Email from NDR (Toothfairy)

[nikolashewitt]

Hi,

 

We received an email from NDR 2 weeks ago saying our Toothfairy account was in arrears even though it wasn't due for another few days. We rang toothfairy and the gentleman agreed that the loan had been passed to NDR too soon, and to ignore it.

 

We paid a £36 extension fee to extend for a further 2 weeks and again we have received 4 emails in the space of an hour this morning stating that we owe £318, and then received an email 20mins later stating we now owe nearly £700.

 

The loan isn't even due for a few days!!!

 

This is the email we have just received:

 

 

Dear Abigail

 

Thank you for your message.

 

You currently owe £678.

 

Here is a COMPLETE breakdown of your account to-date with ALL the dates and the amount of ALL charges:

 

16.06.12 Issue LOAN £200.00 –

 

17.06.12 Charge Interest-1 £36 –

 

01.07.12 Charge Interest-2 £36 –

 

15.07.12 Charge Interest-3 £36 –

 

15.07.12 Charge Missed Payment Fee 1 (day 29) £10

 

29.07.12 Charge Interest-4 £36 –

 

29.07.12 Charge NDR Recovery Fee £350

 

29.07.12 Charge Missed Payment Fee 2 (day 43) £10

 

Payments to-date:

 

11.07.12 Payment -£36

 

You will be incurring additional interest charges on the 11.08.12 making your total outstanding £724.

 

If you are unable to pay in a one off payment, but you are willing to pay £100 per month starting from this month, we are prepared to FREEZE all interest and charges.

 

Please confirm the dates that you will be making payment on and whether you wish for us to set this up to take payment automatically?

 

If you have any questions please don\'t hesitate to call us on 0843 381 0843

 

Failure to make either payment will result in your file being passed to a third party bailiff company who will commence proceedings against you in your local county court.

 

Yours sincerely,

 

COLLECTIONS (129)

 

NORTHERN DEBT RECOVERY

 

Any advice will be great!

[nikolashewitt]

Can I also add that where it says payments to date, we have made 3 x £36 payment not just one!!

[renegadeimp]

Hi. First step is not to panic and to calm down. Now for some hard facts.

 

Your first mistake is to have called them, though thats ok since you were simply doing the "right thing" . They will say and do anything over the phone to add charges or to get your debit details.

 

They are also prolific liars and are under investigation by the OFT. They are so bad, even the DMP provider CCCS has stopped issuing debtors payments to them while the investigation is ongoing.

 

15.07.12 Charge Missed Payment Fee 1 (day 29) £10

 

29.07.12 Charge Interest-4 £36 –

 

29.07.12 Charge NDR Recovery Fee £350

 

29.07.12 Charge Missed Payment Fee 2 (day 43) £10

 

All unenforceable charges. Especially NDR fee. (NDR are the next desk along in the same office as toothfairy/speedcredit/Marshall Hoares. They are all the same company.

 

From now on, NEVER communicate with them by phone. Only do it in writing, so you get a full paper trail. Keep your normal payments going, and once you have repaid the loan amount and ORIGINAL agreed interest, stop payments then let them justify the unfair charges.

 

You must also start making full complaints to the regulators.

Failure to make either payment will result in your file being passed to a third party bailiff company who will commence proceedings against you in your local county court.

 

This is very misleading and in direct violation of OFT guidance on debt collection.

 

 

Regarding the payments you have made, make sure y ou have a reciept for them, or that it clearly shows on your bank statements. You may need all this information should they try and take you to court, if they think you are a easy target. I also wouldnt be surprised if they start offering you discounts soon. If they do, then you know they are trying to sc@m you and con you into paying more.

 

Can i ask how much your original contract states you were to repay, including interest, and also, do the companies "speed credit" or "Marshall Hoares" get listed on any of the forms/letters.

[nikolashewitt]

I really appreciate the reply. These monkeys don't fool me anyway.

 

The original agreement was £200 loan fee for 2 weeks and to repay £236. The agreement was set up on 18/06/2012.

 

We have repaid 01/07/2012 £36, and 13/07/2012 £36.

 

I actually forgot it was only 2 weeks and thought it was a 28 day agreement but that is no excuse to add all these charges in a matter of days.

 

I have these payment on my bank statement showing they were paid. I am able to pay the original loan of £200 and one months interest of £36 on Wednesday 1st August.

 

Should I pay it to their bank or send a cheque?

[renegadeimp]

Do you have their bank account details so you can do a bank transfer, or a standing order? You need to pay it so it doesnt reveal your full bank details. These con artists are well known for taking your details and using them as and when they like. Even sharing then with other PDL's and DCA's.

 

Since you are able to pay the debt back in full, and an extra £72 on top, they wouldnt have a leg to stand on in court.

 

What you could do is put the payment in a throw away account or on a prepaid debit card, and give them the details. That way, theres no chance of them taking anything else.

 

If you want to do it calmly and professionally. You could write to them and make a final settlement offer. This being the money you have already paid, plus the rest you intend to pay in 3 days time. You must add a clause though that this will repay the loan in full, your account will be closed and that they will not, under any circumstances try and pass any alleged remainder of the debt to any third party company or representative.

 

It might be a good idea to do that first, then go from there depending on the outcome.

[nikolashewitt]

I paid the 2 lots of £36 on my debit card so I assume they would have these details already?

[renegadeimp]

They would yes, so it might be a good idea to get a parachute account to safeguard your money. They could easily say that you allowed them to debit the full amount as and when they like.

[nikolashewitt]

What if I was to cancel by debit card as lost or stolen?

 

I don't want to get up on Wednesday to realize over £1000 has gone

[renegadeimp]

You would need to cancel the card, and ensure its cancelled immediately, then cancel any and all CPA's on the account. Some banks will refuse to do this, so have a read of http://www.consumeractiongroup.co.uk/forum/showthread.php?336569-How-to-remove-a-lender-s-continuous-payment-authority and know your rights.

