HFC Bank default Notice Issue

[derek41uk]

Hi I am desperate and need advice please.
HFC bank (GM Credit card) have sent me a letter dated 6th May 2008 which arrived on my mat this morning 16th May 2008 .

I have a credit card with GM Card.As far as i was aware i had a direct debit set up with them to pay my monthly commitment.If there has ever been late payments (which there was some 6 months ago) they call me up from a call center and speak.

My wife opens all mail and deals with issues accordingly so its very rare for me to get to my mail!

This morning i opened a letter from HFC that officiously states the following
"This is a DEFAULT NOTICE served under S 87(1) of the Consumer Credit Act 1974 ,relating to a GM card agreement dated xx/xx/xx under GM card Number xxxxxxxxxxxxxx and made between you and HFC Bank Ltd

They then go on to state i have breached the agreement by exceeding the credit limit agreed and by not paying the minimum monthly payments.

My issue is as follows .This is the FIRST time i have heard that there was any issue of this nature.I have not received any letters or calls from this bank informing me of a pending default ,i wasn't even aware that i had fallen 3 months behind in payments.

My partner who opens all the mail assures me that she hasn't opened any such mail from them either.

I therefore called HFC on the 0870 010 2434 number and was greeted by an overly abrupt and dismissive individual who gave her name as "Cam".

I explained to her that this was the first i had heard of any issues whereby she sarcastically and judgementally made reference to the fact that nothing had been paid on the account since October 2007!
She then went on to say that at one stage it had been placed in the hands of bailiffs!

I have/had a credit score of 875/1000 prior to this .The outstanding amount has been paid today(the same day i received the letter) but i have been informed that despite the fact HFC send off the credit agency information at the end of May(ie the default notice will be sent to a credit ref agencies at the end of the month along with the notice of satisfaction)
They will not remove the default notice and she took great relish in telling me that it would stay on for 6 years further adding"it makes no difference if it was taken off because your credit is shot now anyway".

Is there anything i can do with these complete ?
This is THE only credit issue i have had and it seems a little unfair to vindictively impact my credit file considering i did not receive notice AND when i did get notice today i dealt with it .

I am additionally being vetted for a career move that does financial checks if this is shown on my score i WILL be rejected as untrustworthy.

All this was explained to them but it didn't make any difference.I was merely accused of being aggressive .........


Help Help Help

[robcag]

Hi Derek

It may be worth scanning and posting the default notice here (after concealing your personal details, but leave the dates intact) as there have been several cases of HFC default notices served on CAG members (myself included) being non-compliant due to incorrect dates etc.

In my particular case, which is subject to court action, HFC have now admitted the DN is invalid and they are applying to the court for permission to issue and use a replacement compliant DN and then continue with present proceedings, because as it stands they are doomed to fail in the present proceedings (due to that invalid DN).

Good luck that your DN might be non-compliant, but having had time to get it through their thick heads, HFC may well have worked out what is required.

Rob

[Darren]

you should also ask for a copy of their complaints procedure and make a formal complaint and get a copy of your credit file and if they have marked anything on it you can ask them to remove/correct it and in the meantime tell the CRA to add a notice of correction to that account.

My wife had this with NatWest, she normally pays balance in full each month but a few times has forgot. Last month she forgot to pay total outstanding balance of £23.78 minimum payment £5, which should have been taken by DD but they didn't take it and have marked her credit file as being 1 month late, even though a call from the bank had it paid so its only 8 days late and more importantly not her fault.

Have you got proof that they have a DD authority with your bank

[creditcardmug]

Hi derek, they have to issue a default notice before they can take any further action (most of these are invalid). As you have remedied the notice, then thats the end of the matter, however expect them to ...
1 decrease your limit below what you owe (in order to make you default again so they can add unfair penalty charges).
2 increase your interest rate.

