Paragon Threatening Default unlawfully?

[whizzkid001]

Got a £20,000 second charge loan with Paragon, payments £235 pm. We are 3 months in arrears and have just received a letter saying to contact them within 7 days and if we do not, they will issue a Default Notice and commence possession proceedings.

 

Ok, so I have just rang them re the default. First, they say that the default notice is already on it's way to us and the only way to cancel it now is to pay at least 2 months arrears by tomorrow (even though the 7 days aren't even up)!

 

When I asked why the default notice had been issued before the expiry of the 7 days given in their last letter, she couldn't say. Worst part was, she also advised us that the default would be immediately registered on our file if we didn't pay by tomorrow. When I informed her that they couldn't do that, that WHEN a Default Noticed is issued (which they haven't even yet), to comply with CCA regs it has to give us the amount and a date to remedy the default and thus cancel it out, before they can go ahead and record the default on our credit file.

 

Excuse me but I always understood a Default Notice should have prescribed terms with a date/amount to remedy before they can register a default. Am I correct on this point?

[car2403]

2 threads merged and duplicate post removed - please stick to one thread per issue