How to Challenge Default Notice on RBS Bank Account***WON***

[clarkenuttal]

Hi all,

I DESPERATELY NEED SOME HELP!!!! See if any one can help me with this problem.

I had a Royalties account with RBS which I never used...RBS stopped sending me Bank Statements since July 2007 and since I never used the account I hardly ever bothered...Last week I was SHOCKED to discover that I was refused a new mobile contract due to bad credit history... When I checked my Credit File with Experian I came to know that RBS placed a Default against my name for the sum of £600 last year September 2007 of which i was not even aware of... Further to this I am not even sure what this £600 is made off as I never used this account.

I changed my address around December 2007 and informed the bank about the change of address in August 2008 (8 Months Later) HOWEVER during all this time I still had access to my old address and posts coming there and I have checked that RBS never sent me any bank statements or correspondence or even a new Bank Card which expired around 9 Months ago...

I called up my Branch to inquire about these charges (As I dont even know what they are) but since then I hanve been waiting for the Branch Manager to ring me back but still no luck all I know is that Branch Manager is currently investigating.

Can anyone please help me and tell me what should I do? Who Shall I write to get this Default Notice out of my credit file?

Please Help

Regards

[dx100uk]

i think you might be better armed if your sar tem first

then you can see what it was all about

 

better to know what you are talking about first.

 

dx

[clarkenuttal]

After finally managing to speak to someone at Bank I have come to know that sum of £600 is made entirely off following Bank Charges:

 

1) Service Charge on Royalties Account

2) Unauthorised Overdraft Fees/charge

3) Interest on Un Authorised Overdraft

 

The Reason I am given is that since I didnt had any money in account when they tried taking Service charge out of my account they started charging all these various charges/fees which compiled to £600 over time.

 

The Point to note here is:

 

1) The Default amount of £600 is made off entirely Bank Charges and Service Charges

 

2) SInce July when I last used the account RBS never sent me any Bank Statements & since I never used the account I never questioned them not sending me bank statement and since I never used the account I never knew of these charges occuring on my account whilst I was not checking them

 

3) I never receieved any correspondence of me owing money to bank.

 

4) I never received any Letter of Default

 

As the first step I have requested Bank to send me all the bank statements since January 2007 till when they defaulted me so it serves as a proof when I challenge them as currently I dont have nothing to say apart from the details I was given over phone.

 

Can anyone help me what should my next step should be after receiving bank statements considering the facts mentioned above to get Default removed against my Name?

 

Do I need to write to Bank for Refund of Bank Charges or shall I challenge them for not sending Letter of Default and other correspondence or shall I write to Credit Reference Agency to get Default removed as they were made off Bank Charges?

 

I am totally confused please show me some way!!!!

 

Regards

[maroondevo52]

Hi, clarkenuttal.

 

There's a link here that might help, regarding informing the Credit Reference Agency's...............

 

http://www.consumeractiongroup.co.uk/forum/data-protection-default-issues/149449-put-your-credit-reference.html

 

You should re-claim all the charges levied on the account.

 

I'll move this thread to the appropriate Forum.

 

Regards.

 

Scott.

[dx100uk]

getting the charges back might well work once the current stay is lift, but yes get the claim in and in the queue.

 

now, there must have been 'something' that put you in the red in the first place, i would suspect that that is this ervice charge, which you would of agreed to on a monthly or years? basis when you took out the A/C?

 

so, effectively the default might well stand but not for the amount currently registered.

 

you need to look at those statements, is there a monthly service charge?

 

if so, you should of been paying it.

 

dx

[clarkenuttal]

Scott and DX Thanks for your advice and moving Thread to rite place I just need to confirm from you that when you said I should claim all my expenses does that include Service Charges too?

 

Also Can I be questioned of not informing Credit Reference Agency before default (as I mentioned I wasnt aware of any activities on my account due to not receiving any corresondence and Bank Statements)

 

In the mean time Can I also challenge RBS on the basis of not sending me DEFAULT NOTICE or at this point just Informing Credit Agency using letter you mentioned would be enough to get DEFAULT NOTICE off my name?

