Moneydownthedrain v MBNA

Moneydownthedrain · June 10, 2006

Hi, I'm new to this site and I hope that I'm doing this correctly, but I desperately need some some advice. Since March our finances have been in the hands of CAB and all creditors except MBNA have accepted the amounts allocated by the CAB. Although regular payments of the agreed amounts have been sent to MBNA, since March their bills have increased by £514 and £697 respectively on each card, due to £25 late payment fee & mega interest monthly and now £25 over limit charge. We also receive daily telephone calls to our home, mobiles and work which are quietly threatening. Also loads of letters, to which I replied to each and every one repeating the circumstances. Yesterday we received a very threatening 'Intention to commence legal proceedings' which stated 'may result in County Court Judgment, Attachment of Earnings and Bailiff with a Warrant of Execution'. I have spoken to the Debt Management team - who said they would stop additional interest of the account if I would increase the payments by an extra £60 but they wont refund the above amounts. We are on a budget plan and every penny is allocated. Is there anything we can do to stop these additional charges? Any advice would be welcome, the CAB due to funding problems have closed the case. Help!!

Moneydownthedrain

callumsgran · June 10, 2006

hi, i relly wish i could help, you sound so desperate! personally i would let them take you to court, i think i'm right in saying as long as you are paying the agreed amounts on time they wont win. as long as you can show the court that you have and are willing to pay something they will throw it out! of course i'm not an expert but i do think you are doing the right thing. hope this helps? i'm sure someone on here will help you out with advice. keep your chin up:)

Sev · June 10, 2006

Hi, I'm new to this site and I hope that I'm doing this correctly, but I desperately need some some advice. Since March our finances have been in the hands of CAB and all creditors except MBNA have accepted the amounts allocated by the CAB. Although regular payments of the agreed amounts have been sent to MBNA, since March their bills have increased by £514 and £697 respectively on each card, due to £25 late payment fee & mega interest monthly and now £25 over limit charge. We also receive daily telephone calls to our home, mobiles and work which are quietly threatening. Also loads of letters, to which I replied to each and every one repeating the circumstances. Yesterday we received a very threatening 'Intention to commence legal proceedings' which stated 'may result in County Court Judgment, Attachment of Earnings and Bailiff with a Warrant of Execution'. I have spoken to the Debt Management team - who said they would stop additional interest of the account if I would increase the payments by an extra £60 but they wont refund the above amounts. We are on a budget plan and every penny is allocated. Is there anything we can do to stop these additional charges? Any advice would be welcome, the CAB due to funding problems have closed the case. Help!!
Moneydownthedrain

Hi,

I do feel for you, as I know what you're going through.

Do yourself a big favour and go onto http://www.nationaldebtline.co.uk

Download the self help pack and give them a call asap - it'll take time to get through.

Firstly, be aware of this:

THEY ARE TRYING TO WEAR YOU DOWN, MENTALLY and also your dignity.

The telephone calls probably come from a company called Global Vantedge, or GVI as they like to be called. These are filth from the pit of new delhi - and they all read from the same script.

Am I right in thinking that you probably get 3 - 4 calls a day from these people, and they call from 8am through to 9pm. Before you speak to them always ask for their 'login ID'. Also when they call ask for the address of their HQ or UK base of operations. If you haven't recieved a letter from GVI telling you that they are taking care of your debt, then tell them also that you don't know who they are.

You could also ask if the debt has been sold on to them, if yes (it wouldn't have) tell them that you want an official letter in writing from MBNA saying that they will have no further communication as the debt is no longer with them.

Also you are within your rights to ask that they only contact you by post. If you notify them of this intention, and they still call you, then a letter to the OFT is in order.

The debtline pack is also full of sample letters that you can modify to send on. Don't ever be scared of a CCJ, a judge will look favourably upon you as you have made every effort to pay.- you have shown a willingness to pay.

Companies like MBNA really don't want to go to a ccj, it's a bit like going down the bankruptcy or IVA route, the minute it goes in front of a judge, it all gets taken out of their hands.

