Debt due to unpaid direct debit fees

[Chardonnay123]

Hi

I am new to the site today. I have a £1,500 debt due to the 'direct debit unpaid fee' spiral!

They are currently chasing me for this debt have passed it onto their debt recovery office to which I told them I didn't have the money they were requesting to be paid back monthly.

I received a letter today saying the debt was being passed back to Abbey National and that further legal action woudl be taken.

Are teh steps suggested on this website still recommended?

Clair

[Docubot]

How much have they charged you in total (max 6 years back of course)?

If it is more than 1500 quid, or even exactly, then I would let them take you to court - seriously.

You can then claim in court that the debt was caused directly because of their punitive charges - if they want to prove in court that their charges are not punitive then excellent - I doubt it'll happen.

[richardc]

Welcome. Yes take the steps in FAQ. If you are threatened with legal action, tell them that you are taking action against the Bank

[Chardonnay123]

Thank you.

Am still really worried. I have read the FAQ's twice! What is classed as an unreasonable charge. Should I list every single one (ie, I have a charge of £163 stopped and £32 charged) or should I just pick the ridiculous ones (£1.99 and £32 charged).

[BankFodder]

Believe me when I say that if you are the victim of disproportionate penalies, then the best thing which can happen to you is that the banks sues you.
Normally when you sue the bank, you will have to prove that the penalties were disproportionate - or probably were so. (Read the guidance notes in the Library)

However, if the bank puts in a claim against you then they have to prove their case.
You defend with a claim that the sum they are claiming is comprised of unalawful penalties. Add a countercalim that they have breached their contratual obligation only to enter accurate information on to the Credit Register - and then watch the fun.

The bank will be hoist on its own petard. In order to establish their claim they will have to reveal precisely the kind of costs of information that they don't want to - and which Stephen is suing 8 banks for. The very possible result is that they will simply let the the whole thing go.

The bank is threatening to sue you? Bring it on.

[BankFodder]

To add- have you been defaulted? If yes, then there is nothing worse which can happen to you.

Don't bring your action. Don't even mention that you want to recover your charges.

Just gather your information. Get your totals ready. And wait quietly for the claim to drop through the door.

Play cat and mouse with the bank - but you are the cat.

[Bookworm]

Originally Posted by Chardonnay123

Thank you.

Am still really worried. I have read the FAQ's twice! What is classed as an unreasonable charge. Should I list every single one (ie, I have a charge of £163 stopped and £32 charged) or should I just pick the ridiculous ones (£1.99 and £32 charged).

Read it again. You are still not "getting" the concept of unreasonable charge.
It's nothing to do with how ridiculous YOUR amounts were, it's how THEIRS are: Does it cost them £32 to stop/pay an amount, ANY amount?
No? Are you sure? Then, it is an unreasonable/penalty charge.

[Chardonnay123]

I've worked out what they have charged and its £4,500! If they take me to court I won't get it back will I? They may just write off the overdraft. Would it not be better for me therefore, to take action on them? What do you think?

[Chardonnay123]

I am filing my claim through Moneyclaim today.

I have been through the process of sending my standard letters (initial letter requesting payment, letter before action) and have received their "standard letters".

I just need some help working out the interest per day until claim, I have no idea how to do this - can someone give me a calculation please?

On my initial letters to Abbey I included the interest calculation worked out on teh spreadsheet - instead of the interest they have charged me. I am hoping this won't matter as the interest they charged me is actually less. What does anyone think to this - should I re-write to Abbey with new figures before I file my claim?

Any help would be greatly appreciated!

Hopefully if we win I'll be able to buy some headache pills!!

[Spiceskull]

Hi,

The interest on the spreadsheet is the interest calculated 8% APR. This works out the interest for each charge you are claiming for, the dates since the 'offence,' and the total. This is the interest you need to apply to your claim at court.

If you put this figure in your original refund request, then this would have been an error. Should the bank have decided to repay you before a court claim, they could use it as a stick against you.

