MBNA - Amazon Card - Credit Card Default Charges

[100mel]

I have an amount of default charges relating to an Amazon card for late payment ( 1 day) - formerly Bank of America now sold to MBNA. They have refused any refund. I made a c omplaint to FOS. They responded and did not accept my complaint on the basis that MBNA had advised FOS that between 2005 - 2009 the average cost of default was £12 and that their judgement was based on MBNA's pre estimate of the cost.

 

Is this correct?

 

Grateful for any advice as to what to do next here? Is a court claim a possibility? My charges relate to 2012

 

thanks

[ims21]

fos are generally not interested in charges reclaims (as you have now found out).

 

You should prepare a spreadsheet of claim together with associated interest and I would suggest that the only way to get them back is to sue in court.

 

This is the spreadsheet you will need.

 

CISheet v101.xls

[100mel]

Thanks for this. Are there any particular POC I should use with MBNA? I assume that it is best to do N1 rather than moneyclaim online?

[ims21]

Before issuing you will need to send them a Letter Before Action together with the spreadsheet of claim.

 

Have you done an lba yet?

[100mel]

I am just about to do it having received the letter from FOS today. However, I suspect that they will either ignore the LBA or rebuff me so I will need to follow through on court claim as and when

[ims21]

Hi

 

The following is the basis of the lba

 

Account number................... ................ date etc

 

Dear Sir/Madam

 

Following media reports,and an investigation into credit card charges by the Office of Fair Trading,which I have recently been made aware of,I now understand,that the regime of fees which you have been applying/applied to my account in relation to late fees, and over limit charges, are unlawful at Common Law,Statute and Consumer regulations,in that they did not/do not, represent a genuine pre-estimate of your actual costs.

 

I would draw your attention to the terms of the contract which you agreed to at the time that this account was opened. It is an implied term of that contract that you would conduct yourselves lawfully and in a manner which complies with UK law,and in consideration of fair business practices and good faith.

 

It is my contention, that you have failed to operate my account in a manner condusive to the above,and have demonstrated a lack of fiduciary duty.

 

I calculate that you have taken £xxx plus £xxxx which you have charged me in interestwhich total £xxx. Additionally,you have entered a default notice against my credit record. This default occurred merely in respect of unlawful charges levied by you, or was the result of impecuniositiy’ caused directly by the taking by you of penalty charges which you had applied to my account.

 

In recent years,Courts have been happy to accept claims for bank charges that exceed 6 years,whilst having regards to the precedent set between KLEINWORT BENSON -v- LINCOLN CITY COUNCIL under section 32 © of the Limitation Act 1980.

Should county court action be needed I will be seeking to rely on this.

 

 

Therefore this letter requests a refund of all charges indicated including interest 14 days from the date of this letter.

I request that payment is made directly to me,by cheque,and that any refund in whole or part should not be allocated to any set off or third parties.

Should this occur,my claim will be deemed as unsettled and I will proceed to the Courts for recovery.

 

You now have 14 days to respond positively,and in the absence of this,I will put you on notice with a further 14 days,letter before action.

I trust this clarifies my position.

 

 

Yours Faithfully

 

Enc; Schedule of charges

 

Head it "Letter Before Action", amend the letter to suit your particular circumstances and alter the ending to say that if they do not refund with 7 days you will issue in court without further notice to them.

 

Make sure you send an up to date spreadsheet with the charges and the interest you are claiming and make sure the figures in the letter agree with the spreadsheet.

 

I believe MCOL is the easy place to issue your claim if the need arises.