Why is no one claiming the contractual rate of interest???

[BankFodder]

It is a mystery to me that no one seems to be interest in following this route.

To me it seems clear, straightforward and thoroughly ahievable.

 

Better than that, it is "fair and reasonable" to quote a much used bank phrase.

 

http://www.consumeractiongroup.co.uk/forum/general/18288-whats-your-time-worth.html#post142053

[ant01001]

Hi Bankfodder

 

I have reached stage two with Capital One and I will probably soon have to bring a small claim to court. I find claiming the contractual rate of interest confusing. Does the interest being claimed apply only to the period in which you initiate a small claim?

 

While I'm here could I pick your brains on something that puzzles me? Is there a '6 year rule' regarding claims for refunded charges? The reason I ask is that I recently received Halifax statements that go back 6 years 6 months and the extra six months charges increase the default charges substantially!!

 

Anthony

[steveoram1]

Hi Bankfodder - interesting post.

 

I'm just at MCOL stage with the Halifax, 14 days up but just waiting for a new £39 charge to show up on my online statements before i press the button. The account in question does not offer an overdraft but charges a whopping 29.8% on unauthorised borrowing. Does this mean I should be charging at that rate for all the charges I've had (£1659 going back to 2001)? How would I go about changing the formula in the spreadsheet to reflect this rate?

[c_allen]

hi B/F i'm just about to send my prelim and and i'm going to be charging the contractual rate of 16.9%, don't really feel confident enough to go the the higher(extortionate) rate but my B/Fs going for the high one but how do we work out this higher one with the open office spreadsheet?

cheers Carrie

[bram stoker]

Hi BF, and all interested (like... everyone?).

 

The original simple spreadsheet was not set up to easily change the rate of interest. With the complex spreadsheet at the moment, all you can do is change the 8% for a contractual rate, and this one rate will apply for the whole of the period. This is mentioned in the notes of the spreadsheet.

 

There is an arguement that as the rates have changed over time, the contractual rate claimed should reflect this. I am currently looking into this. If it would be correct to alter the rate over time, then I can create a template that would do this quite easily.

 

I am working on spreadsheets today, and will be able to spend quite sometime doing so over the next couple of weeks, so hopefully we can clear up a lot of these points very shortly.

 

I will put a suggestive element into every update of the spreadsheets for the contractual rate from now on, and hopefully more people will take this arguement up, as it is possible many people are unaware.

 

Look out folks for updates and good luck with your claims.

Vamp. x

[c_allen]

Thanx Vamp

[sund1ata]

I'll surely be amongst those claiming the higher rate of interest. Nice one Vamp.

[Barry031261]

Vampiress/Bankfodder,

 

I did claim the contractual rate of interest with all my credit card cases and I set up a spreadsheet to take care of the varying element of interest over different periods of time.

 

If this is of any use to you I can email it to you,

 

Baz.

[bram stoker]

Vampiress/Bankfodder,

 

I did claim the contractual rate of interest with all my credit card cases and I set up a spreadsheet to take care of the varying element of interest over different periods of time.

 

If this is of any qse to you I can email it to you,

 

Baz.

Whoppeeeee. Oh please please send it to me. [email protected] I've already created a credit card one that would be easily amended (Excel only so far), but would be very very interested to see yours.

 

If anyone else has any templates they wish to offer, feel free to send them too.

 

We will also need to collate data in regard to the contractual interest rates used by the banks over the last 6 years at least. Feel free to send me any of this info too.

 

If you do send me anything, please make a clear note in the email of what it is I'm looking at, and also your CAG name, so I can find you.

 

Thankyou.

[ant01001]

Hi Vampiress

I posted this question a little while ago - Do you know why is the last six years of charges so significant - is that a 'time issue' or a legal thingy (sorry I'm not very good with legal stuff)

[bram stoker]

Beyond 6 years the banks can claim statute of limitation. There are arguements against them being able to do this but it's complicated and tricky. You will have to do a fair amount of research. Use the search tool with the words "statute of limitation" and you should find a lot of information that way.

[ant01001]

Thanks for the info on statute of limitations Vampiress - much appreciated

[angry cat]

Hi Guys-

 

I have never been able to get any of the BAG spreadsheets to work on my computer-

So if anyone has one that is compatible with Microsoft word or works, I would be over the MOON to receive it.

 

Regarding claiming the contractual rate of interest or in the alternative the CCA rate of 8%

 

I think that a lot of members are really confused by this! and...

I believe that people are confusing it with the actual interest that was charged in relation to each fine that was levied, on each fine date

 

Please bear in mind that I have never been able to get a BAG spreadsheet to work on my PC. I calculated my interest by looking at each fine, the interest rate that was applied to each fine, the percentage rate of interest that was charged on a daily rate and worked it all out that way....very laborious!!!

