Being chased for a loan that was cancelled.

Shambler

Hi all,

about 2 months ago I bought a music keyboard from an online retailer using a 'pay4later' 0% loan.

The keyboard arrived but was faulty, I returned it and the retailer cancelled the finance and returned my deposit.

I then cancelled the direct debit that had been set up.

Immediately I received an email from the 3rd party loan company that pay4later had used.

I telephoned and told them that the loan had been cancelled.

Roll on 1 month and I get an arrears notice from the 3rd party loan company, I telephoned and explained it was cancelled.
I also emailed the retailer who contacted pay4later and confirmed the loan was cancelled.

Roll on to today, another letter from the 3rd party loan company issuing an arrears notice under section 86B of the consumer credit act 1974.

Advice please! I'm going to call them again this morning.

[edit] called them on the number given but the department that I need to talk to isn't available...they are going to call be back today or tomorrow...I hope.

gb12345

Shambler wrote: »

Hi all,

about 2 months ago I bought a music keyboard from an online retailer using a 'pay4later' 0% loan.

The keyboard arrived but was faulty, I returned it and the retailer cancelled the finance and returned my deposit.

I then cancelled the direct debit that had been set up.

Immediately I received an email from the 3rd party loan company that pay4later had used.

I telephoned and told them that the loan had been cancelled.

Roll on 1 month and I get an arrears notice from the 3rd party loan company, I telephoned and explained it was cancelled.
I also emailed the retailer who contacted pay4later and confirmed the loan was cancelled.

Roll on to today, another letter from the 3rd party loan company issuing an arrears notice under section 86B of the consumer credit act 1974.

Advice please! I'm going to call them again this morning.

[edit] called them on the number given but the department that I need to talk to isn't available...they are going to call be back today or tomorrow...I hope.

Forget calling and emailing.

Write a letter (and get proof of postage) and title it COMPLAINT to the retailer, Pay4Later and the loan company, making it clear that the loan was cancelled and that the retailer should have refuned the money to the lender.

It sounds like either the retailer hasn't refunded the payment they received from the lender or the lender is incapable of tracking the refund.

happy_bunny_2

Yep, this needs to be done in writing.

Also, keep an eye on your credit file for late payment markers/default. Worth mentioning in the letter that you expect this to leave no adverse info on your credit report.