Credit Card Assignment

[Linian]

Can anyone tell me please, must a Credit Card account be terminated by the OC before they can assign it to a 3rd party?

 

In other words, when buying the account, does the new creditor buy all the terms and conditions as set out and are they obliged to continue administering the account as it was originally agreed or does the OC terminate the account so the new creditor can bring in it's own terms?

 

Thanks

[nicklea]

Can anyone tell me please, must a Credit Card account be terminated by the OC before they can assign it to a 3rd party?

 

no

[Linian]

OK thanks, So does that mean that an OC can assign an account without first serving a Default Notice and if so, would the new creditor then have to serve a DN before being able to enforce?

[SB100]

I have a similar situation; MBNA sold my debt to Link before the remedy date on a default notice.

[AndyOrch]

OK thanks, So does that mean that an OC can assign an account without first serving a Default Notice and if so, would the new creditor then have to serve a DN before being able to enforce?

 

Hi Linian

 

The question is was the account in default before it was assigned or subject to issues?

Did you put it into dispute or had you missed payments?

 

Regards

 

Andy

[Linian]

Hi andyorch

 

Thanks for responding. I had missed payments. I did not send a s78 request but had already sent several letters and a SAR asking for a copy of the agreement and all to no avail. Is that in dispute?

[AndyOrch]

Your account is problematic to them and you requesting information is a signal to off load for them.They dont have to terminate

or issue a DN to assign though.The assignee will then issue a DN when its ready to instigate litigation which is the whole reason the account was purchased for.

 

Regards

Andy

[The Mould]

Can anyone tell me please, must a Credit Card account be terminated by the OC before they can assign it to a 3rd party?

 

In other words, when buying the account, does the new creditor buy all the terms and conditions as set out and are they obliged to continue administering the account as it was originally agreed or does the OC terminate the account so the new creditor can bring in it's own terms?

 

Thanks

 

Good morning Linian

 

Have you received a Notice Of Assignment?

 

Kind Regards

 

The Mould

[Linian]

But a valid DN needs to be served before enforcement - yes? And if the OC has not served a valid DN then the new owner must serve one before they enforce - yes?

 

The point is, the OC sent a duff DN then assigned the debt. New owner has issued proceedings stating that a valid DN was served and then account terminated - so;

 

1. OC no valid DN served, they can assign but cannot terminate - yes?

2. New owner cannot enforce as no valid DN has been served by the old or new owner - yes?

3. So what is the point of termination? What purpose does it serve if it is not needed to assign or enforce a debt?

 

Mould - yes a NoA was received with a dodgy date (SAR info says two different dates) Claimant (new owner) has still not provided proof of lawful assignment (the DEED itself)

[AndyOrch]

But a valid DN needs to be served before enforcement - yes? And if the OC has not served a valid DN then the new owner must serve one before they enforce - yes?

 

The point is, the OC sent a duff DN then assigned the debt. New owner has issued proceedings stating that a valid DN was served and then account terminated - so;

 

1. OC no valid DN served, they can assign but cannot terminate - yes? They cannot terminate as they no longer own the debt

2. New owner cannot enforce as no valid DN has been served by the old or new owner - yes? No nothing to do with OC now if the debt was assigned absolute New owner has to issue DN

3. So what is the point of termination? What purpose does it serve if it is not needed to assign or enforce a debt? Termination is when a DN as been issued and the breach not rectified and usually litigation commences.The DN can also act as a TN if its stated within the DN

 

Mould - yes a NoA was received with a dodgy date (SAR info says two different dates) Claimant (new owner) has still not provided proof of lawful assignment (the DEED itself)

 

 

Regards

Andy

[Linian]

Ok, thanks again Andy

 

The story is;

1.OC sent invalid DN

2.OC assigned debt

3. New owner takes legal action stating that DN had been served and acc had been terminated

 

So if I've got this right;

 

1. The account cannot have been terminated and OC could not enforce as OC's DN was not valid

2. As the new C has not issued a valid DN of their own, they cannot enforce either? and

3. At the end of all this, any (alleged) termination is irrelevant.

 

Is that about it?

[The Mould]

Ok, thanks again Andy

 

The story is;

1.OC sent invalid DN

2.OC assigned debt

3. New owner takes legal action stating that DN had been served and acc had been terminated

 

So if I've got this right;

 

1. The account cannot have been terminated and OC could not enforce as OC's DN was not valid

2. As the new C has not issued a valid DN of their own, they cannot enforce either? and

3. At the end of all this, any (alleged) termination is irrelevant.

 

Is that about it?

