Memnoch vs Lloyds TSB (inc. Contractual Interest)

[Memnoch]

Hello, I have decided to go for contractual interest as well as bank penalties rom Lloyds TSB.

 

I have sent off the the Prelim on 18th Jan so am waiting the 2 weeks before letter before action.

 

I did not include the contractual interest on the prelim letter as it is a decision I have come to since posting it. I will be sending the Contractual Interest charges spreadsheet with the LBA.

 

Will update on 1st Feb (14 days after posting Prelim).

[Memnoch]

This is how I plan to write my letter, obviously if Lloyds TSB do get back to me within the 14 days then I will have to slightly alter it.

[your address]

 

 

[their address]

 

[date]

 

LETTER BEFORE ACTION

 

Dear Sir/Madam,

 

ACCOUNT NUMBER: xxxxxxxxx

 

I am very disappointed that you have failed to respond to my letter of the 18th January 2007.

 

In the time that has elapsed, I have reconsidered my position in relation to the extent of my claim for unlawful charges, and I would ask you to note that I am adjusting my claim to include compound interest at Lloyds TSB Bank Plc’s standard overdraft rate of 29.8% EAR. I am applying this rate of interest to the monies that Lloyds TSB Bank Plc has unlawfully deducted from my account over the years, on the principles of implied mutuality and reciprocity, and unjust enrichment.

 

I now understand that the regime of 'fees' which you have been applying to my account in relation to direct debit refusals, exceeding overdraft limits and so forth are unlawful at Common Law, Statute and recent Consumer regulations.

 

I would draw your attention to the terms of the contract which you agreed to at the time that I opened my account. It is an implied term of that contract that you would conduct yourselves lawfully and in a manner which complies with UK law.

 

I am frankly shocked that you have operated my account in this way as I had always reposed confidence in your integrity and expertise as my fiduciary.

 

I calculate that, as at today’s date, you have taken a total of £xxx-xxx in charges plus £xxx-xxx which you have charged me in overdraft interest for the sum which you have taken – a total of £xxx-xxx. In addition, I also claim Contractual Interest (compounded) under the principle of mutuality and reciprocity in our contract. As Lloyds TSB has taken unlawful charges from my account, this constitutes unauthorised borrowing – thus, the rate of Contractual Interest used is the bank’s unauthorised borrowing rate. The standard rate of unauthorised borrowing set by Lloyds TSB is 29.8% (see Lloyds TSB: Current Accounts - Rates & charges), therefore this rate is added to the above amounts and the breakdown is shown on the enclosed schedule. I calculate the Contractual Interest element (to 2nd January 2007) at £XXX-XXX. I am enclosing a revised copy of the schedule of the charges which I am claiming.

 

Additionally if you have entered a default notice against my credit record, this default occurred merely in respect of unlawful charges levied by you or was the result of impecuniosity caused directly by the taking by you of penalty charges which you had applied unlawfully to my account.

 

In addition to full payment of the sum mentioned above I require that you remove any default entry from the register. Please note that mere correction or amendment to the entry will not be acceptable.

 

I require repayment in full of this money and removal of the default notice. If you do not comply fully within 14 days then I shall begin a claim against you for the full amount plus interest plus a claim under ss.7 and 13 of the Data Protection Act 1998 plus my costs and without further notice.

 

Yours faithfully,

 

 

 

 

[name]

 

Mods what do you think about the letter, obviously mine is revised because I only sent the basic charges with my preliminary letter.

 

Would appreciate any feedback/advise.

[Memnoch]

Yay, my first reputation point, I hope to add more.

[Memnoch]

Gary, thanks for the reply, I have not yet sent my N1 off as I am still looking for feedback and ideas.

 

I am trying to look into what an 'Unauthorised Overdraft' is. I believe that it is in effect, a rate that the Bank charges the Customer when he draws funds from the Bank when he has no right for doing so.

 

I am just trying to figure out whether or not the illegal charges/penalties that the bank have taken from me over the years without my permission fall under what could effectively be an Unauthorised Overdraft taken from myself by the Bank.

 

With regards to the actual contract, I intend to add the following to the N1 dependant on advise:

 

If no express contract exists between the parties hereto then the Claimant contends that an implied and/or imposed contract exists between the parties hereto relating solely to the Claimant’s right to charge interest to the Defendant at the rate which it reserves for itself in relation to similar circumstances.

 

What does everyone think of this idea ?

