The Money Shop - help needed please

[vselym]

Hi all, I am currently helping my step daughter sort out her pdl with The Money Shop.

 

We became aware of the problem in July 2013 when she moved back in with us. She received a default notice dated 16/07/13 claiming she owed £582.83. I sent TMS a letter, recorded delivery, on the 23/07/13 explaining she was currently unemployed, applying for JSA, could they freeze interest, provide their account details so payments could be made when her financial situation improved, and also included a SAR. I simultaneously obtained all 3 CRA reports. I changed her bank account as well.

 

Received SAR from TMS dated 29/08/13. She was by now in employment and due to be paid on the 30/09/13. She started to receive daily phone calls which I told her to ignore. I wrote to them on 01/10/13 stating she was in employment, willing to settle the account over 9 months but still needed their account details, and to desist from calling and deal in writing.

 

So, to the help I need. I am trying to work out how much they are due. From the SAR, the last loan she had was from 21/04/13 for £370-00, for 9 days, with an APR of 2235784.0% variable (no typo btw), and a total amount payable of £473-56 by 30/04/13. She has made no payment towards this, and the CRA report, updated 30/06/13, shows a balance of £497-00. They have so far not replied to the letter dated 01/10/13, and have continued to call, last week alone, 32 times.

 

She will by 31/10/13 have saved enough to pay in the region of £500-00, and I could do with being shot of this bunch of clowns on her behalf, any help/advice greatly received thanks

[renegadeimp]

APR of 2235784.0%

 

Id LOVE to see them try and enforce that.

[vselym]

Agreed that it's a joke, but I want resolution. If I write and ask for a settlement figure then they will come up with some fictitious amount anyway, I need to know what they are entitled to ?

[renegadeimp]

What does her contract with them say? The initial one.

[vselym]

I have scanned in a copy of the agreement

 

[ATTACH]47040[/ATTACH]

 

any more questions please ask

[Tawnyowl]

Hi all, I am currently helping my step daughter sort out her pdl with The Money Shop.

 

This is a nice thing to do.People get so confused when dealing with the legal loan sharks.

 

We became aware of the problem in July 2013 when she moved back in with us. She received a default notice dated 16/07/13 claiming she owed £582.83. I sent TMS a letter, recorded delivery, on the 23/07/13 explaining she was currently unemployed, applying for JSA, could they freeze interest, provide their account details so payments could be made when her financial situation improved, and also included a SAR. I simultaneously obtained all 3 CRA reports. I changed her bank account as well.

Good that you have changed the bank account,now you are in control.

I suppose the CRA reports show these defaults.

You clearly have tried your best to deal with them professionally.

Received SAR from TMS dated 29/08/13. She was by now in employment and due to be paid on the 30/09/13. She started to receive daily phone calls which I told her to ignore. I wrote to them on 01/10/13 stating she was in employment, willing to settle the account over 9 months but still needed their account details, and to desist from calling and deal in writing.

I see you sent them a letter saying stop calling and only to deal in writing.Was this the template letter.

For anyone else in a tight spot with a lender.A good link here.

http://www.consumeractiongroup.co.uk/forum/showthread.php?396982-New-payday-loan-survival-guide-by-mike-dailly-govan-law-centre.

So, to the help I need. I am trying to work out how much they are due. From the SAR, the last loan she had was from 21/04/13 for £370-00, for 9 days, with an APR of 2235784.0% variable (no typo btw), and a total amount payable of £473-56 by 30/04/13. She has made no payment towards this, and the CRA report, updated 30/06/13, shows a balance of £497-00. They have so far not replied to the letter dated 01/10/13, and have continued to call, last week alone, 32 times.

32 times,harassment.

 

 

She will by 31/10/13 have saved enough to pay in the region of £500-00, and I could do with being shot of this bunch of clowns on her behalf, any help/advice greatly received thanks

I understand wanting rid of them,but do you feel angry enough to challenge them on a few things.

 

Tawnyowl.

Edited October 21, 2013 by tawnyowl

[vselym]

I hear what you are saying and there is heaps to challenge them on, however, she did borrow the money and it needs to be paid back. What I was trying to ascertain was how much exactly.

 

I am trying to work out whether I now write an official complaint letter, and start the 8 week clock ticking to involve the FOS ?

