GE Money hearing tomorrow URGENT

[walmsley7274]

Good Evening

 

Im hoping someone can give me a quick response.

 

I was in arrears with GE Money (secured loan) due to relationship breakdown, losing my job, looking and securing child care. GE money had a suspended order in place from 2010 and due to my own erratic payments (redundancy from previous job etc) have received an eviction notice now for the 18th July 2013.

 

I have alredy submitted the court forms and witness statements as per the excellent advice on the forum.

 

GE money have provided me with an arrears figure of £2976.96 and have refused all efforts for reaching a payment plan. I have asked for evidence of the arrears and they have provided me with a simple statement and from my calculations the breakdown is

 

£1178.96 arrears for monthly payment

£1767.21 'loan reop instalment due' and "transfer to s/a E'

 

I asked for clarification of what the loan reop instalment due was and received the follow from simply law solicitors

 

Loan re-optimisation, is the process whereby any additional cost and interest that have accrued on a mortgage are paid on a monthly basis over the remaining term of the mortgage rather being due as a lump payment upon expiration of the mortgage term. The claimant believes that it is beneficial for an account to be re-optimised as it spreads the debt out over a long period and prevents the Defendant being asked for a lump payment upon expiry.

 

I have paid all the arrears off now (payment made of £1180 and made the monthly payment last month), despite GE Money refusing to take payment, and will take this evidence to the court hearing tomorrow. I have made an offer of £60 per month to clear the Loan re-optimisation although GE money are adamant they want this as a lump sum due to the £1767.21 which should have been paid previously??

 

GE Money have also issued me a statement saying in addition to the £1767.21 i owe another £3,894.10 in charges which still need to be re-optimised? This statement includes home visits charges which I strongly dispute. Although no other breakdown of interest is provided etc.

 

I have provided to the court evidence of my income, a letter from my employer stating I am out of my probationary period and not at risk of redundancy, a witness statement, all correspondence to GE money and income and expenditure and proof I am in a good position to maintain this commitment. I have two young children also.

 

I think my questions are as follows

 

(1) As I have/can demonstrate I have cleared the monthly instalments arrears would the Judge except £60 towards the charges on the account. There is 57 months remaining on the account which would mean I would pay approx £3420 which I understand is below what GE money is charging me however I want to dispute these and I cannot afford to pay these immediatley as per the request from GE Money.

(2) What is everyones experience on loan re-optimisation and can this be classed as actual arrears on the account.

 

Sorry for the delay (and my unreasonable need for an urgent response I thought I would be ok but I am having wobbles now.

 

Many Thanks

[Ell-enn]

Hi, can you give us a brief description of what you put in your witness statement please

[walmsley7274]

Hi Ellen

 

 

We are the defendants in this case and respectfully request the court to consider the following information when hearing our N244 application.

 

I wrote the following:-

 

 The arrears originally arose due to Miss ****** and Mr **** separating. Mr ****** no longer resides in the property and does not contribute towards financial commitments.

 Upon Miss ****** and Mr ******* separating Miss ******* suffered depression/anxiety, restless legs, sleepless nights.

 Miss Walmsley could not maintain work and childcare and her employment at that time ended due to ill health and childcare.

 

Miss ***** due to her condition and circumstances made sporadic payments, however, has now got her illness controlled due to medication and ongoing counseling. Childcare has been arranged and supported by her parents and is in a stable and responsible job of which she is out of her probationary period.

 

 The arrears amount stipulated by GE Money ‘£2976.96.17’ is disputed as this is made up of Installments and ‘Loan Reop Instalment Due’ and Transfer to s/a E’ (See appendix 2 affixed)

Actual Arrears Monthly Payment (according to statement) £1178.96

‘Transfer to s/a E’ and ‘loan reop instalment due’ £1767.21

Total £2976.96

 

 Miss ***** has asked GE Money to clarify what ‘loan reop instalment due’ is made up of and GE response is that it is the charges, interest on the charges which are applied to the account on a monthly basis to stop there being a substantial payment at the end of the term. However at the time of writing this witness statement this is still to be clarified in writing by GE Money.

 Miss ****has made a payment this month (June 2013) of £170 and £90 towards the arrears. (see appendix 3)

 Miss ***** has offered to clear the actual arrears monthly payment ‘£1178.96’ in a lump sum before the 18th July 2013 and asked for the ‘loan reop installment due’ total amount to be clarified including interest applied and the makeup of the charges applied and this is yet to be provided. (see appendix 4)

 There is 57 months remaining on the agreement.