 

DX I am not sure when I signed Service Charges thing but all I know for now is that my DEFAULT is made off combination of Service Charges & Un Authorised Overdraft Charges but as I said I never recieved any sort of correspondence like Bank Statements or Letters or Default Notice NOT Even a new Debit Card once the old expired.

 

Scott are banks in their limits to DEFAULT me on basis of Service Charges alone as mentioned by DX? or there is likelyhood of my name getting cleared from DEFAULT as this is my Most Important Priority

 

Thanks Again guys I'll be waiting for your valuable advice

Clarke

[thefastestfox]

Hi Clarkenuttal

 

As you know from my similar post I have had the same problem.

 

First I took the RBS to court over the unfair charges.

Then I had to phone the court and ask them to send the details of the case to the RBS who then sent them on to their credit company who then had to send them to Experian.This was a long winded process involving lots of faxing and telephoning but I eventually succeeded and the RBS default was removed. Now however as you know the RBS default has been replaced with a Capquest default. I think now I am going to phone the courts again and request for the documents to be sent again but this time to Capquest. I'll let you know how I get on. Good luck with everything.

[clarkenuttal]

Many Thanks Fastest Fox

 

I would be writing to EXPERIAN first & at same time contact RBS and challenge them for Defaulting me on basis of unfair charges for which I hope they clear my name as customer goodwill however IF not then I would definitely challenge them to court.

 

Did RBS or the court you went to raised the point or challenged you for you not paying in Service Charges? Is it something that can go against me? Or did this point got raised when you took RBS to court? Also did you also challenged RBS for not sending you DEFAULT LETTER?

 

As I can see the from your case too I have similar problem of not realising I had service charges set up on account with no overdraft limit which lead to RBS charging me all these bank charges one after the other.

 

Thanks again for guiding me towards first step and would look forward to your reply

 

Cheers

Edited April 7, 2009 by clarkenuttal

[thefastestfox]

When I took the RBS to court they failed to show up and so the 'case' was struck out, possibly because they knew they did not have a leg to stand on. I have recently faxed copies of the court's findings to Capquest and am awaiting them to contact Experian to clear my name. Your first step should be taking RBS to court. Good luck.

[dx100uk]

opps missed this

no you cannot reclaim the service charges.

 

dx

[clarkenuttal]

As my First Step I have asked them to send me a copy of my Bank Statements for last nearly 2 yrs when I last remember using my account. Once that is received I would file a case against this DEFAULT for Un Paid charges.

I will keep you guys posted on this and hope this step by step update will guide my other innocent people stung by bank charges.

 

Thanks for your continuous support everyone

[rickyd]

From what I can gather, the Royalties account costs around £5/month for which you get various benefits. At the time of opening this account you should have received an information pack, or at least soon afterwards. This should explain the benefits and costs etc.

 

If you never asked for the account type you have an excellent chance of reclaiming the membership fees and since they were incorrectly charged, the associated interest from the overdraft would therefore be erroneous too.

 

The key would be to get them to prove that you actually asked for a Royalties account in the first place.

 

Regarding statements, banks have a statutory duty to advise you of charges and interest and most will send a tally of each month's costs along with the statement. If you have never used the account, for anything, you have an excellent chance of a full cancellation under the FSA treating customers fairly legislation, but to benefit from this you need to register a complaint through their procedures and give them a chance to explain. As the process is monitored by the FSA this will ensure a quick response. What you mustn't do is mention unfair charges or the complaint will be parked with several thousand others waiting for the court case to be decided later this year. Your claim is about poor service more than unfair charges and if what you say is true, they cannot possibly defend this as you never used the account or associated benefits. Don't write, go into a branch and make your complaint in person, it'll save time and avoid the chance of your letter getting "lost in the post".

[rickyd]

sorry, but I just re-read your various posts. You said earlier that you never used the account but later said "when I last remember using the account" be careful here as non use strengthens your case immensely, but using it puts you in a weaker position.

[clarkenuttal]

Hi Ricky d .... I did used the account for a while but it was later not used for a long period of time including the time it was sent for default.... I was not sent any bank statements during this time and since I was not using the account I was least bothered about receiving any statements...

