GE Money PPI on Mortgage & a Secured Loan

[delicarik123]

Hi all

 

New to this forum this weekend, have already had some smashing advice re bank charges...however, I have had some serious problems with GE Money.

They are bullies, and I will try and keep this brief, if anyone can steer me in the right direction I would be most grateful.

 

I have a mortgage with GE money, and last year my husband came out of work, made it hard for us to pay anything back. Despite several communications with them it took them around 6 months to advise me that i could actually go on interest only, but the whole time i was in arrears previously they were charging me lots of fees, which i believe are now added to my mortgage...where do i stand with this.

 

Unfortunately I also have a secured loan with them. This i am still trying to catch up on and I believe that they are charging me £40 per month every month i am behind. obviously this does not help when you are struggling anyway. Can I claim back on secured loans and mortgage?

 

If you can help i would be very thankful, if i need to clarify anything further please ask as TBH i am so stupid when it comes to mortgages/secured loans as to where i stand legally, still trying to read up on everything on this site

[Guest Old_andrew2018]

IMHO any penalty charges they have levied can be reclaimed.

[delicarik123]

Thanks for that will certainly look into it

[delicarik123]

in relation to claiming back fees from GE, for both mortgage and loan, am i asking for any paperwork from them? eg SAR ? can anyne advise how i initially approach them about the claim.

 

thanks in advance

[Guest Old_andrew2018]

Once you have the paperwork you need to work out the total charges levied.

Armed wth this information you start by approaching the lender asking for it back, this is followed by a Letter Before Action.

This is some advice about what you can claim http://www.consumeractiongroup.co.uk/forum/mortgage-companies/139339-what-you-can-cannot.html#post1482245

 

Andy

Edited October 23, 2009 by old_andrew2007
link added

[delicarik123]

Thank you. Will get the letters issued straight away and take it from there. i have been reading other posts and they seem to do the same to all their customers who have had difficulties in paying, even when they have made a mistake they threatened me with litigation!

[delicarik123]

I have in my possession a letter from GE with regard to my mortgage. it states:

 

Following a review of your account, your monthly instalment has increased to £xxx.xx with effect from 31st May 2009.

We have made this change to include repayment of your fee balance of £1675.05. Should all payments be received these fees will be repaid over the remaining term of your loan,

Please note: The above revised amount does not include amounts to clear arrears.

Now am i right in thinkin this must be the figure I have incurred in charges and that by them putting this onto my loan i am also now going to pay additional interest on this amount. I know i may seem thick, but i have never claimed anything back in my life so this is all so very new to me.

 

Any opinions most welcome.

Thanks Deli x

[delicarik123]

bump...

 

Anyone?

[Gallahad]

on bbc teletext today....

GMAC-RFC mortgage lender fined by FSA for mistreating customers who fell into arrears. They have also been told to repay £7.7 million plus interest to 46,000 of its borrowers. FSA said the company levied unfair charges on customers who fell behind with their payments and were too eager to reposses them. GMAC apologised and some of its charges had been excessive.

I trust this may assist your cause.

[delicarik123]

Excellent! thanks. I had a surprise call from them today, completely forgot that i had also complained in general about their advisers incompetence! She could not apologise enough and offered me a "gesture of good will" to the sum of £50! not bad, was just a complaint lol

[delicarik123]

Quick question. I have received all info from GE money!! only company that has complied so far!

 

I am currently going through all this information, and there are lots of pages! I am highlighting all the unpaid dd fee and admin charges, the unpaid dd fee seemed to jump from 20 to 25 at some point! also the admin fees are 40 every month you are in arrears, i understand you cannot reclaim solicitors fees, but can i reclaim "additional interest" ?

 

Any help would be appreciated.

 

Thanks

[delicarik123]

Ok so now i am very confused ! The charges put on my account according to the statements i have received right back to 2006, including additional interest comes to £1263.46 by my calculation. Now as you see in my previous post that they are adding my fees of £1675.05 to my mortgage! Where on earth has that figure come from?!:confused:

[PGH7447]

what interest did you use and what interest did they use

[delicarik123]

hi,

 

I have just used their statement which shows as "additional interest" the only difference i can see maybe the solicitors fees which i can't claim back so have not included.

[delicarik123]

OK, will go for the charges i have added up. I think the rest of the charge they have added to my mortgage were solicitors fees? Are they allowed to capitalise it? Just that means I not only owe them the solicitors fees but going to pay interest on them for the next 20 yrs?!!!

