Arrow/wescot/optima legal - old MBNA card debt scotland

[breakanegg]

Please help, Optima Legal have threatened to take my home for a credit card debt with MBNA

 

I was made redundant this year and have been unable to make credit card payments. I wrote to all credit card companies advising of my financial hardship and asking for freezing of interest and to set up a payment plan. I have received no response from MBNA.

 

Also, I was in dispute with MBNA regarding charges and increases in interest rates, this was investigated by the FoS. They made an agreement and so far haven't honoured it so after they closed the case FoS have now opened it again asking MBNA why they haven't carried out the agreement. So far nothing.

 

So both myself and FoS have been trying to communicate with MBNA on this account they ignore all and every of my letters and continue to send threats.

 

I've now received a letter from Optima Legal and they seem to be threatening to take court action to force the sale of my home for recovery of the debt.

 

"we have been instructed on behalf of MBNA Europe and have been informed that you have failed to pay the outstanding balance on your MBNA Europe account.

 

As a result our client has no alternative other than to commence legal proceedings to obtain an inhibition application against you.

 

The commencement of legal proceedings will incur additional costs and interest that will be added to the debt due, increasing the overall debt payable. If a Judgement is obtained that will adversely affect your ability to obtain credit in the future.

 

Once an inhibition application is obtained the debt due will be paid to our client from any equity available following the sale or re-mortgage of your home."

 

Any help would be much appreciated I'm going to send them the standard "this account is in dispute so go to h£ll letter" but I'm really worried they can take my house. I've never had this sort of threat from a DCA before, usually it's a threat to send someone to your home.

 

Also at complete loss as to what to do with MBNA, I've sent them all the standard letters which they ignore, they also refused to pay back the charges and interest they agreed with the FoS they'd refund.

 

Thanks in advance.

[Delfi101]

The first thing to do is not to panic. That's what they want. This whole business of 'losing your house' etc is only enforcable by a court and, even then, is very much a last resort. It almost always never happens with cases like this. All they're trying to do is worry you.

 

You have oodles of time and none of this is going to be over in the near future as they like to suggest.

 

If you haven't done so already send them the standard CCA request to be found on this site with the statutory £1 fee.

 

They tried EXACTLY the same with me a couple of years ago and ended up issuing County Court proceedings. They broke and bent all of the rules and, with the help of the folks on this site, I stood up to them. The case was taken away from them by the original 'debt' owners who then tried to take it further but dropped it before it got to court (through an invalid CCA).

 

Now, your CCA may or may not be invalid but you should ask for it.

 

You've done well with involving the FoS. Just keep everything documented and remember, never talk to them on the phone.

 

I'm sure more folks will be along with advice but the bottom line is that you should take anything that sounds remotely threatening with a pinch of salt.

 

Cheers,

 

D

[boswell]

As you already have the FOS working on this case i would send them a copy of the letter and let them handle it. With them involved the account is already in dispute and will be difficult for DCA to proceed until it is resolved.

[WelshMam2009]

I would follow Delfi's advice and send off a CCA request.

 

When was this agreement taken out with MBNA?

 

MBNA seem to ignore loads of letters and send out lots of threats... so you are not alone on this one. It's designed to panic you into paying.

 

Nonetheless, you need to know where you stand which is why a CCA request is important.

[breakanegg]

I would follow Delfi's advice and send off a CCA request.

 

When was this agreement taken out with MBNA?

 

MBNA seem to ignore loads of letters and send out lots of threats... so you are not alone on this one. It's designed to panic you into paying.

 

Nonetheless, you need to know where you stand which is why a CCA request is important.

 

Thanks guys, all good advice. I'll send off the CCA request and send a copy of the letter to FoS.

 

Honestly can't remember when the account was opened but it was several years ago. Unsure if it meets the 6 year rule (I'm in Scotland) but hopefully a CCA request will shed light. However no doubt they'll just ignore that request like all my others

 

Have a look at this thread http://www.consumeractiongroup.co.uk/forum/mbna/237894-attention-optima-legal-services.html

 

I must be honest, don't know anything about the mechanics of Scottish Law but it sounds very much like the Scottish equivalent of the Charging Order and I'm assuming that they will still have to get a judgment first and wait for you to default under that judgment before they could get anywhere near to taking your home.

 

Out of interest, who signed the letter?

 

The bottom of Optima's letter should show who they are regulated by (either the SRA of England/Wales or the Scottish alternative).

 

Complain to the regulatory body responsible.