 

Do NOT take no for an answer.

[nikolashewitt]

thats great. on the original post, NDR state that additional interest will be added on 11.08.2012 does this mean they won't take any payment before then?

[renegadeimp]

We don't know. They are known for debiting accounts as and when they like, for as much as they like. Thats why we always advise to secure your money and account before you do ANYTHING else. Even if it means opening a parachute account.

[nikolashewitt]

Do I open a new account with alternative bank or with the same bank i'm with now, and how do I go about safeguarding my money for Wednesday when i'm paid, as it's too late to notify my employer of a change of bank for this months salary.

[renegadeimp]

Open it with a completely different banking group. RBS for example have been known to allow creditors access to a new account if the old one was held with them.

 

Try the coop basic account. It can be opened on the phone, and anyone can open it as long as they dont have a history of fraud. Once you have the account name and sortcode which can be emailed to you or told over the phone, simply go to your old bank account and send every penny in it to the new one.

 

It will take 5 working days or so until your cashcard comes through the post so you can access the money, but at least its fully secured. You acn then use the old account as a bill paying one.

 

As an example, i have multiple accounts myself. I have a basic account that my incomings get put into. Nobody but me has access to it. No bills have ever been or will ever be paid from it. I have a second account which is used for bills. I send the money over a day or so before the bills are due and its taken care of.

 

Then i have a savings account, so all my spare cash goes into it, so nobody can get to it.

[nikolashewitt]

Yes, we were planning on opening a new account, one for salaries and one for bills. As my salary isn't due until Wednesday is there any chance of them beating me to it?

[renegadeimp]

They can try. First thing tomorrow, go to your bank and talk to the bank manager. Explain everything and tell him to stop payments being authorised. Tell him you want the CPA on the account cancelled. Dont take no for an answer. Stay there until he fulfils your wishes or until you speak to someone with more knowledge of the law.

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?336569-How-to-remove-a-lender-s-continuous-payment-authority for more info on CPA's.

[nikolashewitt]

Thats great, I really appreciate your help. I'll be ringing them in a few minutes. I think I will be cancelling the card tonight and then tomorrow I'll go into the branch and ask for all CPA's to be stopped

[renegadeimp]

Make sure you put the request for the CPA's in writing and ensure you get a receipt for it from your bank. Remember, the law states that the bank MUST cancel them upon your request. Its been that way since 2009 so dont let your bank give you any rubbish about they cant.

[nikolashewitt]

I'm just thinking if I request this in writing and send a letter than nothing will happen in time for midnight tuesday, so it might be best if I sit up tuesday night waiting for my wages to go in, and the minute they do just do a transfer straight over to the next bank!!!

[nikolashewitt]

Do I need to make contact with toothfairy now to keep them sweet as such and just say I'll be making a payment on say friday?

[renegadeimp]

Write the letter and take it to your branch in person. Your bank manager should be able to advise on what to do, including any chargebacks if the transactions do get processed. Make sure to get everything he says in writing and have him/her sign it as well. You can do what you suggest on the tuesday night, but make sure you inform the bank so your back is covered. Remember, once you request the CPA be cancelled, ANY money taken out by the PDL after you have given the instruction, MUST be returned to you as the law states. This includes any interest you would have gained too.

 

If you do not give the instruction to cancel the CPA, the bank can refuse to refund or chargeback the amount taken. You can email TF/SC/NDR/MH/whatever they call themselves now, but chances are pretty high they wont listen to you, and will simply do whatever they like. Although it would cover your back and would look very bad for them if this debt ever went to a court.

[nikolashewitt]

no problems, what do I put in the letter, and do I just hand it in or do I stand there and wait for them to read it, sorry if I sound a novice!

[renegadeimp]

http://www.consumeractiongroup.co.uk/forum/showthread.php?336569-How-to-remove-a-lender-s-continuous-payment-authority

 

Have a read of that. Theres no default template. All you need to do is write a simple letter stating the account number, date, you want the CPA cancelled relating to toothfairys processing merchant cancelled ( youll have to check your bank statements for the exact name), and you want it cancelled immediately.

 

Get a receipt from your bank and keep hold of it. You will need it if you need to complain to the FOS/FSA if your bank breaks the law by not carrying out your instruction.

 

no problems, what do I put in the letter, and do I just hand it in or do I stand there and wait for them to read it, sorry if I sound a novice!

 

Thats exactly what you do if you feel you need to do it. You dont have to be there when you read it, as long as you have a receipt that states they received your letter to cancel the CPA on the account. Ensure that your reciept states something along those lines.

 

A few banks are refusing to carry out the instructions, but after some FSA " persuasion", theyre starting to come around now.

[nikolashewitt]

thats brill, will be writing this tonight then and will get the card cancelled later tonight. thankyou so much for your help, its been very kind of you. I will let you know the outcome tomorrow morning.

[renegadeimp]

No problem Just make sure you get that receipt from them, as it is what you will be relying on if they refuse to cancel the CPA, or refuse to chargeback/refund any amounts that are debited.

[JOHNINYORK]

I'm just thinking if I request this in writing and send a letter than nothing will happen in time for midnight tuesday, so it might be best if I sit up tuesday night waiting for my wages to go in, and the minute they do just do a transfer straight over to the next bank!!!

 

There might be a problem with this.If they try to remove money from your account before your wages go in,the bank might put their payment on hold until sufficient funds (your wages) go into the account.Then the payment could go through.

I cancelled my card with Santander on the advice of a member of staff,all direct debits are paid.But any transaction with the old card details,gets blocked,as Speed Credit found out.

 

Regards,John.