MBNA debt help

[Lady in Hell]

HI, I wonder if someone here can help advise me?

 

I no longer have a credit card but I have a rather larger outstanding account with MBNA, which is just under £9000.

I have been finding it very difficult to make the min payments the last few months, and have even had some help with borrowed cash from family. I finally came to the realisation that this debt is crippling me more and more as time goes on, and that what I am paying is only actually covering a few pounds off the actual balance, and the rest being eaten up by the interest.

 

I went to C.A.B and they gave me some info and told me to contact them with what I could afford to pay them and ask them to also freeze interest. I wrote them a letter, also accompanied by my incomings and outgoings, and outlined that I would like to set up a repayment plan of £50 per month. My current payment is between £115-£145 (basically whatever figure they decide to pull out of thier hat) per month. I know what I have offered them seems measley, but I'm really struggling at the moment. They replied and asked me to ring and discuss this further. I have done this, and over the last two days have spent rather a lot of time talking to people at the company, who have done nothing but confuse, patronise and intimidate me. They seem to think I have at least double that spare per month but refuse to give any sort of explanation on 'their' figures. The phonecall yesterday left me shaking and in tears....pathetic I know.

 

They told me to redo my assessment and refused to take any other payment than the min, of what I owed for this month. Since then I have managed to pay them £50 today which they accepted.

 

I have got other debts but all of which are small in comparisom to this, and am 'just' about managing.

 

Most of the advice I have been getting is to consolidate all my debts into one, which I'm reluctant to do. Also that if I don't pay MBNA then they will apply for court action and could even enforce a bankrupcy order against me...which has scared me to death!

 

I'm hoping to go to the C.A.B again tommorrow, but am trying to get as much advice and opinions as possible as to what I can do.

 

Is it right that I have to go through this proceedure with everyone, just so that MBNA will meet me on better terms?

[42man]

Hi LIH....and a warm welcome to the CAG forums.....my first advice would be to send off for a copy of your agreement which you can find here - http://www.consumerforums.com/resources/templates-library/86-debt-collectors/581-cca-request-letter - You need to send this letter recorded with a postal order for £1 - If they can't provide this within 12+2 working days then they are in default of your request, whilst in default they cannot enforce the debt.....

 

And also have a read here too - http://www.consumerforums.com/resources/templates-library/86-debt-collectors/609-mbna-agreementsapplication-forms

 

And DO spend some time reading around these forums also....

[cerberusalert]

You should requrst a CCA http://www.consumerforums.com/resources/templates-library/86-debt-collectors/581-cca-request-letter from MBNA to see whether there is in fact an enforceable agreement in place. Include a £1 postal order and send recorded delivery. They have 12 working days from receipt to provide you with a copy of your agreement, if they fail to do so or provide an unenforceable one you can legally withold any payment until one is provided.

 

You should also send a SAR http://www.consumerforums.com/resources/templates-library/86-debt-collectors/576-subject-access-request-debt-a-dca which will cost £10 & should also be sent recorded delivery. With this they have 40 days to supply the information. With what you receive back you should be able to determine what unfair charges have been added to your a/c which you can claim back.

[42man]

From now on get everything in writing, you can only pay them what you can afford.....also did they ever send you a default notice ?

[Dinkjames]

Hi there. Sorry to hear about your dealings with MBNA. I am currently also fighting with them about credit cards, unlawful charges, etc.

 

Rule no 1: NEVER talk to a creditor on the phone. Having done exactly that with MBNA, they just bamboozle you with figures and try and get as much out of you as possible, without any consideration for your circumstances.

 

I would suggest that you send them template letter B from http://www.consumeractiongroup.co.uk/forum/general-debt-issues/20758-creditors-dcas-letter-templates.html If you have already made the payment that you can afford, amend the letter at the bottom to state that you have already made a goodwill payment in line with the offer in your letter.

 

If they come back to you (and they will) and state that they are not willing to accept the amount, then send them letter D or E depending on their response http://www.consumeractiongroup.co.uk/forum/general-debt-issues/20758-creditors-dcas-letter-templates.html

 

But keep paying them what you agreed in the first letter, even if they say it is not enough. Least that way, you are seen as being reasonable and they are not. Probably best to set up a standing order.

[Lady in Hell]

Thanks for the welcomes and the advice given.

 

I keep hearing stuff about CCA's and have also seen SAR mentioned before, so will definately check those links out.

 

A couple of things I will mention is, I am long term unemployed and on benefits.

