Capital One - Default Notice

[cheesed_off]

Good evening.

 

I raised a complaint with Capital One, as I recently checked my credit file and noticed a default notice on there. Now I have been making repayments to this debt via a debt charity, and not disputing the validity of the debt, however I do not remember getting a default notice.

 

They have responded to the complaint and said that they did send one, and I have provided me a copy. However it doesn't look like a standard default notice to me, and the reason they state as the breach is due to a long term repayment plan. Now looking at the Capital One website, as I don't have my CCA agreement - it states the minimum repayment is 1% of the outstanding balance of £5 whichever is higher.

 

Based on the balance I had at the time (which was over its limit) this would have been a monthly repayment of £7.60. The debt charity made payments of double this amount monthly. Therefore I am wondering if to take this to FOS, as if the only breach they mention is relating to the long term payment plan - if I am still fulfilling the minimum repayment, is the default valid?

 

I have uploaded what they sent me. I welcome your response

 

Thanks

[theoldrouge]

too small to read, please convert to pdf

[cheesed_off]

Hi

 

Sorry about that - hope this one is better?

 

CO

[cheesed_off]

I have just checked the above link at it seems to open up a copy that is a bit easier to ready.Really welcome your thoughts on the above default notice, as I am not convinced it is in the right terms. it also dosen't specify the amount I was over the limit to remedy the breach?Thanks CO

[cheesed_off]

Anyone able to assist me?

 

Thanks

 

CO

[theoldrouge]

what does clause16 of your capone t&cs say

 

on the face of it, seems all in order if matches clause 16

 

they are reporting the true state of the ac

[cheesed_off]

Hi

 

The agreement states the following under point 16:

 

"If we decide to close your account, we'll either give you at least two months' notice in writing, or, subject to sending you a default notice, we may close your account and demand immediate repayment of the outstanding debt, if you or an additional cardholder:

regularly or seriously break any of the terms of this agreement, for example missing monthly payments or going over your credit limit,

gave or give us any false or misleading information,

are declared bankrupt (or an equivalent in another jurisdiction) or make arrangements with your creditors, (this does not include additional cardholders)

are reasonably suspected of using or obtaining, or allowing someone else to use or obtain an account illegally, or your account is, or we reasonably suspect is, being used for an illegal purpose,

commit fraud, or we have grounds to suspect fraud,

are threatening or abusive towards our staff,

die,

move abroad.

These are all situations that we consider are in breach of this agreement. If we think that you can rectify this breach, we'll send you a default notice that will give you at least 28 days to do so. If you haven't rectified the breach in this time, we'll close your account and ask you for immediate repayment of the outstanding balance. We may also have to close your account if the law states that we need to.

 

So they are covering the point that if you enter into a debt managed plan, they have the right to default your account. My issue is that when I entered into the plan - the amount they were paid was double the minimum payment and I was going into the DMP to manage all my debts in one place. Some creditors got less than their contractual payment, some got more - just depended on how they faired in the pro-rata.

 

Do you reckon it would be worth going to FOS? Or would they say the same, regardless of payment amount over the minimum, it was a dmp and therefore the account should be defaulted?

[theoldrouge]

as far as I can see Capone are correct, and to persue the complaint will get you nowhere

 

dependent on when you took out the card, it may pay to send Capone a CCA request under s78

 

I take it its a free dmp