I think their's very little you can do about the credit reference agency references, but others will be along soon to advise you on this

[pt2537]

lets also not lose sight of one very very important fact.

if the default is remedied before the expiry of the 14 days which they are legally required to allow, then in law the default is taken to have never happened and to register such on your credit file would be unlawful,inaccurate and very defamatory

[pt2537]

.89.Compliance with default notice

If before the date specified for that purpose in the default notice the debtor or hirer takes the action specified under section 88(1)(b) or (c) the breach shall be treated as not having occurred.

There we go

[creditcardmug]

Thanks paul i didnt know that

[derek41uk]

Hi
i have scanned the default notice 2 pges on here.One thing i have noticed is that in point 2 nature of breach point b after "notified to you by..." they have failed to state how i was notified and have input a monetary amount.

Do they have to state by what means i was notified for it to be valid?

It just seems unfair because i know of a friend who got a ccj and he paid it within 1 month of the court decision and as a result it wasnt able to be shown on his credit record.Is it not the same for this sort of thing?

Additionally they have charged me for the default notice issue but have not told me by what amount.

When i paid this this afternoon i asked for a letter of satisfaction to say it was paid,she refused and said it would show on my next statement .When asked when this would be reflected on the credit register she had to go and ask ! (and she stated she was with the debt counselling dept)upon return she said it will take up to a month or more (so the default will go at the same time as the payment notification which seems crazy and just vindictive to me).

[pt2537]

well you have taken the action as set out in point 3 havent you?

so the default never happened, thats what the legislation says, but of course the notice that they have provided you doesn't comply with the law in the fact that the notice is not in the form required by the regulations

[derek41uk]

Paul you could literally be my saviour here.

This letter is dated 6th May by the bank.I received it this morning the 16th May ,how on earth they didnt send it on the 6th and its taken 10 days to get here is beyond me but i suspect they do this for a reason?

The Action required to remedy states i must pay the balance by the 23rd May 2008 and interestingly the amount i paid today is £200 over the amount they state is requested.

Does this therefore mean that i fall within the time frame you have stated and thus "the breach is adjudged not to have occurred"?

If so what do i do ? The muppet:o on the phone stated my credit rating "was shot" and that it would stay on my credit file for 6 years.

Do i need to write to them pointing this out and threatening action if they do inform the credit agencies at the end of the month?

My letter is in the pdf files above .

Many many thanks ,there may be a light at the end of the tunnel yet

[derek41uk]

Paul

yes INDEED i have taken the action set out in point 3 ,in fact i paid above this because of the charge they gave me for issuing it ie £189.55 .
Can you tell me why this notice is not of the prescribed format required by law please?

Is it best to tell them of the errors whilst i quote 89 compliance with default notice issues ?

What do i do to prevent them entering it as a default on the register ? and what act and section can i quote please to show them i have knowledge?

Sorry about the questions but im at a loss here in this situation.

Many many thanks

[pt2537]

Hi,

if its ok, i will provide a full answer tomorrow,i am calling it a day for tonight as i am still not 100% and am still unwell so i have run outta steam today im afraid

[derek41uk]

No worries my friend i fully appreciate your help and attention,im just getting over flu myself and was laid up in bed for nearly 2 weeks!

So i know how you feel .

sleep well

kindest

[derek41uk]

Additionally ,i have just learned from my relative who helped me in paying the amount off yesterday ,that when they called HFC they were told information from my account by this "cam" who works there ,who then tried to cover her tracks by stating of course she couldnt discuss the account,Is that not a breach of the Data Protection Act?

If so what can i do ?
She then went on to explain to my relative that my relatives payment details and address would be held by them and the credit agencies for up to 6years!

Needless to say my relative who thought they were helping me out has now given me grief claiming that by helping me out their credit rating will be affected.My name is now mud!

Is any of this correct /lawful ? surely not ?

What can i do to these muppets?

[creditcardmug]

You could send them a Subject Access Request, amongst other things they would have to supply transcripts of all phone conversations