egg/moorcroft

[militantconsumer]

There are lots of people challenging this exact agreement. Here is why:

http://www.consumeractiongroup.co.uk/forum/legal-issues/169828-egg-card-cca.html

 

For next steps, I suggest you send a dispute letter by special delivery asap, as they have to then suspend action and investigate it. I sent one here:

http://www.consumeractiongroup.co.uk/forum/egg/178357-militant-consumer-challenges-egg-2.html#post1957368

Mine also includes elements about payment protection insurance - you will need to remove those if they aren't relevant.

 

Once you have got them off your immediate back you need to think about what you want to do - as steven asked, what do you want to achieve? Do you want to keep paying a few quid a month for ever more, or to stop paying entirely?

 

How much is the outstanding debt? Could it be almost entirely eliminated by reclaiming penalty charges?

 

How much have you paid in charges over the last 6 years? Egg are paying them all back plus 8% per year interest to people who complain enough times.

 

Have you been paying Card Repayment Protection? If so, did you buy this online or over the phone?

 

If you decide you agree that the agreement can't be enforced, do you have the courage and sheer bloody-mindedness to stand up to the debt collectors? (after all, their job is just to scare you into paying).

 

If you are taken to court, there will be people on here who can help you. If it comes to that, here is a really useful introduction to the process:

http://www.consumeractiongroup.co.uk/forum/legal-issues/108467-basic-introduction-consumer-credit.html

[militantconsumer]

thank's for that, should i also send them an sar at the same time?

 

It only costs £10 and can make very interesting reading.

 

However, you should remember that a SAR is only a request for information and will not in itself mean that any action against you is suspended. It just might give you more tools to defend yourself with in the future.

[militantconsumer]

I would say fine, except that my "two reasons" were 1) missing the word "credit" and 2) payment protection insurance.

 

The fact that it is called a "Credit agreement" rather than a "Credit card agreement" does not make it unenforceable, just improperly executed. I just included this line of argument for extra collateral ammunition.

 

What I am saying is you only have "one reason" not "two reasons".

 

If you want a second reason I suggest you look at this new thread started by PT:

http://www.consumeractiongroup.co.uk/forum/legal-issues/188093-egg-credit-agreements-what.html

This includes points about interest rates for cash withdrawls and the fact that default charges are not detailed.

 

I was not aware of these issues when I wrote my letter. (but I am now )

[militantconsumer]

I think the 1st letter you wrote is absolutely fine - just change "two reasons" to "one reason". You can always use the other arguments later.

 

If what PT is saying is correct (and he is saying that he has defeated Egg 5 times over this in his professional life) then just the "approved limit" vs "credit limit" arguments are enough to render the alleged debt unenforceable.

 

I assume you have already been defaulted on this account. In which case the worst they can do (other than harrassment) is take you to court, which they probably won't do if they know they can't win.

 

Try sending your letter to the current debt collector. They will probably send the account back to Egg. Then Egg will probably sit and wonder what to do next, like they other on all the other accounts where people are challenging them for this reason.

[militantconsumer]

Does this mean that Moorcroft have given up and so Egg have passed your account onto Capquest instead?

 

They shouldn't be passing an account around at all if it is in dispute.

 

There is no harm in sending a copy of your previous letter to Capquest.

 

Ignoring letters and doing nothing is not always a good idea.

 

Having said that, the above really does look like a standard threat-o-gram letter designed to scare you. The solicitors letter they mention is a mystery - why would debt collectors still be chasing you if things were now in the hands of solicitors?

[militantconsumer]

have received an update from egg's investigation. they have so far been unable to reach a decision and are continuing their enquiries!!

as they have not reached a decision within 8 weeks i have a right to refer the complaint to the fos. should i just wait & see what they come up with when they finish their investigation? i have read on many threads that the fos tend to side with the credit card companies anyway.

 

Does this mean that Capquest have stopped hassling you and it's gone back to Egg?

 

To answer your question, again it depends what you are trying to achieve. In my friend's (Egg Card) case we have already been defaulted and so have now stopped paying and just complained to the FOS - though we did wait as long as possible:-

http://www.consumeractiongroup.co.uk/forum/egg/178357-militant-consumer-challenges-egg.html

 

I think Egg's slow response is typical - we have just receive the same letter on our Egg loan account.

[militantconsumer]

Well, if you still want to drag this out as long as possible you could take them up on their suggestion of complaining to the Financial Ombudsman Service within six months.

 

This will also hit them in the wallet, win or lose.

 

Did we ever establish whether there was any PPI charged on this account?

 

Something else you may wish to do is ask them what "well established point of law" and "recent case law" they are referring to. That is a reasonable question because they are basically saying they will damage your credit rating based on this law, but they haven't said what the law is.

 

It's interesting that they claim that "none of our collection activity breaches any codes, rules or regulations". This is always a good place to check if that is really the case:

http://www.oft.gov.uk/shared_oft/business_leaflets/consumer_credit/oft664.pdf