MBNA DEBT WRITTEN OFF

Cegla010

Mick41 wrote: »

Firstly the guy in the house before me was not my friend!! Never met him.
As for bailing out the banks everybody is suffering and what has my back up is accountablitity. They are going after easy targets and if poeple saw that it was across the board they wouldnt be as annoyed and angry

Bank of America paid off the bailout somewhere last year along with interest on top-they never needed any bailout in the 1st place.

Cegla010

Ash121 wrote: »

Hey, I received the same letter from MBNA today. I am now a mature student, having lost my job 2 years ago. I will be in college for another 3 years. I used to find MBNA very hard to deal with but in the last year I have found them pleasant. They do sometimes in fairness try to scaremonger me with the "this will effect your credit rating" but it fails to scare as my credit rating went downhill many years ago. Before I received this letter today my current understanding that I have with them is that they ring me a week before my payment needs to be made, usually its no more than €100. I pay it and I do not hear from them for the rest of the month. My last conversation I had with them was when I was giving them my lazer card number for a payment a few weeks ago. The lady told me they would be calling me soon to try and get a 5 year payment plan sorted so that the debt will be payed of in that time. I said this was fine and I would be happy to talk to them about that and then i receive this letter today. I cannot imagine that they will not be handing this over to some sort of debt collecting company but I cannot see why a debt collecting agency would bother taking my account off MBNA. I have no assets and my current circumstances will not be changing for many years. I suppose I am hoping that they really are going to write it off as it would mean I might actually be able to afford the bus to college next year!!!

Guys, what needs to be fully clarified is the word Write Off- this happens after you credit card bill falls over 6 months in arrears and is Written Off the lenders book as bad debt and registers as a W on your ICB or as a Default on the Experian-you are still liable to pay this amount in full. There's loads of options there for everyone. It all comes down to a simple question of how much can you afford to pay on a monthly basis. MBNA has their own regulations i.e. longest repayment period accepted is 5 years and if you cannot afford this other options will be looked into.

Cegla010

ripo wrote: »

for the sake of a future criminal conviction and possible imprisonment I have decided to take responsibility pay my debt, through a debt relief agency. I'm looking to pay back €5 Euro per week, until I get employment again.

I have a feeling if I leave the debt unattended it may get worse, and I could find my self being sent to court,

Really sorry to hear about your situation but going to a 3rd party debt management company only makes sense if you have enough disposable income left- what makes you think that MBNA will accept €20/month through a 3rd party when they have put you on €89 payment plan? a 3rd party can only do as much as you yourself provided that you gave details of your financial statement to MBNA. Going to MABS is fair enough as it's free but paying to 3rd party for something you can do yourself makes no sense at all where you have no monies to make reduced payments in the 1st place. Regards

lilmissmoo

Hi Ripo,

Really sorry to hear about your situation. I got into difficulty myself after being let go from my job and of course couldn find another one. So I started to ignore letters and payments to my bank. I had a loan with AIB and a credit card with MBNA. The amounts weren't huge but I cudn afford the repayments and the interest on the creditcard was unbelievable. I made phone call after phone call and got nowhere with either lender. They wud not negotiate repayments or anything with me. Eventually I was getting phone calls a couple of times a day and I ended up changing my number.....I no, not the best way to go about things. Anyway it got so stressful bcos I know I'll need loans/mortgage in the future.

My auntie actually told me about this interview she had seen on Ireland am. It was a man who ran a debt management company and a woman who was struggling from debt. Of course her situation was way worse than mine but I felt like I could relate to it in a way. After watching it I went online to their website www.moneyvillage.ie and was able to email in my question. Within half an hour I received a phone call from one of the reps and I was able to see a financial advisor free of charge 2 days later. I have signed up with a plan with Moneyvillage and I'm extremely happy with the service. They negotiated with both of my lenders and got MBNA to write off 63% of my debt and AIB 40% of my loan.

I can see why people would be put off by fees but I never would have been able to secure a write off myself. Hope this helps....sorry for the length!

Cegla010

lilmissmoo wrote: »

Hi Ripo,

Really sorry to hear about your situation. I got into difficulty myself after being let go from my job and of course couldn find another one. So I started to ignore letters and payments to my bank. I had a loan with AIB and a credit card with MBNA. The amounts weren't huge but I cudn afford the repayments and the interest on the creditcard was unbelievable. I made phone call after phone call and got nowhere with either lender. They wud not negotiate repayments or anything with me. Eventually I was getting phone calls a couple of times a day and I ended up changing my number.....I no, not the best way to go about things. Anyway it got so stressful bcos I know I'll need loans/mortgage in the future.