 

Can anyone point me in the direction of the letter i send to request back the charges?

 

I just ask for the charges back and not add the 8% interest, am i right?

 

Thanks x

Edited November 8, 2009 by delicarik123

[Dougal16T]

Good morning

In EXACTLY the same position with GE Money. According to the statements, they have not only set out the interest on the loan, but when in arrears there is also another figure which is called 'additional interest', and also has a different 'transfer code' against it.

 

Now my view of all of this is that this is not allowed....i.e.: unlawful, as it would be interest on the arrears which are already increasing due to no payments being made (divorce, work problems, streess....etc)

 

I am already in contact with their solictors and for the charges alone, the sum is over £4500, saucy p*g offered £800!!

 

I have now discovered this additonal interest, [thanks to a colleague], and have now recalculated claim to be in excess of £7000. Have written to them...waiting for response.....

 

I WILL sue for the whole amount if no sensible agreement reached. They cost me so much in streess and unneccessary litigation....

 

 

Watch this space..

 

I am not done with them by a long chalk......they are so similar [identical!] to GMAC.

 

Google their name and see what happened to them!

 

All the best as always

Dougal

[delicarik123]

I am sure at one point i had a mortgage with GMAC! I must look that up, maybe worth going for stuff back off them.

 

In the meantime is it this letter i am sending to claim charges back from GE?

 

Request for repayment of charges

 

Dear Sir/Madam,

 

ACCOUNT NUMBER: xxxxxxxx

 

 

My request

 

I am writing to ask you to refund to me charges and related interest which you have levied from my account over the last 3 yrs.

 

The High Court has recently decided that your charges are subject to the Unfair Terms in Consumer Contracts Regulations 1999. I consider that the regime of charges you operate is unfair within the meaning of these Regulations as they are not individually negotiated, they operate in much the same way as charges operated by other High street lenders and therefore there is little alternative to myself but to agree to the charges. Furthermore the charges are contrary to the requirement of good faith and fair dealing as they lack basic standards of commercial moral practice and take an unfair advantage of the weak bargaining power of the consumer. They impose a significant imbalance in the rights and obligations between the contracting parties which is to my detriment. I also consider that the charges may be unlawful at common law.

 

Your responsibilities

 

I would draw your attention to the terms of the contract which you agreed to at the time that I opened my account. It is an implied term of that contract that you would conduct yourselves lawfully and in a manner which complies with UK law.

 

I am frankly shocked that you have operated my account in this way as I had always reposed confidence in your integrity and expertise.

 

I consider that your repeated representations that your charges are fair and reasonable are deceptive and that they have deceived me into agreeing to pay them.

Your concealment of the true nature of your charges has prevented me from asserting my right until now.

 

What I require

 

I calculate that you have taken £XXXXX.

I enclose a schedule of the charges which I am claiming with this letter.

 

My targets to resolve this matter

I hope that you will enter into a sincere dialogue with me about this matter and I am writing this letter to you on the assumption that you will prefer to do this than merely respond with standard letters and leaflets.

 

I am fully aware of the waiver which you are presently relying upon and which was granted to you by the FSA. However, this is an internal industry matter and has nothing to do with me. It is one-sided and I note that you continue to levy charges and to enforce them despite the weight of judicial and popular opinion against you.

 

I will give you 14 days to reply to me accepting, unconditionally, my request in principle and letting me know a date by which I will receive payment.

 

If you dispute that I am entitled to a refund of these charges, then please let me know within the above timescale the basis upon which you dispute together with the reasons why you consider your charges to be fair.

 

If you do not respond, or you do not respond positively, within this time period, I shall send you a letter before action giving you a further 14 days in which to reflect. I believe that these targets are more than sufficient for a large company such as yours with dedicated staff and departments.

 

After that, there will be no further communication from me and I shall issue a claim at the expiry of the second deadline.

 

Yours faithfully,

 

 

Or does this only relate to bank charges? I took out any reference to banks and put lender in its place? can any tell me is this ok? Is there anything i need to add or delete?

 

Thanks

[delicarik123]

may need to take out the bit re: waiver? as this is regarding bank charges?

[Dougal16T]

Good evening

 

I have added/altered your letter a bit...I thought it might help.

 

Any questions or comments please let me know.

