Acenden-SPML-Taking too much every month

[dummyneedshelp]

Hi all.I have an interesting question concerning mortage companies and their right to take excess amounts without your permission.In particular Acenden,an offshoot of SPML.I will keep this as brief as possible.

I took out a mortgage with SPML in 2001.A small mortgage of under £30,000.My mortgage payment is approx £175,of which the dss pay about £60 a month.leaving me with a payment of about £115 a month.

I have been on benefits for several years due to poor health.

I have never had any real problems with them (SPML),apart from them constantly taking excess amounts in mortgage payments most months,with no explanation or apology.This has happpened consistently since i took out the mortgage.Eventually i would get a refund for the excess amounts taken.

My latest problems started last year,when the dss changed the rules on the amount they will pay in housing payments each month.I was never informed of this change by either the dss or acenden,and only found out by chance in january.When i checked my mortage account online in january,i saw i was in arrears by about £45 because of an underpayment by the dss.No charges had been added,apparently due to dss rules,and the small amount involved.So i happily paid the arrears and thought that was it.Next month,i checked again and saw i was (according to my online statement) £65 in arrears.Again i paid it and contacted acenden and the dss.They (acenden) assured me they could add up and that my direct debit would be adjusted to take the correct amount from my bank (approx £115).So next month they took approx £180,an extra £65 from my account,leaving me £65 in credit on my mortgage account.I phoned them again and got a £65 refund.I have just checked my bank statement,and see a direct debit request from acenden for £240 odd pounds.£125 too much and over 2 weeks benefit money,leaving me potless.

My mortgage payments are approx £175.I have never been in arrears,or knowingly missed a payment with this mortgage,so they have no reason to take excess amounts from my bank account.

In my last phone call to them,they assured me all will be right this month.

My question is;Can they legally keep taking excess amounts from my bank every month,even after i had verbally instructed them not to do this.I would like to add that this is causing me extreme financial hardship,and is affecting my already fragile health.

Replies will be gratefully recieved.

Just to add that i have every letter and statement sent from spml,and all their various collection agencies,since the mortgage was taken out,proving the above.

Edited May 1, 2011 by dummyneedshelp
added information

[Mr lex]

Hi DNH !!

 

I think the Mortage forum would be a better place to get you some good advice.

 

I'll move your thread there, you wont lose it, honest !!

 

Lex

[dummyneedshelp]

ok thanks

[dummyneedshelp]

come on guys and girls.someone must have an opinion on this.should i go to the police about this ?.if not,who should i contact.please help this is driving me nuts.

[Lea_HTH]

come on guys and girls.someone must have an opinion on this.should i go to the police about this ?.if not,who should i contact.please help this is driving me nuts.

 

The police won't be interested. It's a civil matter, not criminal.

 

The answer is very simple - change your direct debit to a standing order. Hey presto, no more unauthorised amounts going out of your account.

 

It is likely they will make a fuss, but so long as you state your reasons, and ensure that the payment they receive each month is accurate to the very last penny, then everything should be fine. But, by changing to a SO, you are taking the payments out of their hands - so be warned, you will need to ensure you are not falling into arrears by doing it this way; unless your monthly payment is exactly the same each month, it will entail you phoning them before the payment is due and then adjusting your SO as necessary.

[dummyneedshelp]

Hi.thanks for the suggestion.

Doing anything to the direct debit is not an option with this shower.Neither is asking for anything on the phone,trust me,its not an option.

Please remember,i have never missed a payment in 10 years.I am a good customer,not a defaulter.I dread to think how they treat the bad customers.

Anyhoo,how do i go about taking legal action.If the general opinion is the police wont be interested then i have to do something asap to stop this happening every month..

[Lea_HTH]

Hi.thanks for the suggestion.

Doing anything to the direct debit is not an option with this shower.Neither is asking for anything on the phone,trust me,its not an option.

Please remember,i have never missed a payment in 10 years.I am a good customer,not a defaulter.I dread to think how they treat the bad customers.

Anyhoo,how do i go about taking legal action.If the general opinion is the police wont be interested then i have to do something asap to stop this happening every month..

 

Firstly, you are free to take the advice given and use it, and equally free to ignore it. It's absolutely your choice.

 

You CAN change your payment method - if you choose not to, that is your choice.

 

You have no legal cause of action. The courts will not be interested since there is a method of resolving the issue without recourse to the courts.

 

You are also covered by the direct debit guarantee - if a payment is taken that differs to the usual payment, then Acenden should inform you prior to taking the payment - if they take more than they told you they would, then the guarantee kicks in and you can ask for an immediate refund of any payment over the actual payment. If they refuse, then you can complain to the Financial Ombudsman.