 

I haven't had any default notice off MBNA yet, as I've managed to pay them up until now. I did have some complications with them about 2 years ago as they doubled my interest...but that eventually got sorted out.

I am aware that they will already have referred me to a debt collections agency..as they did this before also and I should start recieving these nasty letters sometime next week.

 

I agree that I should never discuss via the telephone, and have finally learnt my lesson on that. I've never had any good communication with this company, they are just very unapproachable and horrible to deal with, it's beyond belief!

 

Another thing which may be worth mentioning is, I never initially applied for an account with MBNA. The credit card account was with RBS, but for some reason was given over to them. I very foolishly never followed this up, but it was about 7 years ago. To my knowledge I never signed anything, but was told off an advice line earlier today, that as I had been using the account and repaying it, then it makes no difference.

[cerberusalert]

but was told off an advice line earlier today, that as I had been using the account and repaying it, then it makes no difference.

What matters is whether there is an enforceable agreement in place. The fact that you have been making payments doesn't matter, the point is although a debt may exist the crux of the matter is whether repayment can be legally enforced.

[Lady in Hell]

What matters is whether there is an enforceable agreement in place. The fact that you have been making payments doesn't matter, the point is although a debt may exist the crux of the matter is whether repayment can be legally enforced.

 

 

That is very interesting - thanks. I am very intrigued by this and will definately do as advised.

[Guest liamgee]

I am really sorry to hear of your plight and I can echo what the other posters are saying. Send of a section 78 as they have recommended and post the results here for us to take a look at. Ensure you remove any personal details before putting the results up.

 

What absolutely frustrates me about your case is the Citizens advice have really gone to town on the Claims Management Firms (and in most cases rightly so) and told people to come to them and yet they did not advise you to check the enforceability of your contract.

[Lady in Hell]

 

What absolutely frustrates me about your case is the Citizens advice have really gone to town on the Claims Management Firms (and in most cases rightly so) and told people to come to them and yet they did not advise you to check the enforceability of your contract.

 

 

Thanks, and yes you are absolutely right about the Citizens advice. I only started hearing about these CCA's etc by doing my own research online and reading through forums. Thankfully I'm the type of person who likes to get as many opinions as possible rather than acting on just the one.

 

I've just printed out the template for the CCA letter, but something occured to me that I thought I should mention...

 

After I had sorted out my problems a couple of years back, regarding the doubling of APR, and finally getting my account back on track, something strange happened. I had a phonecall off MBNA telling me that my card had possibly been used fraudantly and that not to worry they would close the account immediately and issue a new card...this being the only ever time that they were pleasant and helpful. They did just that, closed my account but no card came. When I chased them up they said that they wouldn't send another card as I was teetering very close to the credit limit and it wouldn't be wise etc etc....which I had to agree with.

 

Anyways (sorry for my long winded-ness), when I send this CCA letter of request, should I ask for the info regarding both acc. no's and send a postal order for £2.00? This account number only had relevance for the past two years (or just under), the old number, when 'active' I had for about 6 years.

[cerberusalert]

Just send the £1 but state both a/c no.s because in effect it is still the same a/c.

[Lady in Hell]

Just send the £1 but state both a/c no.s because in effect it is still the same a/c.

 

Ok, thanks for that.

 

 

I've been reading some MBNA related stuff on the net and I came to a thread on another forum where someone was advised to contact them for their CCA, but was worried about sending a cheque incase her signature was scanned! She was told that it was because of these stories that sending a postal order was the best option. I was quite horrified about the thought that this may go on in companies but am now worried about putting my signature on any written correspondance that I send, but as talking to them via the telephone is no longer an option, what can you do.

 

Am I being over-paranoid here?

[cerberusalert]

We always advise to print your name rather than use a normal signature, there is nothing wrong with doing that and creditors/DCAs cannot force people to provide specimen signatures in fact the Information Commissioner as provided guidelines in the matter;

 

2. Do you have enough information to be sure of the requester’s identity?

Often you will have no reason to doubt a person’s identity. For example, if a person with whom you have regular contact sends a letter from their known address it may be safe to assume that they are who they say they are.

 

http://www.ico.gov.uk/upload/documents/library/data_protection/practical_application/checklist_for_handling_requests_for_personal_information.pdf

http://www.consumeractiongroup.co.uk/forum/attachment.php?attachmentid=8861&d=1242456802

 

It has been alleged that some unscupulous companies have used signatures for nefarious reasons with the use of Photoshop.