 

It is at this stage just an idea that I would like feedback on, however if my claim is, in fact, valid then that could open up a whole new way of claiming interest for people who have never used an overdraft facility.

[Memnoch]

Simply put, the argument for obtaining a rate higher than statutory is that this is the rate Lloyds would have charged for going overdrawn and therefore this is the rate the customers would charge back. That argument has merits.

 

This is currently the argument that I am trying to look into, whether or not it is justified for me to ask for the bank to pay me back for taking money without my authority (unauthorised), what it would have effectively been charged to me if the shoe were on the other foot so to speak.

[Memnoch]

I have approximately 21 O/Draft Excess Fee's or O/Draft Usage Fees, the others are all Unpaid D/D's or Unpaid Cheques.

 

To clarify I do not have an overdraft facility on my account as I never asked for one when I opened my account or since then.

 

My question is how can I have O/Draft fee's with never having an O/Draft facility.

 

Also should I split my claim to deal with these O/Draft penalties using Contractual and the Unpaid Penalties using Statuary ?

 

Obviously the bank may attempt to defend stating that there is no contract with the Unauthorised O/Draft interest rate between myself and themselves. If this is the case I will again bring their attention to this comment:

 

If no express contract exists between the parties hereto then the Claimant contends that an implied and/or imposed contract exists between the parties hereto relating solely to the Claimant’s right to charge interest to the Defendant at the rate which it reserves for itself in relation to similar circumstances.

 

I have evidence of an imposed contract simply using all of my statements that mention O/Draft fees.

 

Any comments ?

[Memnoch]

Just because you don't have an overdraft facility it doesn't mean they won't let you go overdrawn. By letting you go overdrawn they get to charge you £30 a time in overdraft excess fees and charge you interest at the unauthorised borrowing rate.

 

Would this 'Unauthorised borrowing rate' effectively be exactly the same as an Unauthorised Overdraft Rate ? Therefore validating my claim to contractual interest for all of the 'borrowings' they have taken from me over the claim time without my authority ?

[Memnoch]

I dont have a Cash Account I have a Select Plus Account. This gives me an ability to apply for a O/Draft should I wish to, I never have.

 

However I have previously been charged for Unauthrised O/Drafts and have been charged O/Draft interest on top of those charges.

 

I believe that my application for Contractual Interest is justified due to this.

[Memnoch]

Simple answer, because I dont have all my statements.

 

Lloyds TSB replied to my SAR by sending me a list of all charges levied to my account in the last 6 years, they did not bother with the rest of the stuff on my statements just a breakdown of charges.

 

Therefore I have got no idea what the balance was on these occasions

 

I think I have grasped what I am doing, I will re send my prelim letter off including contractual telling them to ignore the previous one.

 

I hope there is a test case that I can refer to somewhere but so far it seems both me and GaryH are having trouble finding it.

[Memnoch]

Ok I am now having a a little trouble adding the interest that has been taken from my account. The O/Draft Interest.

 

As previously mentioned I have never had an O/Draft facitlity but when have been charged O/Draft excess fee then I have sometimes been charged interest on this too.

 

However the common way of adding this to the spreadsheet is to take the balance at the time the interest is taken out. Sometimes my account has been in credit when the interest has been taken out. This can only mean that the interest is for charges earlier in the month when my account has been overdrawn.

 

What does everybody suggest ? Do I just add the interest to the main charges column instead ?

[Memnoch]

Yay, got my first refusal letter thingy from the bank today.

 

Even though it was with reference to my old Prelim letter not the ammended one.

 

Sent off my new Prelim Letter on 28th Jan (to include Contractual Interest).

[Memnoch]

[Your Banks Address]

 

 

 

[Date]

 

 

[Your Address]

 

 

 

Dear Sirs

 

[Your Account Number/Details]

 

Due to recent media coverage on bank charges I am now aware that you, { Banks name} have been charging me, charges, that are contrary to the Unfair Terms in Consumer Contracts Regulations 1999. Schedule 2 (e) of the said regulations gives a non-complete list of terms, which may be regarded as unfair, such as a term that requires me as a consumer who fails in his obligation, to pay a disproportionately high sum in compensation.

 

Furthermore if you fail to comply with this letter, I request without further notice a breakdown and proof of all costs involved, in regards to your actual or liquidated losses involved in any breach of contract to which these charges relate with yourselves, and that these charges reflect your true costs In relation to the said charges, and are proportionate to the charges levied on my account as defined in Unfair Terms in Consumer Contracts Regulations 1999. Schedule 2 (e)

I also hereby request a detailed report of which clause in your terms and conditions each charge has been applied against.