[dummyneedshelp]

thanks.

i have sent them a message asking for a refund for over payment taken,as per the direct debit guarantee.

how long do i have to give them to refund me before i can county court them ??

[Lea_HTH]

thanks.

i have sent them a message asking for a refund for over payment taken,as per the direct debit guarantee.

how long do i have to give them to refund me before i can county court them ??

 

I am not entirely sure that you understand how and when to use the courts, so to be clear, you have no cause of action at this time. If the mortgage company do not refund your money - you go to your own bank and request that the DD is recalled. It will be refunded under the DD guarantee.

[dummyneedshelp]

Hi.Many thanks for your reply.Yes you are right,i have absolutely no idea about how the court system works,or any legal matters concerning finance..But i am a fast learner when i need to be,and have plenty of time on my hands,so am absorbing as much as possible from this great site

Thats why i posted to the forum,to get as much advice as i can.Then i can decide whether to put up,or shut up.If i do nothing,they will just keep on doing it,to me,and who knows how many other people.If this is a regular occurance with lots of customers,then the sums involved would be enormous.I am hoping other people with mortgages,who were maybe afraid,or didnt want the hassle,will contact me,or post here

I read another post with a similar situation to mine,and one of the replys said write to them,asking where they keep the money,and if its earning interst.

Any point in that ??

[Lea_HTH]

Hi.Many thanks for your reply.Yes you are right,i have absolutely no idea about how the court system works,or any legal matters concerning finance..But i am a fast learner when i need to be,and have plenty of time on my hands,so am absorbing as much as possible from this great site

Thats why i posted to the forum,to get as much advice as i can.Then i can decide whether to put up,or shut up.If i do nothing,they will just keep on doing it,to me,and who knows how many other people.If this is a regular occurance with lots of customers,then the sums involved would be enormous.I am hoping other people with mortgages,who were maybe afraid,or didnt want the hassle,will contact me,or post here

I read another post with a similar situation to mine,and one of the replys said write to them,asking where they keep the money,and if its earning interst.

Any point in that ??

 

My answers remain the same, your solution is very, very easy and totally in your control. You can't sue someone for your own inaction.

[dummyneedshelp]

Ok thanks.

Is this post on the wrong page,or have i done something wrong,as i seem to be getting comments from 1 person only.After spending days trawling through the site,and seeing endless complaints about spml/ascenden,i find it very strange that no-one else is commenting.

If i complain to the bank and they refund me the payment taken by them in may,does that put me in default as no payment has been made on my mortgage for this month.

[Lea_HTH]

Ok thanks.

Is this post on the wrong page,or have i done something wrong,as i seem to be getting comments from 1 person only.After spending days trawling through the site,and seeing endless complaints about spml/ascenden,i find it very strange that no-one else is commenting.

If i complain to the bank and they refund me the payment taken by them in may,does that put me in default as no payment has been made on my mortgage for this month.

 

Refer to post #7.

 

You may still get other viewpoints - but the legal position based on what you claim to have occurred, is as stated.

[subprimevictim]

Do as I do - cancel the direct debit and pay by debit card each month. Why let these vultures help themselves to your money?

[dummyneedshelp]

This matter has now been raised with the FSA.

Its ridiculous of you to suggest i make a manual payment every month for the next 15 years.

Do you work for,or have anything to do with SPML or any of the various agencies they use ?.

[subprimevictim]

Carry on as you are then. Why ask for advice when you won't accept it?

[dummyneedshelp]

I very much appreciate any input on the questions i have asked.

Because i have not been given any advice that is useful to my particular problem,,i have not taken it.

I will ask again.Have you any connection to SPML ?.

[subprimevictim]

No I have not. Why would I? I would like to see every sub-prime loan company closed down and to suggest that I have any connection to them is an insult.

[Ell-enn]

You have been given absolutely the correct advice from Lea_HTH. The only way to guarantee that the same amount is paid every month is to set up a standing order it's very easy to do and it is your choice. However, if the amount the DWP pay is liable to change you would need to know that in advance in order to adjust the standing order or pay the excess over the phone.

 

I'm not sure what further advice you are looking for, and you won't get many more people responding if you accuse them of working for lenders when they give you an opinion that isn't what you want to hear.

[dummyneedshelp]

Hello again.

First off, apologies for my earlier rant. I was totally at the end of my tether with these people and was not thinking straight.

Update to where i am now.

I have contacted the FSA 3 times and not had any sort of response at all from them.Not even an acknowledgement that i have contacted them.

So i have got some legal advice.

I have been advised not to change the payment method from direct debit for any reason,as this could be the equivilent of financial suicide.

I have given 150 pages of documents,including all letters and statements, to a firm of chartered accountants and am awaiting the results.

I will of course keep you updated.

Edited October 19, 2011 by dummyneedshelp