cheque centre PDL and a default

[Morley85]

Hi all,

 

I was unfortunate enough to have a payday loan which I couldn't pay on the payment date (it was a hefty sum of money).

 

The lenders called me on the same day after for a chat in which I advised I couldnt pay them this month and that I didn't have the original documents.

 

This wasn't a problem and the adviser told me that if I could make two payments (both at full interest ) then the balance would be closed and I could lend with them again. he also stated that I would not be defaulted if the payments where made.

 

I agreed and one month down the line the first payment was due, which was paid in full over the phone. I asked the guy on the other end to just reiterate that I would not be defaulted and he said absolutely not.

 

SO! final payment was made the month after. In full and on time... And i was defaulted :/

 

According to the company I was 1 day over their internal criteria for defaulting (90) days. Never did they tell me this over the phone, according to 3 people (and at expensive call rates) I would have been fine.

 

Even if they had told me I needed to pay 1 sodding day early or my primary aim of not being defaulted wouldn't be for filled I could have lent or hell be it get another loan for a day!

 

Do I have any sort of defence being that I was totally misadvised by them? They also refused to put any documentation regarding the repayment plan together other than the phone calls and internal 'notes'?

 

I really need this thing removing

 

Cheers for any support.

[Peterbard]

This is a problem with making arrangements over the phone, there i no paper trail to confirm the arrangement.

 

Have you contacted them since and reminded them or the conversation, what did they say.

 

I would email them with the contents of your first post, remind them that under ICO guidelines a default should only be entered when" the relationship between the parties has irrevocably broken down".

 

The fact that an arrangement was agreed and the repayment schedule extended, and also that you paid for the privilege by being liable for contractual interest indicates that the contractual relationship had far from broken down.

 

Remind them that if they enter false or misleading data on a credit file and this results in losses on your part you can and will take action against them for damages.

[renegadeimp]

Sadly, unless you have proof that they said no default would be entered, youre out of luck. As DB said, no paper trail means the PDL will please ignorance. They are trained to tell you ANYTHING over the phone to get you to pay. You even fell for the old trick of paying them extra interest.

[Morley85]

Hi, thanks for relying.

 

I called as soon as I checked my experian report (it was within a day because I receive email alerts).

 

I then called the Payday lenders and asked them to explain, and again I was told this shouldn't have happened and that they are sorry.

 

Last week I then receive a letter saying that I was missadvised on the final repayment date (by one day and on 3 occasions 1 being by a manager at the company) and that has caused the default. They are telling me this is their final decision but they are more than happy for me to add a notice of correction to my credit file where by the default says on, just with a few words after it....

 

I'm still stuck for 6 years though@

[renegadeimp]

Youre problem is you keep talking to them on the phone. You need to forget the phone exists and do everything in writing.

 

I would be getting a formal complaint to their data controller, the FOS and ICO.

 

Like i said, you fell for their trick, hook line and sinker. You paid the debt, you gave them extra interest because you believed their lies, and they still defaulted you.

[Morley85]

When I originally called them I'm 99% certain that I requested this in writing or as an email but it never came though. Is it possible to request telephone records under the data protection act? given that they are a financial institution they would need to keep these right?

[renegadeimp]

See, theres the problem again. You CALLED them. They will say ANYTHING on the phone, then when challenged, say they never even received the call. Thats why everything needs to be done in writing from the outset.

 

As for records, PDL's do not record the call, or if they do, it is very rare.

 

given that they are a financial institution they would need to keep these right?

 

They are meant to do a LOT of things, but dont. The PDL industry is very under regulated and their business practices are borderline criminal.

 

I know one reason why it's like this, but if i post it on an open forum, it could bring CAG into disrepute. Suffice to say, we know why, and the chance of the government sorting it out is pretty much nil.

[Morley85]

Honestly given that this was all set up as soon as they called me I pretty much had no choice in the matter.

I'll contact the FOS and ICO but I'm not going to hold my breath....

 

Given that I'm unlikely now to get any form of mortgage/finance for the next 6 years (well 10 years.. as most lenders wont now consider someone with a PDL on their credit file anyway) I might as well sit back and not care haha.

 

Cheers for the information guys.

[renegadeimp]

Always contest the default if you think its unfair. Dont let the issue drop. As youve said, it will affect you for a good amount of time, simply due to their unlawful practices.

[renegadeimp]

By the way, which PDL was this?

[Morley85]

Cheque center.