Barclays Capital - Rate swaps.

[leeby]

Sorry Pete I missed this off.

I have copied and pasted some of the text, It claims that the ISDA agreemenet was attached, but it simply never was. unless I am reading this wrong and it is all one document?

 

This Confirmation, together with all other documents referring to an ISDA Master Agreement (each a “Confirmation”) confirming transactions (each a “Transaction”) entered into between us, shall supplemen , form part of, and be subject to, an agreement in the form of the 1992 ISDA Master

Agreement (Multicurrency – Cross Border) (the “1992 ISDA”) as if on the Trade Date of the first

Transaction between us we had executed an agreement in that form but with the elections and

modifications under the Special Provisions and without any Schedule except for the election of English

law as the governing law and of GBP as the Termination Currency. All provisions contained or

incorporated by reference in that agreement upon its execution will govern this Confirmation except as

expressly modified below. As used herein, “Agreement” at any time shall mean the 1992 ISDA this

Confirmation supplements, forms a part of and is subject to (or is deemed to supplement, form a part of

and be subject to, as provided above). In the event of any inconsistency between the provisions of the

Agreement and this Confirmation, this Confirmation will prevail for the purposes of this Transaction

The 2006 ISDA Definitions are also incorporated into this Confirmation. Copies of the ISDA 1992

Master Agreement and the 2006 ISDA Definitions are attached to this Confirmation.

 

Thanks

 

[slick132]

Hi Leeby,

 

Evening Pete, I have made a complaint via telephone

Any complaint should be made in writing, so you have a complete paper-trail.

 

[leeby]

Hi Slick, I agree, what I should have said in my post was " I have asked for the correct poeple of whom I can asddress my complaint" I have a paper trail from previous request, I was actually told "there was actually no one I can speak to as such" was the reply.

 

The telephone conversation was merely a point of stating I have a complaint and I want to be emails a person or department for whom I address. You post is noted and fully appreciated. Many thanks.

 

I will explain myself better in futute to casue less confusion sorry!

 

Enjoy your day.

 

Leeby

[grange1971]

I spoke to the Information Commissioners advice line today.

 

Sole Traders and Partnerships can obtain info under the Data Protection Act, but limited companies cannot.

 

This leaves limited companies at a disadvantage, however, its not insurmountable, you can still write to Barclays Capital and ask then for copies of documents they hold, but you cannot compel them to supply them at this stage.

[Squeezed Dry]

Greetings all.

 

Quick note Leeby.

The Financial Services and Markets Act 2000 (Financial Promotion) Order 2001 section 19 requires that these products should only be aimed at investment professionals. As a sole trader you do not fall into this category. Small piont but very valid under the circumstances.

 

I will be appointed an adjudicator in the next couple of weeks so i will inform you of the dialogue.

 

As you suggested Pete i sent a subject access request. As a limited company i expect no return but i am seeking the relevant documentation.

 

Keep the faith

[grange1971]

Info updated.

Edited December 8, 2009 by grange1971

[leeby]

Hi All,

 

Today I have received a letter via courier from the President of the legal team in Barclays Capital. He basically states he has received my letter, and as my complaint is one aimed at a regulated product I am to make all correspondnace directly to him. I also have a meeting at my home this week, two representitives from Barclays. I will discuss the findings above using some of your highlighted points. I have every peice of documentation on file, the only way anything could differ, well I will leave that to the imagination. I went through my statements yeaterday and in 19 months, they have taken 92k payments and interest.

 

I only receive 54k per annum overall into the account. add this to other running cost of the buildings, insurances, repairs, etc this simply makes no commercial sense, No wonder I had to keep ploughing monies into the account. I will update you later in the week. Any pointers other than what I have would be brilliant. Many thanks

[slick132]

Hi Leeby,

 

Have you considered recording the meeting.

[leeby]

Hi Slick, Thank you for the message, I have considered recording the meeting, but I beleive the law states that I would need to make them aware of this before I could use the recorded data as evidence. alhough it would be good to use the comments in my complaints.

 

As I have been going trough my paperwork and emails, I now have evidence of the commericla manager saying that he would have the building valuation done by a mate of his to get the right value for the building, although that relates to more the commercial loan, it is all a mess if I am honest. maybe this goes on all the time.

[grange1971]

Info updated.

Edited December 8, 2009 by grange1971

[leeby]

Evening, I agree as far as not recording the meeting, although I will have a 3rd party present as witness. So I can verify what has been said. Il update you after the meeting. Many thanks for the advice. Oh BTW I have had no reply to my request for copies of docs. Time yet!

[grange1971]

Hi all,

 

Just need to clarify some detail on Barclays compliance forms.

 

Up to November 2007 the forms you need to look for are as mentioned, Agreement for Private Clients & Warrants and Derivatives Warning Notice.

 

From 1 November 2007 there was a change in regs. and the forms were consolidated into the Agreement for Retail Customers, so make sure you are looking for the right forms in relation to your swap date.

 

I am of the belief that the Agreement for Private Clients & Agreement for retial Customers, must both be signed in accordance with the composite mandate, althought he wording on the latter suggests that even if you dont sign it you are deemed to understand it and are bound by its terms. One for the FOS to decide on there, methinks.

 

The warrants and Derivatives Warning Notice clearly states to be signed by all parties to the trade, counter to Barclays view that again it can signed in accordance with the Mandate.

 

Cheers

Edited December 8, 2009 by grange1971

[JamesPreston]

I'm afraid our business too has unwittingly entered into this "Rate Swap". Costs of breaking it are around £600k and this has been added to our total liabilities so that Barclays now consider us "higher risk" and are trying to more than double their margin to reflect this increased risk.