 

On a separate note, I am of the view that your charges represent a penalty and are therefore irrecoverable at common law. In the Scottish case of Castaneda and Others v. Clydebank Engineering and Shipbuilding Co., Ltd. (1904) 12 SLT 498 the House of Lords held that a contractual party can only recover damages for actual or liquidated losses incurred from a breach of contract. This is also the position in English law: Dunlop Pneumatic Tyre Co Ltd v New Garage and Motor Co Ltd [1915] AC 79.

Your charges do not reflect any actual loss, instead they appear to represent a lucrative profit-making scheme. UK banks have recently given evidence to the House of Commons Treasury Committee on how bank charges are calculated: "The costs are going to pay for all the people we have who pursue debt, collect debt, speak to customers and chase payments. The way these charges are arrived at is by taking these total costs and making some assumptions about the volume that is going to come through to arrive at the individual charges" (2nd report, 25 January 2005, paragraph 50 - online here: http://www.parliament.the-stationery-office.co.uk/pa/cm200405/cmselect/cmtreasy/274/27405.htm).

Accordingly, the charges applied to my account are not a reasonable pre-estimate of the bank’s loss in relation to my account. Your charges would appear to represent a device to recover global losses (for example, loan defaulters, bad debt write off, including commercial lending in, and outwith, the UK).

I calculate that you have taken £XXXXX.

I enclose a schedule of the charges which I am claiming with this letter.

 

In addition, and as shown on the enclosed schedule of charges, I require that you pay me contractual interest on this amount at a rate of x%, totalling £xx,xxx.xx. This interest is claimed on the basis of consumer contract legislation, which provides that where a contract has not been individually negotiated, the party dealing with the consumer cannot insert advantageous terms into contracts where there is no comparable term in favour of the consumer. Therefore the contract term which permits the bank to charge interest on unauthorised transactions at the rate of 29.85% is deemed to be unfair, unless there is a mutual or reciprocal term permitting the customer to apply the same rate of interest on any unauthorised withdrawals from the customer's account by the bank. For the avoidance of any doubt, my agreement to the bank's terms and conditions does not constitute authorisation to the bank to apply penalty charges (and interest thereon) to my account, or to profit in an unlawful manner out of my account breaches, and these withdrawals are therefore considered to be unauthorised.

 

The total amount therefore to be refunded to me is £xx,xxx.xx as of today’s date and interest will continue to accrue daily at the contractual rate quoted of x%.

Please refund the charges back on to my account within the next 14 days. For the avoidance of doubt, if this is not done within 14 days, I will commence my claim in the courts without any further notice, and to seek an additional award for distress and inconvenience, together with legal expenses.

Yours Sincerely

 

 

 

 

Memnoch

 

Here is the LBA that I will be sending off tomorrow, any thoughts on the content ?

[Memnoch]

Bump - Anybody ?

[Memnoch]

Ok my Contractual Interest LBA was sent off on Monday 12th February so I will be looking into doing N1 Claim in person (not a fan of the MCOL as it has less space). Only problem is that I may need to go to Fast Track court rather than Small Claims because of the amount (7k total including the interest). Can anyone advise the procedure with regards to Fast Track and what I need to get together for a court bundle for this court (the only bundles I can find on here relate to Small Claims court).

 

In addition, I have read somewhere that with fast track court there is something called 'Disclosure'. Does this mean that I can ask for a breakdown of the banks costs in relation to charges and administration fee's and how they arrive at the fee they charge ?

[Memnoch]

With this in mind can I ask them to disclose what their actual losses are each time I have been charged. How much the admin fees are and anything else I can think of that the bank might not want me to know.

[Memnoch]

I dont think I need to flower that up any, looks perfectly fine to me.

[Memnoch]

OK, responce to LBA received today here is the letter.

 

Mr Memnoch

Blah Blah Street

Telford

Shropshire

 

Dear Mr Memnoch

 

Thank you for getting in touch with us again. I am sorry you are unhappy about your bank charges.

 

We've already explained that we believe it is fair to charge you for extra services you u've requested, as long as you know about the charges in advance. When you did'nt have enough in your account to cover a payment you'd asked us to make, we had to agree to make it by setting up or increasing your overdraft, or tell you we couldn't agree it. We feel it's only fair to charge for our services in considering and implimenting this.

