Mini Credit ....Please advise?

[dumbgirl]

I have been stupid but trying to sort a repayment plan with them. I am not due to pay until the 1st April, but this is the response I got. I am sure adding 60 days interst is wrong. Can someone please advise me

 

 

 

 

A MiniCredit Hardship Department member has replied to your application, #221624 with the following response:

 

The following e-mail is sent according to the Formal Hardship Procedure.

 

 

 

Our hardship team has tried to contact You over the past few days, unfortunately we were unable to reach You by the registered mobile number. After assessing Your account details we are able to propose two payment options.

 

 

 

The first option is a settlement plan for £683.20. You would need to make at least one payment a month towards the balance and clear the debt by the 30th of July 2014. Choosing this option means that no default will be marked on Your credit reference file. The settlement plan balance consists of:

 

1. Original due date balance £409.20

 

2. Overdue charges £40.00

 

3. Interest for 60 days £234.00

 

 

 

The second option is a long term payment plan for £733.20. Choosing this option means that a default will be marked on Your credit reference file, but You will be able to make payments during a longer period of time. Depending on the monthly payment that You can afford the plan will be administrated either by us directly or by our debt recovery partners. The payment plan balance consists of:

 

1. Original due date balance £409.20

 

2. Overdue charges £40.00

 

3. Interest for 60 days £234.00

 

4. Debt recovery fee £50.00

 

The contractual interest rate is 1.3% of the principal per day from the date of issuing until the 60th day after the chosen due date. The above described overdue charges and interest are in accordance with the Loan Agreement.

 

 

 

Please let us know what You decide considering the above latest by the 1st of April 2014. If no response is received by then we will forward Your account to our debt collection partners with default balance.

[renegadeimp]

Typical reply from minimuppets. They can clearly see you are in difficulty but still try and add on various fees.

[dumbgirl]

Following an email I sent yesterday, they have sent me back an offer of £40 per month payment over a number of months but this is including the £234.00 interest charge as a goodwill gesture they have deducted the £50 default fee.

 

I have sent them an email back with my contract attached and asked them to point out on the contract where they can charge me the 60 days interest. I have also said I will seek legal advise, they also won't give me there bank details payment by UKASH or debit card.

 

Can anyone suggest anything else that I can do

[Ocelot0411]

Tell them to get stuffed seeing as they have just had their consumer credit licence revoked?

[dumbgirl]

Really??? Are they part of micro credit, I get confused with all the names they use

[Ocelot0411]

Microlend - minicreidt same outfit.

[mac1984]

Microlend - minicreidt same outfit.

 

That's incorrect, Minicredit are run by Microcredit Ltd and still have their licence intact... for now.

[Ocelot0411]

Oh heavens apologies you are right!

[fletch70]

There licence is "minded to revoke"!

 

I wonder if their deadline is because of the transfer to the FCA

 

Those fees are awful and I am guessing are also wrong. How much did you borrow and receive?

 

I suspect they are going to have their licence revoked at some point soon , the loan sold on to a third party and a nice little discount offered. However that is just my guess. All depends how much a default on your credit file worries you.

 

When I was having issues with them it seemed that people were getting a better service once it went to debt recovery. I have not heard from them since about sept 2012 . Funny thing was they claimed i owed them about £1200 but only entered £700 as the default balance

[renegadeimp]

Minicredit probably know that they will get closed down soon. So they are doing anything and everything to get as much money as they can before it happens.