What to do now?

loftty_2

Hi All,

I just recieved a letter from my bank after asking for my statements saying.

As my colleague has previously advised, default charges are fees payable if customers do not make the required minimum payment by the payment due date, if they exceed their credit limit, or if their payment is not made on time or is returned unpaid. The amount of these charges, and circumstances, in which they are applied, is set out clearly in HFC Bank's credit agreements. We believe that our charges to customers are fair and reasonable.

In April last year, the OFT published the findings from its enquiry into default charges payable in respect of credit card accounts. HFC Bank carefully considered the OFT's publication and does not accept the principle that findings apply to your type of account. However, the OFT's investigation has led to change in market preactices and as a gesture of goodwill and in recognition that you are a valued customer of the bank I would like to offer you a goodwill payment of £407.50. Also, please find attached the return of your cheque for £10.00.

The payment is being offered on the basis that you are agreeing that you will not make any further claims or take legal action in respect of this matter. This gesture of goodwill is without prejudice to our right to impose and recover default charges in future.

If you agree to the terms and conditions of our goodwill payment, I would be gratful if you would sgin and return the enclosed acceptance form, Upon receipt I will be happy to apply the credit to the account of your choice.

Q1 If I agree could I not claim from any other bank?
Q2 They sent me a list of all my charges which is £815. I put it though the interest calculator and the total was £1000. They have offered me £407 which I want more than that, What should I write back?

Thanks

Loftty

Twinkly

loftty wrote: »

Hi All,

I just recieved a letter from my bank after asking for my statements saying.

As my colleague has previously advised, default charges are fees payable if customers do not make the required minimum payment by the payment due date, if they exceed their credit limit, or if their payment is not made on time or is returned unpaid. The amount of these charges, and circumstances, in which they are applied, is set out clearly in HFC Bank's credit agreements. We believe that our charges to customers are fair and reasonable.

In April last year, the OFT published the findings from its enquiry into default charges payable in respect of credit card accounts. HFC Bank carefully considered the OFT's publication and does not accept the principle that findings apply to your type of account. However, the OFT's investigation has led to change in market preactices and as a gesture of goodwill and in recognition that you are a valued customer of the bank I would like to offer you a goodwill payment of £407.50. Also, please find attached the return of your cheque for £10.00.

The payment is being offered on the basis that you are agreeing that you will not make any further claims or take legal action in respect of this matter. This gesture of goodwill is without prejudice to our right to impose and recover default charges in future.

If you agree to the terms and conditions of our goodwill payment, I would be gratful if you would sgin and return the enclosed acceptance form, Upon receipt I will be happy to apply the credit to the account of your choice.

Q1 If I agree could I not claim from any other bank?
Q2 They sent me a list of all my charges which is £815. I put it though the interest calculator and the total was £1000. They have offered me £407 which I want more than that, What should I write back?

Thanks

Loftty

Q1 - It does not mean that if you agree not to reclaim future charges that you cannot do so with any other bank, it just means them.

Q2 - Write back accepting their £407 as partial settlement without prejudice but will not agree to forego the right to reclaim future charges. Advise that you will be continuing to reclaim the remainder of the amount, at court if neccessary. Do not accept anything in Full and Final settlement.

loftty_2

Hi Twinkly,

Thanks for your reply.

I will get on it straight away.

Loftty