My friend had his claim stayed ages ago but has now been laid off-is this a good reason to get it lifted?

[bankhater10]

Hi, about 10 months ago my friend got his claim stayed but has now been laid off, is this a good time for his to attempt to get it looked at? He has a mortgage to pay you see!! Oh and please tell me that the 'rollong 6 year period' doesn't come into effect here?

Many thanks!

[Castlebest]

Hiya bankhater and welcome to the HSBC forum first the good news, once your friend filed his claim with the court the clock stopped on the statute of limitations. Whatever is in his claim with stay there no matter how old the debt gets .

 

Hardship is a tricky subject, the courts have been turning a blind eye to claimants situations and staying everything regardless, I've even seen a claim where the hardship grounds were proved in court and a hearing date issued only to be stayed a few days later .

 

We have had some success with complaints to the FOS on hardship grounds, but its not a quick solution.

 

pete

[MARTIN3030]

Yes unfortunately the waiver is an agreement between the OFT and the banks,and therefore has no legal force in Court.

Theres no harm in applying under the waiver though,certainly theres nothing to lose.

If there is eligability for fee remission too,then theres no harm submitting an application on notice to remove the stay,at the same time.If the bank opposes whilst knowing of hardship then that can be given in evidence to the FOS.

I am not familiar with the success of HSBC HCs although it cannot be as bad as Lloyds who are repeatedly refusing to act.Get an income and expenditure form filled in and get it off-temps are available here.The FOS will take over if they dont act within the 8 weeks-I know little comfort but it may well be much sooner than the Courts are rolling again.

Going down both routes,at least gives you the 2 options.

[TUTTSI]

From reading your initial thread, yes your friend would come under the FSA waiver rules on hardship.

 

HSBC, from experience once you have sent in all your hardship evidences, I&E, updated charges spreadie will get one of their debt consultants to contact you. Basically, they will try and get you to take out a loan on a phone call and they won't put this in writing. I do not know of anyone who has had an interim payout from HSBC under hardship. Whilst other banks have been paying out like Abbey generally at 65%.

 

The FSA waiver rules on hardship are only available to Jan09.

 

My suggestion would be is to get the letter and evidences off to them ASAP so that they have it within the timescales of the FSA waiver rules.

 

From the response you can either knock on the CEO door with a complaint and or complain to FOS, but you need to get this sorted ASAP. I was not not happy to speak to their debt consultant.

 

All the best for your friend

Tuttsi xx

[MARTIN3030]

Its very likely the Waiver will be extended,in fact the OFT have agreed that there will be a 12 month period even AFTER conclusion of any decisions,to allow banks further time to deal with claims.

 

The 8 weeks usual frame is still valid for response and action for Hardship.