 

Miss ***** is able to clear the installment arrears of £1178.96 and offer payments of £60 per month in addition to the normal monthly payment towards the ‘loan reop installment due‘– please see Appendix 1 affixed.

 

GE Money have declined this and asked Miss ***** to borrow from family and friends to make a substantial payment towards the arrears. Miss Walmsley has felt harassed into making an offer of £1800 towards the whole balance however this would involve borrowing from family and friends which is unacceptable.

 Miss ***** would like to bring to the attention that there is a ongoing complaint with GE Money with regards to James Forster (Account Manager) requests for additional borrowing to clear the ‘loan reop installment due’ elements.



 

As Miss ****** situation has now improved she is confident she can maintain the additional payments, having cleared the installment arrears already and therefore she respectfully request the court to take into account the case of Cheltenham and Gloucester v Norgan when considering our offer of payment and also s.36 of the Administration of Justice Act 1970.

 

 There are 2 dependent children residing in the property aged 8 and 11 years.

 

 Miss ******* assures the court that she is committed to clearing the arrears for the ‘loan reop installment due’ and respectfully ask that the eviction is suspended in order to provide a stable home for her children and to avoid the expensive and unnecessary costs which would undoubtedly arise following repossession in the current property climate.

 

 

We believe the above to be true and factual.

 

 

----

 

I have now paid the full monthly instalment arrears and will take proof tomorrow.

 

Best Regards

[Ell-enn]

So the actual monthly instalment arrears are now paid? In that case there is no way they will get possession when there are only arrears charges outstanding. You should make sure the judge knows that there are no actual arrears and that you intend to ask GE to refund the charges and escalate to the FOS if they refuse.

[walmsley7274]

Hi Ellen

 

Yes, there is no outstanding monthly arrears I have paid these off and it is only arrears charges outstanding. It is my intention to claim the charges back as they have listed 4 home visits at £50 each over a period of 4 months, I know that has never happened. I'll update after court tomorrow however I may need some help with charges as I don't know where to start.

 

I also have a complaint in with GE money as I have a monthly prescription of £25 to control my medical conditions and they would not accept a copy of my prescription as proof of this outgoing they requested over the phone full medical records supported by a GP report before they would talk to me about a payment plan so I need to see where this goes. Fortunately employment law/data protection is my job so I have made a complaint regarding these practices and sensitive information.

 

Many Many thanks for your help and quick response especially as i have left it to the last minute.

 

Best Regards

[Ell-enn]

We can help you with reclaiming the charges one you get the hearing over. When you get to the court ask if there are any duty legal advisers there, if so - approach them and ask for their support in the hearing.

 

I can't believe they asked for full medical records, you really should be telling the judge that. You could take an additional statement with you tomorrow stating this information and also affixing a copy of the proof of payment. If you do take another statement you should start with the paragraph as follows:

 

I am the defendant in this case and respectfully request the court to consider the following information which is supplementary to that contained in the N244 application:

 

Please see affixed proof of payment of £XXXX which has cleared the arrears completely. The figure the Claiment pleads to be due is made up entirely of charges and interest on these charges. I will be writing to the Claimant requesting these charges be refunded as they are unfair.

 

I wish to bring to the court's attention that the Claimant demanded full medical records endorsed by a GP letter before they would agree a payment plan for the arrears and also refused to accept a copy of a prescription for medicines for my condition as proof of that expense. I have made a formal complaint to the Claimant but have as yet received no response.

 

I believe the above to be true and factual.

 

Signed........................... Date......

[northernbloke]

If you are paying £25pm for prescriptions why don't you have a prepayment card at £10.40 pm?

[walmsley7274]

Hi

 

Sorry for the delay in replying.

 

In answer to the question of a pre payment card, I have only been having these medical expenses for a few months and only just realised that I could get a pre payment card so I have done this now

 

A quick update.....

 

I received a phone call from GE Money on the morning of the court case saying to inform me they have withdrawn the warrant and they apologise for not getting back to me sooner. I still went to court where the solicitor for GE Money was waiting, he said GE Money was advising they wouldn't be enforcing the warrant. I went in front of the Judge who was really nice and explained now there was no arrears I could apply for the suspended order to be removed but sometimes it is not worth it. He also advised me to follow up the charges as GE Money may owe me money now.

