BC Charges ***WON with Compound Contractual Int't***

[linz22]

Hi all,

 

An update on my claim with Barclays credit card. I sent of an letter to Barclays with a full list of charges and received a response which i have attached to this message.

 

Barclays are willing to refund £628 plus £208.85 interest.

The amount i claimed was £828 plus £312.06 giving a total of £1140.06.

 

Barclays have stated in there letter they only refund charges in the last 6 years so they are not going to refund anything prior to july 2004

 

i do have charges prior to 2004,

can anyone advise me on this and point me towards a template letter?

 

Also i have included a list of charges barclays added with the letter,

if you see from 10 dec 2008 to 12 july 2010 they havent included any charges,

 

i sent a S.A.R in 2008 to barclays but only gone through with the claim last month,

so i dont know if i was getting charges from 10 dec 2008,

 

as far as i can remember i entered a repayment plan in 2008 but didnt keep up with the payments and i think they closed the account,

but would they still charge my account i dont know should i include this in the letter and ask they refund this period?

 

Lastly my credit file, Barclays have stated in the letter they will amend my credit file, but no mention of the default removal or missed payment marks,

 

the default was applied when my account was overdrawn by charges but some of the balance was used by me but i didnt go over my credit limit,

what can i do about this?

 

I apologise for any confusion i am new to reclaiming and thank you for your help.

 

Can someone respond please as i need to send a reply a.s.a.p to barclays,

 

thanks.

[slick132]

Hi Linz,

 

I'll move this to the BC forum for you.

 

The thumbnails posted above are too small to read. Repost them after reading the guide here - http://www.consumeractiongroup.co.uk/forum/welcome-consumer-forums/107001-how-do-i-dummies.html

 

Are you claiming the charges plus Statutory Interest at 8% or are you claiming compound interest, which will greatly increase the amount you claim, particularly as there are older charges on the account. Read the Interest Tutorial linked in my signature below.

 

BC will not repay charges older than 6 years voluntarily. You will have to take them to court to get these back.

 

If you claim compound interest (interest in restitution), BC will not normally repay this voluntarily and you'd have to take court action to get your money back in full.

 

Read other threads in the BC forum about this.

 

I've hidden the duplicate thread that you started, so please just use this one from here on.

 

[linz22]

Sorry didnt realise the images were small, I have read your link and uploaded bigger versions below.

 

I am clamining Statutory Interest at 8%, Barclays have added this in there reply letter, the only thing is the charges before 6 years (i am prepared to take it to court), the default on my account and whether or not there were charges in 2009 and 2010, as i stated earlier i got my statements from barclays in 2008 but decided to reclaim last month so i dont know if there were any charges in 2009. Could you please advise me on the above points and could you point me towards a template letter i can send them?

 

I would like to have the money sent to me by cheque, would this be possible? i have an outstanding balance but i am in a really tight situation at the moment no income what so ever so this would really help me out and i can carry paying barclays monthly.

 

 

 

 

[noomill060]

You need to claim using compound interest at the rate stated on your statements. Mine was 27%

 

I crucified them. They paid every penny.

[slick132]

Hi Linz,

 

If you're prepared to argue and go to court over the £300 odd difference between what they've offered and what you want, you should claim interest in restitution (or compound int't) as Noomill says.

 

It will make a large difference to your claim as you have old charges, going back 6 years and beyond.

 

You'd have to file a court claim to get back the charges older than 6 years so you may as well go for compound interest as well.

 

Send BC a Rejection Letter, giving them 14 days more to refund all your charges with compound interest - http://www.consumeractiongroup.co.uk/forum/bank-templates-library/25716-rejecting-offers.html

 

You'll need to enclose a spreadsheet showing the charges and interest which you want. Read this thread for some pointers - http://www.consumeractiongroup.co.uk/forum/showthread.php?271291-Barclaycard-4-cards&p=3068669&viewfull=1#post3068669

 

Forgot to say, if you think there may be more recent charges in 2009 or 2010, send BC a SAR.

 

When was the a/c defaulted.

 

You may be able to have the default removed from your credit file. The Default Notice would have been incorrect as it included unlawful penalty charges.

[linz22]

Thank you for replying back, so where can i find the rate stated on my statements what do i need to look for? its very confusing all this interest stuff.

 

I know i have calculated 8% and barclays are giving me 8% as you can see from the image i attached in an earlier post so this is interest in resitution right? so i can add compound and interest in resitution in my refund claim?

 

Because i have not asked for compound interest can i write barclays a letter stating i reject the offer and now i want compound interest on top?

[slick132]

Read the Interest Tutorial at Link No6 in my signature.

 

In it you will find a link to this spreadsheet which many find easier to use than the Advanced Credit Card Spreadsheets.

 

Use a rough average of the Cash Advance Rate, over the period of your claim, which you should find on your monthly statements.

 

Read through what I've posted above, including links and other threads. This will help you understand what you can claim, and the basis on which you will claim it.

 

If you get stuck we'll help.

[linz22]

Ok thank you,

 

What can i do about the money, can i request for this to be sent to me by cheque?