 

Its easy to keep a running check on how much is in your account. You can get an up-to-date balance at any of our cash machines, over the phone, on line and by weekly text to your mobile.

 

If you know a payment is going to take you over the limit we've agreed, you're welcome to see if we can raise it - and we can usually give you an answer straight away. Again we can do this for you by phone, on line or at any of our branches. There's no charge at all for this.

 

Generally we don't agree to adjust any of these charges, but I can tell you that on this occasion we are prepared to reduce the charges by repaying you £750. Please note that we do not refund interest. You may have read that we and other banks are discussing overdraft charges with the Office of Fair Trading. Meanwhile we do consider each customer's position individually, and we are making you this offer as a gesture of goodwill because we might face that cost in dealing with your complaint if you took it any further.

 

I need to let you know that this does not mean we have any legal obligation to do so. This sum will be credited to your account in the next few days.

 

As I've explained, these charges are avoidable and we would strongly urge you to keep within the limit you've agreed with us or ask us now to see if we could increase it for you.

 

You've mentioned the new guidlines from the Office of Fair Trading on credit card default charges. We don't agree with the OFT's thinking on this and we're still talking it through with them. But the important point is that the guidlines are about 'default' charges that people pay when they break an agreement with us. The fees we charge for dealing with your request to go over yor agreed overdraft limit are not default charges because you haven't broken your agreement. They are our prices for the service we provide in these situations.

 

This letter is tha bank's final response, which means that if you remain dissatisfied you may refer your complaint to the Financial Ombudsman Service. If you decide to pursue your complaint through the Financial Ombudsman Service you must do so within 6 months from the date of this letter. I have enclosed their leaflet that outlines how to contact them.

 

Well there you have it, the nice people at Lloyds TSB dont think the default charges are default charges but they want to give me £750. that awfully nice of them.

 

Anyhow this letter was sent by Julie Bruce at Customer Service Recovery centre in Andover.

 

Now where did that template letter rejecting offer go ?

[Memnoch]

Ok here is the POC for my N1 form:

 

1. The Claimant has a bank account, number 12345678 (“the Account”), maintained at the Defendant’s Newtown Branch (11-22-33)

 

2. The Account is governed by the Defendant’s Personal Banking Terms and Conditions (“the contract”)

 

3. During the period in which the Account has been operating the Defendant has debited numerous charges to the Account in respect of purported breaches of contract on the part of the Claimant and also charged overdraft interest on the charges once applied.

 

4. The Claimant understands that the Defendant contends that the charges were debited in accordance with the terms of the contract between itself and the Claimant.

 

5. A schedule of the charges is attached to these particulars of claim (Appendix 1).

 

6. The Claimant will rely on the Competition Commission’s report entitled “Northern Irish Personal Banking,” published on 20th October, 2006, as evidence that the Defendant is aware that the income derived from its default charges is calculated to generate material profits and is not merely a means of recouping losses incurred in relation to Account defaults.

 

7. The Claimant will further rely on the Office of Fair Trading’s (“the OFT”) statement of 5th April 2006 concerning default charges in credit card contracts, as the OFT’s recommendations regarding standard default terms in credit card contracts have wider implications, as regards bank current Account agreements.

 

8. The Claimant thus contends that:

a) The charges debited to the Account:

i) are punitive in nature;

ii) are not a genuine pre-estimate of cost incurred by the Defendant;

iii) exceed any alleged actual loss to the Defendant in respect of any breaches of contract

on the part of the Claimant;

iv) are not intended to represent or relate to any alleged actual loss, but instead unduly enrich the Defendant which exercises the contractual term in respect of such charges with a view to profit.

b) Further to 8.a), the charges debited to the Account are penalties rather than liquidated damages. A charge is held to be a penalty if the sum stipulated for is extravagant and unconscionable in amount in comparison to the greatest loss that could conceivably be proved to have followed from the breach.

