Full and final settlement IDEM Servicing old MBNA debt no CCA

[wooldra]

MBNA recently transferred my credit card debt to Idem Servicing without notice, (yes I do understand this can be done, & I do understand that under the 1926 act the full notional balance is transferred regardless of what Idem Servicing paid for it).

 

Not wishing to be in the clutches of a DCA I decided to make a settlement offer of some 55% of the notional balance and about twice what Idem paid for it, working on the basis of the max they would have paid 30% for a debt situation that is now nearly six years old).

 

Despite several tries at written dialogue all I have received in return is a standard letter stating no offer will be accepted until I complete a full financal statement, and boy is this full, it ask what I would consider to be the normal questions, plus items like what do you spend on petfood, sweets, footware etc.! They also want to know why the offer is being made, amount being offered, (already stated), and the source of the offer funds. Also the reference now used is not the cc number but their own, which they describe as a 'loan account'.

 

In the past, I have made offers to creditors of full and final settlements and after negotiation have had them agreed at around this rate (50 - 60%) of the orginal debt amount, without resorting to disclosing so much (any) information. I could understand completing this form if negotiating a monthly payment figure but this is not the case. I should also add the amount I have been paying monthly amounts to more than I would be paying in terms of a minimum payment if the credit card was active.

 

The question I have is would you consider this to be normal practise, or are they 'fishing' to leverage up my monthly payment? Any other suggestions gratefully received as well.

 

As a bit of background IDEM recently accquired two tranches of cc debt from MBNA one at 55 million, the other at 11.8 million. They are part of the Paragon group who are a mortgage and loans company, although if you look at the groups balance sheet you will see the DCA arm (IDEM) contributed 27% of their last group profits, their investment partners (i.e. they have put up a proportion of the money) for debt accquisition are Carval Investors, and Arrow Global, technically this is called a 'shared upside purchase'.

[BRIGADIER2JCS]

Normal fot Idem yes, they appear to believe that they have a right to dig very deep.

 

Only a court can ''order'' such a disclosure and you are under no obligation to provied any data at all.

 

I would suggest if you wish to go ahead that you amend their form to suit your offer, eg state this is the information I regard as relevevant to my offer.

 

A note against the requirement for disclosing the source of the money state confidential, as for the for the offer state Private.

As to the spending on sweets etc state Not Relevant.

 

With IDEM be even more careful with the wording of the offer than normal, ie the remaining balance is NOT to be sold or assigned to any third party now or in the future, and all adverse date is to be removed from CRA files, do not send any money until you have an unequivical agreement to your terms.

[dx100uk]

what about PENALTY fees & PPI reclaiming?

 

dx

[wooldra]

I have been in touch by letter with my DCA

and wish to know whether it is normal practise for the DCA to ask

for a full financial statement of income,

outgoings,

partners assets,

value of house,

number of cars in the house source of funds,

 

they need to know the source for 'security reasons' ostensably.

before even considering the offer made,

as I am getting this 'loan' at zero interest.

 

The offer made is for 58% of the nominal sum, (i.e. the sum transferred from the bank, a MBNA credit card), not what they might have paid for it!.

 

For other debts settled in the past ,

I have just had an exchange of correspondence until we reach a mutually acceptable figure ,

without the need to disclose all of this information,

apparently they will not even reply to my offer letter until they have all of this information.

 

Another odd thing is I have just paid my first dd to them post transfer,

and this is LESS than I was paying MBNA.

 

I asked them to up the DD figure to what I was paying MBNA,

they said they will only take the 'minimum payment' by direct debit,

and if I wish to pay more this will need to be done by standing order,

payment via their online system, or a debit card payment.

 

I have also just received a statement which emulates a credit card statement in its format, how odd is this?

 

All opinions on this matter gratefully received

[BRIGADIER2JCS]

Hi, The DCA has absolutely no right to any of this information imo it is even far more than a court wuold order you to disclose.

 

Which DCA is making these ridiculous demands?.

Have you checked your credit reference files? If not do so asap Equifax and Experian have 30 days free trials Noddle (call credit ) is free but imo not always accurate or upto date.

[Bandit127]

I suspect your account hasn't been defaulted. Or somehow they think the original T&Cs still apply.

 

Not accepting an offer because they want less is otherwise VERY bizarre behaviour for a DCA.

[wooldra]

The DCA is IDEM servicing, the monthly amount is more than the minimum payment you would make on a 'real cc' and the say the account is not in arrears!!

[BRIGADIER2JCS]

Even more important to check CRA files to see which company is reporting on this and what the status of the account is,do nothing else until you have checked.

[wooldra]

Hi Brig, would love to do this, but I have not lived in the UK since 2004, have no UK address so there is no way for me to check

[bigshoes...bigsocks]

I'm confuzzled

[BRIGADIER2JCS]

Shame, try this letter.

Send to the compliance manager.

 

Ref: as on their letter.

 

Dear Sir or Madam,

 

I refer to your companys letter dated in which you demand an outrageous disclosure of my financial business, as you must be aware you re not entitled to thisw level of disclosure which in my opinion is Draconian and I decline to submit any such account.