[Lady in Hell]

Thanks for that info, but bloody hell, I can't believe how naive I am...but what has this world become!

 

I had been thinking about how much stead a printed signature would carry, and will definately be using this option in future. I am however still concerned that they already have my signature from previous correspondence of late, but not a lot I can do about that now I guess.

 

Time to wise up I think! Thanks so much everyone for all the advice and insight, I am learning so much, and will continue doing so.

[Dinkjames]

I use a digital signature on all my correspondence. See the guide courtesy of Nitrousoxide http://www.consumeractiongroup.co.uk/forum/general-debt-issues/110578-digital-signature-guide.html

 

And every time I sign a letter, I change my signature. That way, they never know which one is actually mine. If they do decide to cut and paste one, they better hope it's the same as the one on my passport and drivers licence.

[Lady in Hell]

Ok, I've sent off for my CCA this morning but I kept having this feeling that something was wrong. It's just come to me that I very foolishly forgot to put my address on it. Although I know that they can get my details from my name and acc no, should I rely on it, or resend it all on Mon morning? I know how awkward this company is, and am worried that they could use this as some excuse if they don't reply to me.

[Lady in Hell]

I just wanted to give this a little *bump* as I'm still worried about the fact that I left out my address on the CCA request to MBNA.

 

I'm hoping to get the SAR thing done tommorrow.

 

While I'm here, one thing I wanted to ask is..has MBNA got any right to know who my other creditors are? On a previous conversation to them last week, I was told that they needed more information in regard to the expenditure I had sent them..ie. , other creditors, full balance info etc.

The way I structured it was....'other credit card,' 'catalogues.'

I am sure that I read somewhere that a company has no right to know the names of exactly who else I pay, but am now doubting that.

 

Can anyone please clarify?

Thanks:)

[cerberusalert]

I just wanted to give this a little *bump* as I'm still worried about the fact that I left out my address on the CCA request to MBNA.

They'll get your address through the a/c no.s.

has MBNA got any right to know who my other creditors are?

They have no right whatsoever.

[Lady in Hell]

They'll get your address through the a/c no.s.

They have no right whatsoever.

 

 

Thanks on both accounts.

 

Also, can I just ask if I have to contact all of my creditors and make arrangements to pay reduced payments, even though it's only MBNA that is causing me the problems? I am getting mixed opinions on this. Some say that yes I must, but others say that no I don't, as it is the large debt with them that is causing me all the problems. I know if I go down the consolidation route, obviously that will be the case but initially I only wanted to sort out MBNA as my other debts are relatively small in their minimum payments. I know all this will affect my credit file, but it's gonna be even worse if i go the same route with the others.

MBNA themselves told me that I have to contact everyone else or they couldn't help me.

[cerberusalert]

If your other creditors are accepting your reduced payments there is no point in contacting them really, they'll soon get in touch with you if & when they want you to increase payments.

[Lady in Hell]

If your other creditors are accepting your reduced payments there is no point in contacting them really, they'll soon get in touch with you if & when they want you to increase payments.

 

 

Thing is though, apart from the gas and council who I've been paying reduced payments too, I haven't felt the need to contact anyone else as the payments and amounts are relatively low and manageble, and nowhere near my debt to MBNA.

[shakti]

hi lady in hell

welcome i'm getting about 4 phone calls a day on my work mobile (i changed my home no. and they don't have that) from RMA they leave messages and they can be quite intimidating bordering on threatening so i just delete them, the best bit of advice i read on here was UNDER NO CIRCUMSTANCES TALK TO DCA's they are **** so always keep to this rule and you'll be ok i'm a new cagger but the best help and support is here .....so you've made it any problems just drop a line and you'll get some good advice

all the best

shakti

[Lady in Hell]

Thanks Shakti, I agree the best help is here, in fact if it wasn't for this place then I would be a lot more fearful than I am now.

RMA tried calling again this morning, but I ignored. I'm not stupid enough to realise that very soon I'm gonna get the 'hate mail' from both companies. It'll prob be like buses, none arrive then they all come at once, but none of them will be the one I want to get on!

 

I'll keep updating here and pop over to Capricorn's thread too.

 

Thanks again.

[pompeyfaith]

are u with BT if so use choose to refuse to block the numbers PF

[shakti]

better still you could change your number that would really frustrate them the key is to lessen the stress on yourself .. i know they can not contact me at home so it feels good and i only have my mobile on at work so i miss alot of their calls and when they do ring i just reject the call .... I'M in control of their rubbish