They prey on the stigma of having a poor credit rating and court judgments to scare you. As for bailifs, only a court can order a warrent of execution for a bailiff, and again, if it's gone this far, it's out of their hands anyway.

What i'm trying to say is that you shouldn't worry - there is very little that can be done, that is why despite all the letters saying that you're going to the cleaners in a fortnight, they keep coming for months afterwards.

MBNA are financial paedophiles collecting because you don't want their sweets anymore.

It would also be worth ringing them, one evening, and saying that you want to update them of new contact numbers - get a pay as you go sim card and give them the number for that. - they never leave messages.

Also ask what number they have for work and say it's the wrong number as you are moving offices or location, and that the mobile is the only number to get you on. If they won't have it, just give a cobblers number out of the yellow pages.

But do give debt line or payplan a ring - payplan can try and set up a dmp (debt management plan) or an IVA, but more importantly they'll give you peaceof mind. I called them before christmas, and I wish i'd have done it a year ago.

If you need any support or advice, feel free to PM or post.

Also if you can, try and tell them if they call in the day to call in the evening, and record the conversations - these are admisible in court, and i'm sure that once you have enough of them, if it did go to court or you wished to sue them for harrasment and distress they would make excellent listening.

Hope this puts some of your fears at bay. just keep paying what you can. As long as you pay something, there is always the papertrail to say that you have tried everything possible.

angry cat · June 10, 2006

Hi Moneydownthedrain !

I am so sorry to hear about you situation:(

but if you want help and advice....

post your question under your own BAG ID, rather than on Sev's "Devious ****"-

Think of a title, post your question again and then you will receive more responses and GOOD advice.

You are entitled to claim back the Unlawful penalties that have been applied to your account and if you are on a low income and in receipt of working tax credits etc., then issuing a county court claim would cost you very little or nothing.

Read the FAQ's and then post your question again.

Kind thoughts

angry cat

Sev · June 10, 2006

Angry Cat is right,

you may actually find that it is a lot less than the £25 you're paying at the moment, and also the Judge will force interest and charges to stop, together with contact.

http://www.nationaldebtline.co.uk/england_wales/index.php

very very helpfull.

Bookworm · June 10, 2006

.

POSTS MOVED, NEW THREAD STARTED, PLS USE THIS TO POST YOUR QUESTIONS AND UPDATES, RATHER THEN POSTIGN IN SOMEONE ELSE'S THREAD. THANK YOU.

.

Moneydownthedrain · June 10, 2006

Sorry Sev,

I didn't mean to hi-jack your threads.

Moneydownthedrain

Moneydownthedrain · June 10, 2006

Sorry, its all new to me, I did not mean to hi jack anyone threads.

Moneydownthedrain

angry cat · June 11, 2006

Don't worry Moneydownthedrain!

Now that you have got your own thread, you can keep us all posted on your progress and I see that you have already had excellent advice from Sev.

make sure that you phone national debtline on monday, they are extremely helpful.

Kind thoughts

angry cat

silverbird_9t9 · June 11, 2006

Hi Moneydownthedrain,

I have a DMP running through Payplan and MBNA are one of my creditors. I can't recommend Payplan highly enough. They will handle all the contact for you if that is what you want. Also, as soon as I involved Payplan ALL interest and ALL penalty charges stopped.

It must feel horrible for you right now but it will get better.

http://www.payplan.co.uk

Sharon

Moneydownthedrain · June 11, 2006

Hi Sharon,

Thanks for the advice, I certainly will contact them tomorrow. I have a financial statement arranged by the local CAB and just going to them took a lot of courage (admitting that you are drowning in debt!) but I felt tonnes better afterwards, only to be told six weeks down the line that they were closing the account due to lack of funding, I felt sick. My god! I was on my own with the creditors braying for blood. As I have said over the weeks most creditors accepted grudgingly and some have stopped the interest but not MBNA. And then I heard on the televison about this forum. Thank GOD. I will keep you inform.

Thanks to everyone.

moneydownthedrain

Sev · June 11, 2006

Good Girl,

Call PayPlan and debtline. they are an absolute godsend and put everything in perspective for you. Keep us informed, and don't feel afraid to ask questions.