 

Slick

i have read your link and i am still a little confused,

 

you stated i need to use a rough average of the cash advance rate,

i cant find any cash advance rate on my statements,

these are the only figures on my statements the purchase interest at 1.385%,

interest in your cash balance at 1.462% and interest on yout standard balance at 1,385%,

 

so how do i actually get the average cash advance balance?

once i know this i can complete the spreadsheet which i should be fine with.

 

I cannot work this out interest stuff out at all its just so confusing its driving me mad,

im slow in the head never did well at school,

 

can anyone work all the interest out for me?

the list of charges are listed above i can send the charge amounts prior to 2004 if anyone is willing to help out,

 

i know im asking a lot but i dont see my self working this interest thing out.

 

After hours of trying to figure the interest calculations out i think i have finally figured it out, i apologise if i have posted a lot i was just really confused, if someone can tell me if what i am doing is correct that would be great.

 

I have looked at my statements and it states a purchase interest rate of 1.873%, 1.527% and 1.385% over the duration of my account with barclays,

 

i have decided to use the higher amount 1.873% and this converts to an annual APR of 24.94%.

 

There is also the interest on your cash balance and interest on your standard balance amounts but i dont think i use them figures.

 

I have inputed the APR into spreadsheet by slick to work out the compound interest for my charges, i also have the restitution interest at 8% worked out which barclays have also stated they would give me.

 

So should i reply back to barclays reject there offer and include the compound interest amount with the resitution interest and ask them to refund these?

 

wouldnt they say i didnt ask for the compound interest in my first letter to them?

 

Also what can i write about barclays not refunding charges prior to 6 years?

 

Can i ask for a cheque and not for it to refunded in to my account to pay the

outstanding balance?

[slick132]

Hi Linz,

 

You said above, "...... interest in your cash balance at 1.462% ......" This is the rate you can use but, as said earlier, take an average of this rate over the period of your claim, not just the highest figure.

 

If you want to win, whether negotiating with BC before a court date or by persuading the judge at a hearing, you must be seen to be reasonable.

 

For the same reason, it would be reasonable to deduct the balance owed on the account from any refund of charges.

 

Have you read Steven 4064's (at post #23) and my remarks on TheKidsMum's thread which I linked you to above. This says about the interest you can claim and how to do it. Ignore the figures supplied by BC as they are irrelevant to your claim.

 

If you use the less complicated spreadsheet, it doesn't take a/c of the interest they charged you each month on the penalty charges. But you should still arrive at a decent total refund figure. If you have all your old statements, you could try using the Advanced spready.

 

When you have your SOC (schedule of charges) nailed, then you can write to BC to reject their offer and confirm the amount you want refunded.

Edited August 12, 2010 by slick132

[linz22]

So should i include the compound interest list and the Statutory interest at 8% list in my reply to barclays? could you point me towards an template reply letter please

[slick132]

See post #7 above for rejection letters. Adapt one that suits your case and send it as a "stand -alone" letter.

 

At the same time, send BC a second letter to confirm the charges and interest you are claiming. Use this - http://www.consumeractiongroup.co.uk/resources/templates-library/48-bank-templates/121-bookworm Enclose your SOC with this.

 

You can claim the 8% Statutory Interest when you actually file your claim at court.

[middenmess]

Better than just £9.72 at 8%!!

[linz22]

Hi would this be suitable as a rejection letter:

 

I reject the offer which you sent me on the xxxx and its enclosed schedule.

 

I enclose a further copy of a schedule of the money which you owe me.

 

If you do not return my money to me within 14 days [and make the personal data amendments which I require] I shall issue proceedings in the County Court and without any further notice to you.

 

And should i mention i want compound interest refund?

[middenmess]

And should i mention i want compound interest refund?

 

Send an updated spreadsheet with the CI +8% with the letter rejecting their offer.

[linz22]

Ok i have finally got everything nailed, compound interest and the 8%, along with the rejection letter and another letter asking for the charges+interest.

 

Should i send the rejection letter on its own and sent another letter asking for the charges+compound+8%?

 

Barclays first offer was sent from a person called janette, should i write both letters to janette and to the same address as the offer letter from barclays?

 

Its been a long week trying to figure out the charges+interest, i want to thank everyone who has helped me getting this done, my charges+compound+8% interest total over £2700 so i will be really happy if i get that amount.

[middenmess]

I'd write back attaching the new detailed spread sheet saying that as they declined to settle in full you are now requesting CI + 8% simple to settle your claim within 14 days or you will commence litigation against them.

 

They might well not respond within the 14 days and if that happens I'd write again giving them a further 14 days to comply or they can consider this letter to be a 'Letter Before Action' as you will issue proceedings in court against them.

 

They will argue the toss and might well dismiss it entirely so you must be prepared to follow through by taking them to court.

 

It is highly unlikely that they will allow it to go to court but there is always that possibility so you must be aware of that.

 

It's probable that they will contact you [eventually] and make a realistic offer on the amount that you are claiming.

 

If that happens then it's down to you if you accept and close the matter or stick it out to the bitter end.

 

There are no guarantees with this process--it could be simple and they might settle with you in a short space of time or they could take it all the way to Court and turn your legs to jelly en route!

