MBNA-What to do next???

[this.bloke]

I'm in financial difficulties with this MBNA credit card.

The credit card application was made on-line in 2009, no signature

- Can any one tell me if this agreement is enforcable?

 

No payments made since the interest-free period expired.

Their letter dated 20th April arrived 25th May.

So, in chronological order, has any one got a good template letter, for their lengthy reply or should I just reply, if at all, to the last letter dated 12th May?

 

Any help greatly appreciated

3pp.pdf

[PGH7447]

On line agreements do not have signatures, the tick box when you apply signifies your acceptance - sorry

[PGH7447]

standard letters but all correct Im afraid.

 

you maybe able to get the default removed by stating the other letter took so long to arrive, and by coming to some payment agreement, otherwise the fun will begin by either them chasing the debt or them selling it on to a dca

[citizenB]

WIth the amendments to the CCA act, I think any agreement entered into after 2007 is pretty much guaranteed to be sound unless there was something mega wrong with it.

[baz1986]

When did online applications first come into our world? I have a shop direct from 2003 without any CCA?

[cerberusalert]

Iirc 2000

[teaboy2]

[ATTACH=CONFIG]27984[/ATTACH]I'm in financial difficulties with this MBNA credit card. The credit card application was made on-line in 2009, no signature - Can any one tell me if this agreement is enforcable? No payments made since the interest-free period expired. Their letter dated 20th April arrived 25th May. So, in chronological order, has any one got a good template letter, for their lengthy reply or should I just reply, if at all, to the last letter dated 12th May?

 

Any help greatly appreciated

 

The above responses are correct in regards to the enforceability of the CCA via Ticking the box - Question is, did you actually receive a letter titled Default Notice served under section 87 of the consumer credit act prior to this letter of termination? And have they as yet sold the account to a 3rd party?

[this.bloke]

Well teaboy2, received a default notice on 7th March for one amount and the termination on 12th May for another higher amount, presumably for more interest added. They have not sold it on to a third party yet, but did, this morning, receive a call from a credit agency I have not heard of before. What is my best option? Bite the bullet and make an offer to pay a lower amount, without interest over a number of years? Or stand fast and refuse to pay at all. I am happy to be belligerent as the sum owed to MBNA is about the same as the bank charges I have had to pay over the years. Thanks for your time - this.bloke

[teaboy2]

Any chance you can post up the default and termination notices you received minus your personal details as PDF documents (images are too small). Its important you leave all the dates showing though.

 

We can then determine where you stand legally with the account, either way its up to you if you make repayments, but knowing whether the law is in your favor on this or not is beneficial to you, and if it is, then they won't be able to enforce and you can make repayments at will. But the key here is not to tell MBNA or DCA about our findings till after they sell the account.

[this.bloke]

Thanks teaboy2, attatched are the two dated letters

2pp.pdf

[teaboy2]

Ok so the default notice is invalid if they sent second class post. I.e Its dated the 07th so first date of posting is the 8th, so it will have been received on the 11th. You have a statutory 14 days after the date received in which to remedy the default notice, the 12th till the 23rd (i.e. date before the 24th as stated on the notice) is not 14 days but only 12 days.

 

If the envelope has a post mark in the top right corner containing an S then its second class post, and MBNA usually do sent second class.

 

So it would seem MBNA with all their wealth and top of the range computers, they are still not able to work out that it's 4 working days postage for second class, followed by 14 days and not 2 working days followed by 14 days. They seem to think default notices sent second class will arrive in just 2 days when the law states they are not deemed as served til 4 working days.

 

Though if it was sent first class then it would be valid, so its important you still have the envelope and that the envelope shows an S in the postage stamp.

 

**If they have not yet sold the account, then do not say anything about the invalid default notice, as invalid default notices can be remedied by the original creditor if they have not sold the account, but once the account has been sold it can not be remedied and as such the sale of the account amounts to unlawful rescission of contract**

Edited June 6, 2011 by teaboy2

[42man]

You should be wary of a court case Amex vs Brandon (although it is currently being appealed)

[baz1986]

They are so hinting in this default to you that they want you to offer them a partial settlement amount!

[teaboy2]

Yes that's true. But it all depends on whether they sold this account, and its quite clear that the default received by Brandon did not allow him the full 14 days, as required under the CCA, the fact the judge concluded that no enforcement action was taken till 21 days, does not change the fact the default notice was inaccurate in regards to the date for remedy. So i fail to see how the default notice received by Brandon could be deemed accurate when the actual dates are inaccurate and do not allow for the full 14 days, the judge fails to note that Mr Brandon can not see into the future in order to know that upon receiving the default notice, whether AMEX would sell/enforce the account prior to, on the, or after the date for remedy. At the time of receiving the notice it is only possible for Mr Brandon to note that the notice is invalid as it does not allow him his statutory 14 days. So i think the judge was gravely wrong about the default not being relevant, as how can a statutory notice that is in accurate not be relevant?

[May Fly]

you are quite right teaboy, and many others have probably thought the same,

but the judge decided that brandon had not suffered any disadvanatge or prejudice and therefore the errors didn't matter.

 

of course, as you say, if brandon had known that he actually had 21 days rather than less than 14 that the faulty DN allowed,

he may well have been able and willing to to rectify, but he could only assume as you point out, that he had only the time stated on the DN.

 

Many others with faulty DNs may well have been able to resolve the matter

if they had know that the bank weren't going to act on the DN for weeks or months,

but they didn't and could only go on the contents of the DN.

 

In any case, I and many others fail to see how being sloppy, lazy, or incompetent and choosing not to enforce a DN

makes the DN vaild regardless of it's errors.

 

Thats a bit like sending any piece of rubbish titled Default Notice and enforcing it 6 months later on the grounds

that the recipient hasn't been disadvantaged because of the passage of time

- not only did 6 montsh give him time to fnd the money,

but also to research the Notice and find out the correct wording and extent of its power.

 

Alas, common sense seemed to be absent in court on that day.

 

In this instance, the bank are not likely to act immediately, and certainly not to go to court. MBNA have a reputation for selling debts quite quickly, and it may be best to sit tight, do nothing, say nothing, and wait for the Brandon appeal and to see what MBNA do.

 

Of course, if you can make payments, you may choose to negotiate a payment schedule, or you may choose not to, and see if they go to court or sell the debt, at which point you will have the option of payment schedules either Ordered by the court, or by discussion with the new owner.

 

An alternative is to engage the services of someone like PayPlan or another non-fee charging company that will negotiate payments with your creditors after taking your circumstances into account. They can often take the strain off you because the bank deals with them, and doesn't bother you as long as you keep the arrangement going. You simply pay the money to PayPlan and they pay it to the creditors.

 

You can also get advice from the National Debt Helpline who will go through the options. As far as I know, only forums like this will help you decide if the agreements are valid and enforceable, payplan, and debt helpline won't consider that the debts may not be enforceable, they will assume they are

 

In the short term (next few months at least) there is likely to be a lot of chasing and what may be described as aggro or harassment before MBNA decide what to do. Of course, your reaction to their activities helps shape what they do.