The law regarding penalty clauses is well established and clear. If the defendant should dispute this claim, the claimant will be relying on, inter alia, judgments made in the cases of:

Dunlop Pneumatic Tyre Co. v. New Garages and Motor Co. 1915

Ford Motor Co. v. Armstrong 1915

Bridge v. Campbell 1962

Murray v. Leisureplay 2004

c) The contractual provision that permits the Defendant to levy such charges is unenforceable by virtue of the Unfair Contract Terms in Consumer Contracts Regulations (1999), the Unfair Contract Terms Act 1977 and the common law.

d) In the alternative to 8.a), b) and c), if the Court finds that the charges are not a penalty, then the Claimant contends that they are unreasonable within the meaning of s.15 Supply of Goods and Services Act 1982

 

9. Contractual Interest

a) The claimant claims compound interest on the charges and overdraft interest applied thereon to the claimant’s account (“the principal claim”), at the annual rate of 29.85%. This is the rate currently applied by the defendant to the claimant’s unauthorised use or borrowing of the defendant’s monies, as provided for in the contract.

The claimant’s case for claiming this rate is based in equity, and a legal requirement for fairness and balance.

The claimant deems the defendant’s principal indebtedness to the claimant to be unauthorised, since it is comprised of charges that are unconscionable, remain unsubstantiated, and amount to unenforceable penalties at law. If the defendant avers that its charges are fair, reasonable and therefore enforceable, its remedy will be to defend the claim by providing evidence of its actual losses or pre-estimate of costs in relation to the claimant’s account breaches. Since the defendant has been invited to do so prior to the issue of court proceedings, and has refused, and since the claimant is aware that the defendant has failed to defend any other similar claim, choosing to settle before the trial dates, the claimant deems the defendant’s charges to the claimant’s account to be indefensible, unenforceable at law, and unauthorised, since it was clearly not in the claimant’s contemplation when entering into the contract, that the claimant would authorise the defendant to apply penalty charges and interest thereon to the claimant’s account, or to profit in an unlawful manner from the claimant’s account breaches.

For the contract to confer advantageous terms (i.e. entitlement to compensation) on one party (the defendant) where there is no comparable term in favour of the other party (the claimant) is to create an imbalance in the parties’ rights and is contrary to the requirements of Regulation 5 (1) of the Unfair Terms In Consumer Contracts Regulations 1999 (“UTCCR”).

Regulation 5 (1) of the UTCCR states as follows:

Unfair Terms

5. – (1) A contractual term which has not been individually negotiated shall be regarded as unfair if, contrary to the requirement of good faith, it causes a significant imbalance in the parties’ rights and obligations arising under the contract, to the detriment of the consumer.”

Therefore, to satisfy the requirement of fairness, within the definition given by the UTCCR, the contract would have to provide a mutual or reciprocal term permitting the customer to apply the same rate of interest on any unauthorised withdrawals from the customer’s account by the bank (the defendant). The interest claimed is therefore deemed to provide an equitable remedy.

b) In the alternative to 9 (a), should the court deem that the claim does not merit the application of the defendant’s unauthorised lending rate, the claimant claims compound interest at the defendant’s authorised borrowing rate of 18.3% per annum, based in the premise that the court finds that the defendant’s withdrawals from the claimant’s account were authorised.

c) In the alternative to 9 (a) and (b), if the court is unable to agree that the claimant is entitled to either of the two contractual rates of interest, on the grounds stated, the claimant avers that the defendant would be unjustly enriched if the claimant’s entitlement was limited to the statutory rate of interest in that the defendant has had use of the sums and would have used these sums to re-lend at commercially compounded rates. On these grounds the claimant seeks restitution of the compounded contractual interest at the defendant’s authorised borrowing rate of 18.3% per annum.

d) In the alternative to 9 (a), (b) and ©, if the court finds that the claimant is not entitled to contractual interest, the claimant claims interest under section 69 of the County Courts Act 1984.

e) Schedules showing interest calculated at the rates quoted at 9 (a), (b & c) and (d) are attached to these particulars of claim, numbered 1, 2, 3 & 4.

 

10. Accordingly, the claimant claims:

a) The return of £919.76 taken by the defendant in charges and interest applied on the charges between 25/02/2000 and 02/01/2007.

b) Court fees

c) Costs allowed by the court

d) As particularised at 9 (a), contractual interest at an annual rate of 29.85% compounded daily from the date of each transaction to 04/03/2007, of £2,116.47.

e) Further contractual interest at 29.85% compounded daily from 04/03/2007 up to the date of judgement or earlier payment. As the interest is compounding and the claimant is unable to predict when the claim will be heard or settled, the claimant is unable to specify a static daily interest figure, but will provide an updated settlement figure in respect of the interest at any hearing, or if and when the defendant requests an earlier settlement. An approximate amount, for guidance purposes only, is currently £0.67 per day, however as noted herein, this figure is liable to increase over time.

