Amex & Newmans - at my wits end

[alex2258867]

Having major bother with Newmans regarding Amex debt of £2700 and was looking for some advice.

 

Fell behind on payments on an Amex card that was taken out in April 2008 (lost job etc) and have negotiated a token payment with all, they are not happy but agreed. Amex would not accept the token payment and referred account to Newmans.

 

Wrote to Newmans, explained situation but they are having none of it. Receiving threatening letters every couple of days. The last letter (today) has stated that this is my last chance to pay otherwise they will force bankruptcy. They claim to have 'investigated' and they believe my assets will cover the debt...they are very wrong. I live in rented accommodation, don't have a car and have nothing of any value. I told them this, but I was ignored.

 

What would be the point of making me bankrupt? I have nothing to give them or sell. Are they bluffing? Anyone else been in the same boat?

 

I have complained to Amex (awaiting a response) and the FOS (acknowledged with ref number). Should I tell Newmans I have complained?

 

Sorry for so many questions, but it can get a bit confusing on here!

 

I could CCA them but as I only got the card last year, prob a bit pointless.

 

many thanks

[ScarletPimpernel]

You are on the receiving end of Amex's standard process. The letters claiming to have investigated your assets, and threats of bankruptcy are template boolsheet and are not worth a detailed response. The aim is a. to get you to pay more than you can afford and b. to get you to contact them by phone so they can pressure you into a. above.

 

It goes without saying that you should never speak to Amex or their DCAs on the phone.

 

Have Amex added one of their ubiquitous 'file referral fees'? If so, write to newmans telling them that you formally dispute the alleged debt because the file referral fees do not comply with the OFT Guidance, and that the matter is also the subject of a FOS complaint. The OFT Guidance requires them to suspend all collection activity because of the dispute. This will probably stop Newmans, but Amex will pass it to another DCA, then another, and so on.

 

In theory they could issue a Statutory Demand, but a disputed debt is grounds for having it set aside, and claiming costs from them. I'm not aware of DCAs using SDs frequently in Amex cases. They do, however, go to court, but given the state of your assets, if they got judgment they'd get £1 a month and be stuck with it.

 

Amex are tedious, persistent, and non-compliant, but they can be kept in check with tenacity and patience.

[kurvaface]

This may be the wrong time to ask.... but would a bankruptcy ever be a good thing?

 

Perhaps it might save you a load of bother and allow you a fresh start. I ask this in my inexperience:)

 

 

 

edit like for instance this:

http://www.consumeractiongroup.co.uk/forum/formal-solutions-bankruptcy-administration/209132-lots-debts-thinking-bankruptcy.html

Edited July 14, 2009 by kurvaface

[Bazooka Boo]

Bankruptcy is second to IVA's, both should be deemed as a last resort!

 

Not only would you need to find the money to declare bankruptcy, but it is pretty much a roll over and die attitude. Much better to dig your heels in and exercise your rights as a consumer:D

[cerberusalert]

Bankruptcy is second to IVA's, both should be deemed as a last resort!

If the debts do not exceed £15,000 & there are no assets Debt Relief Order - Wikipedia, the free encyclopedia would be better & a lot cheaper.

[IdaInFife]

also if you have wrote to newmands with an offer of payment, have you made the payment/s?

 

if you are offering payment it's always wise to contimute with your payment proposal

 

Ida x

[smouk]

Amex and the DCAs they drag in will set out to make you feel uncomfortable/scared/suicidal.

 

The first thing to do IMHO is scrutinise everything that Amex have said and/or done and post up specific Qs here.

 

This is my experience to date: Amex DN

[alex2258867]

Thanks guys for the inpute. Still unsure what to do next, but will wait and see what the next letter brings. Hopefully Amex will see that attempting to make me bankrupt would be foolish on their part, they would walk away with nothing.

 

I have been paying the £1.00 every month.

 

Should I write to Newmans and tell them I have lodged a complaint with Amex and the FOS? The last time I complained to them about my treatment, I got a really nasty letter back.

 

Many thanks

[Bazooka Boo]

I have been paying the £1.00 every month.

 

:DGood continue paying this payment as it will show that you are willing and will add to your defence if needed.

 

 

Should I write to Newmans and tell them I have lodged a complaint with Amex and the FOS? The last time I complained to them about my treatment, I got a really nasty letter back.

 

Off who? The FOS or Nancy newmans?

If it was the latter I do hope you lodged a formal complaint!

 

IVA | Individual Voluntary Arrangements | IVAs | UK Debt and IVA Advice Help I have found these a very useful bank of knowledge:D

 

Bankruptcy is an option that often has to be considered when an individual cannot pay their debts as they fall due. A first time bankrupt with debts will generally receive their discharge one year after the date of the bankruptcy order (there is the possibility that in some cases the bankruptcy discharge period will be less than one year).

[alangee]

Having had experience of Amex, You are likely to get a Default Notice soon, followed about six weeks later by a Cancellation/Termination Notice. I have never seen a good/valid Default Notice from Amex, so when you get it post it up so that we can see it, and advise you further on what to do.

 

Alan

[smouk]

Update?