MBNA Charges as a result of PPI inflating balance***Success Claim Won ***

[Guest alan703]

Hello,

 

I have just pursued a PPI claim with MBNA, which has been admitted as mis-sold, but the value is in dispute.

 

I would like to file for a refund of charges and interest in restitution, due to the claims being mistakenly taken as a result of mis-sold PPI being applied to the account. So I hope the link below stands on my side?

 

http://www.legislation.gov.uk/ukpga/1980/58/section/32

 

As the value of my PPI claim is in dispute, I am using their calculations to work out that when I was charged a

 

1. LATE FEE - I would have had a balance of ZERO, so no payment would have been due in the first place.

2. OVERLIMIT FEE - My account would have remained within it's credit limit had PPI not been applied.

 

Should I include something to this effect in my letter, or just fire of a standard letter.

Alan703 MBNA Charges Claim.xls

[ims21]

It is an added point but all of the late fees and over limit fees are unlawful anyway.

 

Post #31 here has a good preliminary letter to send and you can add your points about the PPI as well.

 

S32(1)© is the bit you will rely on.

[Guest alan703]

It is an added point but all of the late fees and over limit fees are unlawful anyway.

 

Post #31 here has a good preliminary letter to send and you can add your points about the PPI as well.

 

S32(1)© is the bit you will rely on.

 

I see in that letter where you add the total of charges and the interest I have been charged. Where do you fit in the interest in restitution at 29.9%

[ims21]

You can just change the wording to something like "you have taken £x in charges and I claim interest in restitution amounting to £x on those sums at a rate of x%".

 

They are highly unlikely to pay this out without you issuing in court and you do need to be prepared to actually go to court and present your case to a judge.

[Guest alan703]

You can just change the wording to something like "you have taken £x in charges and I claim interest in restitution amounting to £x on those sums at a rate of x%".

 

They are highly unlikely to pay this out without you issuing in court and you do need to be prepared to actually go to court and present your case to a judge.

 

and your opinion on the chance of winning and the difficulty involved? Even at the 18% card rate, it's still a fair chunk of money.

 

If I went to court - do I just need to present my evidence, which they cannot deny?

 

Will I need to prove to MBNA all over again who I am, or should I mention that my address is the most recent one they have, and was satisfactory enough to send my PPI refund too.

 

Oh, and is there a specific dept to send the letter too?

Edited June 11, 2012 by alan703

[dx100uk]

you're going to have an interesting time

justify that the ppi was soley the cause of the fees.

 

dont think anyone has done that

 

you'll do better just describing the fees as PENALTY charges that are against the published FSA guidelines

 

there is a complaint letter in the library section that you shoulsd sent with your SOC.

 

the mbna address is in the stickies of the mbna forum

or follow another PENALTY charges reclaim thread

 

dx

[Guest alan703]

MBNA Europe Bank Ltd

PO Box 1004

Chester Business Park

Chester

CH4 9WW

 

 

To Whom it may concern,

 

Account number XXXXXXXXXXX

 

Dear Sir/Madam

 

Following media reports, and an investigation into credit card charges by the Office of Fair Trading, which I have recently been made aware of, I now understand, that the regime of fees which you have been applying/applied to my account in relation to late fees, and over limit charges, are unlawful at Common Law, Statute and Consumer regulations, in that they did not/do not, represent a genuine pre-estimate of your actual costs.

 

I would draw your attention to the terms of the contract which you agreed to at the time that this account was opened. It is an implied term of that contract that you would conduct yourselves lawfully and in a manner which complies with UK law, and in consideration of fair business practices and good faith.

 

In addition to this, I would also bring to your attention that following my recent PPI claim, which you have admitted was mis-sold, the subsequent restructuring of my account puts a credit balance on my account, or places my account within its credit limits at the time these charges were made.

 

It is my contention, that you have failed to operate my account in a manner conducive to the above, and have demonstrated a lack of fiduciary duty.

 

I calculate that you have taken £273 in charges and I claim interest in restitution amounting to £1011.94 on those sums at a rate of 20%. In recent years, Courts have been happy to accept claims for bank charges that exceed 6 years, whilst having regards to the precedent set between KLEINWORT BENSON -v- LINCOLN CITY COUNCIL under section 32 © of the Limitation Act 1980.

Should county court action be needed I will be seeking to rely on this.

 

 

 

 

 

 

 

Therefore this letter requests a refund of all charges indicated including interest 14 days from the date of this letter.

 

I request that payment is made directly to me, by cheque, and that any refund in whole or part should not be allocated to any set off or third parties.

 

Should this occur, my claim will be deemed as unsettled and I will proceed to the Courts for recovery.

 

You now have 14 days to respond positively, and in the absence of this, I will put you on notice with a further 14 days, letter before action.