f) In the alternative to 10 (d) and (e), and as particularised at 9 (b) or ©, contractual interest at an annual rate of 18.3% compounded daily from the date of each transaction to 04/03/2007 of £1,025.29.

g) Further contractual interest at 18.3% compounded daily from 04/03/2007 up to the date of judgement or earlier payment. As the interest is compounding and the claimant is unable to predict when the claim will be heard or settled, the claimant is unable to specify a static daily interest figure, but will provide an updated settlement figure in respect of the interest at any hearing. An approximate amount, for guidance purposes only, is currently £0.43 per day, however as noted herein, this figure is liable to increase over time.

h) In the alternative to 10 (d) (e) (f) and (g), and as particularised at 9 (d), interest under section 69 of the County Courts Act 1984 at the rate of 8% a year, from 25/02/2000 to 04/03/2007 of £311.35 and also interest at the same rate up to the date of judgement or earlier payment at a daily rate of £0.20.

 

What does everyone think ?

[Memnoch]

Oh, I thought it would be best to hold back everything. Will edit it later when I get home from work.

[Memnoch]

Ok have slightly updated my POC, is there anything anyone can think that I may have left out ?

[Memnoch]

Thanks for the help Gary, have deleted the unnecessary parts and added part 1.6 and 1.7 to my POC.

[Memnoch]

Ok today is now seven days after my Rejection of Settlement letter that I sent after they credited my account with £750.00 a copy of the offer is on this thread.

 

Due to this I have decided to send the following letter tomorrow:

 

Monday, 5th March 2007

 

 

Lloyds TSB Bank Plc

Customer Service recovery Centre

Charlton Place

ANDOVER

Hampshire

SP10 1RE

 

Re: Account number 12345678

 

Further to my Letter Dated 26th February 2007.

 

Dear Julie BRUCE

 

Further to my letter dated 26th February 2007 (sent recorded delivery on same date) a copy of which is enclosed.

 

In my letter I clearly point out that I would accept the £750.00 credited to my account as a part settlement only, and that I would to continue to pursue the remainder of the claim, including commencing legal action if my claim was not repaid in full by the deadline stipulated in my original ‘Letter Before Action’. A deadline which I reasonably chose to extend by 7 full days to offer you time to respond to my letter.

 

I also stated in my letter that I would require a response to this agreement within 7 days from my letter (I feel 7 days ample time to deal with such matters as you are a professional organisation with specialist departments and solicitors to enable you to deal with such matters). Stipulating that if I received no such response in the alloted time, then my only option would be to decline your offer as part settlement. I also gave you full authority to remove the funds that you placed into my account.

 

As at todays date (5th March 2007) I have received no response from you with regards to this letter, so without prejudice, I ask that you remove these funds from my account at the earliest opportunity.

 

Ok, being the worlds worst letter writer (nowhere near half as good as Mindzai) could everyone who is a bit better with letters etc. take a look and offer advice.

 

Thanks.

[Memnoch]

I commenced proceedings today, on the understanding that, with no reply accepting my conditions that this is only a part settlement, received from Lloyds TSB, then they understood that I have not accepted their £750.00.

 

Therefore I have issued a claim with my original amount, if I had received a reply saying the conditions were fine, then I would have had to recalculate the claim and interest etc.

 

I am glad that they did not reply to be quite honest as it keeps things far simpler.

[Memnoch]

Ok, do you know what the letter is to change the amount that is being claimed ?

[Memnoch]

Thanks all for the advice, I have chosen to send the letter along to Lloyds TSB and add it to my court file as correspondence with the following added to it:

 

In relation to your offer of settlement, I regret to inform you that I am unable to accept your offer of £750.00 as this is not the full sum owed by yourselves. I have attached a current complete schedule of charges to this letter, but I will summarise this here.

 

You currently owe £919.76 in unlawfully levied charges.

 

Further, you will note that my claim also includes contractual interest at your own unauthorised borrowing rate of 29.85% compounded from the date of each transaction until the date the claim was filed, totalling £2,116.47.

 

You also owe interest at the rate of £0.67 per day since the date the claim was filed until such time as the matter is resolved. As of the date of this letter, this amount stands at £0.67.

 

I can confirm that Court costs currently stands at £120.00.

 

Therefore, the total sum owed by yourselves as of today is £3,156.90. I would like to make perfectly clear that this is the full amount owed and I will not accept a settlement offer for anything less.

 

I used this from one of Mindzai's excellent letters located on his thread.