 

Following are facts how they stands:

 

Account Last Used: June 2006 (Had some money in the account which they kept taking for Service Charge which was £6/month)

 

Account's 1st un-authorised Charge: July 2007

 

Account Defaulted: September 2008

 

So Effectively I never ever used the account or Debit card or anything whatsoever from June 2006 onwards not even inserted debit card in any ATM to check balance or whatsoever.

 

Given this dont you think I stand a better chance to challenge RBS by taking them to court and challenging them on basis of un fair charges or would you still suggest going to FSA instead?

 

Regards

[rickyd]

Tricky one, I don't think you'll get very far with the unfair charges as they are caused by membership fees, which I guess the bank would say you signed up to. This is a bit like agreeing to a regular payment but not funding your account to cover the payments. I don't suppose you didn't actually sign up to the Royalties account? If you didn't you'd be on a much stronger footing as you could say you left money in your account and hadn't spent it so weren't expecting any charges. If you did, I would play the " I wrote in ages ago to get the account downgraded but you lost my letter" ploy. There's nothing to lose and as you hadn't used the benefits your case would be stronger. The best place to start would be a formal complaint to the bank asking why they never advised you of the charges? depending on their answer your line should be " I've never used these benefits so I'm not paying for them" If that doesn't work I'd go to the FSA under the "treating customers fairly" legislation. Let me know how you get on?

[clarkenuttal]

I have decided to challenge them on the grounds of them never sending me DEFAULT NOTICE. If they fail to communicate with me in the time permitted by the law I would take them to court and there I would have a lot more evidence in my support.

The first letter I have sent them is as follows

Edited June 24, 2009 by clarkenuttal

[clarkenuttal]

My Name

My Address

 

 

Customer Relations

Customer Central Support

First Floor

The Forthstone

56 South Gyle Crescent

Edinburgh

EH12 9LE

 

 

Dear Sir or Madam

 

Account number - xx xx xx xx

Sort Code – xx xx xx

 

After recently obtaining a copy of my credit file from Experian I was concerned to note that your RBS has placed a "Default" notice against an account in my name. After requesting copies of backdated bank statements (as RBS failed to send me bank statements over a long period of time) I have come to know that Default amount is comprised solely of bank charges accumulating over time which is a case currently under hearing at the House of Lords.

 

Further to this I don’t have a recollection of ever receiving any notice of default, and I therefore require you to substantiate this data at your earliest convenience.

1. You must supply me with a true copy of the alleged agreement you refer to. This is my right under your obligation to supply a copy of the agreement under the legislation contained within s.78 (1) Consumer Credit Act 1974 (s.77 (1) for fixed sum credit). Your obligation also extends to providing a statement of account. I enclose a £1 postal order in payment of the statutory fee, PO Serial Number xxxxxxxxxxxxxxxxxxxx

 

2. You must supply me with a signed true and certified copy of the original default notice.

 

3. Any deed of assignment if the debt was sold on

 

I would request that this data is provided to me within the next 28 days, if you are unable to provide this data then I must insist that this default is removed from my files as unsubstantiated.

 

 

Yours faithfully

My Name

Edited June 24, 2009 by clarkenuttal

[clarkenuttal]

Since 28 days have now passed and I havent received no replies/correspondence from RBS I have sent them second letter. Both of them have been sent as Recorded Delivery so I have more and more evidence to make my case solid.

 

Also I have already put my credit reference agency on an alert and they have changed my "DEFAULT" status to "DEFAULT UNDER DISPUTE"

 

Following is my second letter which again was sent Recorded delivery

Edited June 24, 2009 by clarkenuttal

[clarkenuttal]

My Name

My Address

 

 

 

Customer Relations

Customer Central Support

First Floor

The Forthstone

56 South Gyle Crescent

Edinburgh

EH12 9LE

 

Dear Sir or Madam

Account number - xx xx xx xx

Sort Code – xxxxxx

 

I wrote to you on the 20/05/09 asking for some relevant information. I have enclosed copy of the same letter which was sent via recorded delivery duly received by RBS on 23/05/09.

 

Till the time of me sending you this letter RBS has failed to answer any of the questions put to you in the original letter.