[jason barr]

Hi all,

 

Just need to clarify some detail on Barclays compliance forms.

 

Up to November 2007 the forms you need to look for are as mentioned, Agreement for Private Clients & Warrants and Derivatives Warning Notice.

 

From 1 November 2007 there was a change in regs. and the forms were consolidated into the Agreement for Retail Customers, so make sure you are looking for the right forms in relation to your swap date.

 

I am of the belief that the Agreement for Private Clients & Agreement for retial Customers, must both be signed in accordance with the composite mandate, althought he wording on the latter suggests that even if you dont sign it you are deemed to understand it and are bound by its terms. One for the FOS to decide on there, methinks.

 

The warrants and Derivatives Warning Notice clearly states to be signed by all parties to the trade, counter to Barclays view that again it

Edited January 11, 2010 by jason barr

[slick132]

Hi Jason Barr and James Preston and welcome to CAG.

 

Jason Barr - Your post above didn't quote properly from Grange's earlier post.

 

You may want to post again to confirm what it is that you want to say.

[grange1971]

Hi all,

 

Hope to have some direction from the FOS on 3 key complaints within the immediate future.

 

If we have any level of sucess, I have been offered the free services of an 'organic marketing company' who have also been shafted by Barclays.

 

They use facebook, twitter, bebo etc to gain maximum exposure, then turn this into a press feature ie a story entitled 'bank treats customers unfairly' probably wont attract much attention, but a story entitled '75,000 bank customers join online protest' would get into the papers as a story in its own right. Social marketing, apparently.

 

Will keep updated when I have progress to report.

 

Regards.

[BARNSLEY 1]

To discover I am not the only mug to be sold a wholly inappropriate interest rate swap by Barclays Capital has been a great relief for me!

 

Entering into an interest rate hedge was stipulated as a condition of our loan. I have no experience in these markets and even now I do not understand how I could foreseen/calculated the potential breakage cost which eventually hit us. At no time (even after incurring a significant breakage cost) have Barclays supplied a method of calculation that a reasonably intelligent businessman could interpret!

 

I'm feeling pretty angry about the whole affair which has cost my business dear. I was considering sending a compaint to the Financial Ombudsman but have been told that this approach is unlikely to be successful.

 

Any advise as to the best way to proceed would be greatly appreciated!

[grange1971]

I am currently awaiting direction from the FOS - as soon as this is back I will try to offer whatever advice I can.

 

In the meantime....

 

If you are a sole trader/partnership then submit a data protection act request for all data the bank holds on you (for all your accounts with them).

 

This will take a few weeks, hopefully we will have had a response by then!

 

Cheers

[BARNSLEY 1]

Thanks for the reply.

 

We are a Limited Company and from what I've seen previously Barclays are not obliged to provide this information. Is it worth asking anyway?

[grange1971]

No, they wont send you anything under the data protection act as it only relates to living persons.

 

What date was the rate swap executed?

[BARNSLEY 1]

September 2006.

[grange1971]

You can ask them for paperwork, in particular:

 

A copy of your Mandate Instruction 9shows who can sign for the company).

 

A copy of the Agreement for Private Clients relating to derivative trades. (Thi must be signed in accordance with your mandate.)

 

A copy of Schedule 1 to the above Agreement, this is called a warrants & Derivatives Warning Notice, and must be signed by each party to the trade (as opposed to the Mandate, which can be sole signatory).

 

You also need to check that their presentation with attached disclaimers was sent to you prior to the transaction taking place - it normally looks like a powerpoint presentation.

 

That should get you started.

 

Regards

[Mr Angry Barclay]

Just thought I would show my support - also been treated very badly by barclays with a derivetives issue and now looking to sue theindividual proefessionals for negligence.

 

Keep the fight going - Barclays are wrong.

[slick132]

Hi Mr Angry Barclay and welcome to CAG.

 

[Mr Angry Barclay]

Sorry Pete I missed this off.

I have copied and pasted some of the text, It claims that the ISDA agreemenet was attached, but it simply never was. unless I am reading this wrong and it is all one document?

 

This Confirmation, together with all other documents referring to an ISDA Master Agreement (each a “Confirmation”) confirming transactions (each a “Transaction”) entered into between us, shall supplemen , form part of, and be subject to, an agreement in the form of the 1992 ISDA Master

 

Agreement

(Multicurrency – Cross Border) (the “1992 ISDA”) as if on the Trade Date of the first

Transaction between us we had executed an agreement in that form but with the elections and

modifications under the Special Provisions and without any Schedule except for the election of English

law as the governing law and of GBP as the Termination Currency. All provisions contained or

incorporated by reference in that agreement upon its execution will govern this Confirmation except as

expressly modified below. As used herein, “Agreement” at any time shall mean the 1992 ISDA this

Confirmation supplements, forms a part of and is subject to (or is deemed to supplement, form a part of

and be subject to, as provided above). In the event of any inconsistency between the provisions of the

Agreement and this Confirmation, this Confirmation will prevail for the purposes of this Transaction

The 2006 ISDA Definitions are also incorporated into this Confirmation. Copies of the ISDA 1992

Master Agreement and the 2006 ISDA Definitions are attached to this Confirmation.

 

Thanks

 

 

HI Leeby,

 

You have been sold this alsmost exactly the same as me - two phone calls, powerpoint presentation, only paperwork was rate Swap Confirmation and NOTHIONG else - no ISDA MAster Agreement NOTHING.