 

Also, the letter does not really scan correctly. "Obtain an inhibition application"? Surely it should read "apply for an inhibition Order"? Like I say, I don't know much about Scottish law so it could be the correct terminology but it sounds a bit amateurish to me.

 

Thank you, had a scan and looks similar in that thread, except they're calling it a charging order. Doesn't it say something in OFT Guidance in Debt collection about using jargon to threaten or something to that effect?

 

Agree it's amateurish and also doesn't 'flow' right, they go from inhibition application to paying debt from equity on my home. They missed the bit out about what precisely an inhibition order is and how that would lead to the selling of my home. Also like you say, 'obtain' instead of 'apply'.

 

The letter is signed by a PM Robinson.

 

Interestingly it says on the bottom regulated by the Solicitors Regulation Authority.

 

Now I'm not even at amateur level yet, however, given that they're collecting a debt shouldn't they be regulated by the FSA or something like that? I'm assuming Solicitors Regulation Authority are not the regulatory body for debt collection.

 

Have a look at this thread http://www.consumeractiongroup.co.uk/forum/mbna/237894-attention-optima-legal-services.html

 

 

Don't want to go double-posting in the forums so will keep my query in this thread unless advised otherwise

 

Anyway, the advice in the thread posted by Langster is really helpful and I want to complain to the Solicitors Regulatory Authority. However that thread is specific to a charging order and the template letter states that the solicitor is acting inappropriately because he would need to first apply for a charging order and could only then enforce if defendent defaulted on the order.

 

I'm just wondering if it's the same sort of thing with them calling it an 'inhibition order' in my letter?

[pompeyfaith]

Hiya breakanegg, i believe it is but to verify type the word into google search "inhibition orders in scotland" should throw up the answer

[johnerog]

Don't want to go double-posting in the forums so will keep my query in this thread unless advised otherwise

 

Anyway, the advice in the thread posted by Langster is really helpful and I want to complain to the Solicitors Regulatory Authority. However that thread is specific to a charging order and the template letter states that the solicitor is acting inappropriately because he would need to first apply for a charging order and could only then enforce if defendent defaulted on the order.

 

I'm just wondering if it's the same sort of thing with them calling it an 'inhibition order' in my letter?

 

hello, sorry i'm late, just found you.

I recomend you have a look at The OFT guidance notes [oft298]. DCA's, solicitors or not, must not...'issue documents containing false or misleading information intended to obtain payment.'

 

It can be a criminal offence or an offence under the Administration of Justice Act.

 

John

[breakanegg]

hello, sorry i'm late, just found you.

I recomend you have a look at The OFT guidance notes [oft298]. DCA's, solicitors or not, must not...'issue documents containing false or misleading information intended to obtain payment.'

 

It can be a criminal offence or an offence under the Administration of Justice Act.

 

John

 

Sweet Included that in my response to them as well as my complaint to SRA. Will see if I get any response. Also sent copy of their threat to the FoS. Will let you know how get on

[breakanegg]

Hiya breakanegg, i believe it is but to verify type the word into google search "inhibition orders in scotland" should throw up the answer

 

I did a google and am a bit clueless about this stuff but believe that it's similiar to a charging order in that must first successfully obtain a judgement then can apply for an inhibition order against me (not the property). Also, I think there's a difference, I read somewhere that they can apply for an inhibition order even if you DON'T default on the judgement

[breakanegg]

Hi peeps,

 

I have a credit card with MBNA and following redundancy I agreed a repayment plan via a Money Advisor at Trading standards.

Despite meeting the plan this debt has been passed to Arrow Global who have sent a letter as follows:

 

DEBT OWED TO ARROW GLOBAL LIMITED

AMOUNT OUTSTANDING £5409.93

ASSIGNED BY MBNA

 

NOTICE OF ASSIGNMENT

 

We advise you that MBNA has assigned all of its respective rights, title and interest in respect of the above referenced account (including the right to receive payment of the outstanding balance) to Arrow Global Limited, effective 17th August 2010.

 

Any payments made on this account after 17th August 2010 will be passed to Arrow Global Limited and will be deducted from the current balance shown above.

 

It is essential that all future payments and correspondence rgarding this account to be directed to:

 

WESCOT CREDIT SERVICES LTD

PO BOX 137

HULL

HU2 8HF

0844 824 1150

 

You should contact Westcode Credit services to organise payment of this account as a matter of urgency. If however you believe you have received this communication in error or that the outstanding balance is incorrect please contact Westcot CS with all relevant information, again, as a matter of urgency.

 

I was going to send the CCA request letter

 

 

 

I would be really grateful for some advice.

 

First is this the correct letter to send?