 

I came home to a letter from GE Money demanding £3000 to stop litigation. I have no idea where they got the figure of £3000 from as the amount owed has always been lower than this, i have submitted a letter asking for explanations.

 

A very very stressful time but I am now going to put my energy into disputing these charges and looking where to start.

 

Is there a forum or a starting point to get the ball rolling? Any help would be grateful.

[Rorschach]

I'm glad to hear you will have avoided repossession!

Okay, turning to charges, on what basis will you be challenging them? Are they outside of those outlined in the contract? Or what the FSA deems reasonable? What are they in total and how much are solicitors fees?

[citizenB]

I dont know how you slipped through the net on this one.

 

First of all, well done on seeing this through and getting the repossession suspended.

 

Next, if you have all your statements that show these charges, then let us know and we can help you reclaim these unfair charges.

 

If you dont have your statements, then you will need to send a Subject Access Request.

[walmsley7274]

Good Evening

 

Could you please help me, (further to above) I have a suspended repossession order and GE Money applied for a warrant in July 2013 due their being CMI arrears on the account. All the CMI arrears where cleared in July 2013 and the warrant was withdrawn at the hearing at court. The judge advised both myself and GE representative that GE would not be able to reapply for the warrant as all the CMI had been cleared, they would have to start the process again. From my research I am unsure on this one, law v's what the Judge/courts tend to apply.

 

I have maintained the CMI and I am now £156 (give or take a few pence) in credit for this and I can demonstrate this through my bank statements. However GE has again applied for a warrant for possession and given the charges (Loan re op payments) as the arrears amount. This amount is approx £4500 (£2000 in arrears) and is nearly half the original amount borrowed.

 

I am disputing the charges amount and after getting no where quick I applied for a SAR, which I have received and I am going through it although it is a slow and confusing process. I am still being charged arrears charges for being in arrears with the charges and GE advised me yesterday I'm being charged £161 plus interest to go through all this

 

I am in much better position money wise than I ever have been and if it is decided the charges are fair and apply I have no problem in paying it, however, I want to challenge them first.

 

I have contacted GE and their representatives and provided evidence of payment but they just say that the Loan Re Op needs to be paid and until it is they will not withdraw the warrant.

 

I think after that long post my question is where do i stand on this...?? The eviction date in the 9th January and my court is very good and getting hearing dates.

 

Any advice would be welcome and the support has been exceptional in the past.

 

Many Thanks in advance

[ukaviator]

They charged £161 extra charges?

 

You can reclaim these, here is the letter link to send:

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?390026-Mortgages-Reclaiming-Charges

 

Was the repossession suspended?

 

I think the suspended possession order is still there lurking in the background. When you fall behind again the lender could go straight to an eviction warrant again.

Edited December 19, 2013 by ukaviator

[walmsley7274]

The 161 was the charge for the solicitors in submitting another warrant for possession.

 

The Judge didn't say it was still suspended, he just said it was withdrawn and ge couldn't do this anymore as there was no more CMI on the account.

 

I haven't fell behind with the CMI I fact I am in front with these by 156 pounds. It's the charges or what ge term as 'loan re op' that are in arrears and I am disputing these.

 

Any advice would be helpful

 

Thank Lucie

[citizenB]

Lucie, have you got all your statements so that you can see these "extras" that are being added on ?

 

Once you have those, we can advise further on how you can reclaim them. You might want to have a read round other threads where people have been successful in reclaiming these charges

 

If you dont have your statements, then you would need to send a Subject Access Request to the mortgage provider. They will have 40 calendar days in which to comply and it will cost you £10.00. It isnt just statements that you are entitled to, but ALL data in respect of your relationship with the company.

 

I see UK aviator has already provided you with a link to the letter that you will need to send to start the reclaim process

[Ell-enn]

You need to refer them (in writing, by special delivery) to the judge's comments about not being able to apply for a warrant again ! Also tell them that you intent to apply for a hearing in front of the judge to get the warrant dismissed and advise the judge you are in the process of reclaiming unfair charges.

 

 

What is the date on the warrant ?

[walmsley7274]

Hi Ellen

 

The date on the warrant is the 11th December 2013 and the date for eviction is for the 9th January 2014.

