Hi there,
I wonder if you could help me on a point of consumer credit law.
I had always thought that, when a credit account is in dispute, then the debt purchasing company which owned the account was not allowed to pursue the money further, under the terms of the Consumer Credit Act 1974. Also, the debt purchasing company was not allowed to:
Yet my experience has been that, once an account is in dispute (and it is usually because of the DCA’s inability to produce a copy of the original credit agreement in response to my Subject Access Request) that debt purchasing company simply sells the account on to another debt purchasing company (which is against the terms of the third condition bullet-pointed above) and the whole process is repeated again. Surely this is against the law.
Let me give you a specific example of this. I had an old account at Lloyds TSB which fell into arrears and Lloyds TSB sold it to Allied International Credit. I wrote to AIC and asked for a SAR (enclosing my £10 fee) but they were unable to supply me with any original documentation. They merely sold it on to Apex Credit Management. Again I applied to Apex for a SAR (again paying £10) and of course there was no documentation so Apex then sold it on to Cabot Financial. Again I paid my £10 to Cabot and Cabot simply sold it on to Marlin Capital. And so on....
The same thing has happened on more than one such account.
I am sick and tired of sending off £10 every time I request a SAR, especially when I know that no such document can be found. Also, why are the DCAs allowed to get away with passing the account to a third party when it seems that it is against the law for them to do so? They ALL do it!
In fact they all seem to break the law all of the time, and the FCA does nothing about it.
Or am I incorrect in my understanding of the law? Please advise.
Best regards,
Entseo.
I wonder if you could help me on a point of consumer credit law.
I had always thought that, when a credit account is in dispute, then the debt purchasing company which owned the account was not allowed to pursue the money further, under the terms of the Consumer Credit Act 1974. Also, the debt purchasing company was not allowed to:
- Demand any payment on the alleged account;
- Add any further interest or charges to the account;
- Pass this alleged account to any third party;
- Register any information in respect of the alleged account with any of the credit reference agencies;
- Issue a default notice related to the account.
Yet my experience has been that, once an account is in dispute (and it is usually because of the DCA’s inability to produce a copy of the original credit agreement in response to my Subject Access Request) that debt purchasing company simply sells the account on to another debt purchasing company (which is against the terms of the third condition bullet-pointed above) and the whole process is repeated again. Surely this is against the law.
Let me give you a specific example of this. I had an old account at Lloyds TSB which fell into arrears and Lloyds TSB sold it to Allied International Credit. I wrote to AIC and asked for a SAR (enclosing my £10 fee) but they were unable to supply me with any original documentation. They merely sold it on to Apex Credit Management. Again I applied to Apex for a SAR (again paying £10) and of course there was no documentation so Apex then sold it on to Cabot Financial. Again I paid my £10 to Cabot and Cabot simply sold it on to Marlin Capital. And so on....
The same thing has happened on more than one such account.
I am sick and tired of sending off £10 every time I request a SAR, especially when I know that no such document can be found. Also, why are the DCAs allowed to get away with passing the account to a third party when it seems that it is against the law for them to do so? They ALL do it!
In fact they all seem to break the law all of the time, and the FCA does nothing about it.
Or am I incorrect in my understanding of the law? Please advise.
Best regards,
Entseo.
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