We've all been there, are there, or about to go there!

c-Ya

angry cat · June 11, 2006

Hi Moneydownthedrain

Just remember that you are not alone!

MBNA are the worst but they will eventually 'Cave In'....You just need to be aware, that once you have contacted National Debtline or Payplan, you will then have the correct advice on how to deal with the matter.

The OFT has a 'Code of Guidance' on how firm's should treat debtors and MBNA has to adhere to this Code.

Have a good night's sleep and forget about MBNA until the morning, when you make your phone call to one of the debt advice lines.

I have had three years of torment from MBNA, therefore I know exactly what you are going through....!

When the going get's tough, the tough get going.....

Kind thought to you:)

angry cat

Moneydownthedrain · June 11, 2006

Hi,

Thank you everyone for your kind words and encouragement, I will post a reply and keep you all informed.

Moneydownthedrain -

TaylorMade · June 11, 2006

This is my 1st time into this site (newly registered ), and I have to agree with yourself and Sev that of all my 'problems' in the past MBNA was the worst and the nastiest. :evil:

Once I know a bit more (and find out where to start reading the site) I'll be starting a couple of threads of my own and you can hear the full (sad) story.

Good luck with what you're doing, and I hope I find my feet quick enough - the 6-year rule is aleady chopping off access to the charges against me.

Moneydownthedrain · June 12, 2006

Hi Taylormade,

Welcome, I've only been registered a few days my self and I'm still finding my way around but helpful advice and support offered by everyone, is worth its weight in GOLD.

I'm off to write to MBNA again asking for a refund of £1000 plus charges since March.

Moneydownthedrain

clayts · June 12, 2006

I can sympathise entirely with your experience of dealing with MBNA. I am also on a debt management plan (via the excellent and free CCCS) and like yourself found this bank to be the most obnoxious, uncaring and downright sneaky organisation I have ever had the misfortune to deal with.

The one thing I did stipulate with them right from the off was that I would only deal with them via written correspondence - about the only request of mine they did stick to. The account has been passed backwards and forwards between MBNA and various dubious debt collection agencies, all of whom gave up when I informed them I was on a DMP with CCCS.

They pull some very dodgy stunts - sending you pretty postcards informing you they will telephone you during the week, sending dodgy Telemessages and (prior to my written correspondence only request) telephoning me at work pretending to be a mate....

This organisation refused point blank to stop interest charges, and for 10 months after the debt management plan continued to charge me £50 per month for late payments/overlimit fees, as well as extortionate interest.

In the end, I snapped and rang them. I was highly fortunate to get to speak to someone who was actually sympathetic to my cause and she eventually froze the interest and charges on my account. They then passed the debt to yet another collection agency.

Their tactics are borderline harrassing (do a search for the word harrassment on this forum), and you should be aware there are plenty of laws in place to protect the consumer from devious actions such as these.

Nothing will give me greater pleasure than taking these uncaring numpties to court. I have not yet commenced action against them (I am starting with the equally obnoxious Halifax, a former employer back in the day when they were aq caring building society, not a money grabbing bunch of capitalist pigs).

Anyroad - upshot is, follow the advice from folks above : Payplan, CCCS, CAB and National Debt Helpline know all about MBNA. Don't lose heart, and don't let the b-words drag you down : their computerised standard letters are a joke and are worthy of the treatment I gave them : nothing...

TaylorMade · June 12, 2006

Hi Taylormade,
Welcome, I've only been registered a few days my self and I'm still finding my way around ......

It looks like we're starting from about the same point - it'll be interesting to see how each other are doing (although I'm probably going to start with HSBC). I just noticed - you're local. First one to a repayment buys the other a pint of their choice (Pepsi for my I'm afraid)

Moneydownthedrain · June 12, 2006

Hi again,

You're on, but you will have to add vodka to mine after this. I've just spent the last hour writing a letter to MBNA, I would appreciate any comments before I post it.

Here goes:

Attention: of the Debt Management Team,

Dear Sir/Madam

With reference to a telephone conversation with your advisor Anthony on 8th June, regarding your letter ‘Intention to commence legal proceedings’ received on the same date.

