Redsonja Vs Cap 1 - ***WON with CI***

[redsonja]

Hi everyone,

I sent a prelim on 03.01.07 and it had the usual blurb at the end that if I did not get a response etc I will pursue for interest etc. I have since been reading the threads for compounded contractual interest and am going to include it in my LBA (when I send it as Im sure I will have to). Has anyone previously done this as I wondered what figure was put in the interest cell in Vamps advanced spreadsheet? My monthly interest was approx 1.708 which works out at 20.50%APR but Im sure I read somewhere that I shouldnt put that figure in for compounded contractual (read so many threads on interest my brain is going to explode!). Can anyone advise on this please?

 

Also, out of interest I wondered if anyone had been successful in a claim with Capital One that has charges over more than the 6 years?

 

Thanks in advance.

[rougesept]

Hi there,

 

I'm interested to know who said not to use monthly x 12 as I'm about to use that figure for compounded contractual interest! I would have posted my prelim today but missed the post. I think it's ok to be honest?! It's so confusing isn't it?

 

Help!

 

Rouge

[redsonja]

Hi rouge,

I agree, it is all so confusing when you are new to it all. I read it in a thread but cant remember which one and it wasnt saying you couldnt put the yearly APR but it was saying that by x the monthly % it wouldnt work out compounded contractual properly and that figure should only be used for contractual. I have spent 2 days reading all those threads and I want to make sure that my interpretation is correct in case I end up in court.

 

Lets hope someone will let us know the answer.

 

It seems you are at the same stage as me so would be interesting to follow each other and see what we get back from them and compare. Did you use Vamps spreadsheet?

[rougesept]

Hi Sonja,

 

I did use Vamps spreadsheet number 13. I actually did it wrong at first but very kindly got some help from Bill-K (he's on a lot of posts round here and seems to know a lot more than most!). So I thought it was ok how I had it today? He does suggest going for full APR instead of monthly x 12 but I can't find my full APR anywhere. The Cap One website says it is 34.9% - this would make my claim sky high (it is anyway) and it just makes me nervous.

 

Your point about making sense of it all before court is really important and exactly what I asked Bill to help me with. He even explained the cells in excel in simple terms for me.

 

The way I see it:

 

'contractual' just means the rate they have charged you over time as per your contract (rather than statutory 8%)

 

'compounded' just means that the daily interest is added on the growing total rather than starting from scratch each day

 

I hope this makes sense?

 

We do seem to be at the same stage, I'll watch out for your posts and I'm sure we can help each other along.

 

Rouge

[redsonja]

Hi Rouge,

Your explanation makes complete sense to me!

I have done the more advanced version of Vamps spreadsheets as I had the balance on my statements so thought this would be the best one to use. Just out of interest, where did you go wrong? (I'm hoping I havent done the same).

 

I couldnt find Cap 1s interest so I just used the interest for purchases on my statement and thought that if they argue the interest thing with me I will say I am actually claiming a lower % than what was charged and then ask them to give me the exact workings out of the interest on my charges. I think its fair to ask them to prove our interest figure is wrong if it was raised! I did read somewhere that some people asked their banks etc to work out the compounded contractual interest....and they did!!

[rougesept]

Hi Sonja,

I went wrong by using number 12 and thinking it was compounded when it wasn't.

 

Cap One don't display your APR anywhere and it varies person to person. I phoned and asked for mine and it was indeed higher than the monthly% x 12 by 3%. I'm still using monthly% x 12 as it is more simple for me if I'm asked about it in court (APR is a complicated beast), although I'm sure we are entitled to full APR refund.

 

I agree with your point that we can always turn round and say that we're actually claiming lower % than they charged us! I don't think I'll be asking Cap One to work anything out for me, I imagine they'd blind us with figures and whatever they did I wouldn't understand!

 

We're getting there I think. I might post my prelim on Monday - that gives me the weekend to really go through it all, read up, and make sure it's watertight.

 

Rouge

[redsonja]

Go for it Rouge.... Good Luck and I will watch your thread

[redsonja]

Well looks like I had the standard blurb from Mr UDY (good job his signature is printed on the letter as he would have arm ache if he had to sign everyones letters!) today offering me the difference between £20 & £12.

Will reply with LBA saying no thanks and will be including Compounded contractual interest which will increase daily until the claim is sorted!

Will also say i want payment in form of a cheque and not to reduce the balance!

He also says they have reduced their fees to £12 so they are in line with competitors.

Watch this space!

[doo]

Am following your threads with interest, have just received my statements and am trying to work out what interest rate I apply, it's so confusing but think you have made some good points and will certainly make you feel safer by going below APR.

