Account in Dispute but still being chased!!

[lookinforinfo]

The problem is that there were a couple of Court cases late last year in which the Judges came to the bizarre conclusion that even where the creditor was unable to comply with a S77-79 request that they were still able to take that customer to Court. That continuing to pursue the alleged debtor was NOT enforcement.

 

However, the Office of Fair Trading has had misgivings over this as you can see in this article to redress the balance.

BBC News - Lenders warned not to mislead customers over debts

 

and you will find this very relevant piece at the end of the article-

 

The judge said it was legal for lenders to take other steps to get their money back, such as demanding repayment of the loan, issuing a default notice, threatening legal action, and even starting legal proceedings.

 

But the OFT said it might take a dim view of these tactics.

 

"For the purposes of considering whether a company is fit to hold a consumer credit licence, the OFT can take into account any practices which we consider to be oppressive, misleading or improper, whether they are unlawful or not," an OFT official said.

 

The OFT's draft guidance says: "No communications or requests for payment should in any way threaten court action or other enforcement of the debt where the creditor or owner is aware that it cannot and will not be entitled so to enforce the agreement."

 

"The creditor or owner should make it clear in communications to the debtor that the debt is in fact unenforceable," it adds.

 

The guidance goes on to warn that: "To mislead debtors into making payment may in certain circumstances amount to an unfair commercial practice under the Consumer Protection from Unfair Trading Regulations 2008."

 

"It is quite clear that the OFT guidance would increase consumer protection and instigate standards within the banking industry that would reduce the abuse of consumer rights," said Carl Wright.

 

The OFT has delayed publication of its draft guidance until the outcome of the Manchester High Court hearings, whose judgements are expected to be delivered in January 2010.

 

Your letter to Westcot is fine. Suggest that you add "any further pursuit will result in a strong complaint to The office of Fair Trading to question their fitness to hold a Consumer Credit Licence".

 

And write a letter of complaint to your local Trading Standards office about

Metropolitan passing on those details in defiance of the Consumer Credit Act

1974 s77 [4] for example.

 

The two cases involved were

McGuffick v Royal Bank of Scotland

Carey v MBNA

Edited January 17, 2010 by lookinforinfo

[lookinforinfo]

There isn't a template letter to complain to TS about the behaviour of MCS.

Initially keep it short-ask them for their view on having your debt passed on to Westcot when the account is in default. Do more or less what you siad on your first post-give a few details of dates and perhaps a copy of any letter from MCS acknowledging they cannot comply with your CCA request. Do not demand TS do anything-just keep it lowkey.

 

TS have a backlog of enquiries so don't expect a reply for a few weeks, but they will get back to you to fill in the blanks and take it on from there.