New here - please help :-(

RAS

ACEY wrote: »

I'm going through the statements again :-(

These are for the current a/c with HSBC.

27th Nov 2000 we were £950.73 overdrawn.
The statement then says:
27.11 Loan capital from (other a/c number) £12,170.00. (This is a credit)
27.11 Loan protection £2,000.65 (this is a debit)

so we then had £9,139.08

29th November 2000
Loan repayment to other a/c (not the same number as the loan a/c???????) £4,985.49 debit
29.11 Loan a/c £2,671.35 (does not state the a/c number) debit
29.11 Loan premium refund £467.93 credit

Then I can see we paid £260.62 2nd Jan 2001, and £260.93 on 31st Jan 2001 towards the loan.

Then, there are no credits at all except my last maternity paycheque on 23rd Jan 2001 which was £355.36. So we were going overdrawn once more with charges building up.

3rd May 2001 we were £1,414.98 overdrawn.
4.5.2001 Loan repayment (to the a/c) £11,875.10

This made us £13,290.08 overdrawn :-( :-(

8.5.2001 debt collection (credit) £11,875.10
8.5.2001 debt collection (credit) £1,414.98 left the a/c at 0.00 and it was then closed.

So what was happening was that every time you went OD they were adding this to the existing loan? Did you sign anything to authorise the increase in the loan?

Frith

Yes, we were called in to our local branch each time to sign for a larger loan. We weren't given a choice and had no other way to pay off the overdraft.
L

Frith

Can't get CAB appointment so I've written to them including the "CCA".

RAS

ACEY wrote: »

Yes, we were called in to our local branch each time to sign for a larger loan. We weren't given a choice and had no other way to pay off the overdraft.
L

Oh boy, really mets the OFT guidelines on not increasing indebtness does that.

ACEY - I am really busy at the moment and should not be doing this now. Things going off unexpectedly all over the place which need a half a day or a day to sort. If worst comes to worst will spend some time on Saturday.

RAS

Frith

Thanks, RAS.

If MCS write again (they gave me a fortnight, which I'm sure has passed!) I will be able to stall them now by saying CAB are working on it for me.

All chaos here.... the car has obviously crawled through too many floods (I'm in Worcestershire on Sea) so its having a new starter motor today :-( Son 1 has to see the hernia surgeon AND the ENT surgeon next week (!) and its Son 2's MMR jab and 4th birthday! And no car......

L.

RAS

ACEY

I was hoping that you were out of the way of the water. No such luck?

Maybe with MCS, send a very brief hand-written note telling them that you are seeking advice but with the current flooding, your car is out of action, you cant get child care to enable you to attend an appointment, even if you and the person you want to see can both get to the meeting, so you have had to write for advice, and will get back in touch when you get a response.

Have you sent the SAR? If so, they can t chase you until they respond.

RAS

Had another fiddle with this but need to check some things out separately.

ACEY wrote: »

Dear CEO of HSBC

Complaint re loan.

On - - - , at a time when OH was not working and I was on maternity leave, our OD was £- - -. We were invited to attend the branch and asked to take out a loan to cover this and ..., with credit protection insurance, with repayments totalling £- - - per month.

SADLY, THIS IS THE INFORMATION I JUST DON'T HAVE AS MY STATEMENTS DO NOT GO BACK THIS FAR.

In November 2000, this loan was increased to value and the credit loan protection was increased so that the debt was £10,170.06 at a cost of £260.93 per month including
Personal loan - £4930 plus extra loan of 1600 = £6530
plus MLA - £2650, MBA - £950, Charges - £27.50 and Int - £12.12

By May 2001 the loan, the loan repayment was £11,875 and the account was closed and refered to "Debt collection", at which point anopther £1,414.98 was added to the account, being the value of the new overdraft.

However when the account with Mercentile Credit Services X Metropolitan Collection Services was opened the value of the loan was £18,000.

In the period to December 2004, I paid MCS 100-150 pounds per month. In January 2005 I had to remove myself and the children to a women's refuge

In late Jan 2005 I returned to the house but ex hired a van and emptied the house. he had not piad any other bills in the interim which made it diificult to find money to pay the loan but I carried on paying £100 per month.

The stress of trying to manage multiple debts, single parenthood and a divorce contributed to a breakdown. In July 2006, I lost my job but carried on paying £100 per month until November 2006 when it became impossible to meet that figure. In November 2006 I asked for it to be reduced to £33.92 which I paid until Februaryy 2007

During this period MCS phoned DOZENS of times trying to make me increase the payments so at the end of Feburary 2007 they started taking TWO payments each month.

From February 2007 to April 2007, they deducted £33.92 on the 26th to "HSBC" and £21 on the 28th of each month to "MCS"

Unable to protect my account, this point I cancelled both standing orders and have not paid anything since.

The divorce settlement means that I am now liable for the debt but I had to take an additional mortgage to pay the solicitor's fees and consequently cannot afford £33 per month.

The remaining debt stands at £9,900 despite the fact that I have paid £8,000 since the loan was first taken out.

I am asking you to review this account and to reduce or remove the debt on the following grounds

1a. Under OFT guidelines, people who are in debt should not be offered loans which increase their indebtedness.

1b. Under OFT guidelines, companies should not haress debtors in the manner that was done after November 2006.

2. Credit loan protection was included to cover OH despite the fact that he rarely worked. I was employed but CLI was not offered to cover my employment. This increased the indebtness and affected the capacity of the payments that were matde to reduce the total owed.

3. During the last 6 years, charges totaling (value to be determined from SAR) were added to the account.

4. It is unclear from the information available what the charges for MBA refer and how the sum increased from £13,200 (including charges for debt collection and Credit loan insurance) became £18,000 when the loan was transfered to MCS.

RAS

ACEY

this point I cancelled both standing orders and have not paid anything since.

Did you set up another standing order for £21? Standing orders are controlled by the client not be the creditor. You could have cancelled one at any point if you wished (I think)

RAS

Follow up Angel's comments

angelavdavis wrote: »

Did you transfer ownership of the property completely to you when you divorced? I am amazed a lender would transfer the mortgage to you if you had no income. If this has not happened, your husband is still liable for 50% of the mortgage payments and has left you destitute.

Am I right in assuming that when you took out th second mortgage, you were still working?

If the property is in your name, contact Experian, and the other agencies (contact details here) to request that your ex is taken off any association with your file.

have you done this?

RAS

ACEY wrote: »

Was the agreement ref the house and debt legally agreed or was it informally agreed? If it’s informal, you need to reconsider this and refer HSBC to your ex to pursue him for the debt as it was joint?

It was agreed in court.

Yes, it was a formal financial settlement in court as part of the divorce. The ex has given each son £2.50 per week for the last 2 years and will probably never get a job.

ACEY

Sadly, I suspect that the reason that you got such a rough deal was because you were working and your ex was able to argue that your were better off than him.

This will also have affected your eligiblity for access Legal Aid.

Given you current situation, can you get a half hour legal AIDF appointnent for advice as to whether the courts would reconsdier the debt situation given your job loss? Once the flodding is over anyway?