Been paying 'managed loan' Merged debts since 2006 - is this a dn?

[coly coly]

I defaulted on a debt in 2006 but the bank did not register the default with the CRAs.

 

 

I paid them reduced sums through the CCCS.

 

 

In 2008 I came out of the CCCS and paid the bank direct.

 

 

I received the attached letter.

No Final Demand received but it was managed by Metropolitan.

 

Is it a valid default notice?

 

I continued paying First Direct what they were asking for but in 2012 commenced much reduced, token payments.

 

At the end of 2012 HSBC marked my credit files with details of the account as an Arrangenent to Pay.

 

Is the 2008 letter a Default Notice?

If it is, does this mean that the account have been removed from my credit files after 6 years?

first direct.pdf

[AndyOrch]

Hi coly coly and Welcome to CAG

 

No thats not a Default Notice.

[coly coly]

Should it have been defaulted and can I do anything about this ?

Edited July 8, 2016 by coly coly

[Bazooka Boo]

Wait, who are you paying now? And how much?

 

What was this a loan?

 

Alarm bells are ringing!

[coly coly]

HSBC Debt Collection (formerly Metropolitan) , and a token payment of £24 each month on what was originally an £18,000 debt. They froze the interest in 2006. Since 2006 I have brought the balance down to £7,000.

 

The balance is a loan, credit card and overdraft all "consolidated" when I defaulted on the loan element in 2006

Edited July 8, 2016 by coly coly

[Bazooka Boo]

So you took out a loan to pay off an existing loan, credit card and overdraft?

[coly coly]

So you took out a loan to pay off an existing loan, credit card and overdraft?

 

No sir.

The bank merged the 3 debts owed to them into one consolidated debt in 2006, when I defaulted on the loan.

 

 

I then went on a CCCs DMP until 2008.

Have paid Metro and now HSBC since.

 

i.e. THEY (First Direct) merged everything into one balance for me to repay, interest free, in 2006.

[Bazooka Boo]

Ah ha!

 

Then they are cash cowing you!

 

The bank CANNOT merge three seperate accounts, that have completely different T&C's and interest rates, that is a big no no!

 

IMO I'd stop paying, lodge a formal complaint with the bank with the full intention of escalating the matter to the Ombudsman.

 

In the mean time send the Bank, or whoever it is you're paying a CCA request, costs £1 and they have `12+2 'working' days in which to satisfy your request.

 

Send a BLANK postal order for the fee £1.

CCA request her, ensure you read ALL four posts attached to this link as DX explains the exact process.

http://www.consumeractiongroup.co.uk/forum/showthread.php?387435-CCA-Request-Consumer-Credit-Act-1974-**Updated-January-2015**http://

 

If you're not happy with not paying them anything, then drop your payments down to £1 a month.

[coly coly]

I missed a payment last month

- my first in 10 years

- because I mistakenly paid someone else twice instead my error

I sent them a cheque to make it up.

 

 

In the interim, they sent a letter threatening to take me to court for a CCJ to sell my house.

I sent a covering letter acknowledging the debt, as I have always paid my debts.

 

On their breach for merging, do you have a template letter I can make use of? Or any suggested form of wording?

 

Ref the CCA letter,

the account number they use

- have used since 2006 - is the current account one.

 

 

What they did was add the loan and credit card balances to the overdraft and continued using the bank account as the generic reference. Any CCA request will just show up the current account info surely?

 

Also, as it is more than 10 years old (the debt) they may not be able to supply proof of the consolidation from 10 years ago?

Edited July 8, 2016 by coly coly

[dx100uk]

Aha the old HSBC managed loan debacle

 

Person I'd be getting an SAR off to them

Let's get all the statements

 

Who else are you blindly paying

Simply because 'you always pay your debts'???

 

Doesn't mean you owe all anyone claims you do....

Re charges,PPI,interest etcetc

[dx100uk]

Thread retitled and moved to HSBC forum

[coly coly]

I want to know if it is defaulted or not, and what can be done about removing it from my credit files.

