Why are people accepting compromise settlements???

[BankFodder]

We are hearing more and more that claimants against Clydesdale and Yorkshire banks are accepting compromise settlements/

Most often this appears to be waiving the 8% statutory interest figure and sometimes even accepting a reduction on the amount of charges claimed.

 

I don't understand why these two banks are managing to establish this culture. They are no different to the other banks and I would strenuously advise people only to accept the full amount of their claim without any conditions attached.

 

It is clear that thes banks - and the others have set out to make huge profits from their penalty charging system.

They are prepared to increase their own prosperity at the expense of their customers who fall upon hard times or for other reasons cannot manage their accounts.

 

We would suggest that claimants resist all attempts by the banks to reduce their payouts. Use our proposed directions when you return your allocation quesionaire.

 

It is very easy to put these banks on the backfoot and to keep them there.

[moss]

Thanks for your post Bankfodder, it's posts like this that spur me on.

 

Iv'e just had an offer from YB for just under half of my claim which I'm going to reject, they have used all the usual tactics so far and it is clear to me that they don't care one jot if they have dealt with me lawfully or not, all they care about is protecting their profits, they are the worst kind of fat cat, cigar smoking capitalist. you are quite right whilst we are settling for reduced amounts they will be slapping each other on the back and be encouraged to carry on with their callous profit saving plan, and i must admit that it is a bit daunting when you get one of their legalese denials, it is only because of this site that people like me can get their heads around them and see them for what they are immoral elitist deceptions designed to browbeat and swindle us out of our cash. I wonder how many people are put of from even starting a claim when they read some of the things we have to deal with.

 

Well folks don't be put of,if they were right they would of gone to court and proved it. Follow the tried and tested plan and only settle for a full pay out, then it will be us slapping each other on the back:D

 

Regards moss.

[Dread]

Bank Fodder,

 

just before Christmas I received an offer of one third of what Clydesdale Bank owe me, fortunatly I was in a position this year to decline it, in years gone by I would have bitten their hand off to get £1,000 just a week or so before Christmas. There are mitgating circumstances that virtually force people to accept any offer thats made. Similarly some people just aren't as persistant and determined to battle CB and YB for months on end, my claim has been going since March, albeit dropped and picked up again along with some other issues I have had with them.

 

My contention is that as the FOS has promised to put an end to the banks obstructive behaviour so we ought to add them as another layer to battle these two particular banks with. Whenever CB and YB start any delaying tactics e.g. not sending out bank statements unless paid for, sitting on letters for a couple of months before replying so on and so on, we should fire off a complaint to the FOS. The banks will then have another organisation to deal with themselves, how many complaints from claiments and official organisations can Neil McKirdy deal with at one time!

 

Pile it on, shovel the paperwork in to them and force the blighters to start writing cheques merely to alleviate the backlog.

[caro]

This bank are very intimidating in my opinion, but not long ago they weren't paying out at all, and a single offer was a huge milestone. It was only by earlier claimants standing together and digging their heels in that they started to pay up at all. I firmly believe that if we can continue to do this it will make it much easier for future claimants, as well as improving our own wealth.

 

I am about to reject a fourth offer. Yes, that's right, fourth. It's still not the full amount that I am entitled to, and I'm blowed if they will keep one penny of my money for what they put me and my family through.

 

That is not the only reason though. My thread will soon be in the successes forum and will prove to all those people whose claims are ongoing, or who are thinking of claiming, that they can win against Clydesdale/Yorkshire Bank.

 

Yes YB letters are intimidating, they make you doubt yourself, they deny they are in the wrong, they tell you that you are wrong. Well if that's the case I will be pleased to see them in Warwick Court on 12th February and they can prove me wrong. Unless they do that I expect a full settlement, which is currently increasing at the rate of 67p per day!