 

Dear Sir/Madam, ACCOUNT NUMBER: xxxxxxxx

 

My request

I am writing to ask you to refund the fess and charges and related interest which you have levied on my account from (date) to (date)

 

The High Court has recently decided that your charges are subject to the Unfair Terms in Consumer Contracts Regulations 1999. I consider that the regime of charges you operate is unfair within the meaning of these Regulations as they are not individually negotiated, they operate in much the same way as charges operated by other High street lenders and therefore there is little alternative to myself but to agree to the charges.

 

Furthermore the charges are contrary to the requirement of good faith and fair dealing as they lack basic standards of commercial moral practice and take an unfair advantage of the weak bargaining power of the consumer. They impose a significant imbalance in the rights and obligations between the contracting parties which is to my detriment. I also consider that the charges may be unlawful at common law

 

Your responsibilities:

 

I would draw your attention to the terms of the contract which you agreed to at the time that I opened my account. It is an implied term of that contract that you would conduct yourselves lawfully and in a manner which complies with **UK** law.

 

I am frankly shocked that you have operated my account in the manner that you have to date, as I had always placed my confidence in your integrity and expertise.

 

I consider that your repeated representations that your charges are fair and reasonable to be deceptive and that those representations have deceived me into agreeing to pay them

 

]Your concealment of the true nature of your charges has prevented me from asserting my right until now

 

What I require

 

I calculate that you have taken £**XXXXX

 

I enclose a schedule of the charges which I am claiming with this letter

 

My targets to resolve this matter

 

I hope that you will enter into a sincere dialogue with me about this matter and I am writing this letter to you on the assumption that you will prefer to do this rather than merely respond with standard letters and leaflets.

 

I am fully aware of the waiver which you are presently relying upon and which was granted to you by the FSA. This is due to expire in January 2010.

 

However, this is an internal industry matter and has nothing to do with me. It is one-sided and I note that you continue to levy charges and to enforce them despite the weight of judicial and popular opinion against you.

 

I will give you 14 days to reply to me accepting, unconditionally, my request in principle and letting me know a date by which I will receive payment

 

If you dispute that I am entitled to a refund of these fees and charges, then please let me know within the above timescale the basis upon which you dispute together with the reasons why you consider your charges to be fair

 

If you do not respond, or you do not respond positively, within this time period, I shall send you a letter before action giving you a further 14 days in which to reflect. I believe that these targets are more than sufficient for a large company such as yours with dedicated staff and departments.

 

After that, there will be no further communication from me and I shall issue a claim at the expiry of the second deadline

Yours faithfully

 

As I said, I hope this helps...

 

Regards

 

Dougal

[delicarik123]

Dougal

 

You are a star thanks so much do i apply for the 8% interest now or does that only come at court stage?

 

Many thanks

 

Deli

[Dougal16T]

Good morning,

 

Thanks for the compliment - I'm no star- just keen to helkp.

 

I would apply the 8% now, and remember you can always apply to the Court for leave to amend the claim, and alter the interest rate to contractural interest (i.e.: 19.5% - the rate the bank are probably charging you), if neccessary!

 

Best wishes

 

Dougal

[delicarik123]

Thank you again Dougal for your reply.

 

So I add the amount £XXX then put plus 8% interest £xxx and then the total £xxxx?

 

Thanks

 

Deli

[Dougal16T]

Good evening all,

 

My fault - - it doesn't work exactly like that - somewhere on this site is a bank charges interest calculator. If you can't find it let me know.

 

You enter the date the charge was made, the amount of the charge and the calculator works out how much the interest is, for the period starting when the charge was applied tup o date.

 

It is very easy and you will be surprised at the interest. The calculations are made at the current County Court rate of 8%. You can always amend particulars of claim later if you are going to go for Contractural Interest.

 

Again apologies

 

Best wishes

 

Dougal

[delicarik123]

Yeah I have the calculator thanks, I think I may have confused you in my question lol sorry! I confuse myself half of the time.

 

So I have filled this in, and it has calculated the interest, what i am asking is do i then add this figure to the letter? Sorry if i am not being clear having a bad time of it at the mo!

 

Thanks for all your help

 

Deli

[Dougal16T]

Good evening,

 

The simple answer (which suits my tiny brain!!) is to print off the form which has been completed with the charges/dates/interest and send a copy of it to anyone who needs it!!

 

Hope this helps!!

 

Best wishes

Dougal