NatWest Credit Card / Moorcroft - cancelled settlement

sabrewulf

Just over a month ago I agreed a settlement amount for my NatWest Credit Card with Moorcroft. It was for 65% (£4054 on a £6237 balance). I got them to send an offer letter, made the payment and got a payment receipt.

The other day I receive a call from them saying that they were not authorised to make the offer for that amount and that NatWest have rejected it. They were apparently only allowed to offer 80%.

They were pressuring me to take my money back and make new arrangements or pay an extra £900. I said I didn’t want to agree to anything until I have taken advice. They refunded the £4054 payment back into my account anyway.

Before the money was even back in my account, they started calling and emailing to get me to set up a new arrangement. Again I told them I am not doing anything until I have taken advice.

They insist that 80% is all they can do and that they cannot put any lower offers back to NatWest. I find this incredible - I have settled 5 other accounts and they were all far more generous than this - ranging from 50 - 70%. I also find it incredibly galling that I should have to pay such a large amount extra after already believing the account was settled.

The debt is over 7 years old and has fallen off my credit report. I have been making regular payments over the 7 years through a Debt Management company.

I’m assuming they can legally cancel the settlement by refunding the money despite me having letters from them saying the account has been settled?

Anyone have thoughts or advice on what to do next? I’m thinking of doing a CCA letter.

double_mummy

if you have a letter saying that the debt is settled write them a letter thanking them for their generous gift of X amount and that as you have conformation of the settled debt you do not expect to hear from them again

[Deleted User]

Tell them to shove it; you have proof they offered the original settlement amount and a receipt to show you paid it. Sounds like somebody senior in Natwest didn't like the original offer, but too late now for them. Additionally your position would be easily defended in court, so don't let them bully you.

sabrewulf

Called the CAB today and the person I spoke with was amazed at their behaviour. She said she had never heard anything like this. She felt that if they made a mistake then it should be their responsibility to put it right not mine. Got a meeting with them next week in order to pass on the information to their specialist team. Will wait to see what they suggest.

sourcrates

Well what a spectacular !!!! up on there part !!!!!


You are safe as houses here, you have a signed letter, plus a receipt for the accepted payment, if they were foolish enough to attempt to take you to court to re-coup this money, that would be a full defence to the action.


The fact they have refunded the money to you is unbelievable, but its win win for you, as it was not demanded, it would be considered a gift in law.


You should write to them, thanking them for the "gift", and you now consider the matter closed.


If you want to back up your case even further, then a CCA request may be an appropriate option for you.

DevCoder

Sourcrates : Citation for this "gift" in the eyes of law?

It would not be considered a gift, if the court took the stance that the original offer (a contract) of £4,054 for settlement of debt was enforceable then the two parties would be put back in the position with the unwinding of any actions or payments made post agreement due to either party contravening the contract of agreement.

So the £4,054 would be ordered to be payable to Natwest/Moorcroft and the other part of the contract (the settlement of debt on the OP' behalf) would also be ordered.