HFO Services

[musado]

Hi

This will be my first post of many on this forum asking for advice, so here goes...

I wont go into detail, but as a result of circumstances beyond our control my wife and I find ourselves in a financial mess.We had set up payment arrangements with the DCA's, but our situation worsened when I was made redundant. So we contacted CCCS who were very helpful and advised us to offer all of our creditors (now all DCA's) a token payment of £1 per month till our financial situation improves.

The majority accepted this, infact one even agreed to freeze all charges & interest on the account! However, my wife received a letter yesterday 23rd Feb(letter dated 6th Feb!) from HFO Services Litigation stating Notice of Default - Failed Payment Arrangement. No mention of the letter she sent to them offering the token payment on 20th January.

But, this is the part that really annoys me:

"After 7 days charges of £35 will be applied to each failed payment and will be added to your account. Failure to commit to your payment arrangement will also result in penalty interest of 5% a month on the arrears and 2% per month on the balance of the account owing "

Surely they cant legally add such extortionate interest amounts onto the amount owing ( £3538 ) can they...?

Just to add, this was for a Barclaycard, and even though its been passed to a DCA can we claim the charges back on this?

[pmhcfc]

Originally Posted by musado

Hi

This will be my first post of many on this forum asking for advice, so here goes...

I wont go into detail, but as a result of circumstances beyond our control my wife and I find ourselves in a financial mess.We had set up payment arrangements with the DCA's, but our situation worsened when I was made redundant. So we contacted CCCS who were very helpful and advised us to offer all of our creditors (now all DCA's) a token payment of £1 per month till our financial situation improves.

The majority accepted this, infact one even agreed to freeze all charges & interest on the account! However, my wife received a letter yesterday 23rd Feb(letter dated 6th Feb!) from HFO Services Litigation stating Notice of Default - Failed Payment Arrangement. No mention of the letter she sent to them offering the token payment on 20th January.

But, this is the part that really annoys me:

"After 7 days charges of £35 will be applied to each failed payment and will be added to your account. Failure to commit to your payment arrangement will also result in penalty interest of 5% a month on the arrears and 2% per month on the balance of the account owing "

Surely they cant legally add such extortionate interest amounts onto the amount owing ( £3538 ) can they...?

Just to add, this was for a Barclaycard, and even though its been passed to a DCA can we claim the charges back on this?

Welcome to the site...Best thing you can do for now is have a good read around the site...Once you've read up a little then print yourself off the CCA's you need to send to all your DCA's. Don't forget to enclose a £1 postal order and send recorded delivery. You will be able to claim your charges back from Barclays, but unless you have the last 6 years of statements, you'll need to send BC a Subject Access Request -templates are in the library for everything you need. Don't worry, there are many people here that will help you...

[rippedoffagain]

Originally Posted by musado

Hi

This will be my first post of many on this forum asking for advice, so here goes...

I wont go into detail, but as a result of circumstances beyond our control my wife and I find ourselves in a financial mess.We had set up payment arrangements with the DCA's, but our situation worsened when I was made redundant. So we contacted CCCS who were very helpful and advised us to offer all of our creditors (now all DCA's) a token payment of £1 per month till our financial situation improves.

The majority accepted this, infact one even agreed to freeze all charges & interest on the account! However, my wife received a letter yesterday 23rd Feb(letter dated 6th Feb!) from HFO Services Litigation stating Notice of Default - Failed Payment Arrangement. No mention of the letter she sent to them offering the token payment on 20th January.

But, this is the part that really annoys me:

"After 7 days charges of £35 will be applied to each failed payment and will be added to your account. Failure to commit to your payment arrangement will also result in penalty interest of 5% a month on the arrears and 2% per month on the balance of the account owing "

Surely they cant legally add such extortionate interest amounts onto the amount owing ( £3538 ) can they...?

Just to add, this was for a Barclaycard, and even though its been passed to a DCA can we claim the charges back on this?

Joined June 2006, your a slow typist I would be inclined just to hit HFO with a CCA request, if the rest are happy with a token payment, and have frozen interest (they should all freeze interest, even if only for a short time), I would leave them alone until you are up to speed with the process.

[rory32]

I assume Legal Weevil is refering to:

"After 7 days charges of £35 will be applied to each failed payment and will be added to your account. Failure to commit to your payment arrangement will also result in penalty interest of 5% a month on the arrears and 2% per month on the balance of the account owing "

Surely they cant legally add such extortionate interest amounts onto the amount owing ( £3538 ) can they...?

In which case the statement of "they can't" is correct. A DCA can not add any interest or costs to an account other than court costs. Court costs can only be added to the account with the permission of the court. Interest can only be added to an account through a ruling by the court granting this. As neither of this have been obtained they can not add penalty clauses or interest.

[trashcansinatra]

they claim i owe £24 and now seem to have increased it to £34 with no explanation
i've had loads of calls the latest one claiming that they will add money for solicitors letters, search fees/residency check and court appication costs which will all come to over £200 !
Can they do this ? Are they likely to go to court for £24 or even £34 ?
I have asked for proof of the debt as i don't think i owe anything but they have supplied nothing

plse help

thks

[MrsSunshine]

Edited to start my own thread....

[rory32]

MrsSunshine you need to start a thread of your own in order to get the help and advice you need rather than post on someone elses thread. If you don't know how to start a thread of your own have a read here "How do I...?" A Dummies' Guide to this Forum

[MrsSunshine]

Oh.. Okay. Will do, thanks.