Debenhams "sold" accounts to debt collectors - but zero balance

lucyloo77

I've just been advised by Debenhams that they have sold my Debenhams Gold Card account to a debt collection agency called Arrow Global.

However I have a zero balance on my account and owe them no money whatsoever. I occasionally use the card and when I do I pay it off in full when the statement comes. I have not made any late payments etc. I have checked and double-checked and the balance is definitely zero.

Debenhams (Santander) won't tell me why they've "sold" the account on, and Arrow Global aren't open until Tuesday. How can they do this and pass on my personal details when I've done nothing wrong whatsoever? I'm really upset and worried about this.

Just for a bit of background (in case it makes a difference) - I had debts in the past which I payed off at a slower rate with agreement with the various companies. However this was a long time ago and everything got paid off and I'm now debt free (apart from my mortgage). I only used the Debenhams card if I order online and only ever for the occasional £20-£30. As I say, this always gets paid off in full immediately.

Has anyone else had any experience of this? I'm worried that Arrow Global are going to try and hit me with some kind of fees for a non- existent balance - is this possible? Plus I now no longer have the convenience of the Debenhams card (although right now I think I'll never set foot in there again!).

Plus can this effect my credit record? I spent a very long time getting it back up together and I'll be GUTTED if it's ruined again through no fault of mine.

CKhalvashi

Make a formal complaint, quoting S.55 DPA.

If they haven't responded to your satisfaction after 8 weeks, go to the FOS, and you should get about £150-250, more if it could cost you your job/business.

I personally think they're wrong here.

CK

matttye

Arrow can try to hit you with whatever fees they like, but they're unlawful if there's no debt to collect.

It will be amusing to see if they sent you a letter asking for payment of £0 before they take action!

If you're sure the balance is zero this isn't worth worrying about, just laugh at the fools

CKhalvashi

matttye wrote: »

Arrow can try to hit you with whatever fees they like, but they're unlawful if there's no debt to collect.

It will be amusing to see if they sent you a letter asking for payment of £0 before they take action!

If you're sure the balance is zero this isn't worth worrying about, just laugh at the fools

Putting this on Twitter, and tagging Martin may cause a bit of a stir

lucyloo77

Thanks guys Will definitely make a formal complaint then, and also VERY tempted to put it on twitter too!

Buzby

Actually, before you do any of this, get your credit report. There may be a deeper problem you have not identified. As for passing your details to Arrow, you agreed to those terms - check the T&C. They an involve ANY third party of their choosing, you do not have to be in default first.

Get the report and identify the account, then see why.

matttye

Buzby wrote: »

Actually, before you do any of this, get your credit report. There may be a deeper problem you have not identified. As for passing your details to Arrow, you agreed to those terms - check the T&C. They an involve ANY third party of their choosing, you do not have to be in default first.

Get the report and identify the account, then see why.

I doubt the T&Cs say anything about selling on a zero balance.

lucyloo77

I checked my credit report and could see no issues there at all.

I phoned the number that Debenhams told me to this morning (which turned out to be for Debt Managers Limited, not Arrow Global) - they had no record of me at all. So I then phoned Arrow Global direct - they seem to think that they owe ME money. They kept trying to insist on giving me a refund of £180-odd, which I refused as I'm not owed anything and I think if I accept this then it will just lead to more trouble in the long run. This money they think they owe me seems to be the total of various payments I've made to Debenhams over the last year - I kept trying to explain to them that yes, I have made those payments, but that it was for stuff I bought! All my Debenhams statements reflect this properly and show 'payments received' etc. I don't understand this at all.

Now waiting for someone from their "disputes team" to call me back (as I'm disputing the blinking refund!!). This is SO ridiculous.

jamesml

I'd be tempted to ask for all written correspondence - seems a bit odd to me, at least if you have it on paper you have it to fall back on. Plus someone has to actually write it, print it, sign it and put it in an envelope - hopefully someone might realise that something daft is going on?!

stclair

Have you not asked the DCA what the balance is on this said account and disputed it?

IainHL

You said that you had debts in the past which you paid off under a debt management plan (at a slower rate in agreement with the companies). How long ago was this all completed? Was this Debenhams card part of the debt management plan? Did you deal only with the original creditors, or was some of your dealing with DCAs the accounts had been passed to? And if the latter, was Arrow Global the DCA your Debenhams account was passed to?