whilst I agree the OP can elect to refuse to accept the change of terms & conditions as you explain, I think they may find difficulty in finding an alternative provider that does not have such a condition

opinions4u

Thunderdolly wrote: »

Can the banks (in my case Lloyds TSB) just create new conditions for your credit card, to add to the exsisting terms and conditions already in place?

Yes. The existing conditions that you've agreed to will give them the right to vary, subject to appropriate notice and legislation.

I recieved a letter this morning about one, and it doesn't say anything about me having to agree to this, but I feel this is wrong without my signed agreement.

The agreement you've already signed covers it off. You agreed they could vary it then.

Surely this condition would be null and void if it were ever to be challenged as I didn't sign for it as part of the original terms and conditions. Anybody have a clue about this?

You have the option of repaying your outstanding balance in full if you don't wish to be tied to the new terms and conditions.

The so called new condition is as follows:

New Condition - 15.8
If we owe you any money in connection with any transfers,interest or charges on your account we may use that money to reduce any arrears you owe under this agreement. If we intend to do this we will tell you when we offer to make a payment to you. We will also follow any relevant guidance in a Code of Practice that applies to us, as required by our regulator or another similar body.

All that this is saying to me is that if your trying to claim back any PPI's and your in arrears with the bank due to this, that they'll just swallow up anything that they owe you.

I seriously don't see what's unreasonable about this. It only applies to arrears anyway. And remember, they have the legal right of set off in their favour too.

This is what I don't like about the change, people not having a choice in what happens with their money!

If you're in arrears, it's hardly your money, is it?

Gromitt wrote: »

If you don't like it, you don't have to accept it. Ring them and tell them you don't agree with the new terms and they'll let you stay on your existing terms and conditions. You will not be allowed to use the card further however, and you must make any payments required until your balance is zero. You are then free to open a card with another lender who does not have such a condition.

This only applies to rate changes. Not changes to the written T&CS.

Here's an example condition:

18.4 For any other changes, we can change this agreement, including charges, for any good reason. We will give you at least 30 days' notice in writing of any change to your disadvantage, other than a change to your interest rates. We will let you know before any change to these conditions that is not to your disadvantage takes effect.

Thunderdolly

Thanks for all the replies it's been....erm....not sure if I should go with enlightening or amusing?

And in answer to the following....

_Andy_ wrote: »

I think the most important question that's not been answered yet though is - why are you using Comic Sans?

Why not?;)

Cell

Thunderdolly wrote: »

All that this is saying to me is that if your trying to claim back any PPI's and your in arrears with the bank due to this, that they'll just swallow up anything that they owe you. They should NOT be allowed to do this. Whatever refund from a PPI you get awarded should be for you to decide where it goes, be it back into what you owe them or towards maybe an even more urgent debt like your mortgage, rent, tax payment (not that I like tax but it is a prisonable offence).

It is my understanding that you can choose whether to have the payment applied to your outstanding balance or alternatively by cheque, which you can pay into any account you want.

There is no stipulation that it has to go back onto the product that is the subject of the PPI claim is there?

di3004

My brother in law received a letter like this in the post this morning, as he has dylexia he asked if I could check this over for him.
It's not something I will actually know about really, but the fact the letter says about the rights to claw back money as from Jan 2013, (if they owe him any money) don't they already do that as standard if arrears etc?

He said he made a successful reclaim on ppi about a year or 2 ago, it was all clawed back on to the balance/arrears anyway.

andy123456789

Hi everyone like many i have received a letter from lloyds TSB,

Now from the past 2 years or so i have had a D.M.P and there had been a lot of charges before this and during, the letter sates.

From the 1st of January 2013 were changing your credit card agreement with us and adding a new condition to your existing terms and conditions.

Its important we tell you about this change as your credit card accounts is currently in default and theres still a balance owing- although you may have a repayment plan in place with us to reduce this we have included the new condition for you to read

If we owe you any money in connection with any transfers,interest or charges on your account we may use that money to reduce any arrears you owe under this agreement. If we intend to do this we will tell you when we offer to make a payment to you. We will also follow any relevant guidance in a Code of Practice that applies to us, as required by our regulator or another similar body.

theres no need to do anything else.


Does this mean my account will be ammended by then when they have worked out what they owe me am alittel confused???? thanks :T

_Andy_

andy123456789 wrote: »

Does this mean my account will be ammended by then when they have worked out what they owe me am alittel confused???? thanks :T
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Have you rung them and asked?

Gromitt

andy123456789 wrote: »

Does this mean my account will be ammended by then when they have worked out what they owe me am alittel confused???? thanks :T

It means that if you claim for example PPI and they decide they owe you 5K, then they'll use this money to pay off your debts and only actually give you what is left over, if anything.

andy123456789

no not rung them as yet was alittel unsure as to or not with them saying i dont have to do anything.