My auntie actually told me about this interview she had seen on Ireland am. It was a man who ran a debt management company and a woman who was struggling from debt. Of course her situation was way worse than mine but I felt like I could relate to it in a way. After watching it I went online to their website www.moneyvillage.ie and was able to email in my question. Within half an hour I received a phone call from one of the reps and I was able to see a financial advisor free of charge 2 days later. I have signed up with a plan with Moneyvillage and I'm extremely happy with the service. They negotiated with both of my lenders and got MBNA to write off 63% of my debt and AIB 40% of my loan.

I can see why people would be put off by fees but I never would have been able to secure a write off myself. Hope this helps....sorry for the length!

this is ridiculous! what do you mean by written off? do you gave a settlement in mind? sounds to me like you work for the moneyvillage yourself-why haven't you mention that only the 1st visit from financial advisor was free?

lilmissmoo

Cegla010 wrote: »

this is ridiculous! what do you mean by written off? do you gave a settlement in mind? sounds to me like you work for the moneyvillage yourself-why haven't you mention that only the 1st visit from financial advisor was free?

Hi Cegla, sorry I shud have explained better. By written off I mean a final settlement. My parents helped me out with a lump sum which moneyvillage then offered to aib nd mbna on my behalf. Like I said it wasn huge amounts so maybe that's why I was lucky and they accepted. Of course there was a fee charged for the final settlement but it was all worth it. I already have a bad credit rating and as a younger woman was glad to have some1 take the worry away. It may sound silly to you to be using 3rd parties but its all a bit daunting to me as I wouldn have a clue how to negotiate with a lender. Didn't mean to cos friction on this, was just tryin to tell how my story went and possibly give advice to another.

Chipboard

stepbar wrote: »

Lecturing!!!!!!

You don't seem to think you've done anything wrong. You seem to be angling towards the view that you should get some sort of bailout because of your "circumstances". I don't see why I (and others) should have to suffer because you can't manage your finances.

Actually its an accepted principal that a person who has no prospect of repaying their debts should get them cleared so that they can resume being a productive member of society. Thats why the concept of bankruptcy exists.

Some posters seem to love venting at people who come on here looking for advice. If they haven't got the money they can't pay. Simple as. No point in being a child about it.

It is true that some people who can pay are choosing not to these days, and taking advantage of the protection being afforded to people who are genuinely unable, but this doesn't sound like one of them cases.

People who are in serious financial trouble should remember that this recession will not be fondly remembered by anyone, politicians, bankers, solicitors etc and that thousands of people (including many politicians, bankers and solicitors) will have judgements against them by the time it is over.

I firmly believe that there will be a certain amount of forgiveness for what has happened because banks will simply not be in a position to refuse to deal with anyone with a blot on their copybook - because there will be so many.

I know for a fact that banks were lending money in the last few years to people who had to skip the country in the early eighties because they were ruined. They got forgiven because the country was a basket case and everyone was under pressure in the early eighties so it would have been hypocritical to single them out.

If your in bother;
- talk to the bank as long AS LONG AS THEY ARE PREPARED TO NEGOTIATE
- keep copious notes
- document agreements
- do your best
- mind your health and that of your family

And don't listen to people who don't know what their talking about, of which there are many on forum such as this.

stepbar

Chipboard wrote: »

Actually its an accepted principal that a person who has no prospect of repaying their debts should get them cleared so that they can resume being a productive member of society. Thats why the concept of bankruptcy exists.

Some posters seem to love venting at people who come on here looking for advice. If they haven't got the money they can't pay. Simple as. No point in being a child about it.

Bankruptcy has not been mentioned here and in fact it would be the worst possible thing the OP could do at this point. In case you're not aware, a person who declares bankruptcy remains a bankrupt for life unless the debt is discharged (within a 12 year timeframe). The High Court must be satisfied that every effort has been made to discharge the debt. Until the laws change, it's not a route I would recommend.

If someone hasn't the money, then fine they haven't many options. The OP hasn't demonstrated this.