 

Therefore I then had the amount leveid in fines, plus the actual amount that was levied upon those fines in interest, from the date of each fine, up to the date of issuing my claim

 

Of course, we all know that one can then add the County Courts Act rate of interest which is 8% as well, but one should really add the contractual rate of interest, the rate that a Bank would charge a consumer - this could be 16.9% or higher.

 

Bankfodder, I actually did claim the contractual rate of interest or in the alternative the CCA rate of 8% on my particulars of claim wwhen I issued my claim against Morgan Stanley. However, what I failed to do was to write both amounts on the claim form. I factually just put down the 8% amount, when I should have written both, the 16.9% rate and the or in the alternative 8% rate and when I discovered my error, the day before submitting my AQ, it was really too late to change it:(

 

Of course, I am wiser now but perhaps you or another mod. could make the situation clearer for others:)

 

I do hope that my post is helpful.

 

Thanks

 

Angry Cat

[barracad]

I have never been able to get any of the BAG spreadsheets to work on my computer-

So if anyone has one that is compatible with Microsoft word or works, I would be over the MOON to receive it.

 

Send an e-mail to [email protected] and we will send you a compatible spreasheet.

 

When requesting spreadsheets from [email protected] please state which software you are using and whether you are claiming in Scotland or England. Please keep all queries regarding the spreadsheets to the forum, rather than using the gmail address, Thank you.

[notlam]

I've sent off my LBA.

 

So is it now too late to include the Contractual Rate of interest?

 

How do I find out what rate to use please?

[dan-rides-bikes]

my capital one claim includes the interest charged on the fee's 29% APR if i recall

[lookinforinfo]

I read the headline on your first post to relate to the £9.25 per hour we can charge

when we are preparing fior our Court hearing as recorded in one of Robertccs' posts.

[My apologies if it was another poster].

Is there not a case for claiming that rate [£9.25] every time we are forced to

respond to the bank or their legal people? For instance in our first letter we add a

rider advising them that as a gesture of goodwill, we will not be charging for this

letter, but advise them that al future correspondence relating to thei matter will

include our costs of £9.25 per hour. And every time we have to respond to them

or their legal reps. we will invoice them with the cost of the response, and add it

to their account.

After all, they have to pay their solicitors fees each and every time they respond

to us. Why should we often have to jump through their hoops and not get paid for it? It might stop them asking time-stalling questions if they know it is gioing to cost them more.

[bram stoker]

Check Spiceskull's thread. He's invoiced the bank already but they won't pay. He also gave them notice of the change in terms and conditions before invoicing.

 

A story yet to be concluded.

[goforit]

I don't know if it has been mentioned here, however, it is acceptable to claim contractual interest even in your preliminary letter.

[sund1ata]

I have already sent my preliminary letter off to Barclaycard. Is it too late to amend this and send an updated figure? I have quite clearly stated the amount that I would like returned already. I have put in the 8% figure, while Barclaycard charge well upwards of 20%+ as their interest rate.

[bram stoker]

As stated quite clearly in the faq's and libraries the 8% should not be added before going to court.

 

Please read very very carefully.

 

As for adding the contractual rate of interest before court, I am still looking into this, and Bankfodder isn't here until Monday, so please be patient until I can follow this through.

 

Sund1ata, you may have to send another letter. I'm not sure what to do here, but if you post the query regarding this in your thread it should get picked up.

[sund1ata]

Okay, I just got a little confused on things. I have followed things through, and have not added 8% in the first instance.

It's just that BankFodder states: "If you want to do this, you should include a figure for the contractual rate in your Prelim letter and in your LBA."

 

So. Should I have added the contractual rate in my prelim letter or not? Thanks in advance.

[bram stoker]

Ah, thankyou for clarifying what BF stated. That clears that up then. Cool. So contractual rate is requested all down the line.

 

With regards to your own letter, if you were going to claim contractual rate, yes you should have put it in your letter, but as you haven't, I don't see any reason tgo stop you putting it in your next letter or your claim.

 

Be carefull to amend any template letters you use for these circumstances, and be prepared to defend if necessary.

 

Good luck.

[c_allen]

HELP my heads in bits, i'm trying to work out the iterest on the charges they;ve took but want to work it out at 3 different rates(8%,overdraft rate 16.9%, and unauthorised borrowing rate 29.8%) I've tried to change the interest at the top but it doesn't make any difference. so I thought i'd work out the 8% easy enough, then times the interest by 1.09% to get the 16.9% rate, now i'm pretty certain that theres something wrong with this but don;t know what? any thoughts

 

I know i've posted this elsewhere but i really need help quickly:D

[bram stoker]

See other thread.