[renegadeimp]

Yep. Get a formal complaint rolling

[vselym]

Do I mention how much I will pay or just leave values out altogether ?

[Tawnyowl]

It seems to me you just want rid off this payday loan once and for all.Which is understandable.

I have just been looking in many places for what to offer in these situations.And have been through the PDF again.

In the complaint letter perhaps offer £497.00 as a full and final payment.

Or what you consider to be fair.

See what they come back with.And i would expect some kind of apology from them.

As you have tried to deal with the situation professionally

By recorded letter.All you have received back is constant phone calls.

Yes there may be avenues to challenge them on.

They probably or will soon will realise this.

But as you say the money was borrowed.Now you just want to know how much to offer..

I feel this is a fair and reasonable offer.

Edited October 21, 2013 by tawnyowl

[vselym]

How is this ?

 

The Money Shop

Castlebridge Office Village

Kirtley Drive

Castle Marina

NOTTINGHAM

NG7 1LD

 

 

21st October 2013

 

Account No:

 

FORMAL COMPLAINT

 

Dear Sir/Madam

 

 

Further to my previous letters, 23rd July 2013 & 1st October 2013, and in compliance with your complaints procedure, I am now lodging a formal complaint with you in regards of the above account.

 

My complaints are that you have contravened OFT guidelines in a number of ways, primarily but not exclusively, in that you failed to properly assess my suitability for the loan, have treated me unfairly once you were made aware of my financial difficulties ignoring my right to revoke authority for methods of contact, resulting in undue stress and harassment, and refused to offer an alternative payment method and affordable payment plan.

 

In order to resolve this situation I will pay £497-00 over 9 months, 8 x £50-00 and a balance payment of £97-00, in full and final settlement. I will pay by online bank transfer on the 1st day of each month, to any account you designate and use the account number above as a reference. In addition I also require any default/Default markers removed from any and all Credit Reference Agencies that you use, and reiterate my demand that you contact me by letter only.

 

I am aware that as this is a formal complaint you have up to 8 weeks to conclude your findings in this matter, and would request that you forward your final response at its conclusion to enable me to escalate my complaint to the FOS at the earliest opportunity.

 

Thank you for your co-operation in this matter, I look forward to hearing from you as soon as possible,

 

 

 

Yours faithfully

 

 

My reasoning for getting shot asap is that I think they have a legitimate case for marking her credit file, although I have added it into my formal complaint. If paid now then that's 9 months off the other end for it falling off after 6 years

 

Any/all thoughts greatly appreciated

[Tawnyowl]

Well what can i say.This is a fantastic letter.That may be used by people in similar circumstances.

I could not possibly improve on that.

Let us see their reply .

I am in awe of this letter.And yes as you say the 6 year marker.Whether a payday loan is paid off early or on time has a effect.As seen in this thread.

http://www.consumeractiongroup.co.uk/forum/showthread.php?398164-Pay-Day-Loans-damage-to-your-future-credit-rating%285-Viewing%29-nbsp

 

Well done on composing a masterpiece.

Look forward to updates.

Tawnyowl.

[vselym]

Thanks for the kind words

 

Question still remains how much to offer these muppets ? The £497-00 is from the CRA report but dated 30/06/13, DN was sent 16/07/13 giving 16 days to resolve and for an amount of £582.83. Letter was sent recorded on 23/07/13 stating circumstances changed and unable to pay as agreed.

 

From what I have read from here and other sources, they can ask for original loan, 1 months interest and reasonable default charge. £582.83 is probably close to that amount, though I can't work it out ! DN mentions no cost in itself, and can't see anywhere they state how much for a DN.

 

Or as previously asked, do I leave the amounts out and the ball in their court ?

[Tawnyowl]

mmm-What to do.

1- Send complaint letter without offer-see what they come up with.

2- Send complaint letter with offer of £497 over 9 months.

3- Send complaint letter with offer for full amount.583.00 which you will possibly challenge. over 9 months.

I think also the Credit Report is hurting anyway.If it went to a DCA,offer would be smaller.

So if they think like we do,they should accept.Otherwise they lose in the long run.

Personally in that order,1-2-3-i feel.Up to you.

 

So many letters and offer,not offer choices.Got myself confused there for a moment.I am off to offer my services to the garden.Off i trot when i have offered myself a nice glass of coke.

Good luck,take the chance.

Tawnyowl.