[JulesTools]

Hi Bankfodder ,

Luckily I have been in a solvent enough position to turn down all of YB`s offers so far , but sometimes its just not that black and white . The effect of all these unlawful charges snowballing very often puts people into debt they struggle to get out of . I know if i were struggling to make ends meet with mounting debts I would probably accept a reduced offer to try and resolve my financial spiral. I have been in that situation years ago and know how desperate you can get trying to support a family . We should not be wagging the finger to anyone who accepts a reduced settlement for a good reason . The Yorkshire /Clydsedale are notorious for their delaying and underhand tactics which also puts people off taking it all the way.

 

Jules

[pjdudley69]

I was one of the first 'success' stories with YB. I accepted a reduced figure - for the grand sum of approx £10 [it was just the 8% interest that had accrued from when I put my claim in]. The only reason I accepted this figure is because I didn't think it would look reasonable to a Judge to argue over such a paltry amount, and I didn't want to jeapordise my claim after all the months of fighting.

 

PJ x

[claimitall]

I wonder if maybe anyone has a definative answer to this one. I claimed CB and went through first letter then LBA and got usual fob off.

 

I then put in small claim for 490 plus int of 120 and 39 costs. I then got a letter and cheque from Neil McKirdy for 550. The letter was dated 1 week before the claim went in but i received it 1 week after the claim. Suspicious huh.

 

letter stated encashment of cheque was full and final settlement. I wrote back saying i would accept the cheque as part payment and that as a small claim had been raised then i would expect the balance to be paid.

I did cash the cheque following my letter.

 

I received a further letter saying that as i had cashed the cheque then i had accepted their terms and that I had effectively barred any further action in court.

 

I decided to test this at the hearing as they had decided to defend. They brought in local solicitor and their defence was usual charges are fair and representative of cost etc and also stated that I was barred from proceeding as i had accepted and cashed cheque.

 

The sheriff did appear to agree with this view and strongly suggested i take legal advice before appearing at the continuation in a couple of weeks.

 

What is the view as i have seen numerous different points relating to this in the threads over the last few months. I am quite prepared to test both the unfair charges defence and the full and final settlement defence statements in court if you people out there think it is worth getting involved.

[JulesTools]

This seems to be a recurring problem so I have made a suggestion please read

 

http://www.consumeractiongroup.co.uk/forum/site-questions-suggestions/60762-settlement-rejection-letter.html

 

Please post your views

 

Jules

[Bigmac versus]

Bong has come up with an interesting point of view in this scenario which is in claimitall thread

 

http://www.consumeractiongroup.co.uk/forum/yorkshire-bank-clydesdale-bank/60127-court-clydesdale-bank.html

[Dread]

Ok my tuppenceworth on the subject of partial encashment.

 

I have done reasonably well with CB despite their obstructive behaviour and I'll post the result of my latest skirmish with them on my post of that title.

 

I was sent a partial settlement cheque for half the principle as is the norm, with the usual provision that if cashed it represents full and final settlement.

 

Having thought about it for a week or two over Christmas I replied:

 

"As for encashment of your cheque, I will await the outstanding balance before presenting it for payment, however in the event I present it before then I will take your honouring of the cheque as acceptance of my full claim, should you wish to cancel the cheque, which is of course your prerogative, you would of course be liable for any costs incurred in this."

 

Quite whether this would have worked I don't know as on the 24th I received a form offering me the principle amount less the interest (of course they never make reference to the interest) which I have sent back. McKirdy makes no comment on the money owed on my CB credit card.

 

My objective in writing that paragraph was not because I know the law but if a bank can make an offer with a provision like that that is considered a legal finality then why, as consumers, cant we adopt the same tactics. If CB don't want to accept the terms I offer they can stop the cheque, as simple as that, if they cash it they are, arguably, accepting my terms.

 

The operative word is "arguably" which is what a court is for, to sort out arguments and if you can present a reasonably well thought out and presented argumnent contesting your opponent the judge is there to consider the facts and merits of both sides arguments.

