sammy v IGroup (now GE Money)

[sammyjammy]

After a good few days reading everybodies experiences about claiming early redemption penalties back and reading all the info currently available I'm ready to give it a go, I've found all my paperwork and have a breakdown of the charges, what I'm planning on reclaiming is the six month interest fee of £2035 that I was charged when repaying my mortgage 2 years into the 4 yr redemption period. The rate of the mortgage was 2.25% above the bank of england base rate. I don't have a further breakdown is this ok or do I still need to send off S.A.R request?

 

After the four year period the redemption fee would have been 1 month interest, should I deduct one months interest from the total?

 

Grateful for any help.

 

Sam

[zootscoot]

Hi Sam,

 

No don't deduct the one month. If its a penalty its uneneforceable in its entirety and they can not then claim back any actual or legitimate costs to them.

 

You can SAR if you may have any late payment fees otherwise if you have all the documents you need you can go straight for preliminary letter.

 

Good luck

 

Zoot

[sammyjammy]

Thanks Zoot, its great to see you're still here helping us all out after your own successes!! I'm very grateful!

 

No charges just the redemption penalty, will get my letter off today, I'm so scared!!!

 

Sam

[sammyjammy]

Well its gone, I just put a first class stamp on it but thought afterwards should have maybe sent it by recorded delivery, well we'll see, I'm scared I'm going to get a nasty letter back from them now, maybe I don't have the guts for this after all, IGroup are so nasty that I'm not sure they are going to roll over like all other companies, can I really risk having to go to court, would probably just cry when up against them! Someone come and make me feel better!

 

Sam

 

PS Haven't seen anything about claiming 8% interest at moneyclaim stage, do we do this for ERCs?

[sammyjammy]

I feel sick! I assumed I didn't need a SAR because I had paperwork which detailed the ERC but now I'm looking at it again I think the amount was wrong, it says this amount applies if you repay in full by 9/8/05 but the paperwork for my new mortgage went through on 12/9/05 which means I had made another months payment! I'm going to look really silly now when Igroup come back to me.

 

Why do I always rush everything

[dolly]

Do you know what I did? I asked the solicitors who were dealing with the new mortgage for the figures that we paid on completion and it was so easy and with me within a day or so. Maybe you could do that?

[sammyjammy]

Thanks Dolly, thats a good idea, I just guess I will have to put the correct amount in the next letter!

 

Sam

[zootscoot]

The amounts do not matter too much at this stage, as long as you get it right when you actually file your claim you'll be fine. Also all my letters were sent first class. Having seen all the worry other people had been put to when letters were showing up by the PO as not received only to get a reply to the letter, it really didn't seem worth the extra money and worry.

 

All the best

 

Zoot

[Tazz]

Will be watching how you get on with GE Money with interest Sammy - I am just about to start against them..........

 

tazz

[sammyjammy]

Thank the Lord!! I've found the redemption statement from the solicitors that did my new mortgage, its £1928.64, feel relieved now I know the real amount paid, due to send LBA on Monday, no reply to first letter as yet, have to confess am a little relieved!

 

Sam

[sammyjammy]

LBA sent today, don't expect a reply but will give them 14 days anyway.

 

Sam

[sammyjammy]

Hi Guys,

 

I'm just starting to do my claim online ready for Monday! I need some help though, when I had the mortgage the company was IGroup but I'm not sure what name I need to put on Moneyclaim, I've got their registered address but should I put company name IGroup or GE Money Home Lending? Below is from their website, any advice appreciated.

 

"igroup is a provider of 1st mortgages and secured loans. "igroup" is a trading style of GE Money Home Lending Ltd which provides 1st mortgages . Registered office: Malvern House, Croxley Business Park, Watford, Herts WD18 8YF, registered in England - company number 3770763. GE Money Home Lending Limited is authorised and regulated by the Financial Services Authority. "igroup" is also a trading style of GE Money Secured Loans Limited which provides secured loans. Registered office: Malvern House, Croxley business Park, Watford, Herts WD18 8YF. Registered in England - company number 3770763. "

[sammyjammy]

I've included below the particulars for my claim, I'm not very good at this kind of thing and so I've had to try and adapt it fro mthe bank charges template. I've removed the bit that says about sending a schedule of charges because there was just one charge which was detailed in both letters, is that ok? I'd be grateful for any comments changes anyone can make, I'm feeling pretty stupid!