Edited October 21, 2013 by tawnyowl

[vselym]

They will lose anyway as I fully intend going to the FOS regardless of the outcome, and I am sure that will cost them the FOS investigation fee, which will far exceed any interest they get paid.

 

Thanks for your musings, am going to go with £497-00, as that is the figure they recorded with the CRA on 30/06/13, which was a month past the original repayment date. They can't have it all ways round

[Tawnyowl]

As i was coming back to this thread,i was just thinking to myself what is the best one to send.And i feel you have made the right choice.

Sometimes i feel by the way these companies are acting is it true really true that they are booming.

Or do you think they are beginning to suffer a touch.Are people wising up.

If regulation does come in reading things i have seen,many of them are finished.

Is it true that 50% of profit come from rollovers.

Although i have seen in America how they get round this.

How much of their profit come from fees,charges etc.

Their business model clearly shows they are reliant on people defaulting,extending,rollovering people.

Once again i say ban them. They are sneaky predators targeting people and communities.

Why they have been able to do this well there are many reasons.One of them the sheer power of money.

As for the Payday loan brokers,well there is another story.

The best choice and fair i feel.

I will be interested and look out for updates.

Bye for now.And good luck to your stepdaughter in her new job.

Edited October 21, 2013 by tawnyowl

[manontheweb]

That is a great letter, let us know how they respond!

[vselym]

So TMS replied by post today, acknowledging my Formal Complaint. They were told in my letter of 1st October to communicate in writing only, but continued to call between 5 and 7 times per day, monday to friday, all logged. My Formal Complaint, dated 21st October, again reiterated that all communication should be in writing. They have continued to call each day, until today when I received their reply, strangely no calls today.

 

Their reply was the usual "we acknowledge" rubbish, that they have 8 weeks etc etc....

 

As expected, no account details for me to pay them, so I will be sending a Postal Order, minus costs, on the 1st November as per my repayment plan laid out in my Formal Complaint.

 

Any/all thoughts appreciated

[vselym]

Further update, still no phonecalls since Official Complaint reply received, and as I promised I have today sent a PO with the below covering letter

 

The Money Shop

Castlebridge Office Village

Kirtley Drive

Castle Marina

NOTTINGHAM

NG7 1LD

 

 

1st November 2013

 

Account No:

 

 

 

Dear Sir/Madam

 

 

As I have stated in my previous correspondence with yourselves, I am looking to repay the above loan by way of an affordable payment plan, after my financial situation changed unexpectedly.

 

To date, you have failed to provide me with your account details to enable me to do this, so as I have previously proposed, please find enclosed a postal order made payable to yourselves to the value of £44-00.

 

I expect this to be reflected as a payment of £50-00 towards my account, as I have had to deduct the associated costs of paying this way, leaving a new balance of £447-00 in full and final settlement.

 

Would you please be kind enough to forward a receipt by return of post ?

 

Thank you for your co-operation in this matter, I look forward to hearing from you as soon as possible,

 

 

 

Yours faithfully

 

 

I await their reply, but won't be holding my breath

[renegadeimp]

Theyll come up with some excuse, but since they are refusing a legitimate form of payment in any other way ( which breaks a few regulations), then you have no choice but to use the PO method. Even a court would agree with you, as it clearly shows you arent avoiding your debts, you want to pay, but they are making it virtually impossible to do so without you giving up your bank details. Details they can then use, )and are well known for using) , to strip your account clean.

[vselym]

TBH, I couldn't care less what they think/do !

 

All I'm doing is leaving a paper trail showing my willingness to sort the problem and repay the debt.

 

The clock is ticking on FOS involvement

[toptrapper]

Spot on, keep everything in writing. Also make sure you keep a log of all the phone calls and texts for FOS.

[vselym]

Phone call logs have been kept, strangely they have never sent texts or e-mails.

 

All my letters have been sent recorded and proof of deliveries printed from Royal Mail's website

[toptrapper]

No texts? Surprising, in my previous dealings with TMS it was their favourite way of harassment!!!! I'd love to see their response when FOS ask them to explain themselves!!

[vselym]

Evening all, this month's update,

 

have sent December's payment by Postal Order again, although they still haven't cashed November's payment yet, but they did sign for the recorded letter it arrived in.

 

Still no reply to the Formal Complaint, but they do have until the 18th December to reply.