 

It's the job of whomever you are dealing with to payback as little as possible so they will use bovine excreta and quasi-legal arguments to put you off at every opportunity.

 

There will always be someone on here to advise but at the end of the day it's your claim and whatever you decide to accept or however far you decide to go must be your decision alone and will be appreciated by all on CAG.

[slick132]

Hi Linz.

 

I'd write back attaching the new detailed spread sheet saying that as they declined to settle in full you are now requesting CI + 8% simple to settle your claim within 14 days or you will commence litigation against them.

The problem with saying this is that they could then agree to repay all the charges (including the older ones) plus 8% simple interest. If they do this, you could lose out on claiming the higher compounded interest.

 

Send the letter claiming the higher amounts with the now SOC, and the rejection letter to the BC contact by Rec'd Del'y.

 

I would not, at this stage, claim the final 8% statutory Int't as this isn't due until you issue the court proceedings.

 

How does the £2.7K refund compare with the a/c balance approximately.

[middenmess]

Hi Slick

 

I included compound interest in my suggestion to the OP......

 

I'd write back attaching the new detailed spread sheet saying that as they declined to settle in full you are now requesting CI + 8% simple to settle your claim within 14 days or you will commence litigation against them.

admittedly I only put CI for compound interest ----fingers being lazy:)

[linz22]

Hi,

 

My overdue balance is just over £600 so anything close to my total amount i am reclaiming i will be happy, although i do want to take them all the way i dont mind going through court so i am prepared for everything.

 

Ok this is what i have got so far, i will be sending a rejection letter to janette at barclays, and send another letter to janette stating they havent refunded the amount originally claimed i am now claiming the charges+compound interest and i give them 14 days? i will of course include the spreadsheet.

 

If it goes to court i will then claim the 8% interest, but what if barclays do settle before it goes to court and agree to refund the charges+CI, what can i do about the 8% interest not being greedy just would like to know what i can do if this happens.

[slick132]

Hi Middenmess I was more concerned that your wording could leave the door open for BC to come back and pay only the charges plus 8% S.I. That's why I suggested Linz acts as per my advice.

 

Hi Linz, As soon as you file your court claim, the 8% Stat't Int't can be claimed on top of the total claimed. However, it may be wise to update the SOC using compound interest up to when settlement is agreed. This way the compound interest is calculated up to the settlement date.

[linz22]

Ok i understand should i send a stand alone rejection letter to janette at Barclays, and send another letter to janette stating they havent refunded the amount originally claimed i am now claiming the charges+compound interest and i give them 14 days? i will of course include the spreadsheet.

 

Or should i send both letters in the same envelope to janette?

[slick132]

Send two separate letters in the one envelope by Recorded Delivery

[linz22]

Hi,

 

I have now received a reply from Barclays which i have attached below, i first requested statutory interest along with charges they refused to refund all the amount, i then rejected the offer and sent another letter requesting compound interest at 21.94% as this was my average on top of my charges, barclays have now decided to refund all the statutory interest at 8% plus a little extra but they are refusing to pay back charges prior to 2004 and they refuse to amend my credit file, i also received a seperate letter which i have not attached explaining why they cannot amend my credit file.

 

I am prepared to go all the way, i would like something close to my compound interest+charges and ideally i would like my credit file amended but i wont be greedy. Barclays have stated in there letter this is there final response and i would like some advice on what i should do next, my last letter to them was a letter before action but i think i shouldnt have sent that yet, could someone clarify this for me. A totally different person is now dealing with the case.

 

1. Barclays have stated they wont refund any charges before 2004, what can i do?

2. Barclays have refunded statutory interest but not the compound interest, i would like the compound interest, what can i do?

3. Barclays wont change my credit file, what can i do?

 

I appreciate all the help i have been given so far, i wouldnt have been able to get this far without the help of people on this forum, so thank to anyone who has responded to my thread.

 

 

 

[slick132]

Hi Linz,

 

If you want to pursue this and get back the £2.7K in charges and contractual interest, you WILL have to file a court claim as BC will not repay the further interest and older charges voluntarily.

 

As part of your court action, you'll rely on s.32 Limitation Act 1980 to claim the older charges and you'll rely on your spreadsheet to claim the higher compound interest. You can also seek the removal of adverse credit data from your CRA files on the basis that the apparent arrears were wholly inaccurate due to the inclusion of unlawful penalty charges in the arrears totals.

 

As BC have said this is their final response, you can file a court claim without further warning to them.

 

So it's now time to decide............do you:-

 

1. Accept their offer to clear the a/c and repay the balance by cheque.

 

2. Take court action*, deal with the Allocation Questionnaire* and Draft Directions, prepare and submit copies of your Court Bundle (evidence), negotiate with BC prior to a final court hearing and/or attend court for this hearing*.

 

* You will have to pay the appropriate court fee at each stage but these will be reclaimed in full if your claim is successful.

 

[junior232]

Hi slick thanks for replying back.

 

I am prepared to go to court over this, is there any thread which explains step by step how to file a court claim and how to prepare a court bundle?

 

If this was you reclaiming slick would you go the full way and take it to court?