I trust this clarifies my position.

 

 

Yours Faithfully

 

Enc; Schedule of charges

[Guest alan703]

I have the address - just wondered if there was a specific department.

 

What's an SOC and is the letter in addition to the one I just posted?

 

Can I buy you an imaginary beer?

[dx100uk]

schedule of charges?

 

dx

[Guest alan703]

you're going to have an interesting time

justify that the ppi was soley the cause of the fees.

 

dont think anyone has done that

 

you'll do better just describing the fees as PENALTY charges that are against the published FSA guidelines

 

there is a complaint letter in the library section that you shoulsd sent with your SOC.

 

the mbna address is in the stickies of the mbna forum

or follow another PENALTY charges reclaim thread

 

dx

 

I can prove by recalculated statement, that the account without PPI would have been exempt from any of the charges at the time they were applied.

I was more hoping to use the statement to make sure I was not hit by a time bar, by describing the payments as - payments by mistake?

[dx100uk]

sorry alan

IMHO you will will fail even with a recalculated statement for each month.

 

if this were true [and we all wish it was]

 

someone would have won by now.

 

as for time barred....

 

PPI can never be time bared

 

PENALTY charges ---- you'll have a hard job getting any passed 6yrs

MBNA are a hard nut to crack.

 

dx

[Guest alan703]

http://www.consumeractiongroup.co.uk/forum/showthread.php?309037-Charges-older-than-6-years-***WON***-Compound-Int-t-and-**NO-SET-OFF**/page9

 

Quoting IMS -

To go back further than six years you will rely on S32(1)© Limitations Act - Payments Made Under A Mistake.

 

My PPI case has been admitted, but I do not agree with their valuation, and nor them with mine - so it is now in the hands of the FOS.

[Guest alan703]

Dear Sir/Madam

 

Following media reports, and an investigation into credit card charges by the Office of Fair Trading, which I have recently been made aware of, I now understand, that the regime of fees which you have been applying/applied to my account in relation to late fees, and over limit charges, are unlawful at Common Law, Statute and Consumer regulations, in that they did not/do not, represent a genuine pre-estimate of your actual costs.

 

I would draw your attention to the terms of the contract which you agreed to at the time that this account was opened. It is an implied term of that contract that you would conduct yourselves lawfully and in a manner which complies with UK law, and in consideration of fair business practices and good faith.

 

It is my contention that you have failed to operate my account in a manner conducive to the above, and have demonstrated a lack of fiduciary duty.

 

In recent years, Courts have been happy to accept claims for bank charges that exceed 6 years, whilst having regards to the precedent set between KLEINWORT BENSON -v- LINCOLN CITY COUNCIL under section 32 © of the Limitation Act 1980.

 

Should county court action be needed I will be seeking to rely on this.

 

In addition to this, I would also bring to your attention that following my recent PPI claim, which you have admitted was mis-sold, the subsequent restructuring of my account puts a credit balance on my account, or places my account within its credit limits at the time these charges were made. I am now seeking relief from the consequences of this mistake, which has just been discovered.

 

I calculate that you have taken £273 in charges and I claim interest in restitution amounting to £1011.94 on those sums at a rate of 20%.

 

 

 

Therefore this letter requests a refund of all charges indicated including interest 14 days from the date of this letter.

 

I request that payment is made directly to me, by cheque, and that any refund in whole or part should not be allocated to any set off or third parties.

 

Should this occur, my claim will be deemed as unsettled and I will proceed to the Courts for recovery.

 

You now have 14 days to respond positively, and in the absence of this, I will put you on notice with a further 14 days, letter before action.

I trust this clarifies my position.

 

 

Yours Faithfully

 

 

 

 

Enc; Schedule of charges

 

Does that cover all the angles?

 

The fact the penalties are unlawful

They were also taken by mistake

And it has only come to light now as a result of my PPI claim

 

If so, do I go for 20% which is relative to the card rate and fair. Or the 29.9% mentioned on the forum, and maybe receive an offer in between.

[dx100uk]

sec 32 c is typically only used for PPI.

 

you'll have a hard job on using that with a PENALTY charges reclaim.

 

not saying its impossible, but there have been no sucesses with MBNA

hope you are the first

 

unless you are getting PPI charges mixed up

with a PENALTY charges reclaim

 

PPI is NOT a PENALTY charge.

 

good luck though

 

dx

[Guest alan703]

Was not aware it was only for PPI, was just following advice on here.

 

I am not mixing up PPI Charges, I have dealt with them already.

 

I was advised to remove my penalty charges from the PPI claim and pursue them separately.

 

It doesn't seem fair that this should be so difficult to claim, when they have paid up on a PPI claim from 1998-2004 (just not enough interest by my calculation - which is in dispute)

 

By admitting the PPI claim, they cannot not admit the affect the PPI had on the balance, which resulted in charges. - To me it is wrong if they can just ignore it.

