Link adding interest to 2 GE old sold loan debts

[roaringgirl]

that's agreement is wrong/faulty

120*27.81=3337.20 not 3618

 

a 3k loan from 2004 and its still not paid

they are having a laugh!!

 

dx

 

If the agreement is wrong then surely it is null and void?

[dx100uk]

prob why ge sold them on

dx

[fkofilee]

Adapt and amend, But i also want the site team to advise too... The whole point is getting Link to admit their mistake and put it right.

 

Address

Address

Address

Post Code

 

Date

 

Formal Notice Of Complaint

 

Account Ref;

 

Dear Sirs

 

I write in relation to the mentioned accounts. I am extremely unhappy with how Link has been dealing with these and I feel has breached the terms of the so called Consumer Credit Agreements that you have sent me.

 

First off let me state, I do not acknowledge any debt owed to your firm and am presently paying these because I feel that I am being pressured to do so. If I don’t, then this could cause substantial issues.

 

My first complaint is about the CCA you have sent me and you right to charge Interest on said account. In the agreement it doesn’t state anywhere that the account can be sold on to a 3rd party collection agency. While I don’t dispute the general business practices of the collections sector, I do dispute the fact that this doesn’t give you free reign to do as you please. So first answer is why do you now have an account in which the terms don’t state that this can be sold on.

 

My second issue is the constant is in relation to the actual account total. It appears that I don’t seem to be making any dent in the actual amount that is currently outstanding. It almost seems if Link is charging Interest on top of a debt they have purchased.

 

If this is the case, then Im going to explain why I believe Link is in contravention of both the CCA and the FCA Sourcebook which governs what you do as a 3rd party DCA.

 

First off, after checking the CCA that has been sent to me, it makes no mention of charging interest after defaulting. However, section 8.2 says that interest may be charged pre and after judgement, it doesn’t give Link the right to charge me Interest. Only the original creditor my do so and this is CLEARLY not shown in any part of this agreement. This leads me to believe that you are not entitled to add Interest in any from unless subject to a Judgement in which legally only 8% maybe added to the date of said Judgement.

 

Also, I refer to the following points from the FCA sourcebook.

 

Dealing fairly with customers in arrears or default

CONC 7.3.2

When dealing with customers in default or in arrears difficulties a firm should pay due regard to its obligations under Principle 6 (Customers’ interests) to treat its customers fairly.

 

CONC 7.3.4

A firm must treat customers in default or in arrears difficulties with forbearance and due consideration.

CONC 7.3.10

A firm must not pressurise a customer:

 

(1) to pay a debt in one single or very few repayments or in unreasonably large amounts, when to do so would have an adverse impact on the customer's financial circumstances;

 

 

My third issue is the amount outstanding.

 

Debt 1:

Original credit: £1618.57

Link says its £1736.45

They added interest and bumped the debt up to £2479.85

I have actually paid £1430.36

 

Debt 2:

Original credit: £1219.40

Link says its £1430.66

They added interest and bumped the debt up to £2201.55

I have actually paid £789.66

 

By this point I should have cleared most of these accounts if it wasn’t for the constant addition of interest which you have no right to charge. This is unfair, doesn’t treat a customer fairly and puts you in breach of the FCA sourcebook. You are putting me further into debt by pushing more interest on these.

 

I will be reporting this to the FOS and the FCA should you continue to breach the above and I will not be treated unfairly by your company any longer.

 

Should you fail to comply, I will stop paying these accounts and refer these to the Legal System.

 

I expect these accounts to either be closed with no further detriment to myself, otherwise these will be going to the Ombudsman and the FCA.

 

Contact Details

Name

Telephone

Address.

 

Kind Regards

Roaringgirl…

[fkofilee]

Send to

 

[email protected] - MD

[email protected] - FCA Contact

[email protected] - The Guardian

 

But please let the site team advise any amendments to be made. Also if anything is incorrect as far as what has gone on, please let us know.

And we can amend.

[citizenB]

Before commenting on the letter, can you please confirm if these accounts were defaulted and terminated by the original creditors before being sold/assigned to Link ?

[citizenB]

If the accounts were defaulted and terminated by the original creditor before assignment - then I do not believe that Link have the right add interest.

 

With regards to the letter, I would go with something less wordy along the lines of the following: -

 

 

Account references :

 

Formal Complaint

 

Dear Sir/Madam, named person.

 

This is a formal complaint in respect of the above accounts.

 

First of all, I acknowledge no liability to your company and am only making payments under extreme pressure placed upon me by Link.

 

Nowhere in the documents that I have received from you, does there appear to be any provision for Link to continue adding interest to these accounts - therefore I am disputing the outstanding balances.

 

This is aside from the fact that there also appears to be no provision for the accounts to be sold/assigned to a 3rd party anyway !

 

I believe that Link are guilty of misleading practices and are contravening the provisions of the Financial Conduct Authority Source Book as follows :

 

The following points refer:-

 

Dealing fairly with customers in arrears or default

CONC 7.3.2

When dealing with customers in default or in arrears difficulties a firm should pay due regard to its obligations under Principle 6 (Customers’ interests) to treat its customers fairly.

 

CONC 7.3.4

A firm must treat customers in default or in arrears difficulties with forbearance and due consideration.

CONC 7.3.10

A firm must not pressurise a customer:

 

(1) to pay a debt in one single or very few repayments or in unreasonably large amounts, when to do so would have an adverse impact on the customer's financial circumstances;

 

Should I not receive a response from you in respect of the above within 14 days, I will be escalating my complaint to the Financial Ombudsman.

 

Yours etc.

