Hi, From my experience, yes, they can and will start legal proceedings, usually when you go over three months in arrears. BAE

Hi, If you mean can you stop paying, no. The interest and arrears will soon rack up and they will pressurise you even more. If you can pay anything towards the loans, I would, even if it's not the full amount. Contact them and keep them updated about your situation - about the amount you can pay, if they'll accept a reduced amount for a period, etc. (though from what you say, they sound quite uncooperative). Ultimately, it will show you are behaving reasonably - how they behave is a different matter! Finally, I wouldn't consider any more incresing of the loans no matter how tempting it seems - I've been there, done that and it just increased the mess I was in! You're obviously up to the limit you can afford so any furtther lending would just put you into a bigger hole. The way I'm tackling my debts at the moment is by looking at ways to increase my income rather than take on any more lending. From claiming back unlawful charges, challenging dodgy CCAs, car boot sales to a second job, there are opportunities out there to make a bit extra and keep your head above water, just about!! (my head's been in danger of sinking below since 2005 but I'm still here!). Cheers, BAE

Hi, NN4, Your best option would be to claim back charges, NOW. You say there could be £3000 worth of charges? Are these late payment charges, returned direct debit charges or arrears admin charges? If so you can claim a full refund. Do a SAR to get a full list of charges levied, add the interest they will have added on, and send them a LBA. If no response, go on to the court stage. You will be surprised how mnuch your claim will come to once interest is added! Moreover, it will also be useful to have a full list of charges as this can be a large part of your defence if they do go for repossession. As for whether the loans were missold, yes they probably were, but you will probably get nowhere by complaining about this. You're right that they just want your signature on the loan, whether you can afford it or not, but once you've received the money, you've little comeback. BAE

Hi, Bish, I would claim back the charges NOW. Look here for what exactly you can claim for: http://www.consumeractiongroup.co.uk/forum/mortgage-companies/139339-what-you-can-cannot.html You say there could be £3000+ worth of charges? If they go back a few years, think of the interest that has been added on! When you put your claim in you must include the interest they have made on these charges, (estimate or use a spreadsheet from here). If they do not respond favourably, you put in a county court claim - the good news at this point is that you can also add the statutory 8% interest! As you can imagine your claim will be pretty big! BAE

Thanks, Surfaceagent, for the succinct explanation! The replies are pretty much on the lines I am thinking. The second 'termination' letter is nonsense, basically, and can be ignored bar the fact it may be used in court to show the incompetence of Cap One. . . or . . . mmm, a thought just occured. When they sent the second 'termination' letter, they did not send any default notice. So the only DN was the one from 6 months previous, which stated a much lower settlement figure. Would this be a big mistake by Cap One? (Because the only DN they sent does not match with the settlement figure.) Anyway, I'm not too concerned that the CCA is genuine, or if the DN proves to be okay, because I've checked the charges on the account and they just about cover the balance on the account! This means that I've got a ready made defence on unlawful charges, and the fact that the charges on the account are included in the DN settlement figure, thus making it invalid anyway. Please correct me if I'm wrong on this, anyone. I'll check out the regs too. BAE

Hi, Mintylamby, From looking at the documents it appears that your friend already has a ccj and a charging order on their home. I presume your friend buried his / her head in the sand and ignored the several letters that the courts must have sent regarding the hearings for these judgments? If so, I would suggest it's pointless arguing for a set aside of the original judgment on the basis of lack of CCA, it's too late and the judge would ask why the court has been ignored on previous occasions. A statutory demand is a threat, basically, and very few actually result in bankruptcy. On the stat demand form it actually recommends that the debtor contacts the creditor to arrange payment - this is the best option for your friend, I think. They need to offer a regular payment, say £20 a month ( whatever they can afford) and put it in writing to the solicitors. If 1st Credit do not accept it, then you can apply to have the stat demand set aside, on the basis that you have offered a reasonable payment plan. For such a small amount the court would see that the creditor was being unreasonable by not accepting your offer. And like Mr Ton said, make sure it is a proper stat demand, (it will state the name of the court). BAE

Hi, Helio, The default notice isn't the issue as much as the fact they have terminated the account twice. I've read on here that this is not right and their actions may prevent them from claiming anything except the arrears on the account, but I want to find out the regs etc involved. I.e. where does it actually state, in law, that a company cannot terminate an account twice? Anyone any idea, or is what they've done okay? BAE

