What To Do If Lender Breaks Terms of Credit Agreement

Anon1987

Hello

I have loan with SafetNet Credit. As per the credit agreement it states;

"Take repayments when we can see that you have money in your account to repay us. This helps ensure that you repay the amount you owe as quickly as possible and therefore reduces the amount of interest you have to pay"

This is straight from the credit agreement. SafetyNet took £50 from last Friday. Then yesterday they tried to take another £36 when I didn't have the fund to cover this so I am now £9.19 into an unauthorised overdraft from my bank, which I am going to be charged for.

So SafetyNet have clearly broken the terms of the credit agreement set out by themselves.

Where do I stand with this?

Gambler101

Its your bank that authorised the payment, Safetynet cannot see what you have.

When you took out the loan did you agree payment dates but missed them?

[Deleted User]

Raise a complaint with them.

Anon1987

SafetyNet works by connecting to your bank account using internet login details - they can see and do have access to your account.

No payments have been missed and as per the credit agreement, they are supposed to take payments to keep interest down only when money is available in account - which they have now broken.

I know I can make a complaint and will be doing. What I mean is now they have broken the credit agreement, where does this stand? Can I ask them to close the account?!

sourcrates

Anon1987 wrote: »

What I mean is now they have broken the credit agreement, where does this stand? Can I ask them to close the account?!

Certainly you can, as long as you then repay all sums due under the agreement.

Such a breach of the agreement does not then render that agreement unenforceable.

They also state in there T's and C's that if for any reason they can't see your bank balance, a payment may be taken by "continuous payment authority" which is most likley what has happened here.

So they may not of broken the agreement with you after all.

DCFC79

Close it if you want but the money will still need paying back.

Have you informed them of the extra money being taken.

Why give anyone else your bank login details ?

I wouldn't trust anyone with my bank account login details, not even someone I trust.

StopIt

Anon1987 wrote: »

SafetyNet works by connecting to your bank account using internet login details - they can see and do have access to your account.

No payments have been missed and as per the credit agreement, they are supposed to take payments to keep interest down only when money is available in account - which they have now broken.

I know I can make a complaint and will be doing. What I mean is now they have broken the credit agreement, where does this stand? Can I ask them to close the account?!

By all means complain but you gave your bank login details to a lender? Are you nuts?


Stick with loans that take monthly payments via the normal channels (So, no PDL crooks either with their CPA fun), rather than a bank account cleaner like these guys.

Pixie5740

How did they take the payment? Direct Debit or Continuous Payment Authority? If it's the former then contact your bank and request the Direct Debit to be reversed under the Direct Debit Guarantee.

SafeNet Credit taking a payment does not write your loan off. If you still owe the money you still owe the money. This could all have been avoided if you just took some responsibility for your own money and learned how to budget property then you wouldn't need to use a company like SafeNet Credit to top up your current account in the first place.

Clive_Woody

This is a new one to me. You gave your bank log in details to a lender so they could check when there is cash in your bank and help themselves when they wish to.

Does you bank know you have shared your log in details?

Words fail me :eek:

StopIt

Clive_Woody wrote: »

This is a new one to me. You gave your bank log in details to a lender so they could check when there is cash in your bank and help themselves when they wish to.

Does you bank know you have shared your log in details?

Words fail me :eek:

And the complain isn't "Why was I stupid enough to give the keys of my account to a company" but "Why did they takes my money".


I feel some priorities are misplaced here.

Shakin_Steve

I must admit I've never heard of this arrangement before. If a lender suggested these conditions to me, I'd definitely have thought it was a scam.
I don't even trust my wife with our login details, never mind a dodgy lender.:D