[dx100uk]

yes corrcect

ppi and PENALTY charges are two seperate issues.

 

give it a go,

but all i'm saying is i've never heard of recontructed statements following the reclaiming of PPI

being used to justify a PENALTY charges reclaim, leading to success.

 

it would HAVE to be SOLELY that months PPI ALONE that put the A/C over/late & for EVERY month after individually

on only that months trading. difficult job.

 

as for the late PENALTY charges, if you owed SOMETHING that month, then no payment is a justified late fee.

 

it might be better to just use sec 32 'a mistake' alone, without refering to the possible cause - the PPI.

 

dx

[Guest alan703]

yes corrcect

ppi and PENALTY charges are two seperate issues.

 

give it a go,

but all i'm saying is i've never heard of recontructed statements following the reclaiming of PPI

being used to justify a PENALTY charges reclaim, leading to success.

 

it would HAVE to be SOLELY that months PPI ALONE that put the A/C over/late & for EVERY month after individually

on only that months trading. difficult job.

 

as for the late PENALTY charges, if you owed SOMETHING that month, then no payment is a justified late fee.

 

it might be better to just use sec 32 'a mistake' alone, without refering to the possible cause - the PPI.

 

dx

 

I am getting my reconstructed balances from the ppi calculator on this forum.

I reconstructed my actual statements from a transaction list they supplied me, as they would not give me statements.

 

By using the credit card balance excluding PPi section of the calculator on this forum, I can tell that They would have owed me money when the charges were made. By using the calculator - MBNA actually owed me money for the last 12 months or so of my account, which is where most of the charges happened.

 

I can leave the ppi out of the letter, I just thought it would further support the fact the payment was taken by mistake.

 

If I leave it out, and they say it's over 6 years, how do I then come back at them. What defines "mistake"?

[Guest alan703]

Took the easy way today, rather than staring at a template wondering how I could make it fit my situation.

 

I just phoned the fos to ask if they had any advice on claiming back the bank charges, I explained that if PPI had not inflated my account balance, my account would have been run in good order, and never defaulted when it closed.

 

I told him that on researching this, I was advised to keep the two claims separate, which he agreed. I mentioned the six year thing, and told him that it is obviously only now that this situation has come to my attention. This is where he informed me there are ways round it. He then passed me to the FoS Banking specialists, as he was a PPI guy.

 

The banking FoS then took my details, and said she would ask MBNA to investigate the charges, then I dropped in that I wanted interest in restitution. She said she would add that into the letter.

 

I then sent the email with the account numbers and SOC with the APR - see what happens.

 

Fingers crossed. If they played fair with my PPI, I may well not have bothered about the bank charges.

[dx100uk]

disagree

 

get the full PPI and the penalty charges

 

just remember they are not bank charges

 

they are credit card penalty charges

[Guest alan703]

 

just remember they are not bank charges

 

they are credit card penalty charges

 

Duly noted and will remember in future correspondence, hopefully the fact that it is a credit card account, will ovverlook my mis callings.

 

 

I have just sent of an email to the FoS for my Halifax ones too

 

On checking my statements though - Since moving house in 08/04 - they had me living at no 55, when I lived at no 65!!! So that's where that entry came from on my credit file!!!. I never missed the statements because I entered my trust deed in 09/04 and did not expect further communication from the bank.

 

WOW. THe last statement

 

£51.31 PPI

£14.97 Int

£7.05 Int

£71.27 Int

 

at that rate, no wonder I was bl**dy skint

[dx100uk]

trust deed

 

blimey you got caught by that s.c.a.m too

 

they are about to be outlawed

 

dx

[Guest alan703]

[problem]? Outlawed? How come?

 

I thought it was really good. £100 a month for 3 years. 3 years after that my credit file was wiped. 2 years on and I am back at an excellent credit rating, with only a mortgage as dept. (if you exclude my partners car finance that's joint, but she's paying for it).

 

I didn't have any assets to lose, so my case was straight forward. Nothing to lose, freedom to gain.

 

What's bad about them?

[dx100uk]

i just remember reading something recently about certain ones or purveyors of them

it was on the scottish news i think.

 

but as you say its worked for you as you had no assets any how.

 

dx

[Guest alan703]

The FoS contacted me today. They have sent off a letter requesting MBNA investigate the charges on ,my account. They did not attach my Statement of Charges, but informed me I can forward them directly to the bank. So I will do that when I receive an acknowledgement letter.

 

They informed me the bank have 8 weeks to answer. I thought I read on here that they have 14 days?

[PPI Rani]

hello am just about toclaim charges from mbna too, ur saga has been most helpful, can you confirm you went straight to fos or did u write to mbna first

thanks