Barclays refuse to provide a copy of default notice

[spitting kitten]

I sent Barclays a C.C.A request letter and a cheque for £1 for a copy of the original default notice that I have never received. This is the reply I got back from them.

 

Accnt: Barclays

S/C: *******

 

Dear Madam (cheeky so n so's they know full well who I am)

 

We write further to your letter of the ** ** addressed to our d.p team.

 

In your letter you are requesting a copy of the signed and executed agreement under section 77 & 78 of the Consumer Credit Agreement.

 

May we advise these sections of the Consumer Credit Act relate to a "fixed term credit agreement", for example loans.

 

The above account number relates to your Barclays current account and the debt incurred on this was an unaurthorised overdraft and therefore is not a fixed term credit agreement, we have therefore returned your cheque in the sum of £1.

 

Overdrafts regardless of their nature are repayable on demand.

 

The bank issues demands for repayment of overdrafts by the issued of Termination notices. Please find enclosed a true and certified copy of the Termination Notice issued to you on 29th March **

 

If you have any queries please do not hesitate to contact us.

 

Yours Faithfully

 

FOR J DENNIS

MANAGER

 

The termination notice attatched stated it is issued in accordance with sections 76(1) and 98(1) of the consumer credit act 1974.

 

But.........

Consumer Credit Act 1974

 

Termination of agreements

98 Duty to give notice of termination (non-default cases)

But they have marked my credit report with a default so does this mean thatthis is the devil in the detail?

 

would like to hear from anyone who has, or is going through same thing.

 

S.K

 

[spitting kitten]

bump

[Azazal23]

Hi

 

I jhave had exactly the same problem with Barclays, although they did not include "May we advise these sections of the Consumer Credit Act relate to a "fixed term credit agreement", for example loans."

 

they just said loans. Did you have an overdraft on the account if so beat them around the head with Sec 10 of the CCA

 

10 Running-account credit and fixed-sum credit

 

(1) For the purposes of this Act—

(a) running-account credit is a facility under a personal [consumer] credit agreement whereby the debtor is enabled to receive from time to time (whether in his own person, or by another person) from the creditor or a third party cash, goods and services (or any of them) to an amount or value such that, taking into account payments made by or to the credit of the debtor, the credit limit (if any) is not at any time exceeded; and

(b) fixed-sum credit is any other facility under a personal [consumer] credit agreement whereby the debtor is enabled to receive credit (whether in one amount or by instalments).

 

 

 

(2) In relation to running-account credit, “credit limit” means, as respects any period, the maximum debit balance which, under the credit agreement, is allowed to stand on the account during that period, disregarding any term of the agreement allowing that maximum to be exceeded merely temporarily.

(3) For the purposes of section 8(2) [paragraph (a) of section 16B(1)], running-account credit shall be taken not to exceed the amount specified in that subsection [paragraph] (“the specified amount”) if—

(a) the credit limit does not exceed the specified amount; or

(b) whether or not there is a credit limit, and if there is, notwithstanding that it exceeds the specified amount,—

(i) the debtor is not enabled to draw at any one time an amount which, so far as (having regard to section 9(4)) it represents credit, exceeds the specified amount, or

(ii) the agreement provides that, if the debit balance rises above a given amount (not exceeding the specified amount), the rate of the total charge for credit increases or any other condition favouring the creditor or his associate comes into operation, or

(iii) at the time the agreement is made it is probable, having regard to the terms of the agreement and any other relevant considerations, that the debit balance will not at any time rise above the specified amount.

 

Thats providing you had an overdraft

[Azazal23]

So by virtue of the fact that overdrafts are regulated, you need to be served with a default notice by law. info on these can be found within sections 87-89

 

Some agreements have a clause within s98 which allow a termination without a default (if someone went bankrupt for example), with these you would be served notice 7 days prior to the termination.

 

(thanks to sequenci for the info)

[spitting kitten]

Hi thanks for the reply and yes I did have an overdraft with them. I said to them that an overdraft is a form of credit but that is when they sent me the reply letter from above. I'll let you know what the reply is when I get one.

[Azazal23]

Yeah overdrafts are covered by Sec10 of the act. It think (dont quote me) they are classed as running account credit.

 

Sec 98, usually relates to if somehas gone brankrupt etc....

 

It may be Barclays policy that they do not send default Notices for current accounts, but it seems strange that just abvout every other Bank does.

 

I ve just had my last fob off letter from Barclays with regards to my default think im just gonna file on MCOL