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What To Do If Lender Breaks Terms of Credit Agreement

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What To Do If Lender Breaks Terms of Credit Agreement

edited 30 November -1 at 12:00AM in Loans
17 replies 3.2K views
Anon1987Anon1987 Forumite
2 posts
edited 30 November -1 at 12:00AM in Loans
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?
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Replies

  • Gambler101Gambler101 Forumite
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    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?
    The instructions on the box said 'Requires Windows 7 or better'. So I installed LINUX :D:D
  • zx81zx81 Forumite
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    Raise a complaint with them.
  • Anon1987Anon1987 Forumite
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    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?!
  • edited 4 May 2017 at 1:00PM
    sourcratessourcrates Forumite, Board Guide
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    edited 4 May 2017 at 1:00PM
    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.
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  • edited 4 May 2017 at 5:43PM
    DCFC79DCFC79 Forumite
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    edited 4 May 2017 at 5:43PM
    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.
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  • StopItStopIt Forumite
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    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.

    In debt and looking for help? Look here for the MSE Debt Help Guide.
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  • Pixie5740Pixie5740 Forumite
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    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_WoodyClive_Woody Forumite
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    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:
    "We act as though comfort and luxury are the chief requirements of life, when all that we need to make us happy is something to be enthusiastic about” – Albert Einstein
  • StopItStopIt Forumite
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    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.

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  • Shakin_SteveShakin_Steve Forumite
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    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
    I came into this world with nothing and I've got most of it left.
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