In need of major help, what do i do next?

[kennyparkroad]

UPDATE

 

Got a letter to me and my mum from IQRO Recovery Services.

 

So i sent them this letter

 

 

 

 

COMPLAINTS MANAGER

ACCOUNTS MANAGER

CC – Natalie Hollinsworth

Client Ref:

Your Ref:

Dear IQOR.

I am sending you this for myself as well as on behalf of Mrs xxxxx

Further to your letter dated xxxrd August I would like to advise you of the following.

 

The alleged debt you are attempting to collect on has been in dispute with your client (Listed as Capital Bank) since December 2006, therefore the fact that they have passed this alleged debt onto your company is illegal and in breach of the following:

 

The Office of Fair Trade Guidelines - as no alleged debt that is in dispute can be further acted upon unless and until the dispute is resolved, clearly this has not been resolved.

 

Data Protection Act - As you have been passed details without my consent and as Capital Bank have acted out with my authorisation.

Therefore I suggest the following.

 

Since the alleged debt was passed on to yourselves unlawfully, therefore meaning you have no legal authority to chase this alleged debt, I suggest you pass all files back to Capital Bank for their attention.

 

Please be aware, if you continue to pursue this alleged debt after this letter, I will without further warning to your company inform the Information Commissioners Office of your breach of the Data Protection Act.

 

I do not consent to you processing my personal data.

 

Please also be aware, that I have passed this matter onto Trading Standards and have also sent a copy of your demand for payment as well as a copy of this letter.

 

I look forward to your written confirmation that this matter will be passed back to Capital Bank and that no further action shall be undertaken by yourselves.

 

Yours sincerely,

 

 

 

 

 

Will see what reply i get from them, if any

[pelham9]

Conar686

 

The formula you show is the generalised formula for %APR and includes the costs other than interest to arrive at 'total cost of borrowing'. As such it requires significant mathematical knowledge to understand - and I am not a mathematician.

 

There are however many occasions where a simpler formula can be derived from the generalised one. For example where there are no costs other than interest the %APR is easy to derive using a scientific calculator.

 

If we need the %APR from a monthly interest rate (there being no other costs) we use the formula

 

Annual Interest rate= ((1+monthly interest rate/100)^12-1)*100

 

So the annual interest rate for a monthly rate of .403% is

 

((1.00403)^12-1)*100 =4.94464...%. This is the annual rate that is actually applied. It is NOT the %APR which is the actual annual rate to one decimal place. Therefore %APR is 4.9%.

 

It is not possible to derive the actual monthly rate from the %APR only because it is an approximate figure and we have no way of telling what the actual annual rate is. Suppose you have 4.9%APR. You might well surmise that the actual annual rate is 4.9% but in fact the actual rate could be in the range 4.85% to 4.94999....%.

 

Now if the banks tell you that the %APR is the actual annual rate (they lie) then you can apply a formula to get the monthly rate.

 

Monthly rate = ((1+annual rate/100)^(1/12)-1)*100

for 4.9% =((1.049)^(1/12)-1 *100= .39944...%

 

This is clearly not .403% so that proves the lie.

 

Does it matter? Yes! If the banks show only the %APR in agreements there is no way the customer can derive the interest rate charged fom that figure and a %APR alone does not comply with the CCA. %APRs are for comparisons not for actual sums.

 

Does it matter in practice. Yes but not a lot. If the actual annual rate was indeed 4.9% rather than 4.94464 there would be about £134 less interest to pay on a £10000 loan over 10years.If they lend £1billion on these terms £1.34millions extra comes out of their customers pockets - not a bad little earner,

 

Do the banks know about this? Of course but they will argue that actual annual rate =%APR which it does not. Everywhere you look there is some little '[problem]' to fleece the customer.

[conar686]

Pel thanks a lot for that clear & concise explanation 'alles klar'

[renegotiation]

Conar686

 

Do the banks know about this? Of course but they will argue that actual annual rate =%APR which it does not. Everywhere you look there is some little '[problem]' to fleece the customer.

 

Perish the thought. So when did a fair day's wage for a fair day's work (service) go out of the window? Just a general example here. When my dad last went to Ocean to try and get a secured loan to consolidate the last of his debts the broker wanted like 5% of the loan on top of a £400 completion fee. They never seem to mention the actual figure they are taking off you in words. Just a 5% fee they say. This would have made the APR like 18% which he very politely told us was all factored in with the loan and fees. Fantastic. So if we borrowed like £25,000 we would have given away £1650 just like that. What did the broker do? Like 30 minutes work I think. We declined this great offer, but so many people are forced to accept I guess. It's probably for this reason that he didn't sound too happy with our refusal. Insisted on mailing the agreement for our perusal. Straight on the bonfire it went. It makes me sick. I think the broker at loans.co.uk wanted even more! And this is for secured loans. Called brokers because they make people broke!

 

P.S. Oops. Sorry. Going off on one on another thread. Can't help myself. Sorry.

[kennyparkroad]

UPDATE

 

IQR keep phoning and arguing by not co-operating over the phone they can take me to court, so i spoke to a supervisor, and after the conversation (where i told them they were talking rubbish as only the original creditor can take me to court) i re-sent my fax for their attention to a new fax number that was given to me, and made it clear i dont wish to be contacted by phone, only in writing.