Hi, As part of your defence, you can state that MBNA have not complied with your request, and seek an order from the court that forces them to produce the documents, (or risk their claim being struck out). This is a straightforward but very effective procedure. Seeing as your defence will rest on the statements and CCA, they will have to cough up the details. BAE

They gave me a small, partial refund about a year ago. Since then, obviously, the interest on the rest of the charges has spiralled, so they will end up paying more than they would have, stupid really! BAE

Hi, Yourbank, This is a credit card claim so I don't think they have grounds for staying the claim, do they? BAE:)

Well done Ronvin, for sticking to your guns. I'm just starting a cc claim against them so it's nice to hear of a success . . . Great result!!! BAE

Back again . . . Finally got round to putting my claim in at my local court. It's for a few grand and includes contractual interest and statutory interest. It's been over two years since my last claim so I'm wondering if RBS are treating claims any differently, i.e. the first time I claimed, they acknowledged the claim and stated they would be defending all of it. Two weeks later they settled! So no court hearing. I'm kinda hoping they will do the same again!! Cobbetts have just acknowledged the claim and , once again, state that they will be defending it. Has anyone recent experience of Cobbett's / RBS's tactics? BAE:)

Hi, Mollybe, Can you recall any charges being added over the years? Even if the charges are fairly small, say a couple of hundred quids worth, it is surprising how the amount you can claim goes up once you add interest. IF mbna fail to provide you with statements it is unreasonable behaviour and you must tell the court about this. When you get the statements back, and there are charges, you can also claim the interest on those charges, and I would also claim the amount of interest you could have earned if that money was not taken from your account. Personally I have always claimed back interest at THEIR RATES, eg 20 + %, and it has always been successful with MBNA. I once had a court hearing and a mediation hearing with MBNA when I was claiming back charges and their representative was adamant that MBNA will pay back any charges and interest, full stop. Which they did. In your case, any amount of charges and interest should be deducted from any 'alleged ' debt, (and if there were charges, that stuffs up their Default Notice even more!). BAE

Hi, Firstly, I would work out how much you owe on the repayments the courts set down in the suspended repo order, then pay that amount only, (I presume you could do this with the £4000). Then you are up to date with your repayments and they will stand no chance of getting the repo. When you make this payment, make sure you are specific in your letter about what the payment is for. Secondly, you say that they have charged you £6000 in admin charges - disgusting!!! I would seriously consider reclaiming these unlawful charges back now - see how they like being taken to court! Good luck. BAE

Hi, Janmal, You can apply to set aside the original judgment if you didn't receive the court forms and therefore did not know about the hearing. You need a N244 form from the courts to do this and it costs £75. However, when it comes to court, you would have to come up with a convincing argument regarding why you have left it so long. If you've suffered from depression, they will want to see evidence of medical notes etc. I have heard of some people obtaining set asides after several years, but I wouldn't say it's a common occurrence. So it's a bit of a long shot . . . Another route may be to see if your home insurance policy has legal protection attached to it, as they may help you defend or take action against this firm, who seem to be taking the most diabolical liberties with you. Looking through the documents you have posted I would be inclined to get an expert opinion on the exact route to take, as there's a lot of paperwork and judgments involved! I'm with Direct Line and there's a legal ad - on included. Apparently they will pay for legal costs etc should I get sued or pay for me to take action against someone. Not that I've had the need to try it out yet! (and there's probably a get out clause that will allow them to ignore 99% of claims!). Anyway, it's worth a thought. BAE

Hi, Ray, They have supplied a CCA, which appears to be valid, though it's a very poor quality. That is why I'm looking at other angles, such as the default notice and the charges they have levied. BAE

An old Cap One account of mine has been sold to Lowells, who are making the usual noises about court action. So I've been looking at old documents to prepare myself. And I've found out that Cap One have terminated the account twice - can this be right? In December 2007 they sent a 'Notice of default' followed by a termination letter 25 days later. The balance at termination was, we'll say, £XXX. Five months down the line, in May 2008, they terminate the account again, (this time with no default notice), and the balance I owe is now £XXX + £600 !!! Now, I've read lots of threads which cite that it is not lawful to terminate an account twice, and that the closing balance cannot be raised willy - nilly, but I'm wondering if anyone knows which act, (and which relevant section), prohibits this sort of action? Obviously, I'm hoping they've shot themselves - and Lowells - in the foot. . . Cheers, BAE

