no credit agreement

[takeitalltheway]

I applied for a credit card over the phone and was more or less bullied into taking ppi. I have written to the company asking for refund of premiums paid and have cancelled the insurance. They have written back and stating not mis-sold and assured me the advisor would have followed the correct procedures giving me the relevant information. They provided me with a copy of a letter they sent me afterwards stating that my application has been accepted but they don't have a copy of my credit agreement. THis is because they never sent me one and I never signed anything. I have written again asking for my agreement and a copy of the telephone call. This was 2 weeks ago and have not heard back from them yet even though I gave them 14 days to respond. My question is where do I stand on the fact that there is no properly executed Credit Agreement?

[Lula]

If there is no properly executed credit agreement, the debt is not enforcable. do you have statement? can you work out how much you have paid in PPI? Would the PPI have covered you should something have happened?

[takeitalltheway]

I do have statements and I've been paying roughly £35 a month for the last year. I have had treatment for a back injury a few years ago and also had a few other medical problems for which I have had treatment, so in the case of illness it probably wouldn't have covered me. Also, I am employed by a local authority so am paid in full for 6 months and then 6 months half pay if I am unable to work through sickness. My employer also provides disability and death cover. So I really didn't need the ppi. If they don't have a credit agreement and it's unenforceable what does this mean?

[Lula]

It sounds like you may have been mis sold the ppi insurance, you need to count up how much you have paid and you should be able to claim it back.

 

If the credit agreement is unenforcable that means that the company have no rights to collect the debt, and even a court cannot enforce payment, for the moment however, I would concentrate on reclaiming the PPI, I have no experience of this so I would have a trawl through the threads and see how other people have done it and then ask any relevant questions.

 

Good Luck

[takeitalltheway]

that's great thanks Lula.

[takeitalltheway]

I have received a reply from Halifax - again they deny any mis-selling but state they have been unable to retrieve a copy of my credit agreement. From what I've read here this means the debt is unenforceable. Do I write to them to tell them that it's unenforceable and that I am stopping payment until they produce the credit agreement? Has anyone done this? I don't really want to end up court. I don't have the best credit history in the world so would prefer not to make it any worse. If anyone can help I would be most grateful.

[takeitalltheway]

Halifax are still saying they can't 'locate' the credit agreement. That's because there is one. I agreed the arrangement over the phone and they bothered to send me anything to sign. They are still refusing to pay back the ppi. What do I do now??

[takeitalltheway]

Anyone? Should I write to the Halifax informing them that I am stopping payment until they produce a credit agreemnt?

[Sparklez30]

If you stop payment they will still continue to chase you (although with bo agreement they can't take you to court) but they will default you and mark it against your credit record.

 

The choice of course is yours but if your credit record is clear it may not be the best option!

[takeitalltheway]

maybe I should take the complaint to the FOS and continue payment until then but if they don't have a credit agreement are they allowed to register a default? If they have no CCA signed by me I didn't think they were allowed to process my data.

[Sparklez30]

I have read loads of instances around here where they carry on regardless and I haven't read one where when they didn't have the CCA they stopped processing the data

 

I don't know the legal arguments for or against I'm affraid.