[dx100uk]

the only thing you need to do with link

is simply stop paying. IMHO.

 

force them to take you to court, if they dare!

 

have you the other agreement?

[roaringgirl]

Well!!!! Thank you so much

 

I can see I still have lots more digging to do to find the rest of the paperwork.

I have had to deal with a HUGE amount of paperwork over the years so that may take some time.

 

I don't think I have the other agreement. And I haven't paid for two years.

 

I need all the info from PayPlan I think.

 

I am pretty certain the debt was defaulted, and sold on.

Like I said, I shall have to do some digging.

That won't be till the weekend as I am tied up every other evening this week with work.

 

Should I wait for their solicitors to contact me?

[fkofilee]

Its up to you... Send mine or Citbs version of the letter or leave them.

I personally would email the head of link with a copy of the letter and let them duke it out. Once done, could be interesting as they may close the accounts as you have been cashcowed for long enough...

 

But if they dont, you have the FOS and also the courts too

[renegadeimp]

I am pretty certain the debt was defaulted, and sold on.

 

It will have been. Link are debt buyers and resort to all kinds of tricks to extort money from people.

[roaringgirl]

So, in short, email the letter to Link, and the solicitors?

[fkofilee]

So, in short, email the letter to Link, and the solicitors?

 

Its up to you... We have different ways of dealing with things.

 

 

DX is also right in a sense, because a judge would eat them for Breakfast should they try anything

 

But yes, Send a copy to each UP to you.

[roaringgirl]

righto. just had a letter from Kearns saying if I don't pay them the full amount then I will be taken to court in 14 days time.

 

I have just drafted the letter and will send tomorrow.

 

lets see what they say to that.

 

if they still go ahead, what can I do next?

 

at the bottom of their letter, they say this

 

" You should be aware that, under your contract, interest at the contractual rate continues to be charged until the debt is fully repaid.

 

 

This applies whether or not an order is made by the court to pay off the debt by installments, unless an order is made under section 129 of the Consumer Credit Act 1974 ("The Act").

An installment order of this kind is called a Time Order.

 

 

You can apply to the court fro a Time Order and if it makes a Time Order, the Court also has the power to reduce the rate of interest charged on the debt over the period of instalments.

 

 

A Time Order will normally be made only if you are in temporary financial difficulty but are likely to be able to resume repayment of the installment due under your contract."

 

What the hell does this mean to me?!

[fkofilee]

Then if it goes to court, then we can help draft a defence if need be. You should have sent the letter already but if you are responding then Id do it now...

 

And they are just reiterating what we have told you about interest however they shouldnt be charging it and we all feel they are on very dodgy ground! The contract was defaulted and no further interest should be paid. But i assure you that a judge would more than likely side with you as you cant be expected to constantly pay... It would be a never ending debt!

[roaringgirl]

I couldn't send the letter before because I did not have an address for Kearns!!!

 

And thank you

[dx100uk]

as a side issue

 

 

go read the letter properly...

I bet it doesn't say will anything.

simply cleverly worded to make you think it does.

 

 

dx

[roaringgirl]

So I have had a response from Kearns solicitors and this is it.

 

 

 

Dear blah,

 

We write further to the receipt of the letter dated 2nd February 2016.

 

This matter relates to a Fixed-Sum Loan Agreement financed by GE Money Home Lending which was subsequently sold/ assigned to our client, Asset Link Capital (No 1) Limited on 17th May 2007.

 

You are clearly aware of your responsibility to pay our client as following assignment and up to November 2013 you were making payment via an agreed payment arrangement with Pay Plan ( debt help and advice) whom you had instructed to assist you with financial affairs.

 

You have queried the fact that following the assignment of the debt that our Client continued to debit interest to your account. The interest that was debited was contractual interest ( see enclosed copy of the Loan Agreement) . The Credit Agreement provided that interest would be debited each month on a compound basis . As the debt was acquired prior to the expected completion date of the agreement ( payable over 120 months) interest continued to be debited to the account until October 2011 at which point the interest was frozen as the interest charged was equal to but not more than, the interest that would have been charged should you have paid the contractual instalments as and when they became due.

 

Our Client has not, as suggested, sought to recover any interest that they are not entitled to charge.

 

We are aware that you are currently experiencing financial difficulty and as such we are instructed to request you to propose a payment that is affordable to you supported by details of your current income and expenditure.

 

Should you fail to propose payment we are instructed to issue a summons to secure the debt under a County Court Judgement?

 

If you wish to contact us blah blah

[dx100uk]

so have you written proof that the OC terminated the agreement?

 

 

dx

[roaringgirl]

No. HW do I go about getting that, and stalling the solicitors?

[roaringgirl]

If the OC terminated the account, what would the implications of that be?

[dx100uk]

so that's the outstanding issue

 

 

time to sar first national

or

 

 

GE money

[Guest]

If the OC terminated the account, what would the implications of that be?

alot.

if its ended (ie no payment arrangement/dmp etc that prolonged the agreement but at a reduced rate). no contractual interest unless post judgment contractual interest applies. but that is re post court. even then they wld have to get a separate judgment re that.

what do the terms say that they rely on.

[roaringgirl]

I am struggling to upload again. I attached the CCA and t's and C's on a previous post.

[roaringgirl]

Done! What a faff!

 

Does this work?

[roaringgirl]

alot.

if its ended (ie no payment arrangement/dmp etc that prolonged the agreement but at a reduced rate). no contractual interest unless post judgment contractual interest applies. but that is re post court. even then they wld have to get a separate judgment re that.

what do the terms say that they rely on.

 

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