I again repeated our financial circumstances and our compliance with arrangements made by the CAB that regular payments of £49.40 against the above account ending in 2441 and £36.26 against account ending in 6859 have been made and the first payment was made on the 16th March and has been paid regularly since that date.

I express concern that your company was still charging late payment fees of £25 each month, mega interest and now over limit fees of £25, and the fact that your bills have increased by £514.53 and £697.77 respectively since March. Anthony agreed to freeze all charges on both cards from that date but refused to refund the above charges.

After taking advice, I am officially again asking you to refund all charges levied against the above cards over the last six years up to and including the above amounts. I now understand that the regime of fees which your company applied to our accounts in relation to late payments and other charges were unlawful at Common Law, Statute and recent Consumer regulations.

If you wish to dispute that fact, could you please send me a full breakdown of the costs accrued by your company as a result of our breaches, this would greatly reassure me that your penalties really do reflect your costs.

Also, I would like to draw your attention to the report issued by OFT on the 5th April 2006 in which it confirmed that your particularly high level of penalties are considered to be unfair and are therefore presumed to be unlawful in the absence of specific proof to the contrary.

Anthony also requested that we increase the CAB agreed payments to £88 and £65 respectively to bring the payments in line with your 8% rule. This unfortunately, we can not do as all available income has been allocated fairly between all creditors. I am sure if your company refunded all charges levied against these accounts over the years, the payments offered and made would comply well within your 8% ruling.

I would like a response in writing with in 14 days accepting unconditionally my request in principle.

We also wish to inform you that all other creditors have accepted the amounts allocated to them by the Citizens Advice Bureau. We would also appreciate your company’s acceptance and refund of charges.

Yours Faithfully etc., End

What do you think?, is it OK or does it need any adjustments. ALL COMMENTS WELCOME.

Moneydownthedrain

Moneydownthedrain · June 13, 2006

Hi All,

One hour and a vodka & coke later.

Here goes:

Attention: of the Debt Management Team,

Dear Sir/Madam

With reference to a telephone conversation with your advisor Anthony on 8th June, regarding your letter ‘Intention to commence legal proceedings’ received on the same date.

I again repeated our financial circumstances and our compliance with arrangements made by the CAB that regular payments of £49.40 against the above account ending in 2441 and £36.26 against account ending in 6859 have been made and the first payment was made on the 16th March and has been paid regularly since that date.

I express concern that your company was still charging late payment fees of £25 each month, extortionate interest and now over limit fees of £25, and the fact that your bills have increased by £514.53 and £697.77 respectively since March. Anthony agreed to freeze all charges on both cards from that date but refused to refund the above charges.

After taking advice, I am officially again asking you to refund all charges levied against the above cards over the last six years up to and including the above amounts. I now understand that the regime of fees which your company applied to our accounts in relation to late payments and other charges were unlawful at Common Law, Statute and recent Consumer regulations.

Also, I would like to draw your attention to the report issued by OFT on the 5th April 2006 in which it confirmed that your particularly high level of penalties are considered to be unfair and are therefore presumed to be unlawful in the absence of specific proof to the contrary.

Anthony also requested that we increase the CAB agreed payments to £88 and £65 respectively to bring the payments in line with your 8% rule. This unfortunately, we can not do as all available income has been allocated fairly between all creditors. I am sure if your company refunded all charges levied against these accounts over the years, the payments offered and made would comply well within your 8% ruling.

I would like a response in writing with in 14 days accepting unconditionally my request in principle.

We also wish to inform you that all other creditors have accepted the amounts allocated to them by the Citizens Advice Bureau. We would also appreciate your company’s acceptance and refund of charges.

Yours Faithfully etc., End

What do you think?, is it OK or does it need any adjustments. ALL COMMENTS WELCOME.

Moneydownthedrain

MODERATED threads joined .Please keep to the one thread when updating

Moneydownthedrain · June 14, 2006

Letter to DMT MBNA - Does this sound OK - All comments welcome Hi everyone, I posted this thread on Sunday, after taking everyones advice but I must have done some thing wrong because I have no responses, so I thought I would try again..

:p