 

I will look into the legality of their claim next.

 

 

But for now I'm interested in exploring what can be done about this on my credit files.

[renegadeimp]

Well they are very unlikely to ever go near a court room.

 

 

They wont have a CCA for a merged debt.

One wont exist.

Especially that old.

 

 

Thats probably why theyve allowed you 10+ years to pay off a 18k debt when they could have gone to court a long time ago.

 

Get that CCA request running.

[coly coly]

They shoved everything into my current account so presumably there won't be a CCA to send.

Also, it goes back 6 years so they probably won't send any evidence of the credit card or loan elements under a SAR.

 

I will send for a CCA and SAR but if I'm right I won't get a CCA for a current account

and there will be nothing going back more than 6 years.

 

I don't think I have kept any old credit card or loan info.

What I need are statements proving the consolidation of the 3 liabilities plus CCAs for the credit card and loan.

 

But, on the credit files issue, can I get them to remove it?

[renegadeimp]

Most likely. But you need to deal with one thing at a time.

 

I would be way more concerned that you were tricked into paying thousands of pounds when they werent legally entitled to it, rather than a marker on your credit file.

[dx100uk]

use our search cag box of the top red toolbar

 

 

type in hsbc managed loan

 

 

and get reading

[coly coly]

use our search cag box of the top red toolbar

 

 

type in hsbc managed loan

 

 

and get reading

 

 

Thank you, will do.

[coly coly]

I file trawled and see that I sent a CCA request back in 2010 on this.

 

Here is what HSBC sent back.

They are saying no CCA request is valid because they rebooted the loan and credit card in the merged plan

 

. I have sent a fresh CCA for the loan, credit card and anything relating to the managed debt plan

 

let's face it their response is going to be the same or similar.

 

 

I would like to know:

 

 

1. what constitutes a Default?

2. is the HSBC managed loan legal?

3. Has anyone successfully had an HSBC managed loan forgiven?

4. If I stop paying, can they trash my credit files and get a CCJ?

FD CCA.pdf

[dx100uk]

Sar time

Go read those threads I posted

Particularly those from and helped by citizenb

[Bazooka Boo]

Well reading that missive from the bank, would in turn warrant me turning off the taps to their profit pocket, and I'd stop paying. IMO.

[coly coly]

I'll send a SAR and report back here.

 

However, if HSBC only provide 6 years' data then I'm surmising a SAR may not be helpful (the loan element of the account dates back to 2003, the credit card and current account earlier still; as stated, I defaulted in 2006).

 

If they do come back with nothing of any use from the SAR, given we know the CCA did not show up anything, then what?

 

On what basis do I refuse to pay?

I did borrow the loan money and I did rack up the credit card and the overdraft,

so on what basis would the court allow me to evade the balance of the debt?

Because it is unenforceable? If so, how?

 

Also, can you tell me what I do about the credit files?

Can HSBC record this on my files if I defaulted in 2006?

I did not, apparently, get a formal Default but did 'default' (if you follow what I mean).

Edited July 19, 2016 by coly coly

[renegadeimp]

HSBC will have more. usually on microfilm but theyll try and say they dont

 

if no CCA then you dont pay. Youre being fleeced big time and you need to start reclaiming.

[coly coly]

if no CCA then you dont pay.

 

 

On what basis? I don't understand.

 

 

you need to start reclaiming.

 

 

Again on what basis? Can I claim back what I have paid back to them all this time? Really?!

[AndyOrch]

As the debt is with the OC I would think very carefully about withdrawing payment.

 

Andy

[coly coly]

As the debt is with the OC I would think very carefully about withdrawing payment.

 

Andy

 

Exactly! I don't want to make this worse and need to be absolutely sure that I can legally withhold repayments to the bank. On what basis can I attempt such a move? I'm not being told that, simply that I'm a "cash cow" but as a legit debt I can't just stop because the bank cannot produce the CCAs surely?

 

Unless there's something about these being a "merged loan" that makes it different?

Edited July 19, 2016 by coly coly