[redsonja]

Hi Doo,

 

I used the current monthly purchase rate which should be on your last statement and x by 12 to get yearly APR. I have finally got my head around CCI and am claiming it for all mine and my partners accounts/cards. I am yet to hear back from sending LBA but time is running out fast for them.

 

Feel free to ask any questions if you get stuck....Good luck!

[doo]

thanks for that, one last question - don't want to hijack (have started up my own thread) having looked at monthly purchase rates it has differed anything from 1.587% to 2.008%, which one should I use.

[TANZARELLI]

thanks for that, one last question - don't want to hijack (have started up my own thread) having looked at monthly purchase rates it has differed anything from 1.587% to 2.008%, which one should I use.

 

If you know the type of card you have then try looking on their website it may tell you on there.

[redsonja]

Hi Doo, don't worry about hijacking, it helps everyone who are just starting. I used the current interest rate (mine is 1.708%) as this is the interest for purchases and it is still lower than the rate they have used against the charges. If there was an arguement about the rate you have used, you can put the ball in their court and request they work out the proper CCI and detail it for you. Judging by other threads I have read, they won't do this as they don't understand it themselves. It is up to them to prove you wrong.

If you were worried, then you could always do separate spreadsheets for each different rate. I haven't though as they should know they are not having to pay as much CCI as was charged.

HTH

[TANZARELLI]

The cap one classic card shows as 34.94%, check this though.

[redsonja]

Reply from good old Mr UDY saying disappointed I wont accept his offer and that he wont increase it and contact Ombudsman blah blah. Looks as though this is standard situation with Cap 1.

 

I have refused part settlement previously and I now need to prepare my claim for court (lots of reading for me to do as this will be my 1st one). I presume I dont have to notify him that I still wont accept his offer and that I am filing my claim as I have already done it in LBA.

 

I do have one questions though, the CCI I claimed was 12 x monthly rate and in a discussion on another thread, bill has explained that it is not a contractual rate by doing it that way (I knew I had read it somewhere as I said in my earlier post....glad I'm not going mad!) my spreadsheet for LBA was 20.5% and Im worried now that by not doing it at 34.9% I may leave myself open for a proper contest in court. If I change to 34.9%, do I have to start over and send another prelim and LBA?

 

Any advise gratefully received :-|

[doo]

You probably need Bill to answer that but all I can say is that I have just sent my prelim and am also claiming CCI, I rang capital one up and asked what APR they had been charging me and used that. It worked out to be 26.94%.

[redsonja]

Hi Doo,

Hmmnnnn difficult as I have read a few threads now and the APR is different for everyone so I think I may direct Bill to this thread as he has confirmed I would need to send a revised LBA.

 

Bill - The website says 34.9% typical APR on classic card but other threads have used what Capital One say they have charged. Which one should I use? Is it best to phone them?

[bill-k]

I would not trust anything said to me on the phone. You're speaking to call centre ops who just want to get you off the phone. Make sure you know which card (eg Platinum, Classic, etc.) you are getting the rates for, and use the website info, and save the page on your PC, so you can print it as proof.

 

If your particular card isn't listed anymore, then use the highest rate that seems appropriate. It's up to them to argue that a lower rate applies.

 

HTH

[redsonja]

Thanks again Bill. Your opinion is appreciated as ever. 34.94% it is then. Wow my charges are £394 and based on 34.94% it take the total to reclaim up to a whopping £1190.94. That will cost them an extra £50 in court fees then ! lol!

[rougesept]

Hi Sonja,

 

If you do a search on here for Mindzai's spreadsheet, there's a cell on there that works out your APR from your monthly rate. I phoned Cap One and asked for my APR first, then double checked it on the spreadsheet and it works perfectly.

 

Here's the spreadsheet (it's on the opening page):

 

http://www.zen122856.zen.co.uk/CompoundSheet_v1.9.xls

 

Rouge

[bill-k]

Yes, that is a good sheet. Be careful if you do use your monthly rate from your statements, though. If they're older statements, then the rate could be out of date.

[redsonja]

Just phoned Cap 1 and they said its 22.5%. Checked on Mindzai spreadsheet and it does work out at 22.54% so I shall use that then!

Charges £354.00 so total with CCI is £766.62. Revised LBA in post tomorrow.

Thanks peeps

[doo]

What a gem, just typed my monthly rate in this and it has matched the APR Cap One gave me exactly.

[redsonja]

Thats 3 happy bunnies here then!

[ukaviator]

Well done gang.. feels good does'nt it.

 

Uk