MKDP LLP and HSBC OD Default

[nottslad]

Hi all

 

In October 2009 I defaulted on an HSBC overdraft, £700 of which was charges, the other £700 ish the actual overdraft.

 

They didn't get in touch until last year (I had previously looked in to a DRO but HSBC wouldnt confirm the details to me as it had been passed to a DCA, my circumstances then changed and I was able to negotiate the other debts I had at the time)

 

The account was originally opened in 2005.

 

I sent MKDP LLP a CCA request, they took a long time to respond and finally responded saying that the account was opened 'interpersonally' (whatever that means) and therefore no agreement was necessary? I've read elsewhere on the forum that pre-April 2007 CCA agreements are required or the debt is unenforcable, can anyone confirm?

 

I now can't afford to pay this debt having exhausted my options previously; I'm begrudged to play ball with them / HSBC when there are so many charges on there and this could have been resolved years ago if they had given me the info I needed for a DRO!

[Stigman]

Hi,

 

MKDP are correct in saying that overdrafts are not covered by a CCA.

 

MKDP have started to issue CCJ's for debts that they own, do MKDP own the debt or are they collecting on behalf of HSBC?

 

Stigman

[nottslad]

it's been updated on Equifax that the account is with them, so I would assume they have purchased the debt, however when I've made an issue with them re the charges etc they have directed me back to HSBC stating that they haven't added them and that's HSBC's issue?!

[BRIGADIER2JCS]

Emm some misconception here there is no CCA for an overdraft. Nor is a default notice needed a demand for repayment in full is sent/recall of facility.

 

 

So the pre April 2007 matter is of no relevance here at all.

 

I presume this shows as defaulted on credit reference files?

 

 

Are MKDP currently pressing for payment?

[nottslad]

they're not overly pressing no, which to me seems quite odd, it's just the same standard letter every couple of months or so; I'm kinda tempted to let this play out for as long as possible as it will be statute barred by October next year - or so I understand the ruling - 6 years after default?

 

There is a default showing on my file for a 'current account' from MKDP

[Stigman]

If none are threatening and your prepared to sit it out as you say, have a read up on BCOBS.

 

Stigman

[gregs07]

To be fair having been dealing with lowell and bw for the last 12 months MKDP are great as they go!

Seriously though just keep your eye on the ball, they will issue a claim in all likelihood, just play your cards right. Submit a defence re: unlawful charges, ask for the proof they even sent me a stack of statements which i phoned to thank them for. Hey presto claim stayed he he.

[nottslad]

thanks for the responses guys, much appreciated

 

Are my thoughts around statute of limitations correct? Is it six years from the date of default?

[BRIGADIER2JCS]

Yes.

[nottslad]

Hi all

 

I have an old debt with HSBC (not quite SB'd) but not too far off.

 

I sent a standard 'prove it letter' and have received back a pack containing bank statements. Does this infact 'prove it'?

 

Any help you could give would be appreciated

[citizenB]

What type of debt ? Loan, Credit card, current account.

 

Statements would certainly prove that at one time you had an account with them. However, it doesn't prove that any agreement entered into was properly formatted.

[nottslad]

It was an overdraft attached to a current account

[mikeymack2002]

How old is this alleged debt? some more details would be good please

[nottslad]

It's 5 years old

 

The debt is about £1500, of which 50% is made up of charges, so am guessing the interest will also be considerable. I'm tempted to try and fight the charges on hardship grounds as I was unable to pay rent and council tax at the time, and also had a massive drop in income following a relationship breakdown and being diagnosed with an illness.

[nottslad]

Hi, wondered if anyone could help please,

 

Had a long running issue with MKDP, attempting to recover a debt for a historic overdraft which included excessive charges.

 

I'd asked for a copy of the CCA agreement, which they couldn't provide, then just before Christmas they sent through a CCA statement.

 

What I'm trying to get at is is the debt covered by the CCA or not? If not, then why are they sending me these statements?

[citizenB]

I think it is partially covered by the Consumer Credit Act although I am not sure to what extent. It think they are still obliged to send you the statements because of the interest element - are they still adding interest to the debt ?

[nottslad]

Hi all

 

I have a debt with HSBC which has been sold to the delightful MKRR.

 

The debt's about £1500 and is 50% charges, which I am complaining to HSBC about and arguing hardship - their first response was a standard we think it was fair blah blah blah so I replied with further info about my personal circumstances...

 

Re the statute barred query; is it 6 years from the date they actually sent the default notice or is it six years since I last serviced the debt ie made a payment to the account?

[fkofilee]

6 years from the cause of action

[Stigman]

6 Years in England & Wales from when the Account became collectable, i.e. date of first missed payment on an Overdraft, Loan or Credit Card or from when you last sent a written acknowledgement of the debt.

It's 5 years if your in Scotland.

 

Stigman

[nottslad]

Hi all

 

Well - the plot thickens with my ongoing battle with HSBC and MKDP. I have started a complaint surrounding the charges on the grounds of hardship and this will be going to the Ombudsman for further consideration.

 

I've asked HSBC to provide a copy of the terms and conditions that were applicable to the account at the time when the charges were applied and the transactions were made; they cannot provide me with these. When I worked within the debt recovery team at E.ON the Ts and Cs would have been an essential part of a claim - how can a supplier / institution demonstrate that they have acted in line with a contract if they cannot furnish the customer with a copy of the terms and conditions?

 

This raises the question as to whether the debt is enforceable without the terms and conditions?

 

I mentioned in my complaint to HSBC that as it had been over six years since the initial cause of action that I consider the debt to be statute barred. They responded that MKDP need to respond tho this.

 

Any further advice would be really welcome at this point

[nottslad]

Hi all

 

Well - the plot thickens with my ongoing battle with HSBC and MKDP. I have started a complaint surrounding the charges on the grounds of hardship and this will be going to the Ombudsman for further consideration.

 

I've asked HSBC to provide a copy of the terms and conditions that were applicable to the account at the time when the charges were applied and the transactions were made; they cannot provide me with these. When I worked within the debt recovery team at E.ON the Ts and Cs would have been an essential part of a claim - how can a supplier / institution demonstrate that they have acted in line with a contract if they cannot furnish the customer with a copy of the terms and conditions?

 

This raises the question as to whether the debt is enforceable without the terms and conditions?

 

I mentioned in my complaint to HSBC that as it had been over six years since the initial cause of action that I consider the debt to be statute barred. They responded that MKDP need to respond tho this.

 

Any further advice would be really welcome at this point

Edited April 22, 2015 by citizenB

[citizenB]

If the debt is statute barred, and you submit a claim for charges - then it is likely they will simply offset against the outstanding balance.

 

It has been known for original lenders to buy back an account to offset charges/ppi reclaims.

[nottslad]

Thanks CitizenB, I read somewhere that the debt becomes due from the date of the first letter asking for repayment of the balance, and this is the date where the clock starts ticking for time barring.

 

Any thoughts on the terms and conditions issue? Surely the Ts and Cs that were applicable at the time form the 'contract' and must be provided?

[citizenB]

If they were issuing a claim against you for the debt, then the original terms and conditions would be required for them to make their claim as they formed part of the contract. Hope that helps

[nottslad]

So...

 

A very very old debt, that i'm certain is SB'd has reared it's head again and Robbers Way have sent me a letter asking to fill out an I&E form

 

I'm not going to respond, and they're not asking for payment or threatening further action - do you think they know it's unenforcable hence the letters not having the usual threatogram tone?