 

 

1. The Claimant had a mortgage A/c ***** with the Defendant from 9th September 2003 to***** 2. On the **** 2005 the Defendant debited a redemption penalty charge of £1928.64 when the mortgage was repaid in full. 3. Defendant is aware of details, as the charge has already been supplied. 4. Claimant contends: (a) The charge exceeds the Defendant's loss; (b) The Term permitting the Defendant to levy such charges is unenforceable under the Unfair Contract Terms in Consumer Contracts Regs 1999, Unfair Contract Terms Act 1977 and at Common Law. 5. Claimant claims: (a) return of the amount debited of £1928.64; (b) Interest per S.69 County Courts Act of 8% - £148.08 continuing at 8% until judgment or settlement at a daily rate of £0.43; 6. Alternatively, if the charge is a fee for a service, then they must be reasonable under S.15 of the Supply of Goods and Services Act 1982. 7. Costs allowed by the Court."

 

Its currently 160 words.

 

Sam

[sammyjammy]

I know nobody has replied yet but I though of something else reading another thread, its usually assumed that you pay the ERC to get out of what is a preferential rate or other benefit, in my case the mortgage was 2.25% above base rate tracker and I paid nearly £2000 in fees to be allowed the mortgage in the first place, there is therefore IMO no loss whatsoever, should I try and word this in the claim particulars or leave it for the hearing if I'm unlucky enough to get one?

 

Thanks again

 

Sam

[zootscoot]

Best to leave that to the hearing. You are very limited in the amount you can include in the particulars.

 

Also best to leave out s.15 SGSA as this only applies where no price was agreed at the time the contract was entered. With ERCs you are generally made aware of the level of charge before you sign.

 

Also make it clear that the charge was levied for your breach of contract.

 

Best of luck

 

Zoot

[gizmo111]

I've included below the particulars for my claim, I'm not very good at this kind of thing and so I've had to try and adapt it fro mthe bank charges template. I've removed the bit that says about sending a schedule of charges because there was just one charge which was detailed in both letters, is that ok? I'd be grateful for any comments changes anyone can make, I'm feeling pretty stupid!

 

 

1. The Claimant had a mortgage A/c no with the Defendant from 9th September 2003 to***** 2. On the **** 2005 the Defendant debited a redemption penalty charge of £1928.64 when the mortgage was repaid in full. 3. Defendant is aware of details, as the charge has already been supplied. 4. Claimant contends: (a) The charge exceeds the Defendant's loss; (b) The Term permitting the Defendant to levy such charges is unenforceable under the Unfair Contract Terms in Consumer Contracts Regs 1999, Unfair Contract Terms Act 1977 and at Common Law. 5. Claimant claims: (a) return of the amount debited of £1928.64; (b) Interest per S.69 County Courts Act of 8% - £148.08 continuing at 8% until judgment or settlement at a daily rate of £0.43; 6. Alternatively, if the charge is a fee for a service, then they must be reasonable under S.15 of the Supply of Goods and Services Act 1982. 7. Costs allowed by the Court."

 

Its currently 160 words.

 

Sam

 

sammy you may like to take your account no out of here

[zootscoot]

and Gizzmo you might like to take it out of your post too!

[gizmo111]

and Gizzmo you might like to take it out of your post too!

 

Doh!

[sammyjammy]

I'm really struggling with these claim particulars, does anyone else have any more suggestions, I'm rubbish at putting things down in writing

 

Sam

[gizmo111]

I'm really struggling with these claim particulars, does anyone else have any more suggestions, I'm rubbish at putting things down in writing

 

Sam

 

This is what zoot used for her halifax one - I used similar for SPML, but did it on N1 and padded it out a bit -Good Luck

 

I am claiming the return of money taken by the defendant in the way of a redemption penalty charge in Feb 06 on account no xxxx. This charge relates to my breach of contract in that I terminated the contract before the agreed period. The defendant's charge for our breach is a disproportionate penalty and therefore unenforceable as it is contrary to common law as established in Dunlop Pneumatic Tyre Co Ltd v New Garage and Motor Co Ltd [1915] AC 79. Further, as a disproportionate penalty it is invalid under the Unfair (Contracts) Terms Act 1977 s.4 and under the Unfair Terms in Consumer Contracts Regulations 1999. Para.8 and sch.2(1)(e). I have repeatedly asked the defendant to justify their charges but they have declined to do so.

[paddym]

Sammyjammy if you click on the link in zoots thread all the letters she has created and have been used by us are in those threads they are excellent and will do the trick for you !

[sammyjammy]

Thanks Paddy!

[sammyjammy]

Thanks for the help guys, its all ready and I'm quite excited now but I'm going to have to wait a couple of weeks before I can say goodbye to £120 without being in dire straits!

 

Sam

[paddym]

good luck sam youll get there eventually we are all in the same boat !

[sammyjammy]

I've decided not to delay any further, I'm going to put my moneyclaim in today and put it on the credit card! I've looked through all the FAQs and everything but can't find the answer I'm looking for, what I want to know is when I put the claim in do I have to do anything else like sending paperwork to the court? Is it just a case of waiting for IGroup to acknowledge/defend the claim, there doesn't seem to be a detailed list of what happens at that stage unless I'm missing it, thanks gus.

 

Sam