while account in Dispute

[lizzy40]

Does anyone know if part of my credit card balance is made up of charges which I'm disputing, do I still need to make monthly payments on the part of balance which is not in dispute or do I need to wait until dispute resolved. I would like to know legally where I stand?

[diskmandave]

If this is an open & running credit card account i'ld strongly suggest keeping up with the normal monthly repayments.

 

If it is that you're reclaiming unlawful penalty charges, carry on down that route but do keep the account up to date else you may end up with an adverse credit rating.

 

If this is with a debt collection agency and already defaulted, if you were to stop payment they (ahem!) shouldn't chase for payment whilst a reasonable dispute is ongoing as per the OFT reg's.

 

You'll need to post more details for more detailed answer though...

 

Regards, Dave.

[lizzy40]

Thank you diskmandave - sorry I am being a bit vag not used to talking about my personal problems to complete strangers, but I was just wondering as I had read on here that when you ask for all statements to begin claim the account goes into dispute and all activity on the account is stoped, including making payments and interest. Does this mean that once you have the fingure of unlawful charges that your going to claim back, the account goes back into normal activity. I was thinking that once the account was in dispute although I'm not disputing whole amount of balance owed the account is put on hold until it is resolved. Is there somewhere on this site were I can read about consumer rights. You wouldn't think I run my own business asking basic questions like this but I'm not think really just not up on consumer rights but I do have to do things Correctly...

 

Also if the account is passed to the FOS do I still make monthly payments?

[tomterm8]

Thank you diskmandave - sorry I am being a bit vag not used to talking about my personal problems to complete strangers, but I was just wondering as I had read on here that when you ask for all statements to begin claim the account goes into dispute and all activity on the account is stoped, including making payments and interest. Does this mean that once you have the fingure of unlawful charges that your going to claim back, the account goes back into normal activity. I was thinking that once the account was in dispute although I'm not disputing whole amount of balance owed the account is put on hold until it is resolved. Is there somewhere on this site were I can read about consumer rights. You wouldn't think I run my own business asking basic questions like this but I'm not think really just not up on consumer rights but I do have to do things Correctly...

 

Also if the account is passed to the FOS do I still make monthly payments?

 

I would suggest that you keep on making monthly payments, if the account is still open (i.e. they haven't defaulted you yet). it will take quite some time to get to court. the act of doing a S.A.R. does not constitute a dispute, although once you have sent your letter before action the matter is in dispute. nevertheless, by failing to mkae payments you would be breaching your agreement and it would make it easier for them to launch a counter claim.

 

If they have defaulted you, i would suggest going down the credit agreement request route.

[diskmandave]

What ^^^^^^^^ he said!

[lizzy40]

Thank you Tomterm8, some things just seem more complicated then they actually are. Does this also apply when the account is in the hands of the Financial Ombudsman Service?

[tomterm8]

Yes.

[maybelline]

I though if you had issued an N1 you were most definately IN DISPUTE and they could not add interest, a default or take any action until it was heard?

[tomterm8]

I though if you had issued an N1 you were most definately IN DISPUTE and they could not add interest, a default or take any action until it was heard?

 

The OFT Debt Collection guidelines are only guidelines, and are not fully legally binding.

 

So they can.

 

You would be entitled to complain to the FoS, and in the case of the default, seek an injunction from the court.

[maybelline]

thanks, I have a hearing listed in a couple of months but will be making some amendments. on mis sold insurance.