 

Should my case ever come to court and I had cashed the cheque I at least have something to say if the judge says "did you cash the cheque Mr. Dread?". It may not work but better that than cashing the cheque and merely hoping.

 

I'll post the entire letter and the circumstances on my "Clydesdale Bank Obstructive behaviour post", significantly my suspicions seem to have been borne out as although I have threatened court action I have'nt needed to go near one as the FOS has come up trumps.

[stycks]

hi bf. i've just had an offer from yb (to be rejected) but i will be going for the 8% as they have taken enough from me in the past so its time to fight back. I'm not in a solvent position but every little helps as the saying goes.

[petere]

I also have kept going with YB and today filed my court bundle at Burton upon Trent County Court.

 

On the General Form of Judgement or Order the District Judge ordered that i had to submit my bundle within 28 days and that YB had to respond 28 days thereafter, within the order the Judge orders YB to:

 

1. ....produce a copy of the contractural document relied upon.

 

2. whether such charge is accepted to be a penalty, and if not, why not

 

3. if such charge is alleged to be a pre-estimate of the Defendants loss incurred by the Claimants actions (whether or not such action is to be treated as a breachof the contract between the parties) all facts and matters intended to be relied upon as showing that such is a proper estimate of such loss, and all evidence to be adduced at trial as to what the true cost of dealing with the matter was:D

 

4. any witness statements

 

5. copies of legal cases and other legal materials to be relied upon

 

It also states that if the defendant fails to comply with this order, the Defence will be struck out without further notice:rolleyes:

 

I don't know whether this is differnet from other cases but it gives me great encoragement knowing that the Judge wants to see the breakdown of costs:grin:

[Bookworm]

I know if i were struggling to make ends meet with mounting debts I would probably accept a reduced offer to try and resolve my financial spiral. I have been in that situation years ago and know how desperate you can get trying to support a family . We should not be wagging the finger to anyone who accepts a reduced settlement for a good reason . The Yorkshire /Clydsedale are notorious for their delaying and underhand tactics which also puts people off taking it all the way.

 

Jules

 

But it's money you were NEVER expecting to see again, what's changed? Nothing.

 

What I do know is that already now, 1 yr into CAG's life, we are seeing people coming back to say: "I wish I'd never accepted partial settlement".

 

I'd say to anyone: Think carefully before accepting a partial settlement, you may well regret making that decision for a very very long time.

[JulesTools]

But it's money you were NEVER expecting to see again, what's changed? Nothing.

 

What I do know is that already now, 1 yr into CAG's life, we are seeing people coming back to say: "I wish I'd never accepted partial settlement".

 

I'd say to anyone: Think carefully before accepting a partial settlement, you may well regret making that decision for a very very long time.

 

Hi Bookie,

I do agree with what you are saying , in an ideal world . Luckily at present I have a good job and could afford to make the choice to reject the offers made before the Yorkshire finally paid in full ( well I say full , one claim was £13 short and the other £9 short of full settlement , but to press the matter further could have been seen as vexatious to the courts) . But I have been in the position in the past when I have struggled to make ends meet for even the basic things such as food . Given the choice of waiting an extra couple of months for an extra couple of hundred pounds just for the sake of proving a point or feeding my family I know exactly which decision I would have made . I realize that by taking a reduced settlement that this makes the banks/other financial institutions efforts to string out the process all the more likely and worthwhile . Yes I agree that many members may be regretting taking reduced settlements now but hindsight is a wonderful thing when you are in a position to choose.

 

Until seeing the "Tonight With Trevor McDonald" programme ( which I actually only saw the last 10 minutes of by accident ) and visiting CAG I was none the wiser that these charges were unlawful or reclaimable , so yes , it was money I was NEVER expecting to see again and for the first time in a long while I have made a positive step towards becoming debt free with the help of the fantastic Owners , Moderators , Site Helpers and Regular Members of this site . My appreciation of which is soon to be donated to from my recent settlements .

