Advice needed on Argos card agents Moorcroft.

[count orlok]

why don't these people ever take you to court? If they did life would be a lot easier. i rekon i could pay off the 30 ood quid arrears in a couple years on the courts sayso.

[AA99]

I'm in a very similar situation. Have a letter from Argos dated October 09 accepting £5 p.m. I have set up and paid by Standing Order ever since. Got a letter from Moorcrofts today, BIG RED CAPITALS

Notice of Intended Litigation. Please note that as we have had to resort to sending this letter and as per the terms and conditions of your agreement with our client, we have been instructed by them to add £12 to the above balance.

 

I just don't feel I have the time or energy to spend on this paltry balance but feel they should be reported under Unfair collections practice! What's the law I can quote?

[count orlok]

BC+W have closed the account and returned it to their clients. Wonder who will be next?

[AA99]

Isn't it tedious?! They cut off their own noses to spite their faces:mad:

[count orlok]

Just got another letter, this time from JB Debt Recovery. Not heard of them before. Again they are using yet another name for the owners of this aleged debt.

 

Just checked out their web site, I see that they have a stratergy particularly suitable for collecting writen off debt such as statute barred! Should I be worried?

[j_semple]

Just got another letter, this time from JB Debt Recovery. Not heard of them before. Again they are using yet another name for the owners of this aleged debt.

 

Just checked out their web site, I see that they have a stratergy particularly suitable for collecting writen off debt such as statute barred! Should I be worried?

 

I'm dealing with them too. What letters have they sent you so far?

[count orlok]

I'm dealing with them too. What letters have they sent you so far?

 

JB or Moorcroft?

[j_semple]

JB or Moorcroft?

 

JB. I already recieved the URGENT letter from which I was told to ignore because I already raised a dispute with them

[count orlok]

The usual rubish with a different account number and a made up balance. As I am making token payments to Argos, I am not realy sure what they are on about, and ask them such.

[j_semple]

Ah right OK. If you get anything more lemme know. The slight difference with me is? I ain't intending to make any sort of token payments to the company. Not after all the false accusations that they gave me and their pretty rude unhelpful attitude regarding me to be honest.

[count orlok]

Another letter from JBDR. No threats just asking me to phone them about a sum of money I have no knowledge of. No mention of who it is for (other than their client's) or what it is about. Not even sure if it is worth answeribg this one.

[AA99]

Gosh! Nearly a year since I posted!!!! Have continued to pay Argos £1 p.m. as they agreed and accepted and I must receive at least 2 letters a week from all the various DCA's (can't even remember who) threatening me with this one! Think I may just stop paying anything at all just now

[pelham9]

Current APR on purchases 27.9%

interest charges at 27.9% per annum

 

I was under the impression that they should be different?

 

 

 

Curiously the fact that the APR quoted is the same as the annnual rate can mean that they are being totally honest see a) below . However it is very common that the the eqivalence is covering a small APR S.cam see c) below

 

They say that they will calculate interest daily and add interest at the end of each month. As the interest is applied monthly it is being compounded monthly so a monthly rate of interest must be calculated from the annual rate.

 

Three ways of doing this are possible.

 

a) Use a compound calculation method.

 

For 27.9% the monthly rate will be ((1+27.9/100)^1/12 -1)*100 = 2.0718....%. Reversing this calculation to get the APR will give 27.9%APR The monthly rate is therefor honest.

 

b) Divide the annual rate by 12.

 

27.9/12 = 2.325% monthly. This is considerably higher than in a) and is totally dishonesst. It is known as the simple interest S.cam - the APR is in this case 31.759...% - wow!.

 

c) The APR S.cam The APR can legally be rounded to one decimal place. So an annual rate of 27.9499... can be shown as 27.9% APR. They actually charge an unlawful 27.9499... % but fob you off by pointing to the correct APR. When they do this they usually show only the monthly rate and APR and not the annual rate.

 

The monthly rate derived from 27.9499....% per annum is 2.0754..... This is not much more than the honest a) but it pays their bonuses!!

 

NB. The above only applies for loans where the only charge is interest as here. If there are other charges the the APR will be considerably more than the annual rate.

 

The APR is not the annual rate.