Are Current Accounts covered by the CCA

[albertini]

I have been hit by 2 creditors today (not heard from any for months) but this one is for an old HSBC debt.

 

The DCA is claiming that it is a current account debt. Are current accounts covered under the CCA?

 

If so then i will obviously CCA them.

 

Once again many thanks.

[reallymadwoman]

The simple answer is no, at least for the current account itself.

 

However, I presume you are talking about an overdraft which is an unrestricted use running credit account as defined in the CCA, but they are exempted from the formal requirement for a signed agreement with the usual prescribed terms, so a CCA request isn't likely to get you very far.

 

My approach has been a 'full' SAR, and I did need to specify full as the first effort just produced a list of charges. You may find that your bank didn't send you written confirmation of the terms of your overdraft or that the default notice sent didn't comply with the CCA (they're not exempt from that bit). In fact, they are extremely unlikely to be able to produce a copy of either. Whilst this doesn't necessarily make the agreement unenforceable, it might give you a really good bargaining position.

 

Good luck

[sequenci]

, so a CCA request isn't likely to get you very far.

 

you should be able to get a statement of account and a copy of the original letter outlining the terms of the overdraft, such as the overdraft limit + rate of interest + repayment terms etc.

[albertini]

Well here's the thing, i'm not really sure how its made up.

 

It is not an overdraft (at least not all of it) i had i think an O/D of £1000 when the account went into default but they are claiming over £10,000.

 

I think they have either added a secured loan against a business i had into this account or they have added a credit card / personal loan.

 

I am not sure which to be honest.

 

What would you recommend? The S.A.R?

[albertini]

Well given it a bit of thought and come up with a hybrid letter covering a CCA request and the S.A.R. Note i have ommitted the leglaities of the CCA and not mentioend any statuory fees either .

 

My thinking is let’s see what they’ve got on these debts and what agreements do they have to prove this debt is mine and enforcable.

 

I understand that any overdraft debt will not be covered under CCA (although I am sure the charges applied to that account will outweigh any O/D debt and cancel it out, leaving them owing me money on the bank account debt).

 

What is intriguing me is what the rest of the debt is made up of and how they intend to prove it.

 

In terms of the reference numbers the DCA has provided it is simply a bank account and sort code number. This leads me to think they have added another debt to this bank account debt, whether that be personally guaranteed business debt or a loan / credit card debt, the latter of which will be covered under the CCA.

 

I'm no expert but that sounds a bit dodgy. Are they able to amalgamate debt like this and chase it as one debt?

 

I think I can’t do anymore until I know what is the nature of the debt they are chasing!!

 

However this is one case with a DCA where i will await their reply with interest!

 

Anyway here’s the letter going to them today by recorded:

 

Dear Sir/Madam

 

I DO NOT ACKNOWLEDGE ANY DEBT TO YOUR COMPANY

 

 

RE: YOUR REFERENCE:

ALLEGED ACCOUNT NUMBERS:

 

I am in receipt of your letter dated 30th October 2007.

 

I do not acknowledge or recognise any debt to your company.

 

In order to proceed on this matter I require you to send me the following information.

 

In the first instance please send me full details of this alleged account. This will include, but is not limited to, a true copy of all signed agreements and a true copy of the deed of assignment you refer to.

 

Please also supply me with a complete list of transactions and charges relating to the history of this account with your company and your original client and /or the original lender. Alternatively, a complete set of statements will be acceptable.

 

Additionally, where there has been any event within the account history which has required manual intervention by any member of your staff or your client’s staff, or any other person, I require disclosure of any indication or notes which have either caused or resulted in that manual intervention, or other evidence of that manual intervention in relation to this account.

 

If you are unable to supply this data because there has been no such manual intervention, then please be so kind as to confirm this in your response.

 

You have 40 days in which to comply.

[sequenci]

Yeah for sure, SAR to begin with... You should get the full picture

[albertini]

True to form like the rest of the DCA Muppets I’ve had another threatogram letter from these plant pots today.

Suffice to say there is no mention of my previous letter, no direct reply nor any agreements or CC agreements.

A suitable reply is being constructed as we speak.

However I just wondered what part of the CC Act covers Overdrafts. Is it section 74? This will be a part of my letter.

Also what part of the CCA covers requests for documents etc?

[albertini]

Well this is what i've got so far. I'm not sure of the exact legislation for current accounts or the legislation relating to the provision of docs by the creditor.

 

Any comments welcomed & appreciated

 

Dear Sir/Madam

I DO NOT ACKNOWLEDGE ANY DEBT TO YOUR COMPANY

FINAL REQUEST FOR DOCUMENTS

 

RE: YOUR REFERENCE:

ALLEGED ACCOUNT NUMBERS:

I am in receipt of a letter from your company dated 7th November 2007.

I am surprised to receive such a missive bearing in mind I wrote to your company on the 1st November 2007. A copy of this letter is enclosed.

This letter served clear notice to you that this account is under dispute and I requested from you all relevant documentation that you wish to use to attempt to enforce this alleged debt, including (but not limited to) true copies of any signed, executed agreements you may hold along with full statements relating to this alleged account.

You claim that this debt is a “current account” debt. As you will be aware such debt is covered under the Consumer Credit Act 1974 and within this legislation sections 77-79 places a duty upon you to supply original documentation within a given timeframe of 12 days. After 12 days you enter into default and beyond 30 calendar days you have committed a summary offence for which a fine of £2,500 can be levied against your company.

Once you have entered this default period this alleged debt becomes unenforceable under law until you have complied with my request.

My request for account statements allows you 40 days to comply.

Be warned that the clock is ticking and should you fail to respond I may choose to complain to Trading Standards and The Office of Fair trading.

I once again ask you to supply copies of the relevant documentation in order that we may take this matter forward.

Please note any legal action you may take at this time will be vigorously defended.

[tomterm8]

Did you actually send them a CCA request with the £1 postal order?

 

Seems to be mixing up a S.A.R. and a CCA request, TBH. They are covered by different statues, and give you different things. In this case, I would recommend a S.A.R. with the prescribed £10 maximum fee.

[albertini]

Thanks for the input TT.

I did send them a formal CCA request and SAR (but oops forgot to include the money, silly me ).

My strategy is to hit them for everything that they’ve got. This alleged debt goes back to 2000-2001 I believe from their correspondence.

So I’m not confusing the two requests, I’m simply trying to see precisely what they’ve got in the way of paperwork and agreements, and on top of that what records they hold on this account.

If they’ve no paperwork then I’m thinking the S.A.R. is irrelevant anyway.