 

Good afternoon Linian

 

If the date of assignment stated on the Deed is different to the actual date of assignment, then, the assignment is invalid and the title of the contract and all rights and benefits thereof remain as vested interest of the original party, the first party - the creditor.

 

The OC can Terminate and assign the contract absolute to the assignee (the new creditor), this would be a legal assignment LOP 1925 sec 136(1).

 

The assignee (new creditor) would then carry on with the performance obligations under the contract in the same consistent manner as the assignor (the original creditor) would have done.

 

Has the new creditor commenced with proceedings against you?

 

Which of the two creditors delivered the Notice of Assignment to you?

 

Kind Regards

 

The Mould

[Linian]

The Mould

 

If the date of assignment stated on the Deed is different to the actual date of assignment, then, the assignment is invalid and the title of the contract and all rights and benefits thereof remain as vested interest of the original party, the first party - the creditor.

 

The NoA states a date of assignment but I haven't seen actual evidence of any "DEED" yet just an agreement between the parties stating an intention to assign but no evidence that an assignment has actually taken place. The date stated on the NoA is different to TWO other dates noted in the OC's SAR response

 

The OC can Terminate and assign the contract absolute to the assignee (the new creditor), this would be a legal assignment LOP 1925 sec 136(1).

 

Yes but my question was, does Termination need to the place BEFORE an assignment can happen and I've been advised that it is not necessary (seems strange that termination plays no part in all this)

 

The assignee (new creditor) would then carry on with the performance obligations under the contract in the same consistent manner as the assignor (the original creditor) would have done.

 

The assignee has taken legal action on the basis of a DN having already been issued by OC but that DN was not valid and they know it.

 

Has the new creditor commenced with proceedings against you?

 

Yes - see above

 

Which of the two creditors delivered the Notice of Assignment to you?

 

The assignee

 

 

Thanks for your input, I hope I haven't confused things?

[The Mould]

The Mould

 

If the date of assignment stated on the Deed is different to the actual date of assignment, then, the assignment is invalid and the title of the contract and all rights and benefits thereof remain as vested interest of the original party, the first party - the creditor.

 

The NoA states a date of assignment but I haven't seen actual evidence of any "DEED" yet just an agreement between the parties stating an intention to assign but no evidence that an assignment has actually taken place. The date stated on the NoA is different to TWO other dates noted in the OC's SAR response

 

The OC can Terminate and assign the contract absolute to the assignee (the new creditor), this would be a legal assignment LOP 1925 sec 136(1).

 

Yes but my question was, does Termination need to the place BEFORE an assignment can happen and I've been advised that it is not necessary (seems strange that termination plays no part in all this)

 

The assignee (new creditor) would then carry on with the performance obligations under the contract in the same consistent manner as the assignor (the original creditor) would have done.

 

The assignee has taken legal action on the basis of a DN having already been issued by OC but that DN was not valid and they know it.

 

Has the new creditor commenced with proceedings against you?

 

Yes - see above

 

Which of the two creditors delivered the Notice of Assignment to you?

 

The assignee

 

 

Thanks for your input, I hope I haven't confused things?

 

At what point are proceedings at now?

 

Kind Regards

 

The Mould

[Linian]

Assignee went for summary judgement which I defended successfully based on improperly executed agreement and dodgy DN (the original was invalid so they made one up and submitted it!)

 

Judge has ordered them to submit copies of all s87 notices served on the defendant

 

Now set for trial in June

[Linian]

And I would LOVE to counterclaim

[The Mould]

Assignee went for summary judgement which I defended successfully based on improperly executed agreement and dodgy DN (the original was invalid so they made one up and submitted it!)

 

Judge has ordered them to submit copies of all s87 notices served on the defendant

 

Now set for trial in June

 

Has the claimant complied with said Order? If not, make an application (N244) into court requesting that the claim be struck out on the grounds of non-compliance with said Order, the claim is without merit and the claimant is unable to provide tangible evidence to substantiate his pleadings.

 

Go for that (if he has not complied), forget about compensation, however, serve a request for costs with said app, for having to defend this action.

 

Kind Regards

 

The Mould

 

PS. In the alternative, serve a simple notice upon the claimant (his Solicitors) stating that if he is willing to discontinue on the understanding that both parties bear their own costs and on the further condition that the claimant will not take any further action in relation to his claim, then you will accept that as a resolution to this matter, if he is not willing to discontinue, then it is your intention to make an application to strike out his claim and request costs do be awarded for defending an action that was brought without merit.