Barclaycard 1987 – Tactics for Full & Final Settlement

[Limerick_Claret]

My first post and I need help from my fellow caggers

 

I stuck my head in the sand over the last few months and developed an arrear problem on my Barclaycard (opened account 1987) and a Virgin MBNA card (opened 2005). I’d like to deal with the Barclaycard on this thread. I’ll open a similar thread on the Virgin MBNA card. Both cards have a similar balance approx £9k.

 

I’ve been keeping them at bay with a minimum payment since the recession struck and the second child arrived since late 2007. But it’s time I got my head out of the sand and started to deal with my debt. My aim is to be debt free in 3 years. For information I now live outside the Auk and don’t really intend to return in the near future but as in all these things you just never know, hence the credit rating dilemma.

 

In a moment of weakness and in fear of people calling to my door and taking the kids Christmas presents I paid the 4 months arrears in mid-December, I now realise from reading the forums that this was probably a huge mistake and in some ways delaying my arrival at a full and final settlement position. Ah well you learn don’t you!!!

 

The aim of this thread is to leverage a full and final settlement from Barclaycard (if possible) or a debt collection agency as a last resort hopefully keeping my credit rating intact but this isn’t a red line and screwing up my credit rating would be ok if the settlement figure was low enough.

 

So I’ve reviewed the forums in the context of situation a number of points apply.

 

• Barclaycard are reasonable to deal with but evasive and slow but quite amenable.
  
• Barclaycard don’t do FFS
  
• Barclaycard use internal credit methods i.e. Mercers.
  
• Barclaycard are likely to sell difficult debt rather than settle.
  

What to do first (member input would be appreciated).

 

• Put the account into dispute by requesting a CCA.
  
  • This will potentially trigger BC to charge higher interest rates.
    

  [*]Stop paying minimum payment completely and put account into arrears.

  [*]Stop paying minimum payment and pay a minimal amount say £5.

  [*]Request a Subject Access Request (in order to reclaim fees? etc.)

I’ve prepare two letter to request a CCA could anyone advise me on the best approach.

 

Let the battle of wills commence

[Limerick_Claret]

Sorry posted Thumbnails

 

 

CCA Letter 1

 

Dear Sirs

 

Account number: XXXXXXXXXXXX

 

I write with regards to the above account with your organisation.

 

I respectfully request that you provide me by return a copy of the credit agreement which bears my signature. I require this as i have reason to believe that there may be discrepancies within the agreement which may leave it improperly executed. Obviously if the agreement is improperly executed i would be entitled to ask the court to consider the agreement and make a declaration of the rights of parties to the agreement.

 

I must stress this request is NOT made pursuant to section 78 Consumer Credit Act 1974 but is made pursuant to the Civil Procedure Rules (Pre action protocols and Part 31.16) and therefore unsigned copy will not suffice, only a copy of the original contract in its unaltered form will suffice in these circumstances

 

Please confirm if you still hold a copy of my signed agreement and that you will provide me with this document.

 

I do not view this as an unreasonable request given that by supplying the document which i have asked for it will allow me to assess if my case has merit and will help to resolve matters possibly without the need to involve the court and will undoubtedly save costs on both sides

 

I look forward to your reply and would ask for a response by 4pm on 4th February 2010.

Regards

 

 

 

CCA Letter 2

 

Dear Sir/Madam

 

Re:− Account/Reference Number XXXXXXXX

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 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.

 

We look forward to hearing from you.

 

Yours faithfully

 

 

[slick132]

Hi LC,

 

Use letter 2 to start off with.

 

Also, send a separate SAR to see what you can reclaim in penalty charges and any mis-sold PPI.

 

Use the statement address for both letters.

 

If you've read other BC threads, you'll see how BC usually respond to CCA requests. However, after a ruling from the Manchester Mercantile court on 24th December, we may see BC change how they respond as a consequence.

 

[Limerick_Claret]

Slick

 

I'm just wondering I'm trying to minimise the effect of going into a payment plan and any effect on my credit rating. Will barclaycard simply post this to my uk credit file or follow me abroad obvioulsy they know where i live?

I really don't care about my UK credit rating but the way I have my bad debt configured it's having no effect on my new coutry of residence credit history.

Any suggestions

 

LC

[Limerick_Claret]

Slick

 

I'm also going to start with a Subject Acces Request to trying and reduce the current balance. I think this will be the least antagonising approach. From what I'm reading sending a request for a credit agreement is akin to sending my interest rate through the roof.

I'm I right ?

[slick132]

Hi LC,

 

I would go ahead with both the CCA request and the SAR.

 

I doubt your interest rate will be affected by the CCA request as you will already be seen by them as a credit risk due to late or non-payment.

 

I further doubt that your UK credit history will affect you outside the UK.

 

[Limerick_Claret]

 

 

Slick

 

What Next

 

Received Letter from Barclaycard today what to do next is the big question?

Edited March 8, 2010 by Limerick_Claret

[Limerick_Claret]

Slick

 

another letter arrived this morning any idea what for?

[slick132]

The pics are too small to see any detail.

 

 

See here about how to post images - http://www.consumeractiongroup.co.uk/forum/welcome-consumer-forums/107001-how-do-i-dummies.html

[Limerick_Claret]

Hope this helps.

 

 

Flickr: Limerick_claret's Photostream

[slick132]

So there is no personal agreement signed by you.

 

Have they replied yet to your SAR. If not, come back when they do.

 

[Limerick_Claret]

Slick

 

thanks for the quick response

 

No signed agreement and still waiting for the subject access request. I assume they'll take the full 40 days. (24 days to go)

 

Any suggestions on the CCA request next steps?

 

LC

[slick132]

I'd normally suggest an "a/c in dispute" letter but, as things are still being debated after the Manchester cases, hold off on this just now and see what the SAR shows up.

 

You can send the dispute letter if you want but BC will ignore it's content anyway and continue with their demands.