CABOT & CREDIT SECURITY LIMITED - two old favourites.

[Scribbler]

Hello to everyone at and in The Consumer Action Group,

 

I came across this while trawling through the Net hoping to find some information on my particular problem, and what a great site it is. So I thought I’d start my first post off and see if any of you oracles out there can offer me any advice and/or guidance.

 

I’ve read a fair number of postings regarding Credit Security Limited and Cabot (in all their guises) and so not to be one to go against the grain I thought I’d share my experiences as I seem to have both these rotten eggs in my basket at the moment.

 

Here’s my story…

 

I have been paying off a Barclaycard debt for two years after my financial situation went belly up and went to a DCA.

 

This first DCA was a company called FIRE. After about two months I was informed by letter, that CABOT had bought the account and that I should, from that point make all payments to them, which I did. About two months after that and out of the blue I had another letter from another DCA called CREDIT SECURITY LIMITED. Their first letter to me stated that I was behind with payments and went on to issue threats of court action and the rest of it. I wrote back to them and stated that as far as I was concerned I was up to date and had been paying CABOT. A few more exchanges of letters and they wrote back and “confirmed” to me that they were now the owners of my debt (although they never showed me any official documents to that affect).

 

I was also alarmed to note that on each successive “ownership” of my debt, not one of these DCA’s ever took into account the money I had already paid the previous “owner” and started the debt off with the original figure. When I wrote to ask them to take this into account and to adjust their figures on my account, or even just to ask for a balance, I never received any reply.

 

So since then I have been paying CREDIT SECURITY LIMITED my monthly agreed payment. Throughout this time (nearly two years with them) they have never provided me with a statement on my account, despite numerous requests. Each letter I have had from them (every few months they would send me letter threatening court action even though I have always met my monthly payments and have the documentation to prove it) states that I owe more money than the previous letter. So it seems that despite having all interest stopped and continually paying them each month my debt is forever increasing!

 

Again I have written to them asking them to clarify… well everything really and again I have never had any response from them.

 

I also ran out of payment slips four months ago and have written every month for the past four months, requesting more slips in with my payment. I have not had any response at all.

 

My personal feeling about CREDIT SECURITY LIMITED is that they are totally unprofessional and are not far short of being crooks themselves.

 

Anyway, to bring things up to date: this morning I had a letter from CABOT (Financial) telling me that they were now the owners of my Barclaycard debt and that I should now pay them. So things have no gone round in a complete circle and I now appear to have been “sold” back to the very first DCA I had in the first place. I have not had any correspondence from CREDIT SECURITY LIMITED to this effect. To add insult to injury, CABOT’s letter also states I their calculations, that I owe them nearly the total of the original debt. According to them, in the last two years I have only paid off £2.86! Once again all of my previous payments have not been taken into account, passed on or whatever is meant to happen.

 

I am so frustrated, angry and gobsmacked that I feel like I’m going into melt down.

 

And so if anyone can offer me advice/guidance on how I should approach this and what action I can take, I would be really, really very grateful.

 

Also just as importantly, I would also like to know what procedures CREDIT SECURITY LIMITED and CABOT should have taken to inform me of this “selling” of my debt and passing of information between them and what recourse I may have given how unfair and how inaccurate it is and who is the onus on to get it right? Should I start by asking CABOT for a copy of my credit agreement under the Consumer Credit Act 1974?

 

Lastly, during my troubled time with CREDIT SECURITY LIMITED, I not only threatened to but did write to all of the various official bodies concerning CREDIT SECURITY’S unreasonable, illegal if not unlawful behaviour, which seems to contravene so many of the rules/laws/standards of the Section 40 of the Administrtation of Justice Act and Trading Standards.

 

I never heard anything back from any of them. Has anyone else had cause to write to and report a DCA, and if so what was the response you received?

 

From my side of the fence, they all just seem at best to be toothless organisations and at worst the same set of the ‘Old Boys Network’.

 

Thanks for taking the time to read this, I know I’ve gone on a bit but in a strange way it has exorcised some of my frustration and anger just by writing it down…. only some, not all by any stretch.

 

Your help is really appreciated.

[42man]

First off yes send a Consumer Credit Agreement request to Cabot....remember send it with a £1 postal order, send it by recorded delivery, do NOT hand sign the letter. Also are there some hefty excessive charges that have been added to the account ? is it likely that the amount you 'owe' is less than the amount that Barclays potentially owe you (don't forget you can add 8% compunded interest to the excessive charges)....

 

Credit Security must write and tell you that the debt has been transferred too...

 

This is from the OFT... - you could send a Subject Access Request to Credit Security....asking for all statements and charges made (this will cost you £10 - again don't hand sign the letter

 

e. failing to provide debtors or creditors with information on status

of debts, for example, not providing requested balance statements when

reasonably requested

 

The OFT also say this

 

e. not informing the debtor when their case has been passed on to a

different debt collector

It seems they think you are an easy target, and just bump up the rates when they feel like it.....

 

 

 

[42man]

Just to add, Cabot probably believe that they as Credit Security believe that they can add interest to the debt !!! BUT how do they know what to add if there isn't an agreement !!! get that CCA off ASAP !!

[Scribbler]

Thank you very much 42man. I shall send the credit agreement request off immediately.

 

As far as I'm aware the total debt increased by approximately 30% over what I owed on the credit card. I'm don't know who put this charge on (Barclaycard or the DCA). But I suppose the good news (if you can call it that) is that this figure has remained constant - so far anyway.

 

I shall write to Credit Security too and ask Subject Access Request but I know all that will happen is that they'll pocket the £10 and I'll never hear from them. This has been par for the course with them.

 

I know they have been rather lax to say the least but my complaints to the official bodies citing the points you've raised and others, just seems to have gone unheard or addressed. Which leaves me to think if the official route is inactive, what options are open to me/ It seems as though these types of companies are completely unregulated.

 

Thanks for your advice. Very useful and informative.

[Scribbler]

Hi 42man,

 

I've just checked the total amount that has been added to my original debt and I'm rather embarrassed to say that the total additional charges that have been put on to the original amount owed is 203%. But the question is who put these charges on?

 

The blood has just drained from me.