Barclaycard payment plan - possible to claim?

[graceful_willow]

Hi! Not new to this, I had couple of successes and currently taking on HFC and Lloyds. A friend of mine seek my help as she's thinking on claiming charges from Barclaycard. But she's currently on payment plan with them. She's hesitant because she might loose and might be asked to pay the full balance (as stated on her agreement. ???) which she will not be able to afford.

I would like to encourage her, but I would like to check first if she can claim charges whilst on payment plan? And will her payment plan automatically stop once she send her preliminary letter?

[slick132]

Hi GW,

 

What a beautiful username.

 

There should be no problem claiming back charges on this a/c but I would expect the bank to use the refund to reduce the debt owing on the CC.

 

However, if your friend has other debts she's paying off by arrangement, she could ask for refund to be paid direct to her so she can pay all banks, etc that she owes on a pro rata basis to reduce her overall debts.

 

Your friend will not lose her claim for unlawfull CC chgs.

 

Does she have her state's to see what chgs she's suffered or will she need to send S.A.R.

 

Slick

[graceful_willow]

She said she's gonna have to send SAR. The bank will obviously know of her intention to claim and they might cancel her arrangement. And that's what she's worried about. The amount she can claim back is not gonna be enough to pay her balance, she said.

[slick132]

Hi GW,

 

Send the SAR. If the bank cancel the arrangement, it would be viewed as retaliatory and could be contested/complained about to FOS and/or FSA.

 

Has she sent CCA request to see if the debt in itself is enforceable. If they don't have proper Consumer Credit Agreement, she could stop paying off the debt and they COULD NOT force her to pay any more. They may enter the debt on her CRA details but I suspect this may have happened already.

 

This should be done seperately to the SAR.

 

Does she have other debts she is paying by arrangement.

[graceful_willow]

Thanks slick.

 

Yes, she said she got 3 credit cards on arrangement, 2 with barclaycards and 1 with cap one.

 

Slick, sorry about my stupidity , but can you elaborate please... specially the part : "If they don't have proper Consumer Credit Agreement, she could stop paying off the debt and they COULD NOT force her to pay any more. They may enter the debt on her CRA details but I suspect this may have happened already."

 

CCA, that's consumer credit agreement right? And how can she request for that? Through S.A.R - (Subject Access Request), I presume?

[shane5408]

Hiya,

CCA being your friends Consumer Credit Agreement. Your friend would have to send a CCA request to the creditor who would then in turn have to supply a 'true copy' of the agreement, that is if one exists! If there isn't an agreement, or the agreement is lacking certain terms making it unenforcable then the creditor (Barclaycard) cannot enforce the debt at all. I have posted the letter below which your friend needs to send, ensure she encloses a payment of £1 preferably as a postal order and that she sends it recorded delivery so you have proof of postage. I have had a lot of experience dealing with barclaycard and can comfortably say 80% off all CCA's I've seen are unenforcable!!

Dear Sir/Madam

Re:− Account/Reference Number

I ACKNOWLEDGE NO DEBT TO YOU OR ANY COMPANY YOU PURPORT TO REPRESENT.

With reference to the above agreement, we would be grateful if you would send us a copy of this credit agreement.

We understand that under the Consumer Credit Act 1974 (Sections 77−79), we are entitled to receive a copy of our credit agreement on request. We enclose a payment of £1.00 which represents the fee payable under the Consumer Credit Act.

We understand a copy of our credit agreement should be supplied within 12 working days.

We understand that under the Consumer Credit Act creditors are unable to enforce an agreement if they fail to comply with a request for a copy of the agreement under these sections of the Act.

We look forward to hearing from you.

Yours faithfully

[slick132]

Hi Graceful Willow,

 

If pay'ts are being made by arrangement on several cards, YF can demand the repayment of chgs to be made to her personally so she can distribute pay'ts to all her debtors on a pro rata basis. As opposed to BC refunding chgs direct to the BC a/c and reducing only the BC debt.

 

Don't apologise - this site is about helping peeps who in turn can help others.

 

If asked, BC MUST supply a proper copy of the CCA for a debt. If they fail to do this (which they very often do), the debt is unenforceable - so if YF stops paying the debt, BC in this instance cannot sue her for the balance and the balance could be written off.

 

YF may acknowledge the debt, however, and feel morally bound to clear it as best she can.

 

Use letter N from the templates here - http://www.consumeractiongroup.co.uk/forum/general-debt/20758-creditors-dcas-letter-templates.html

 

This is not my strong point and I hope I am right so far - however, the place to check it all out is here - http://www.consumeractiongroup.co.uk/forum/general-debt/

 

You'll find lots of interesting reading there and good advisors.

[slick132]

To request the information YF needs to consider reclaiming her unlawful BC chgs, she should send the SAR.

 

Have a read here for a guide to the process (you may know some of it already) - http://www.consumeractiongroup.co.uk/forum/faqs-please-read-these/31460-example-step-step-instructions.html

 

Come back anytime you need.

 

Slick

[graceful_willow]

Thank you guys for your replies.

 

CCA - is that the confirmation of the payment plan or the one BC issued with the credit card when she applied for it?

 

And if the debt happens to be unenforceable, how can she get it written off? Does she needs to wait for BC to take her to court?

[slick132]

Hi GW,

 

CCA = Consumer Credit Agreement is what there SHOULD be in existance to set out the terms of the contract that exists between YF and BC when the CC a/c was opened - it has nothing to do with the payment plan.

 

Send letter N to formally request this doc't.

 

If BC cannot produce the nec'y CCA setting out all the required details, the debt is not legally enforceable. YF can stop paying the BC a/c and they cannot do any more about it. That's the simple theory but it doesn't ALWAYS work like that.

 

Have you had a look in the Debt Forum for examples.

[graceful_willow]

I've finally managed to convince her to take action. She's sending CCA request today.

And if BC did not provide the CCA within 12 days, what will be her next step?

 

Thanks!

[slick132]

Hi GW,

 

Get the CCA request off quick and see if they comply.

[graceful_willow]

Hi GW,

 

Get the CCA request off quick and see if they comply.

 

 

just heard from my friend, she said barclays sent her statements, but no cca. i reckon because there's none. what's next? can she just stop paying and wait to be taken to court?

[graceful_willow]

sorry, i just read the thread on gen debt, i know now what to tell her to do.

[slick132]

Hi GW,

 

If you're sorted now, fine. Come back with any queries.