Privity of contract and DCA's

[shinobi101]

As I understand it, privity of contract means that someone who is not a party to a contract can neither sue nor be sued on it. But with a few exceptions.

 

If they benefit from the contract, or they or their class of business is specified in it, then they can sue because of Contract (rights of 3rd parties) regs.

 

The question is: can I use this to get rid of a debt collector?

 

There is no signed contract for the debt that I'm aware of (have cca'd) and if there's no contract then 3rd parties can't be mentioned in it.

 

The debt is an overdraft with disputed charges.

 

Also, if a term says the creditor could use a dca where appropriate, but doesn't say the debtor could do the same (maybe to recover an unfair penalty charge or something?) then would that be an unfair term under UTCCR?

[shinobi101]

bump.

 

Any thoughts?

[PGH7447]

overdrafts are not covered by the cca request, just re-read you post, so cancel my first statement.

 

I understand that you are saying that if they can use a dca to try and collect an overdraft then you can use the same arguament to collect the charges?

 

Possible but then you would have to prove that the charges are not covered in the account T&C's and are in fact unlawful

[shinobi101]

The charges in question are Barclays Reserve charges. Like everyone else, I didn't apply for this, nor would I have done as the charges are extortionate. The £500 reserve amount just appeared at some point. I think it was long enough ago that I never used the overdraft, although I can't be totally sure.

 

Do I understand correctly that all contract issues are irrelevant to overdrafts?

[PGH7447]

I dont know about a barclays reserve, is this an overdraft facility or a loan that can be used as and when, like a preference account?

 

if the latter then something I think should have been signed

[shinobi101]

Barclays Reserve could be described as an extension to the overdraft.

 

I had an overdraft limit (£2300) which was applied for and agreed.

 

The Reserve is an additional £500 on top of the overdraft which they just gave me without being asked. The reserve costs £22 every 5 days of part thereof. That's probably plus interest.

 

I didn't ask for the extra, or sign anything, and don't think it's right that they should be able to do that.

[shinobi101]

Reserve is an extra facility which is only triggered when you go over the overdraft limit.

[PGH7447]

Do I have to have a Reserve?

No, it’s optional. You'll need to apply for a Reserve if you want one. If you already have a Reserve, you can cancel it at any time by phone or in any of our branches. However, if you do cancel your Reserve and decide to re-apply, eligibility for a Reserve and your Reserve amount may vary.

 

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so it is a facility over and above you OD, and it is down to you whether or not it was used or cancelled, is it covered by an agreement - Pass