MSE News: Northern Rock pays £270m to 150,000 after gaffe

lennonc1

I know I had initially thought it was all loans as well, they are all contained in the one statement. But I would still call and check you never know.

drussmonkey

I've now received my updated statements, which were both informative and amusing, looking at several years worth of payings acrue no interest

Also a very bizarre quirk of NRAM's system seems to be that if I make a one-off lump sum overpayment and specify it against one account, it initially goes on to ALL accounts proportionally, before being reversed and then re-applied to the target account.

cot1198

Keep an eye on that. NRAM apportioned the wrong amounts to the wrong accounts over five months last year that left the main mortgage account in arrears.

geeka

Thanks for the answer.
There were 3 sep loans all under 25k. they were taken out in 2004 and 2005.
My statement says regulated by the FSA. It's all v confusing.
I have written and complained to NRam and they are still looking into it. had 2 letters off them saying they need more time.
Think im non standard thats why they havent given me a straight answer.
Any ideas?

Evenfields wrote: »

Firstly, how much did you borrow? Was it under or over 25k?

Secondly, when did you take out the loan and what does your original agreement say? Does the agreement or any old statements pre 2012 say regulated by the Consumer Credit Act?

The rules changed for secured loans in 2012 and the FSA now regulate all secured loans old and new. It is very confusing I know.

However, if your agreement says its regulated by the CCA, then you would still be covered by it, if your loan is 25k or less and the FSA from 2012.

If it's over 25k and taken out before 6th April 2008, and your agreement states its regulated by the CCA, then take a look at the other thread for Northern Rock loan over £25,000 as that's a different ball game e.g. Missold, potentially unenforceable, argument to claim CCA rights etc

Also the mistakes NRAM announced in the statements were several. Do you have amount borrowed for eg on them? Are these recent or old statements pre disclosure of their mistake?

If you haven't heard from Nram yet, call them and ask them if they have earmarked it for redress or not.

1) If they answer YES, then great! Then if you don't want the redress taken off the balance but paid back to you, then file a complaint that you won't agree to change the terms i.e. length of the loan.

2) If they say NO, then ask reason why. If they say it's because the loan is over the 25k limit (and your agreement says it is CCA regulated), then file a complaint.

I very much doubt you are the only one to have correct statements and if you had a loan over 25k that it was actually written as a non-regulated agreement. I think imho you would be in a minority of one.

Let us all know how you get on. Good luck!

lennonc1

jimmy1000 wrote: »

lemons

AGAIN, NRAM HAVE USED THE BEST LAWYERS MONEY CAN BUY-and I believe with the help of the government they have FOS on their side=game over

im sorry I wanted cheque back instead of £2,589 balance reduction!!!!!!!:money:

How do you know fos will side with them? Is this your inside information if so a very serious allegation to make. Please elaborate?

You have now gave us 4 different figures of redress. They cant of got it that wrong surely??

Plastikman80

I got into arrears last summer but I have sorted it now. It wasn't due to me not paying but a direct debit not being set up correctly and they had my old address. These appear on my credit file. Is it possible for me to get this corrected if it wasn't enforceable?

drussmonkey

cot1198 wrote: »

Keep an eye on that. NRAM apportioned the wrong amounts to the wrong accounts over five months last year that left the main mortgage account in arrears.

Thanks for that warning but sadly I know this too well. NRAM recently ballsed up immensely on my fixed payment arrangement and failed to take the correct amount two months in a row. I put together a complaint and they sent a long final response which failed to address all of my issues, so I demanded a better investigation and got the much better reply this week.

Basically they had incorrectly apportioned and left two accounts in arrears, through no fault of my own, and also explained how they got it wrong in the first place.

They immediately creditted the arrears (about £40) at no cost to me, backdated the interest on my incorrectly taken payments, and offered me a sum of compensation for the !!!!-up, which I have accepted.

I started the complaint in November, and it took 4 months, but the eventual response was satisfactory and I'm overall a little bit up.

lennonc1

Plastikman80 wrote: »

I got into arrears last summer but I have sorted it now. It wasn't due to me not paying but a direct debit not being set up correctly and they had my old address. These appear on my credit file. Is it possible for me to get this corrected if it wasn't enforceable?

Yes certainly, if the loan is unenforcable they should not be taking the interest payments and they cannot act on arrears or default until they have complied! Call them and tell them you want this removed from credit file as it was not your fault. And now have adverse credit rating as a result! Go get em!!

goaten2000

lennonc1 wrote: »

Yes certainly, if the loan is unenforcable they should not be taking the interest payments and they cannot act on arrears or default until they have complied! Call them and tell them you want this removed from credit file as it was not your fault. And now have adverse credit rating as a result! Go get em!!

not strictly true. The arrears would have been on the mortgage part as well as the loan part. I'm not 100% how this appears on the credit file (whether it's two seperate records or one combined record) but assuming it's a combined record, the arrears would still apply to the mortgage part.

lennonc1

Yes I'd only say you can do this for the unsecured or affected part, I assumed that's what it was! But as it was as error, not by you then still check as I'm sure there will be a way round it!