I would certainly suggest another letter to Abbey, but without suggesting you made a mistake. Probably better to use words like "my final calculation before raising a claim is £PenaltyCharges and £PenaltyInterest (from your statements)

You can then go on to say that your court claim will include these two figures, PLUS costs PLUS interest at 8% APR pursuant to Section 69 of the County Courts Act 1984.

That should clear up any misunderstandings, and also convince the bank that you mean business. Whilst it might 'wobble' your timetable a bit, it would be prudent to give the bank a few days to respond to this letter one way or another.

Good luck.

[Chardonnay123]

Thank you so much for your help!

The process is so scary. Also I'm so impatient that when I didn't recieve a reply yesterday I filed the claim anyway. Hopefully I have managed to put a hold on this though as I have contacted them before 9.00 am today.

Believe it not, I have read teh FAQ's time and time again and also spend too many hours trawlling through the forum, however, I still didn't "get" the interest bit. It is now 100% clear in my mind - I think!

My FINAL letter reads:-

Further to my letter dated 08 April 2006 I have not received a satisfactory response.

I would therefore advise you that my final calculation before raising a claim is £3,875.00 plus £337.74 interest charges giving a total of £4,212.74. My court claim will include these two figures, PLUS costs PLUS interest at 8% APR pursuant to Section 69 of the County Courts Act 1984.

Should I not receive a satisfactory conclusion within seven days from the date of this final letter I will file my claim.



I have given them only 7 days this time - I can't wait any longer!!!!

[Spiceskull]

That sounds fine - you have given them 7 days to respond to what they know will be on the summons if it gets that far...considering the amount you are claiming (similar to mine) you will probably get a letter saying that they think the charges are fair, that they will defend the claim and that they WON'T pay up. All that may well be true, but it is 99% certain that they WON'T go to court...so you will probably need to raise the claim.

Good luck.

[Chardonnay123]

I am at the stage of waiting for Abbey to put in a defence/pay up/ignore!

I have sent and received all of the standard letters.

Today I received a 'Notice of Recovery Action - Outstanding Debt' from Equidebt Limited demanding that my overdraft debt be paid by 18 May. Failure do do so results in one or more of the following:-

* Account being passed to solicitor for action.
* Legal Action against you in the Northampton County Court or local Sheriff's Office.
* Legal Fees and Costs being added to the balance.
* An attachment of Earnings Order being issued.

Has anyone else ever received one of these? Or can anyone advise me what to do? Abbey have until 27th to respond to my claim - I have until 18th to pay this money?

Just out of interest the debt is stated as being for "Monies due under an agreement in writing". ????

Also - I had to sign for this letter. I suppose this is because they don't "receive" paperwork they want to make sure everyone else does!

Bloody bankers!!!!

Okay, well i read you other thread, and your debt is £1500 yes? But you are claiming £4500? yes?

Well I wouldn't worry! Christ they are cheeky gits, as of course they will get this money back when they pay up!

I would write back advising it is being disputed, and you wouldn't owe anything if it wasn't for unlawful charges being levied in the 1st place!

Cheeky gits!

[Chardonnay123]

Thanks for that Lueeze.

My worry is that it has now gone to a third party debt recovery company. I will write to them and advise them I dispute this amount, I am making a claim against Abbey through the court and I am a bit suprised that Abbey have taken this action.

Clair

Abbey are the most underhanded of them all...other people have had this too, they are just throwing their toys out of the pram. They couldnt possibly take you to court, before you do to them so dont worry! Abbey are shameless!

[lee_s]

They did the same to me too when I took them to court. They passed the account to a debt collection agency because I wasn't paying up.
Simply raise a dispute with the debt collection agency that you owe the money and that in fact you are taking Abbey to court because they owe you more than the debt. You should find they will put the whole thing on hold pending results of the court case.

[Chardonnay123]

Thank you Lee S

This is really encouraging to hear. Sometimes I do wonder if I'm doing the right thing but after hearing other people's stories are going exactly the same way it spurs me on! Good luck with your claim too.

Clair