"No Win No Fee" Recovery Companies - a good idea?

[tenbog]

Hello All,

 

I've been working on my statements and spreadsheets for a while now and have come to the point where I'm ready to start the process.

 

From reading this forum, experience of face-less companies and court proceeding, the process is time-consuming and stressful. I've little time to spare each week and am thinking about using a recovery company to act on my behalf.

 

I would like to know if anyone has any experience and advice of choosing and using a suitable company.

 

Having googled it, there are several UK companies in this field. None look particularly credible..

 

My claim is with Barclays - approx £4k plus interest.

[Guest Battleaxe]

Using these companies wont get you your money any faster and why pay them to do it for you, when it is easier than what you think. You just have to keep an eye on your timelines.

 

None of us have used these companies for the very reason, we control the whole process and believe me you will get far more satisfaction out of the process. the worst bit is the waiting for the timelines. you have most of the process ready to go, so send off the prelim letter, you will get back the sod off letter, so send the LBA with your spreadsheets, you will get another sod off letter or if you are lucky acceptance. if not you file in court and then wait. The banks will play the waiting game, but eventually your will get all your money.

 

Anyway that's my advice and I am claimimg back far more than I thought I would be entitled to. By next June, I will be sitting pretty and have all my money to myself, with most of my debts sorted.

[killat]

I have not used a company myself but a friend at work used a company called chargeclaims who got him back all charges and 3k of contractual interest in about 1 month.

 

I asked why he didnt do it himself and he said that he just did not have the time to do it and was lazy.

 

I do think these companies are beneficial for any one that doesnt have the time or knowledge. and they are only in business because there is a real need for their services.

 

To be honest if i had used them for my halifax claim, i would have been better of because they could have got the contractual interest for me.

[JonCris]

I have not used a company myself but a friend at work used a company called chargeclaims who got him back all charges and 3k of contractual interest in about 1 month.

 

I asked why he didnt do it himself and he said that he just did not have the time to do it and was lazy.

 

I do think these companies are beneficial for any one that doesnt have the time or knowledge. and they are only in business because there is a real need for their services.

 

To be honest if i had used them for my halifax claim, i would have been better of because they could have got the contractual interest for me.

 

Hi killat $64K question how did chargeclaims get paid?

[killat]

They sent him a cheque minus their comission.

 

Even after the commision, he recieved more than the total amount of the original charges.

 

Out of all the companies chargeclaims.co.uk looks the most profesional and is the only one i know of that has sucessfully recovered charges for their clients. They are also featured on moneysavingexpert at the bottom of their bank charges page

 

 

I have another account i need to claim on and think i will use them just because it is so easy to sign up to their service, and all i have to do is wait for my refund.

 

Lazy i know, but i dont fully understand the contractural interest claiming and dont have the time.

 

Has anyone else tried any of the other companies with sucess?

[JonCris]

Not trying to be a killjoy but he may have received more than the actual charges but if they took money from the interest then he didn't get all of the money he had paid as his original charges included high interest.

 

Also how would it work if the refund is used by the bank to reduce a loan or overdraft? In other words there is no equity from which to deduct the fees

[killat]

Not trying to be a killjoy but he may have received more than the actual charges but if they took money from the interest then he didn't get all of the money he had paid as his original charges included high interest.

 

Also how would it work if the refund is used by the bank to reduce a loan or overdraft? In other words there is no equity from which to deduct the fees

 

 

but as far as i am aware it is only a few of the forum members that have managed to get contractual interest. So compared to the 8% in court it is beneficial.

 

Not sure about the refund, i suppose they would invoice you. Give them a call and find out,

[markt]

just thinking out loud .... could they be useful on claims over £5k?

[JonCris]

just thinking out loud .... could they be useful on claims over £5k?

 

As the bank would settle as soon as seeing the LBA on headed paper they could not recover any costs. The problem therefore is I think that they could only recover costs after issuing proceedings. Therefore I can't see who they would recover their fee from other than the claimant.

 

Also it's my understanding that a number of self help claimants on this site HAVE recovered not only contractual interest but that it has been compounded. I'm sure I will be promptly corrected if I'm wrong

[JonCris]

just thinking out loud .... could they be useful on claims over £5k?

 

Over 5k Fast track they would be able to recover costs

[breadline]

None of us have used these companies for the very reason, we control the whole process and believe me you will get far more satisfaction out of the process. .

 

We are so very lucky to be able to come here and read and understand the steps we are taking.