 

I have made a mre than reasonable offer of full and final settlement of this matter and would expect your reasonable consideration of the offer, this offer will remain open for a further seven days if I do not receive you written acceptance of this offer I shall have to reconsider what level of payment I should make in regard to this debt, at this moment I forsee a payment of 50% less than the current level.

 

I have as said made a more than reasonable offer to settle this debt and should you wish to escalate your ''collection'' activities to court claim my offer will be put berfore the court.

 

Send by equivalent of recorded delivery.

[dx100uk]

if you are not in the uk are you ever going to retuen?

 

something smells here........

 

you've paid off various debts by F&F.

 

ever checked the legitamacy of the debts first?

ever CCA'd these people to check they have the legal right to even demand/accept payments from you?

 

most DCA's have no legal powers whatsoever to do anything to you unless they OWN a debt.

 

they are NOT BAILIFFS

 

you really need to check your CRA file before you consider parting with any money to anyone

 

ever looked at reclaiming too?

 

bet most of your debts have PENALTY charges & poss PPI?

 

dx

[wooldra]

So here we are some 8 months further down the line,

 

on 13th May sent a request for the CCA, a bit remiss of me to not request until now I know

 

but angered by a letter from IDEM Servicing saying your offer in settlement of £0 has not been accepted!.

 

Phoned them two weeks ago, naughty I know but angry, asked why this letter had been sent, (profuse apologies),

asked about CCA progress, said 'we are in the process of sorting it'.

 

Letter arrived from IDEM on 29th June stating my current balance, what I had to pay as a minimum monthly payment,

and inviting me to pay more if I chose to pay off my balance sooner!.

 

Annoyed so sent of part two of the CCA request saying , now in default and if no CCA within 14 days no more money till CCA request satisfied.

 

Is this a suitable course of action?,

 

every dealing I have had with this outfit to date has resulted in the 'no' answer, and I am hacked off by their intransigent attitude!.

[dx100uk]

yep

 

I hope you've not been paying them?

 

please you really need to stay off that phone

 

dx

[wooldra]

Further to my post on this of 7th July, received ONE envelope today with TWO copies of the same letter as I received last time!. Confusion seems to reign at our dear friends IDEM's establishment!. Further developments will be posted as they occur.

[wooldra]

Getting any kind of reply from these people seems to be a difficult task, no reply yet re CCA or to follow up communication. Of course when they are doing the asking quicker than a greyhound out of the trap!. This almost seems to be policy, i.e. no answer to any question posed by the debtor. Or could it be embarrassment, not able to produce the required docs?.

[wooldra]

Still no communication from IDEM, I can only assume this is 'policy', is it possible to complain to someone about this, it appears to be a blatant refusal to deal with you as a 'customer' and fulfil what I understand to be a legal obligation.

[dx100uk]

so what are you trying to do

 

short settle a debt that they have no cca for?

 

dx

[wooldra]

An update,

 

still no CCA,

 

IDEM and I quote 'are asking to MBNA' for the information,

 

I have pointed out that I requested this on 13th May, and consequently this account is in dispute,

and remains so until the appropriate documents are produced.

 

I just want this problem to go away and not go on for years with this debt being passed around from pillar to post,

reams of correspondence buggering around etc..

 

my view is that I am prepared to offer a short settlement to achieve this.

 

I have had the usual we are doing you a favour by not asking for any interest,

I have pointed out that I have read Paragons annual report and am able to ascertain approximately

what they paid for two tranches of MBNA accounts they purchased last year.

 

we will see who blinks first, sometimes negotiation is better than confrontation.

 

As far as I am concerned they can have it either way, watch this space to see what happens....

[dx100uk]

short settlement is not guaranteed to get that result.

 

can we run through a few things please

 

are these debts on his CRA file?

how much?

what is the default dates?

 

have you got all the statements?

 

dx

[wooldra]

Having read various threads on here about the 'changing value' of a CCA, i.e. these days courts decide on probability than you are a debtor rather than the evidence of a produced CCA either a copy of the original or more recently just a copy I am a bit confused as to what to do next.

 

This agreement was defaulted back in 2006, I had a payment plan in place with the OC MBNA to pay £160 per month, this remained in place until October 2012 when the balance was assigned to IDEM Servicing.

 

We have had several rounds of discussion since then culminating with a request for a CCA on 13th May followed by an in dispute follow up early July.

 

IDEM have to date not produced ANY paperwork, either a copy of the original nor a reconstituted agreement. They claim to be trying to obtain this detail from MBNA, they also agree that their handling of matters to date has been shambolic!.

 

They have been receiving a payment monthly of £136 (their figure). Can I without fear or favour now stop paying until they provide a response to my request. I find some of the advice on CAG a bit contrary and have no wish to give IDEM any opening to more dramatic action, on the other hand I am brassed off with the stalling tactics they have adopted.

[BRIGADIER2JCS]

NO CCA produced, formally place the account into dispute (in writing) and notify them you are ceasing payments until the request is complied with, a recon agreement is not acceptable.

[wooldra]

Thanks for the steer Brig.

[dx100uk]

http://www.consumeractiongroup.co.uk/forum/content.php?436-Failiure-to-provide-a-copy-of-the-agreement-within-the-prescribed-timescale

[dx100uk]

did you get your cra file?

something smells here

see below

 

dx