 

As 28 days has now passed from the date of the 1st letter you are now in breach of your duties under Section 78 of the Consumer Credit Act. If you do not answer my original questions and reply within 7 days I will have no choice but to escalate the matter to the relevant authorities including the Banking Ombudsman, Office of Fair Trading and the Information Commissioner's Office.

 

Yours faithfully

 

My Name

Edited June 24, 2009 by clarkenuttal

[clarkenuttal]

Any advices and suggestions at this stage are highly appreciated as they would help me move in right direction.

Regards

Edited June 24, 2009 by clarkenuttal

[rickyd]

re-reading this case I can see that there does seem to be a case for non-compliance under the act. My experience is that a concern file will have been raised for your account and all contacts will have been recorded on this file. The main issues seem to be non-receipt of bank statements (they need to show they sent them) no advice of intention to default your account, depends greatly on what address details they have for you, whether or not they attempted to contact you along the way, or whether they decided to just default without notice. There's also the possibility that they have "parked" your file along with all the others claiming unfair charges under the FSA exemption granted until the court case has been settled.

 

I would suggest a telephone call to Customer Relations, that should be interesting! As you are able to tell them when then received your recorded delivery letters they won't be able to claim non-receipt. This woill also push your case up the queue as its very much a case of the dog who barks loudest gets fed first. How much are we talking about in total now?

[clarkenuttal]

Thats exactly what I see myself too that there's been a case of non-compliance as well as a case of unfair charges. Thats the whole reason I have taken this step before knocking on the doors of court so that one way or the other my DEFAULT gets removed and now this gives me double the chance as now I will be challenging them on basis of non-compliance and unfair charges. They do have my correct address on file and if you noticed with all my letters I've sent I have included my address on top and by doing so I've left them with no room for RBS to raise any issue of not having my address.

I would write to them exactly in a weeks time with a FINAL NOTICE to produce my DEFAULT LETTER as they are clearly in breach of Consumer Credit Act 1974 (As mentioned in my First Letter). I want to do all my proceedings in writing and send them recorded delivery so they all can be produced and used in court (If I end up dragging them to court) as evidence while phone call wont have any evidence/proof.

Alltogether the amount comes up to around £450 comprised solely of unfair charges and interests on it but issue is not this £450. The actual issue is having a DEFAULT on my credit file for reasons I have not been responsible for.

Cheers

[clarkenuttal]

Finally I have heard back from Customer Services and now it seems they know they are dealing with someone who knows his rights. I just hope I get them to remove default on the basis of series of non complaince rather than dragging them to court.

 

I will keep you all posted. Your views/reviews are very important so please keep me informed on your thoughts

 

Regards

[clarkenuttal]

Our Ref: xxxxxxx

 

Date: 26 June 2009

 

My Name

My Addresss

 

 

Dear (My Name)

 

I refer to your complaint regarding your account with the Royal Bnak of Scotland

 

The refeernce number for your case is xxxxxxx

 

Initially let me thank you for bringiing this to my attention as it is important tht we are made aware of any instance where our customers feel that we have fallen below the standards expected of us.

 

As part of the Customer Care Team I have read your complaint carefully and I am currently investigating the issues you have raised. I will be in contact again within 10 working days to provide you with either afull response or further update of my investigation.

 

I will do my best to resolve your complaint quickly. To make you aware of all the options available to you I have enclosed the leaflet entitled "Service-making it better", which explains how we handle customers concerns with the Royal Bank of Scotland.

 

If you would like to contact me in the mean time, please call me on xxxxxxxx and I will be happy to help

 

Yours Sincerely

 

Miss ABC

Customer Care Team

 

It is important that you quote the full reference shown above in all correspondence with this Department

[rickyd]

I don't want to dampen your enthusiasm, but this is a word perfect standard initial response per their Concerns process.

 

If you read between the lines it neither agrees nor disagrees with your points, just acknowledges that you have written.

 

The real detail will come from the next response, once they have looked into your complaint and taken advice from Group Legal Services on how to answer you.

 

Fingers crossed though as the FSA imposes very rigid time scales on the process from here on in and the clock is now well and truly ticking.