Letter from a company called Clarity. re creation finance 'debt'

[jojonlp]

Hi Everyone,

 

We have a small debt issue and would really appreciate any help/advice you could give us on how best we should resolve this.

 

We received a letter today from a company called Clarity,

the letter was as follows:

 

NOTIFICATION OF INSTRUCTION

Our Client: Creation Consumer Finance

Account Ref

Clarity Ref

Balance: 582.80

 

CREATION CONSUMER FINANCE has served you with a Default Notice under section 87 (1) of the Consumer Credit Act 1974.

This notice confirms that you are in breach of your agreement.

 

You have failed to remedy that breach and as a consequence CREATION CONSUMER FINANCE has instructed us to make arrangements with you to repay the above amount.

 

Failure to agree and maintain a payment plan may lead to CREATION CONSUMER FINANCE registering a default against you with one or more credit reference agencies.

This may impact your ability to further credit.

 

Until further notice all repayment proposals must be agreed with us.

 

This matter requires your urgent attention and you should now choose one of the options to make a payment or discuss your situation.

We will be reviewing your account again in seven days.

 

Yours Sincerely

Collections department

End of Letter ----------------------------------------------------------------------------------

 

we have not been given the opportunity to resolve this matter as it says in the letter,

this is the first letter we have had from them regarding the situation.

 

Secondly we don’t want to deal with Clarity who we have no agreement with.

 

The first thing we did was to call Creation Consumer Finance (not Clarity) to ask what the matter was about because we didn’t know what it pertained to.

When we informed that it was an existing payment plan that we were making we asked why we had received this letter.

 

The administrator informed us that there had been a missed payment in May and that we had as a result of the missed payment been charged £150 interest

and that they now wanted the full amount of £582.80 immediately.

 

We informed them that we didn’t have that and that we would be prepared to make the May payment that had unfortunately been missed,

but they did not want this for them it was all or nothing. We ended the call at that point.

 

What we are now asking is could you please give us some advice on how we might best resolve this since

we intend to continue making payments but quite obviously don’t have the full amount.

 

It seems that even in these times when things are tight for most people these financial institutions don’t give any sort of latitude,

it is likely that we missed a payment but we have not had any chance to resolve it

and it seems like this is what they wanted so that they could add interest payments and then call the whole loan in.

 

help or advice about what process we should follow here would be much appreciated.

Thanks,

John.

[dx100uk]

forget clarity

just a tinpot dca with no teeth

now this loan.....

 

tell us about it

 

as they have no legal remit to add anything to it

let alone £150 int.

 

 

you should also keep all comms in WRITING only

 

what does your cra file about this debt?

dx

[jojonlp]

Hi,

 

The loan was for a few items purchased at PC World,

it was just a little easier at the time (Xmas a few years ago) to put it on finance and then pay for it over time.

 

So it was a general loan for an Ipod and a few other items which I cannot even fully recall.

 

As far as the CRA file I have not checked yet,

I don't think I have a current agreement with any company that allows me to check the CRA,

to be honest I did have an account with Experian and Equifax but both of them continued to charge me

after sending them an email to cancel before the end of the 30 day trial.

 

It seems at times like everyone is queuing up to diddle us and very few of the regulators seem to be helping us here.

 

However if I need to check the CRA again through these companies then I will,

it would be good if you could do this on a on one-off chargeable basis rather than having to give them bank or credit card details.

 

I fully understand why you ask this and my answer would be that I don't think they have done anything yet but I think there is a good chance they will after 7 days.

 

Hope that helps, if I need to get more information I will try to in order to resolve this.

 

Thanks for your help,

John.

[dx100uk]

you should be able to do it with a card and telephone cancel before 30 days.

 

if you've a running account

it might only cost £6.99

 

but yes

you need to do it

 

it might not show

 

how old is the account?

 

dx