Difficulty in paying CC, now default notice served, go for CCA?

[mickthespur]

Hi All

 

My wife and I are now unable to pay her credit card and informed HSBC a few months ago.

 

Due to disc removal back operation and recent heart attack I am unable to now work and am surviving on benefits, namley DLA.

 

I outlined our circumstances and asked them to consider writing the debt off which they did not (suprise)

 

They asked us to pay the minimum payment, we could not afford that and settled to pay £1 a month.

 

They have now served a default notice under Section 87 (1) of the Consumer Credit Act 1974

 

We have always in the past met the card payments and we accept we are responsible for our debt but due to circumstances it is not possible to now meet these payments

 

Would going along the CCA route be advisable so that HSBC could not enforce the Default Notice and then allow us to come to an amicable agreement with them?

 

I would be most gratful any advice

[mickthespur]

Hi

 

Any advice on the above post

 

Thanks

[johnnymitch]

Hi Mickthespur ,

 

There is no court in the land which will make you pay more than you can reasonably afford . Providing you work out and tell HSBC what you reckon you can afford to pay , and offer them these terms .... then you will ave shown willingness to settle and they can't get blood out of a stone .......

 

Just one point , if you haven't already done so , ... make sure your benefits etc are being paid into an account which has no connection with HSBC (called a Parachute Account ) .... so that they can't grab any credits that come in for your day to day living ...... which they're legally allowed to do under what's called 'Right of Set-off ....

 

Of course to give yourself a bit of breathing space you could send a CCA request , just to see if they've got the agreement .....

 

Also , if they pass the debt to one of their In-house DCAs (like MCS) ask them for copies of the agreement to prove their authority to collect ........... but at the end of the day , if there is a valid agreement and you pay what you can afford you can't go far wrong .....

 

and you know to come back and ask if you're in any doubt .......

[mickthespur]

Hi

 

Thanks for the advice, will send them a letter on Monday asking for CCA and then work out a finance plan to see what we can afford and let them have that

 

Appreciate your advice thanks again