For people who are not PC literate and have trouble reading there is little help on the net. They may pop their heads in and disappear in confusion.

 

These people would normally not bother and so they most certainly would have nothing. So by having these company's, no matter what they get back it is more than they get trying to go it alone on the net.

 

The money they get back in return no matter how big or small would be welcomed I'm sure.

 

BL:)

[Bookworm]

For clarification, last I looked, MSE didn't "recommend" that company, they just added the link for the convenience of people who didn't want to do it themselves. Not quite the same thing as a recommendation.

[anley]

They sent him a cheque minus their comission.

 

 

How come they sent the claim company the cheque? I would have thought they'd sent the customer the money and then he has to pay the claim firm.

[andrew1]

For clarification, last I looked, MSE didn't "recommend" that company, they just added the link for the convenience of people who didn't want to do it themselves. Not quite the same thing as a recommendation.

 

Bookworm, didn't I read somewhere (or did I have my eyes shut again )previously that you suggested ( allegedly!) that if a claim was going legal a third party who is likely to benefit/ be paid a % is deemed illegal other than if it's a solicitors firm?

[bandonbhoy]

For thoseof us in Scotland, would we be able to use this company to carry out claim for the sixth year back in english court system? If the answr is yes, then it would greatly assist us.

[mcuth]

They sent him a cheque minus their comission.

 

Even after the commision, he recieved more than the total amount of the original charges.

 

From their FAQ page:

 

How much will it cost me?

Our service is results based. You will only be asked to pay any fee if you receive a refund or settlement from your bank. The fee will be 40% of that refund

 

OUCH! :rolleyes:

Even before seeing that, I'd have said to steer clear.

The legal arguments, processes & procedures, answers, community experiences are all around you on this site. It's just a case of learning these things, knowing exactly what you're talking about, and following the step-by-step process.

 

Cheers

 

Michael

[JonCris]

Quite mcuth.

 

I as have other discussed this on a number of occasions & as you have suggested there are a number of threads in which these sorts of companies are mentioned.

 

Before becoming involved members need to do some research

[anley]

40%!

 

Yikes, some of the charge a lot less I believe.

[andrew1]

Bookworm, didn't I read somewhere (or did I have my eyes shut again )previously that you suggested ( allegedly!) that if a claim was going legal a third party who is likely to benefit/ be paid a % is deemed illegal other than if it's a solicitors firm?

 

Bookworm - was it something I said?

[goforit]

As the bank would settle as soon as seeing the LBA on headed paper they could not recover any costs. The problem therefore is I think that they could only recover costs after issuing proceedings. Therefore I can't see who they would recover their fee from other than the claimant.

 

Also it's my understanding that a number of self help claimants on this site HAVE recovered not only contractual interest but that it has been compounded. I'm sure I will be promptly corrected if I'm wrong

 

Remember non of these companies are law firms so they won't be able to represent you in fast track, unless they instruct lawyers on your behalf (which I don't think they are allowed to).

[goforit]

Bookworm, didn't I read somewhere (or did I have my eyes shut again )previously that you suggested ( allegedly!) that if a claim was going legal a third party who is likely to benefit/ be paid a % is deemed illegal other than if it's a solicitors firm?

 

I believe that is the case in Scotland but NOT England. (DON'T quote me on that though).

 

As far as I am aware, in both England and Scotland, solicitors cannot be paid on a contingency fee basis (i.e. they keep x% of the amount recovered) the nearest they can get is a conditional fee arrangement (speculative fee basis but where, if they win, they charge there fees + a %age of the FEES NOT the amount recovered and if they lose the firm gets nothing).

 

Cheers

[JonCris]

Its called champerty & it's illegal & against the Solicitors rules.

 

The exception is Employment Tribunals where contingency arrangements are allowed.

 

The additional fee they are allowed to charge in addition to their normal fees is called a success fee & is payable by the losing side

[andrew1]

Its called champerty & it's illegal & against the Solicitors rules.

 

The exception is Employment Tribunals where contingency arrangements are allowed.

 

The additional fee they are allowed to charge in addition to their normal fees is called a success fee & is payable by the losing side

 

So if that's the case how can these companies who are not solicitors charge a percentage especially when these claims find themselves in the courts?

[JonCris]

They can charge what they like but the moment it is issued & a solicitor instructed that agreement with the claimant becomes unenforcable or the solicitor cannot act for the client.

 

They rely on the banks settling prior to issue

[superam]

Sorry Jon, issue of what?