 

looks like this isnt over yet, why dont halifax get the fact that it is unenforceable unless the court say otherwise? and that no matter who they pass it onto, they will get the same answer!

 

oh well this could go on for 6 years and it could become statue barred huh? lol

 

PS - Halifax have yet to contact me over the fax i sent of the letter Peter gave me.

 

watch this space!

[kennyparkroad]

Well IQOR debt recovery has sent me a letter

 

here it is.

 

 

 

Further to your recent communication, we are currently conducting an investigation into the issues you have raised.

As soon as the investigation is complete, I will write to you again with information detailing the outcome of the matter.

We have made our client Capital Bank aware of your communication and have placed your account on hold until we receive further instructions from our client.

 

 

 

 

now they just dont get the fact its been passed on while in dispute and that their client can only get this debt enforced through court,

 

so i write back to IQOR saying that i will accept nothing less but them passing it back as it was passed illegally in the first place (points i made in my previous letter), or just let them get on with it?

 

thanks guys

[Peterbard]

Conar686

 

The formula you show is the generalised formula for %APR and includes the costs other than interest to arrive at 'total cost of borrowing'. As such it requires significant mathematical knowledge to understand - and I am not a mathematician.

 

The formula is the Statutory form for calculating APR if the formula did not include costs it would not be APR as the function of APR is to compare the credit with the Total Charge for Credit(which includes charges et.)against the amount credited allowing for the time and intervals of repayment.

 

There are however many occasions where a simpler formula can be derived from the generalised one. For example where there are no costs other than interest the %APR is easy to derive using a scientific calculator.

 

If we need the %APR from a monthly interest rate (there being no other costs) we use the formula

 

Annual Interest rate= ((1+monthly interest rate/100)^12-1)*100

 

So the annual interest rate for a monthly rate of .403% is

 

((1.00403)^12-1)*100 =4.94464...%. This is the annual rate that is actually applied. It is NOT the %APR which is the actual annual rate to one decimal place. Therefore %APR is 4.9%.

 

It must be rememberred that this figure would only be regarded as an APR if their was no other charges against the account.

For instance an interest rate included in an agreement which indicated just the interest charged without the other charges would not be convetedto an APR by this method

 

It is not possible to derive the actual monthly rate from the %APR only because it is an approximate figure and we have no way of telling what the actual annual rate is. Suppose you have 4.9%APR. You might well surmise that the actual annual rate is 4.9% but in fact the actual rate could be in the range 4.85% to 4.94999....%.

 

Surely if the regulations state that the APR has to be to one decimal point then the rounding in either direction depending on the value is the only fair way to do it

 

Whilst it is true that it would be difficult to get the interest rate from the APR this is just because the APR includes the charges of the account in its calculation.

 

Now if the banks tell you that the %APR is the actual annual rate (they lie) then you can apply a formula to get the monthly rate.

 

Monthly rate = ((1+annual rate/100)^(1/12)-1)*100

for 4.9% =((1.049)^(1/12)-1 *100= .39944...%

 

This is clearly not .403% so that proves the lie.

 

Does it matter? Yes! If the banks show only the %APR in agreements there is no way the customer can derive the interest rate charged fom that figure and a %APR alone does not comply with the CCA. %APRs are for comparisons not for actual sums.

 

Does it matter in practice. Yes but not a lot. If the actual annual rate was indeed 4.9% rather than 4.94464 there would be about £134 less interest to pay on a £10000 loan over 10years.If they lend £1billion on these terms £1.34millions extra comes out of their customers pockets - not a bad little earner,

 

Do the banks know about this? Of course but they will argue that actual annual rate =%APR which it does not. Everywhere you look there is some little '[problem]' to fleece the customer.

 

The interst rate is a prescribed term on most credit agreements the APR is not, all properly executed agreements regulated by the CCA show both.

 

HI

 

Not seen this reply so i thought i had better rectify some missconseptions.

As much as I am aware of the way banks are constantly ripping us off I am affraid in this case they are not guilty

 

best regards

Peter

[kennyparkroad]

so do i let them get on with it or do i challenge their right to even hold the account??????????? since it was passed illegally.

 

this is now the 3rd DCA that they have passed it onto, at least im creating lots of work for them! lol

[thinksmart]

There's nothing like multiple occurences of the same legal infringements to make a case for damages really potent!

[pelham9]

As much as I am aware of the way banks are constantly ripping us off I am afraid in this case they are not guilty

 

I have PMed Peter about this remark. I think he would agree that that there is truth in what I have posted. I suppose that it takes a significant effort to follow the argument.

 

The %APR is not the rate that will be applied to any account

 

The %APR is not equal to the annual rate of interest.

 

If you do use the %APR to check your payments you will find that the interest deducted or the fixed payments will nearly always be more than you would expect .

 

You can always work out the %APR frm the payments but you cannot work out the payments from the %APR.

 

You can work out the approximte figure for payments from the %APR but that is not good enough particularly if the actual figure they charge is more than the approximate figure and it almost always is.

[kennyparkroad]

update to this

 

another holding letter from IQR to say they are still investigating.

 

they can investigate all they like, fact is i sent the APR letter to HBOS and its been forgotten about seemingly.

 

therefore, they can go whistle, i shall not be replying to them

[reduk054]

Well done Kenny! Glad to see you are ok! Red x