It is true that some people who can pay are choosing not to these days, and taking advantage of the protection being afforded to people who are genuinely unable, but this doesn't sound like one of them cases.

People who are in serious financial trouble should remember that this recession will not be fondly remembered by anyone, politicians, bankers, solicitors etc and that thousands of people (including many politicians, bankers and solicitors) will have judgements against them by the time it is over.

I firmly believe that there will be a certain amount of forgiveness for what has happened because banks will simply not be in a position to refuse to deal with anyone with a blot on their copybook - because there will be so many.

The OP has come across as someone who has either refused to negotiate or stick to a repayment plan. All I'm hearing is the word "compassion" being used a lot. Compassion is a word that gets abused a lot. A bit like if someone owed you money and all you heard was "next week". Eventually you'd get p1ssed off.

I know for a fact that banks were lending money in the last few years to people who had to skip the country in the early eighties because they were ruined. They got forgiven because the country was a basket case and everyone was under pressure in the early eighties so it would have been hypocritical to single them out.

If your in bother;
- talk to the bank as long AS LONG AS THEY ARE PREPARED TO NEGOTIATE
- keep copious notes
- document agreements
- do your best
- mind your health and that of your family

The OP has not indicated if he has done any of the above. I get the impression he hasn't.

And don't listen to people who don't know what their talking about, of which there are many on forum such as this.

Well if that's a vailed attack at me it doesn't bother me, unless you're going to tell me you're a banker (which I am) yourself I'll take that with a pinch of salt.

Chipboard

stepbar wrote: »

Bankruptcy has not been mentioned here and in fact it would be the worst possible thing the OP could do at this point.

You don't have to be declared bankrupt to have your debt forgiven. I didn't suggest he opt for bankruptcy. I stated that the principal of debt forgiveness exists.

stepbar wrote: »

If someone hasn't the money, then fine they haven't many options. The OP hasn't demonstrated this.

You cannot demonstrate that you don't have money on a disussion forum. He has clearly stated that he doesn't have money. You'll have to take his word for it but his 'real life' Banker can have him investigated as to his means.

stepbar wrote: »

The OP has come across as someone who has either refused to negotiate or stick to a repayment plan.

No he hasn't.

Mick41 wrote: »

Hi,
I have been unemployed for a while and have just started a temp job this month. I explained to MBNA that I would try and pay off some of my card each month when I was unemployed which I did. I noticed after complaining bitterly about the harrasing 7 phone calls a day from a machine that couldnt even pronounce my name correctly that it all went quiet even though I had asked them to keep in contact with me and how much do I need to pay each month to keep them off my back. Never got an answer to that and everytime I asked they pulled back. Got a letter in March telling me they had overcharged me 330 euro but I still need to pay a payment that month ( law upon themselves ).
They have now served me with a notice of intention to file a debt write-off/default.

I have not told them I am starting to work again and was going to do it this week. I have to ring them in the morning as they are uncontactable after1 pm Sat and Sunday and I was only home on Saturday evening.

I am being made to feel like a common crook by a shower of bullies.

As one of their customer service people told me on sat after holding for 20 mins that they were not helped out by the Irish Tax payer and they didnt need nama I now discover they are part of Bank of America which was bailed out beyond believe,

Any advice before I try to talk to them in the morning is very much appreciated,
Thanks,
Mick

He contacted them.
He told them his story.
He offered to do what he could.
They reacted by phoning him seven times a day. I find it hard to believe that they did this via a machine but if they did it is a disgrace.
He asked them to keep in contact but they didn't.
He asked how much they would accept per month - they didn't respond.
They overcharged him.
They did nothing to help him.

stepbar wrote: »

All I'm hearing is the word "compassion" being used a lot.

I didn't use it but I do believe in it - where appropriate.

stepbar wrote: »

The OP has not indicated if he has done any of the above. I get the impression he hasn't.

He talked to the Bank. You should note the piece in block capitals - AS LONG AS THEY ARE PREPARED TO NEGOTIATE. They only person who doesn't need to negotiate in any transaction is someone who is in a position of absolute power. A bank which is trying to recover an unsecured debt is in anything but a position of power. If they aren't prepared to negotiate he is wasting his time.