 

I have already written to them and faxed their solicitors and GE Money and have the confirmation receipt that this has been received. I mentioned in the fax I would like the figures which they have provided to the court and also reminded them that no payment plan was put into place into place by the Judge as there wasn't any arrears on the account. I also reminded them of the comments from the Judge and that it wasn't contested by GE representative, nor did GE money ask for a payment plan. I have also sent them proof of payment and a running total which demonstrates I am £156 in front with the CMI.

 

Do I apply on Monday to the court for a hearing?? Or leave it until the 2nd/3rd January I feel this is cutting it a little fine but it annoys me I am going to have to pay again for another hearing.

 

I in October I received a letter from GE Money "stating thank you for your payment of £0.00" I immediately wrote back to them and they apologised to me.

 

They have also been charging me £40 a month for being in arrears because of the charges which I will contest.

 

Many thanks for the advice.

[sillygirl1]

If they come back to you and say 'you don't need to attend' just go along anyway, they are chancing their luck and hopefully it will run out.

 

Do a 'cost calculation' of how much you have spent chasing the case and present that at the court if prompted by their 'costs claim'.

[walmsley7274]

I have received a letter today from GE representative which says they are going ahead with the warrant because I have accrued more arrears since the hearing in July. They said that I was still in arrears when they withdrew the warrant in july but that doesn't make sense as their representative didn't ask for a payment plan to be put into place they just said all arrears where clear it was the charges.

 

Looking at the statements it is not the CMI arrears I have accrued (as I am £156 in front) it is the additional charges which have been added at an approximate £480 ?? This is interest, the £40 default charge each month and the £161 solicitors fees.

 

On the statements it says three different interest types being applied each month

 

(1) Interest

(2) Additional Interest

(3) Interest SI.

 

I have written back and told them to clarify each type as I need to know to challenge the charges etc. In the mean time can anyone shed any light on this?

 

Many Thanks

[northernbloke]

Please let us know if you find out what the different interests are. I rang and asked them a few months ago and I really have no idea what the bloke with a strong Chinese accent told me!

[walmsley7274]

I try not to call them now because it feels like they don't listen.

 

At least them trying to enforce a warrant gives me the opportunity to question the charges in a formal forum. If they want to argue how much they allege I am in arrears they will have to explain make up (elements) of the arrears to the judge.

 

I'm applying to the court on Monday and then ill use all of Christmas time off to go through each one and see what it is really costing me.

 

I've learnt that although it is a serious matter they only listen when they have to justify there actions. I need to get to the bottom on this because this time next year I'm

Hoping to not have any charges on the account what so ever.

 

Any help / advice would help though.

[walmsley7274]

Good evening

 

I have anoth question. 'I have asked ge money was transfer to s/a e' is on the arrears statement and they have replied In a letter as follows. 'Our client has confirmed that this payment was transferred to decrease the balance of fee and additional interest rather than decreasing the arrears balance"

 

Is this normal ?

[walmsley7274]

Good evening all

 

I hope you have had a good christmas.

 

I now have a hearing date for the 2nd January 2014 at 10.30 so it looks like I am the first one in after christmas.

 

I think that even though I am making the CMI and have no arrears on these (currently £156 in front) I am going to offer something towards the charges otherwise it might look like I am not willing do you think this is correct. From reading it seems that some judges discount the charges (arrears) and some say you have to pay is this everyone else's experience?

 

GE still haven't answered my questions and are insistent my arrears have increased since the last court hearing in July. Arrears for the charges have increased because of the monthly administration charge, the additional and additional SI interest and the solicitors fees being added on.

 

I have received everything for reclaiming the charges and I am aware that I can't reclaim solicitors costs but i have the following questions

 

(a) on the spreadsheet do I claim for the additional interest and additional SI interest?

(b) what is the compound interest worked out at the top?

© it appears that even while I was paying by direct debit I was being charged administration charges, this can't be right can it? They set the direct debit amount?

(d) it appears that when solicitors fees were being applied so was the administration charges, they can't have it both ways can they?

 

 

For information purposes,from when I paid the CMI arrears off the additional interest SI charge decreased dramatically so this must somehow link to this.

 

Which letter do I send to GE first about reclaiming the charges?

 

Any help would be really appreciated, the charges confuse me.

 

Many Thanks

[stu007]

Hi

 

will see if I can get some help for you

[walmsley7274]

Hi stu007

 

Thank you

[Ell-enn]

Are you saying you have no arrears on your monthly payments? If that is the case then you cannot be evicted for owing charges! you need to make the judge aware that there are no arrears - show him documentary proof.