Default for account fees nationwide

[FORMISTER]

Hi guys,

 

Seems ages since I have been on here, been very busy over the past 12 months.

 

Need to ask some advice that I probably could of answered myself a year or so ago, but cannot remember.

 

A friend of mine has a default for Nationwide (I believe) but the balance is completely made up of charges.

 

For what I understand their was no credit facilities and she stoped using the account. However a month after she ceased to use it a fee for a returned DD was applied, then fees for unauthorised OD etc.

 

Now the balance is approx £350

 

Can she be defaulted for a balance made up entirely of charges?

 

Thanks

[caro]

I think she could, but if it was me I'd be right on to them about the disproportionate amount of charges for one returned DD. Better to try and fend off any default because it'll be mighty difficult to get it removed.

 

Was the DD cancelled? If so the direct debit guarantee could be used to sort this.

 

For info this happened to me with Alliance and Leicester, and I started to pay them off, but every month they added a ridiculous amount so I stopped paying and haven't heard a word since. This was nearly 3 years ago. Haven't checked my credit record, but I have had credit since.

[FORMISTER]

I believe the DD was cancelled after it bounced, the charge applied to the account a month later when the balance was zero

 

For what I understand she opened another account to stop PayDay companies from raiding it.

[rdm2006]

This may help you RBS Win

 

worth a try anyway and remember bcobs doesnt allow for charges to create more charges

[FORMISTER]

Cheers, thanks for your advice

[Andyorch]

Was your friend issued with a Notice served under Sections 76(1) and 98(1) of the Consumer Credit Act1974?

 

Regards

 

Andy

[FORMISTER]

I've asked her for any default notice or intention to default so I can examine them to see if they comply. Failing her finding them I will give her the appropriate letter to request them from Nationwide.

 

I believe she is receiving the usual threatograms from our friend Bryan Carter at the moment

[BRIGADIER2JCS]

ICO guidance states that it is unfair to place a default if the default balance

is made up of charges without which the account would not be defaulted.

A formal complaint to the Data Controller of the Bank.

[FORMISTER]

Thanks Brigadier