The fact is that the OP started on the right foot but the Bank handled it badly which resulted in him getting annoyed (I would too if I was treated like this when I was already under enough pressure) and this caused him to vent at them in relation to them being bailed out. This won't help but it certainly is understandable.

stepbar wrote: »

Well if that's a vailed attack at me it doesn't bother me, unless you're going to tell me you're a banker (which I am) yourself I'll take that with a pinch of salt.

I guess your going to have to take it seriously so because I am a banker and I've been at it for a while. Back in the day it was a civilised occupation and got some respect but they let anyone in these days hence the current difficulties.

ripo

Thanks lilmissmoo and Cegla010.

This is the update so far. Its long so please bear with me.





Dear Sir/madam





I am writing to you regarding the above account.

The purpose of this letter is to inform you that I am currently experiencing financial difficulties and am in the process of trying to resolve them.



I am at present assessing my full financial situation and working out how much I can pay to each of my creditors taking into account all my living expenses and commitments.



While I am undertaking this process, it would be of immense help to me if you would put a hold on any action being taken to recover this debt, also if you would suspend any interest and other charges currently being added to this account.

May I take this opportunity to thank you in advance for your co-operation.

Yours faithfully


You are currently on an arrangement of €85 per month.
Your fees and interest have been suspended since 23/11/2009.
We have not received a payment since 05/06/2010 so your account is falling further into arrears.
Your account is presently falling 4 months behind and when the account gets to 7 months, it will be written off, potentially sold to a third party and this will register as a default with Credit Reference Agencies.

Can you call us on <snip> to let us know when you will be making a payment to this account.

Regards

<snip>


Further to our recent correspondence, I am writing to advise you that I have now completed a full assessment of my current financial situation taking into account all my living expenses and commitments.



As a result I am now putting forward an offer of €25.00 per month as being realistic in my current circumstances. Should circumstances improve to the extent where I can to increase this offer, I will contact you immediately.



In the meantime, I hope that this proposal will be acceptable to you.



I look forward to hearing from you.

Yours faithfully


Unfortunately this account will probably end up being written off and potentially sold to a third party.
As I advised in my previous email, you are already on an arrangement on this account for €85 per month which cannot be altered. When the account reaches the 7 months it will register as a default with credit reference agencies for the next 6 years.
We already have a copy of your financial details which we used to set up the first arrangement and we cannot accept less than the €85.


Regards


<snip>




Dear <snip>,

Thank you for your email. Unfortunately my financial circumstance changed dramatically since the last financial details was recorded by MBNA in 2009. my current circumstances prevents me paying €85.00 per month, and is unrealistic taking into consideration other living and family costs. It would be mutual for both of us if MBNA accepted the monthly re-payments of €25.00.

Perhaps a senior member may be able to accept this offer. Payments will increase when I re-enter employment, and MBNA will be notified immediately. this offer is beneficial for both of us in recovering the amount owed.


Yours sincerely



We cannot accept this offer so your account will be written off and potentially sold.
If we sell it on to a third party Debt Collection Agency, they may be able to accept this payment, as they have longer to collect on the debt than ourselves.
It will however register as a default with credit reference agencies for you for the next 6 years.
We have no other option available to you apart from a short settlement which you have already advised, is not an option for you.
Feel free to contact the office to speak to a manager who will advise you of the same information.

Regards




<snip>

ripo

That's the exchange we had. circumstance change all the time, the idea that they stuck me on a 2009 plan that was un-realistic to start off with is so annoying.

Last year I arranged a plan after they contacted me. The problem here is I never got advise from MABS or other agencies and ended up accepting the offer they gave me - rather than my own offer .

Anyway, looks like I'll be dealing with a debt collector now.

I just wanted to share this information with anyone in the same boat - so you know what the outcome is. I'll update this post with any news or updates in this issue - as I can see its going to be a long one!

thanks for everyone's help too ! really appreciate it

Bogger77

ripo,
Since your name has been omitted from the above, you should remove the name of the person in MBNA whose emails you are publishing , without consent.

dudara

ripo Please do not post names and contact details without the consent of the individual involved.

dudara

ripo

Oh sorry guys, completely forgot, sorry

ripo

Chipboard wrote: »

Actually its an accepted principal that a person who has no prospect of repaying their debts should get them cleared so that they can resume being a productive member of society. Thats why the concept of bankruptcy exists.

Some posters seem to love venting at people who come on here looking for advice. If they haven't got the money they can't pay. Simple as. No point in being a child about it.

