slightly tricky....

butch_dingle_2

OK so I have been "debt free" for a few years now...or at least I thought I was....I have recently started receiving correspondance from 1st Credit regarding an old credit card I had with the Associates (now Citibank). I had long since forgotten about this, but do not dispute that their is some amount owing from the dim and distant past.

Anyway, the last I remember, from early 2003 was that a a balance of around £100 on the card. It then gone forgotten about.

1st Credit confirm that they now "own" the debt and a default was entered against me in 2004 for the amount they say they are due, which is a quite staggering £775.00. I spoke to them on the phone and basically they said they would accept a lower amount in full and final, but their minimum figure was £550.00, because they say I own my own home and they would have no problem getting a charging order against it.

I already offered to pay f&f of £150 and they basically laughed at me.

I did say to 1st credit that the likliehood was that the majority of the debt they had purchased was made up of unlawful penalty charges, to which they offered no comment and said that they hadnt added any charges to the amount outstanding.

so where do I go with it ? I can pay them £550 to get them off my back, but part of me wants to go down the route of having citibank examine this account for unfair charges.

Will 1st credit really hang off until Citibank have investigated this account ?

IF Citibank decide to refund the charges, what happens them ?

I am rather confused by all of this.

thanks

missylou_2

Hi have you posted over on the bank charges forum as well as there are quite a few people there reclaiming credit card charges?

Sorry can't help but I am sure a more knowledgeable MSE'r will be along shortly!

sammy115

I would send the debt collection agency a letter asking for a copy of the original credit agreement (CCA) a true and signed copy of the default and a notice of assignment to the debt collection agency. Unless they can produce this then neither they nor the original creditors can collect the debt - it will be enforceable. They must also remove any default that has been registered against your credit file.

Have you checked your credit file for this default. you can get a copy of your credit file at www.annualcreditreport.co.uk.

I will be back shortly with the template letter (credit to weller71 for the original)

rog2

butch_dingle wrote: »

Will 1st credit really hang off until Citibank have investigated this account ?

Have you actually disputed the charges with Citibank? A Debt Collection Agency should NOT knowingly pursue a debt that is currently 'in dispute' with the original creditor.

sammy115

sorry got sidetracked looking for the template letter, do a search on CCA and there are a couple (crown and weller)