Hi, The best information on how to defend a claim is here: Legal Issues - The Consumer Forums Have a read through a few threads and you'll soon get the idea of what is required.Also, if you want specific help you will also get more help by posting in this forum, (legal issues). Cheers. BAE

Hi, LadyTG, All county court claims for bank charges are being stayed at the moment due to the High Court proceedings involving the Office of Fair Trading. However, it is worth putting your claim 'in the system' now as you can claim interest for every day that the claim is stayed. The letter templates and everything you need to make a claim are in the library section. Before you go down the county court route, however, it may be worth contacting your branch / customer services to test the water. Quite a few people on here have got some of their charges refunded simply by complaining. BAE

You've done your bit, got your defence in and the request or information - now just wait and see what Reston's reponse is and post it up when it comes. If they don't respond to your request for information you can apply for an order to strike out their claim . . . But for now, sit tight and hope that their incompetence continues . . . BAE

Hi, It seems that they have shot themselves in the foot. They cannot just change the amount on the court claim form - it is incorrect, therefore invalid. They will have to start a whole new claim or ask the court's permission to change the details. BAE

Hi, Notts You could send something like this: In the XXXXXXX County Court Claim no. XXXXXX Between XXXXXXXX, defendant –V- XXXXXXXXX, claimant For the Attention of the Case Manager Dear Sir, Further to the directions made by Judge XXXXXXXXX sitting at the XXXXXX County Court on XXXXXX 2008, I note that the claimant has now failed to file and serve their documents by XXXX on XXXXX, despite being ordered to do so. The claimant has had every opportunity to file and serve the required documentation and, given the size of the organisation, it is not unreasonable for them to have filed such documentation on time at the first opportunity. They have ignored the Honourable Judge’s orders and have failed to comply as directed. Therefore, I would request that the claim is struck out without further order. Signed……………………………. (Defendant) Date ……………………………. I doubt if the judge will strike out the claim straight away but it may prompt him to produce an 'unless' order, stating that the claimant has another, say, 7 or 14 days to comply, or be struck out. Once you get this order, they have to comply, (hopefully, they won't and you will get the strike out!). BAE

Hi, Miffed puuppy, You can certainly have a go at claiming costs, I am in the process of doing so at the mo'. Like you, I had a case discontinued. Unfortunately, I was so relieved at the time, over a year ago, I didn't bother claiming. On reading the CPR, it states that you only have 3 months to claim, so I am officially too late !! (But I'm still trying to negotiate a deal with their solicitors, who don't seem to know this!!) Surfaceagent has produced some excellent advice on the subject and I have followed his ideas for the Bill of Costs. (will try to find the link if you need it). Also, here's another thought: The fact that they have discontinued gives you an obvious advantage; you may be able to use this to negotiate a total clearing of the debt and your credit record in return for NOT claiming costs from them. This route may be worth a try . . . BAE

Well done, FD! A victory is a victory, don't dwell on the costs issue! Besides, you now have the experience of what it feels like to go through the hearing process. Plus the fact that the fact they have applied for a sd, then agreed to the set aside is definitely in your favour if it does go to the court claim stage. BAE

Hi, Yeats, Whatever you decide - go or don't go - I'm sure it will be the right decision for you. If you don't go, they will be awarded judgment as you know. The ccj will be on your credit file but, as you point out, a bad credit record isn't everything. They will ask for all the money at once, then you will tell the court what you can afford to pay monthly and the court will make the decision. The payments may be, say, £50 a month. If you fall behind with the payments, they may apply for a CO and you will be called for another hearing to decide that. That's basically how it works. Now, there may be advantages to atending that you haven't considered: 1. However daunting the experience is, that's what it will be: experience! I you have to go to court again, you'll be much less nervous and much more at ease about how it works. 2. If you lose, at least you can have your say to the judge about what you can afford to pay monthly towards the ccj. 3. You can fight your corner about the costs issue. 4. You might not lose! (And if they aren't awarded summary judgment, it may put them off any further action). BAE