It is true that some people who can pay are choosing not to these days, and taking advantage of the protection being afforded to people who are genuinely unable, but this doesn't sound like one of them cases.

People who are in serious financial trouble should remember that this recession will not be fondly remembered by anyone, politicians, bankers, solicitors etc and that thousands of people (including many politicians, bankers and solicitors) will have judgements against them by the time it is over.

I firmly believe that there will be a certain amount of forgiveness for what has happened because banks will simply not be in a position to refuse to deal with anyone with a blot on their copybook - because there will be so many.

I know for a fact that banks were lending money in the last few years to people who had to skip the country in the early eighties because they were ruined. They got forgiven because the country was a basket case and everyone was under pressure in the early eighties so it would have been hypocritical to single them out.

If your in bother;
- talk to the bank as long AS LONG AS THEY ARE PREPARED TO NEGOTIATE
- keep copious notes
- document agreements
- do your best
- mind your health and that of your family

And don't listen to people who don't know what their talking about, of which there are many on forum such as this.

Sorry for such a late reply. Thanks for taking the time, and your advise. I'm more than happy to deal with them and start paying something each month, something I can actually afford.

I really don't want to be seen as abusing the system, but looks like the banks did that themselves.

thanks for your advise

ripo

stepbar wrote: »

Bankruptcy has not been mentioned here and in fact it would be the worst possible thing the OP could do at this point. In case you're not aware, a person who declares bankruptcy remains a bankrupt for life unless the debt is discharged (within a 12 year timeframe). The High Court must be satisfied that every effort has been made to discharge the debt. Until the laws change, it's not a route I would recommend.

If someone hasn't the money, then fine they haven't many options. The OP hasn't demonstrated this.



The OP has come across as someone who has either refused to negotiate or stick to a repayment plan. All I'm hearing is the word "compassion" being used a lot. Compassion is a word that gets abused a lot. A bit like if someone owed you money and all you heard was "next week". Eventually you'd get p1ssed off.



The OP has not indicated if he has done any of the above. I get the impression he hasn't.



Well if that's a vailed attack at me it doesn't bother me, unless you're going to tell me you're a banker (which I am) yourself I'll take that with a pinch of salt.

Thanks for your comment,

Yes I have arranged a repayment plan when my job was cut from full-time to part-time. This was arranged with MBNA. I was sticking to these payments which were always paid.

The problem occurred when I lost my job, due to layoffs, and the arranged payment plan was based upon PT work rather than social welfare income (which I did not receive for 8 weeks)

So i contacted MBNA as soon as the problem occurred, informed them that there was people laid off, and I was one of them and had to re arrange my payment plan in line with recent events.

MBNA said they could only do this once, and could not assist me unless I stick to the old payment plan ( which there was no way I could afford)
I never planed o losing my job, i never thought the economy would crash overnight and i never thought i would have to be on social benefit.

mbna should re arrange payment plans according to changes in life!

RachaelVO

I might be a bit late on this. There is no way in all hell that MBNA has written this off. The other posters are correct they sold it to a collection agency. If you have any dealings with the agency, and you will, PLEASE keep a note of everything you do.

The first thing they will do is send you a pretty legal looking letter. This will look a bit scary, but that is the impact it is designed to have. Reply to the letter, via email, as an attachment and then in the post. If you speak to one of their reps (and I'm putting this in capitals, cos I cannot stress it enough)
1. GET THEIR NAME AND POSITION
2. WRITE THE DATE AND TIME DOWN BESIDE A SUMMARY OF WHAT WAS AGREED
3. KEEP ALL THE INFORMATION TOGETHER AND IF POSSIBLE CONSECUTIVELY.

Don't allow them to bully you, and again if they do, document it and ensure you get the name!

They may well be a very reasonable company, and will be happier to come to an arrangement with you than not but don't take any risks and keep a solid record of ANY dealings you have with them.

rolion

Hi,

Let's say you owe to CC bank €1,000 as today's balance.Late payments and charges applies...

What options do you have in dealing with them:
-can you freeze/reverse any late charges?
-can you negotiate a new interest rate,from credit card rate to simillar a personal loan?
-can you still keep the card opened for use ?

Assuming that the bank sells this account to a debt agency,the new owner of the loan,will they charge interest for remaining time or will be same amount until is fully paid !?

Thanks.