Thread: Another reply from Egg regarding "Approved limit"

Hi all
Have just this am got this letter from Egg in answer to my complaint 8 months ago regarding agreement and lack of prescribed terms. I am leaning towards DD suggestion of simply replying and stating " we disagree" but surely then they will just start up the whole boring collection activity again. What we need is something to stop them in there tracks. We need a court case that clearly comes down on our side. How do we go about that. I expect its very expensive, do we need to collectively fund a simple test case?
Regards

Yfrog - egg001 - Uploaded by tortilla69
Yfrog - egg001

Sorry, cannot read the letter, the image is too small!

Could someone please help me with a response to this letter, I don't really understand any of the possible replies I have found, it's all so confusing, I'm sure thats what they want.
Thank you

I've cobbled this together from bits I've stolen from dickydicky and fight to the end, hope none of you mind, comments please? you can be as cruel as you like, I realise this is unlikely to make them go away, but maybe we can hold them off until we get a real result in the courts.

Thanks all
Egg
Account no: XXXX


Re: My request under the Consumer Credit Act 1974


Dear Sirs,

I refer to your recent letter. I do not agree that my complaint is settled and I still consider the account to remain in dispute.

On XXXX I wrote to you requesting that you supply me a true copy of the executed credit agreement for this account. You failed to respond to this request within the prescribed timeframe. I was supplied on XXXX with a mere application form which did not comply with the requirements of the Consumer Credit Act 1974.

The document sent purporting to be a credit agreement does not contain all of the prescribed terms as required by section 60(1) Consumer Credit Act 1974. The Consumer Credit (Agreements) Regulations 1983 (SI 1983/1553) made under the authority of the “1974 Act” sets out what the prescribed terms are, I refer you to Schedule 6 Column 2 of SI 1983/1553 for the definition of what is required. Suffice to say not all of the terms are present in the document.

You are I think, well aware that the term “approved limit” is not recognised as stating a means by which a credit limit will be arrived at nor does it meet the requirement for you to state the "credit limit” as required by the consumer credit act 1974 (as amended). I suspect that this may shortly need to be tested in the courts.

Further, an agreement which does not contain all of the prescribed terms, or if the terms are mis-stated, then the agreement is unenforceable and a court will be prevented by virtue of s1279(3) from enforcing the agreement. I refer you once again to Wilson V FCT and also to Wilson V Hurstanger as authority for this proposition

I would also point out that the prescribed terms may not be found in, nor referred to in any other document, nor may they be "lost" within the body of the general terms and conditions of the agreement, rather they must be clearly identifiable in the signature document at the time of signing the agreement.


You seem to be attempting to rely on the terms and conditions of an account you have terminated while it was clearly in dispute, should you continue to pursue me for this debt you will be in breach of the OFT guidelines, and being thus I may report you to them and any other body I see fit. I draw your attention to the Office of Fair Trading’s guidance on debt collection. The OFT guidance which was issued July 2003 (updated December 2006) relating to debt collections and what the OFT considers unfair, I have enclosed an excerpt from page 5 of the guidance which states

2.6 Examples of unfair practices are as follows:

h. Ignoring and/or disregarding claims that debts have been settled or are disputed and continuing to make unjustified demands for payment

I require you to produce a compliant copy of my credit agreement to confirm I am liable to you or any organisation, which you represent for this alleged debt, if you cannot do so I require written clarification that this is the case. Should you ignore this request I will report you to the Office of Fair Trading to consider your suitability to hold a credit licence in addition to a complaint to Trading Standards, as you will be in breach of the Administration of Justice Act 1970 section 40.

Furthermore you should be aware that a creditor is not permitted to take ANY action against an account whilst it remains in dispute.

The lack of a credit agreement is a very clear dispute and as such the following applies.

* You may not demand any payment on the account, nor am I obliged to offer any payment to you.
* You may not add further interest or any charges to the account.
* You may not pass the account to a third party.
* You may not register any information in respect of the account with any credit reference agency.
* You may not issue a default notice related to the account.

I shall counter-claim that any such action constitutes unlawful harassment. Please note you may also consider this letter as a statutory notice under section 10 of the Data Protection Act to cease processing any data in relation to this account with immediate effect.

This means you must remove all information regarding this account from your own internal records and from my records with any credit reference agencies.

Should you refuse to comply, you must within 21 days provide me with a detailed breakdown of your reasoning behind continuing to process my data.
It is not sufficient to simply state that you have a ‘legal right’. You must outline your reasoning in this matter and state upon which legislation this reasoning depends.

This matter remains a formal complaint, and I may as suggested by you escalate this matter with the Financial Ombudsman.

I would appreciate your due diligence in this matter.

I look forward to hearing from you in writing.

Yours faithfully

(digital signature)

I think your letter is fine and to be honest my own feeling is that it is pretty irrelevant what you reply providing you explain you don't consider the dispute to be settled and you still feel the CCA is unenforable.

I'm sure Egg are fully aware of all the issues relating to this and will do as they choose regardless of how you word a letter?

Thanks for looking Fighttotheend.

I too am in the same boat and may very well ( if you don't mind) nick a few bits of your letter. They have given me the same jabber too and a few others as well. Almost word for word. They are still demanding money, but they think we will all just lay down and say ok your right, there you go. They obivously have a catalogue of standard responses so they can respond to us all. Good luck and Lets see what they do next.

Hi Jennji
you are very welcome, if it helps, I cribbed most of it from others so it's well worth a good look round
Cheers

Thanks- I put my letter on my thread, but I may cut it down some like a few others have suggested. I just want to get something done and in writing and hopefully, it will refute there argument enough to make them wait a few more weeks before sending me another letter of standard replies.

Hi all

Couldn't sleep last night, so worried that the only card I have access to is a B/card and now that they have got all the Egg accounts they will just dump my egg balance on my B/card.That would just about finish me. Any suggestions what will happen? What I should do?

Cheers

I don't think they will be "lumping" them all together. There are different terms etc they can't just add them together. I think Egg long since rid themselves of us why selling us to a DCA so I am not bothered. They can do what they like, we still aren't paying a penny. Even if they did try and come after us, we have no spare money so they would be waiting in the queue with the rest of them....£1 a month will start looking good to them I am sure as it will be better than nothing.