 

My point being , that although the banks will continue to " dangle carrots" while ever people accept reduced settlements , sometimes a carrot can be all that is needed to stave off hunger . I would and do advise people to take their claims as far as possible but sometimes it is just impossible .

 

Debt related divorces , or even in the extreme suicides , are well documented for example

 

BBC NEWS | Programmes | Panorama | The money trap

 

So sometimes even accepting a reduced settlement can mean the difference between life and death . I accept this is the extreme end of the scale , but who are we to chastise someone for making the decision of taking a reduced settlement.

 

From your signature I see you are happy that your GHD iron was repaired free of charge but to some this would be furthest from their worries

 

Ok rant over , sorry

 

Jules

[caro]

So it was Dave and Bookys appearance on Tonight with Trevor McD who brought you to us eh Jules.

 

I can see yours and Bookys point of view. Of course if you have the choice of feeding your family or sticking to your principles your family will take priority every time. Looking at the bigger picture though, maybe we wouldn't need to make that choice if it wasn't for the banks charging these extortionate fees in the first place. They should be made to pay it all back, and YB making it so difficult to claim all of the interest, they are continuing to force people to make choices, impose unacceptable conditions on people who can least afford it. It's immoral in my opinion. We're all on the same side here, and let's face it, little more than 12 months ago we wouldn't have thought we had any choice but to accept that we had lost all this money for good.

 

As you know I stuck out until the bitter end, but before I got my payment, our income this month left us short on the bills we need to pay, and I didn't know how we were going to manage to buy any food, as I still wasn't sure I would have my cheque even then. I scour the supermarkets at the end of the day for the reductions to keep the bills down, I juggle the little money we have robbing Peter to pay Paul, and never really seem to pay off any debts. If anything it just gets worse, so please don't think I could afford to wait the 10 months it took for my claim to be settled. I was just damned if I was going to let them off when they had made me and my family suffer for the 3 years I had an account with them. I would not let them keep the upper hand. I had written that money off years ago, so anything I got back was a bonus, no matter how long it took.

 

Aside from the interest issue, the GHD straighteners are an indication to people that we don't have to accept shoddy goods that aren't fit for purpose under the Sale of Goods Act. It applies to anything that we buy with our hard-earned cash, and that's especially important when money is short, whether straighteners or a major purchase. The site started off just dealing with Bank Charges, but covers lots of other consumer issues as well now, so it's perfectly relevant to show all our successes. I got my cheque from Alliance and Leicester yesterday too, which is just as important to me as the one from YB. I was never in any doubt I would get the full amount from A&L and it took less than 2 weeks from when I put in my court claim. I should not have needed to do the claim, and A&L automatically pay when claims are submitted, but they also close claimants accounts, so they're no angels. At least they have the sense and the decency to pay in full in a reasonable time scale though. They have learnt there is no point in delaying full settlement and YB need to learn that lesson as well.

[zebbydog]

Top post there Jules nail on the head

[Bookworm]

who are we to chastise someone for making the decision of taking a reduced settlement.

 

I wasn't chastising, I was making a recommendation, based on experience.

 

From your signature I see you are happy that your GHD iron was repaired free of charge but to some this would be furthest from their worries

 

Not mine, my daughter's. Who was at the point where she bought them on about 8k a year, and spent £130 for the best -supposedly- product on the market, with the expectation that it was an investment that would last her years, and instead ended up shooting sparks in her hand 16 months later. I got a result for her, and yes, I'm proud of it, what of it? :-?

[carlahagan]

Hi, I hope you can help me, no one else seems to be able to.

I have received all the statements, I requested, from Abbey. So do I have to calculate what I'm owed, before I send off the next letter, and if so how do I do this. Thanks.

[caro]

Hi Carla. Read the FAQ's and the step-by-step instructions and you'll find the answers there. Once you've spent a few days reading round the site, start a thread of your own in the Abbey forum. Lots of people have won claims against them, and others are claiming now so I'm sure you'll get help there if you still need it.

 

Good luck.