Debt Questions

I have been experienced difficulties with HSBC which have got completely out of control.

I have an overdraft with HSBC for the amount of £1500 unfortunately I kept going over this and getting enormous charges. Eventually I felt I had no option but to switch banks and then to repay the overdraft.

HSBC then started calling me and instead of negotiating any payment plan they just kept demanding the money and asking me to pay £2000 which I don't have. I asked them if they would add the overdraft to my HSBC loan which I had never missed a payment on and was advised that they couldn't do this as I was up to date on my payments and the only way they could do this would be if I missed 2 payments on my loan which I thought was absolutely ludicrous and I didn't want to defer on my payments of the loan so continued to pay it.

On the next call I was asked how much I could afford to pay each month and I advised them that I could pay £50 per month and I was told that they couldn't accept this and I asked how much would I have to pay each month and was told £240 per month which reluctantly I agreed to but was then told that they couldn't do this now as I did not have any spare income to cover this. I had advised them that I had taken up additional work and also that my husband gives me half of the mortgage payment so I could cover the payment but they still refused to put a plan in place.

I then popped into branch and was told that they couldn't do payment plans in branch which was a surprise as the letter I had received from them advised me that I could go in to branch to discuss this.

I then called HSBC again and was told that I couldn't do a payment plan as I hadn't had any activity on the account in 6 months.

It seems that HSBC clearly do not know what they are doing as I receive different information each time and the end result always seems to be that I have to pay the £2000 in one sum rather than a payment plan.

I feel that I have done everything possible to get this matter rectified but HSBC will not accept anything.

I have now started to pay them £100 a month which is what I can afford however I then received a letter saying that this was not acceptable.

On Saturday I received a letter saying unless I pay £2074.89 within 18 days action will be taken against me which could include Debt Collectors, Solicitors or Court Action so I am obviously really worried about this but cannot see what I can do as I do not have the full amount to pay in one go but can commit to a payment plan.

Any assistance would be so appreciated as I just do not know what to do!!

hi
if they are not willing to at least freeze the interest and wipe of those stupid charges i would pay them a £1.00 per month and tell them you will see them in court at their expense. i am really f@%£ off at these bully boy tactics they all seem to have gained. was it not us our tax payers money that bailed them all out in the first place. they are scum the lot of them prey on the vunerable and let the high flyers off. stick to what you believe is right girl.don't let them get the better of you £ 1.00 a month or nothing untill they are willing to back down. they would be laughed out of court..

First thing is that it is a principle of common law that any payment made towards a debt has to be accepted in part payment of it. So they are rejecting the OFFER not the payment. Make the payment, keep making the payment - and if £50 is what you can realistically afford make it £50. Do a budget sheet and show them and then if they reject the offer - keep on making the payment. Then if it does go to court, the court will act in your favour - you are still paying the loan payment in full. You are doing everything you can and you only moved banks as they kept charging you...

You are doing everything right. I doubt very much whether they would take it to court as it would be a vexatious waste of the court's time if you had been making payments.

I should also add that HSBC very often do not accept offers from debt management companies - non fee-charging or otherwise - but they tend to then sent the debt to Metropolitan Collections (their inhouse people) who are very good and deal well with people who are trying to repay

So just keep making the monthly payment and see what they do next. Should I reply to the letter which I have just received saying thats what I will be doing?

You certainly can.

Just acknowledge the letter saying you have received it and as you do want to repay this debt but cannot pay what they want you will continue to keep making the payments. You can also say you know this will affect your credit rating but that you have continued maintaining full payments to the loan and would have stayed with the bank if they had been able to agree a repayment plan with you for the overdraft (and actually it is very weird that they did not as they are famous for their managed loan!). You intend to repay the overdraft and this is what you can afford - or you pay less to the loan to pay them more! Which seems ridiculous!

Thank you so much for your help, has definately calmed me down I have been in a complete panic since receiving the letter. I will write back to them today.