Please help me deal with Opus

[meursault22]

Hi, tried to make my regular monthly credit card payment yesterday only to find that it's been taken over by a company called Opus. Apparently my card number is no longer valid, and they say I should have received notification etc... but I've received nothing. After quite a few phonecalls, I also found out that the interest rate has increased by over 20% up to 38.1%. I am not in default and have never been late on a payment. Can they really increase the rate like this on an existing balance? Can I challenge it?

[rebel11]

Hi meursault

 

Yes it can be challenged, http://www.moneysavingexpert.com/reclaim/credit-card-interest-rate-increases

Let us know how you get on.

 

 

Hi, tried to make my regular monthly credit card payment yesterday only to find that it's been taken over by a company called Opus. Apparently my card number is no longer valid, and they say I should have received notification etc... but I've received nothing. After quite a few phonecalls, I also found out that the interest rate has increased by over 20% up to 38.1%. I am not in default and have never been late on a payment. Can they really increase the rate like this on an existing balance? Can I challenge it?

[meursault22]

Thanks! I'll keep you posted.

[meursault22]

I have had a Citi card for a number of years and have never been late with a payment. At the end of Last November I tried to make my payment as usual over the phone to be met by a message saying that all enquiries should be directed to Opus. I phoned the Opus number and was told I'd have to pay a late fee and to make matters worse, in the statement that arrived a couple of weeks later, the interest rate had risen from 17.5% to over 38% for some of the balance and over 48% for the rest of it. I phoned again and was told that they were just estimated rates and not to take any notice but just keep paying. It isn't so long since the rate went up from 14% and since the current base rate is 0.5% is seems unreasonable to increase them by so much.

So I wrote by registered post asking that following the December 2008 UK Cards Association Statement of Principles on Repriceing, that my account be closed and the balance repaid at the old rate.

I received no reply, so after three weeks I wrote again, by registered post again and enclosing a copy of my previous letter. Having received no reply after another month, but just a threatening letter stating that unless the whole amount was cleared my account would be handed to debt collectors, I wrote again and again my letter was ignored, so I wrote offering a full and final settlement and enclosing copies of statements showing the old interest rate. Finally a reply arrived to this letter stating that they would not accept my offer or anything that did not include the interest that had been added since I had first written (around £1400).

I wrote enclosing £1 and asked for a true copy of the credit agreement and they replied with the letter backdated two weeks before the postmark, enclosing their current interest rate and terms and conditions, suggesting that the rate had not risen and quoting Regulation 3(2)(b)(ii) of Consumer Credit Regulations 1983 saying that is all they are required to provide.

 

What is the best way forward from here? All I want is to not be trapped into paying their new extortionate rate of interest and to not have to pay the interest they have added during the time it has taken for them to address my request. I have been a good customer, and now Opus have taken over they seem intent on screwing me over. I have had to write seven letters before getting any reply from Opus.

[the_shadow]

Hmm once they received your letter asking for the account to be closed and the interest to be frozen they should have actioned this..

 

Hmm this is one of those cases where the regulator should be quick and speedy in resolving it, alas this is not the case and the FOS who are overworked and understaffed may not resolve this in a timely fashion. Also unless you keep up the larger repayments you will be likely passed to a DCA.

 

Before going down FOS or even legal route I would try a letter of formal complaint detailing everything and advising you have copied of all correspondence. Also advise them NOT to pass this account onto a DCA until the complaint has been resolved and advise you will be advising the relevant bodies FOS/OFT about the treatment and non compliance with their own guidelines as well as the relevant credit regulations.

 

S.

[meursault22]

Thanks, I'll give it a go.

[the_shadow]

Hi, any response from Opus? They should have acknowledged a formal complaint asap after receiving it.

[meursault22]

No reply or acknowledgement to my complaint but they sent me a statement including over £1500 interest at the increased rate for the time it's taken for them to reply to my first letter. I did however receive a response declining my full and final payment offer of the full amount of the account at the time they took over, not including their interest. It seems they're determined to get their incredibly high interest. Btw they still have not addressed my request to close the account and pay off the balance at the old rate.

Unfortunately, this huge increase in interest has made the loan unaffordable to me.

 

Sorry I realized that I already mentioned the letter declining my offer in the original post.

Edited June 25, 2011 by meursault22

[the_shadow]

Hmm I have heard there customer relations lead a lot to be desired... once 8 weeks are up you can make a complaint to the FOS about them and the lack of a response to an official complaint is not going to look good to them. I presume you sent Recorded delivery and have the proof of receipt etc etc

 

As to their interest, its not good to see it on a statement but you have evidence of letters asking them to halt the interest rise and close the account, its their mistake in not performing this, not yours. I cant see how they can think they'll get away with this to be honest.

 

S.

[The abused]

I have had problems with CITI and now opus, It took them nearly 3 months to reply. I hope you get a more speedy response than I did. Basically they told me they could find nothing that supported my arguement and closed the case. Me thinks you wont get much help via their complaints department either. I dont see how they can justify a rate hike to 48%. To me this is criminal, I thought mine was bad when they hiked it from 5.85 to now 41%. I am going down the FSO route and it is taking me ages in draughting a clear and concise letter. The reply (OPUS) I had from them not having or being able to produce a copy of my CCA was it was a different specialist matter and not within the consraints of my letter.

 

Not sure how old your account is. Mine started in 1999 with Associates. and if yours is from around this time I think they will be in extremel difficulty processing you a CCA. I remember requesting a subject access request from citi over the phone to be told my account started in 1999. I had an Associates card when I moved into my present address and that was March november1997 so I dont think think the data they hold is all that accurate.

 

I would say if you get financial difficulties write them a hardship letter and offer them a couple of pounds a month or, as I have done continue paying the higher rate until you have exhausted all reasonable means of settling and then have no option but to go to court, Make sure you keep all correspondence. CCAM/OPUS are not easy to deal with.There is another option and that is to pay them nothing as they cannot take you to court without a valid CCA. Thing is with that it will screw your credit rating.

[The abused]

Just a couple of question comes to mind. Did you ever recieve any correspondence from CITI informing you that your account had been sold on ie to CCAM /OPUS. In addition did you recieve a new card from OPUS and sign for it. I still got mine unsigned and unused. Unless you paid by direct debit or statement slip paying into bank you would have had difficulty in making payment by due by date as OPUS could not be contacted by phone until just before my payment due date, When was your payment due date in November as from memory The OPUS tel number could not be used until the 7th November which I believe was a Sunday, You are in a similar situation as myself in that the way they have applied charges and adjusted (to their benefit) the interest rates are wholly unfair and I am sure if they went to court they would have to justify this.

 

Regards

[meursault22]

No, I didn't receive a new card (still haven't) and no notification from Citi at all. I just phoned to make my regular payment and was met with a message saying the Citi office was now closed and all enquires should be directed to Opus.

Opus have still not replied to my formal complaint, nor my request to close the account and repay at the old rate, and now they have passed my account to a DCA!

Is it now time for court? And yes, I've sent all correspondence recorded and kept copies/receipts.

[The abused]

Hi m22. Have you recieved correspondence from opus yet. I have had a letter informing me that my agreement will be between myself and Progressive credit Ltd under license from CCAM.

[Brian2009]

I got the same letter today. Wonder if the interest rate will go up again?!!