 

I assume the agreement will be between me and MBNA, not me and Arrow so how can MBNA just pass on the debt to someone else?

 

Any ideas who Wescot are or why I'm being asked to pay them?

 

Thanks in advance

 

Breakanegg xx

 

[cerberusalert]

First send them a CCA request to see if they are entitled to collect this debt & if it's enforcable. If they fail to provide it within 12 working days from receipt, or the CCA is unenforcable you can legally withold any payment until they do. Send it recorded delivery enclosing a £1 postal order. When you get a reply, scan it & remove any identifying details and post it back here where we can have a look at it. We'll advise you from there;

 

Dear Sir/Madam

 

Re:- Account No: XXXXXXXX/Your Reference Number: XXXXXXX

 

This letter is a formal request pursuant to s.77/78 of the Consumer Credit Act 1974. I require you to provide me with a true copy of the credit agreement relating to the above account, together with any other documentation the Act requires you to provide.

 

I expect you to comply fully and properly with this request, within the statutory time limit. You are reminded that should you fail to comply with my request, the provisions of s.77 will apply.

 

If it is your view that you are not the creditor, s.175 of the CCA 1974 applies in the case of a simple assignment, and places a duty upon you to pass this request to the creditor. In the case of an absolute assignment, you are a creditor as defined by s.189. If you contend that you purchased the rights but not the duties of any agreement, you are reminded that s.189 of the Act is clear that an assignment is of both rights and duties.

 

Your attention is drawn to ss.5(2), 3(b),6 and 7 of the Consumer Protection from Unfair Trading Regulations 2008 (CPUTR). I enclose a postal order in the sum of £1.00, which is the statutory fee. Note that these funds are not to be used for any other purpose.

 

If you intend to send a reconstituted copy of the CCA you must declare the reason why it has been reconstituted and if the original exists and in what form (microfiche) etc.

 

If you are unable to comply fully and properly with this request, you should confirm this in writing at the earliest opportunity, and certainly within the statutory time limit for compliance, and return the fee.

 

Furthermore, with regards to the quantity and frequency of telephone calls that I have received from your company, which I deem to be personally harassing.

 

I have verbally requested that these stop, but I am still receiving calls. (Delete if necessary)

 

I now require all further correspondence from your company to be made in writing only.

 

You are reminded of the following under Consumer Protection from Unfair Trading Regulations 2008.

 

Trading Standards can bring about a prosecution if, with the object of coercing another person to pay money claimed from the other as a debt due under contract, he or she:

 

(a) harasses the other with demands for payment which by their frequency, or the manner or occasion of their making, or any accompanying threat or publicity are calculated to subject him or his family or household to alarm, distress or humiliation;

(b) falsely represents, in relation to the money claimed, that criminal proceedings lie for failure to pay it;

© falsely represent themselves to be authorized in some official capacity to claim or enforce payment;

(d) utters a document falsely represented by him to have some official character or purporting to have some official character which he knows it has not.

 

I am of the view that your harassment of me by telephone puts you in breach of the Consumer Protection from Unfair Trading Regulations 2008, and the Protection from Harassment Act 1997.

 

If you continue to harass me by telephone, you will also be in breach of the Communications Act (2003) s.127 and I will report you to OFCOM, Trading Standards and The Office of Fair Trading, meaning that you will be liable to a substantial fine.

 

Further to this if it is your intention to arrange a call from your 'Doorstep Collectors', I note that there is only an implied license under English Common Law for certain people to visit me on my property without express permission; the postman and people asking for directions etc (Armstrong v. Sheppard and Short Ltd [1959] 2 Q.B. per Lord Evershed M.R.).

 

Take note, I revoke license under English Common Law for you, or any of your representatives to visit me at my property and if you do so without my permission, you will then be liable to damages for a tort of trespass. You would also be conspiring in a trespass if you sent someone to visit me nevertheless. Any trespassers you attempt to send therefore will be dealt with accordingly.Be further advised that any further telephone calls from your company will be recorded.

 

(Print in red optional addition)

 

I look forward to hearing from you.

 

Yours faithfully **Edit to suit**

 

(Print do not sign signature)

[cerberusalert]

Any ideas who Wescot are or why I'm being asked to pay them?

They are cretins and should be treated with the contempt they richly deserve

Have you received a default notice from MBNA .

Edited October 1, 2010 by cerberusalert
mong typing

[breakanegg]

Thanks cerberusalert, much appreciated Letter will be posted recorded 1st class tomorrow.

 

I'll update when I hear more.

 

Have a good weekend