Sainsbury's CC not defaulted

[DeaconsRevenge]

Hi,

I am starting this post on behalf of my daughter. She has had a turbulent year with regards to health (she has diagnosed with anxiety issues) and a significant period out of work. This has resulted in a number of defaulted credit cards and loans. She has engaged the help of step change and in the long term should be able to manage a way out of these problems but one particular account is causing her some angst. This is a Sainsburys credit card. She has not made a full payment towards this since at least November last year (not quite sure exactly when). Although Step Change had negotiated a monthly token payment of £1, Sainsburys have not yet defaulted her and they have continued to charge monthly interest and over-limit fees. She has complained to Step Change about this but they say that they have no control over the circumstances. She has defaults from a couple of other accounts dating from January this year so can start to plan for the date when these will eventually drop off her credit record but the lack of a default on this one account will delay that date.
I feel that she needs to take control back and deal directly with Sainsburys but any thoughts would be most welcome.

[Joanna Connolly Solicitors]

Hi,

I am starting this post on behalf of my daughter. She has had a turbulent year with regards to health (she has diagnosed with anxiety issues) and a significant period out of work. This has resulted in a number of defaulted credit cards and loans. She has engaged the help of step change and in the long term should be able to manage a way out of these problems but one particular account is causing her some angst. This is a Sainsburys credit card. She has not made a full payment towards this since at least November last year (not quite sure exactly when). Although Step Change had negotiated a monthly token payment of £1, Sainsburys have not yet defaulted her and they have continued to charge monthly interest and over-limit fees. She has complained to Step Change about this but they say that they have no control over the circumstances. She has defaults from a couple of other accounts dating from January this year so can start to plan for the date when these will eventually drop off her credit record but the lack of a default on this one account will delay that date.
I feel that she needs to take control back and deal directly with Sainsburys but any thoughts would be most welcome.

I also feel she needs to take back control of her life

When (what year) did she open all of these accounts and how (online etc) as a starting point?

Di

[Timewilltell]

I am with Lady Di here, she needs to take control back, with the aid of this superb forum, its priceless advice and support she will feel empowered which will hopefully help alleviate some of the anxiety. Please don't think that I am being insensitive but I along with many others I'm sure have been on the Anxiety train, but taking control back not only diminishes the anxiety but gives you a 'self worth' value, and life isn't as difficult as we believe it to be.
Please encourage your daughter to come to the forum herself if only to read many of the diaries and threads on here to give her hope for her situation.

[DeaconsRevenge]

Thanks @Di and Timewilltell I think we are all in agreement with this. This is only the start of the journey for her. She is understandably nervous about airing her issues on the forum but we will work together to post the necessary information and this will hopefully encourage her to move forward more independently. I will show her some of the fantastic, inspirational posts on here to hopefully convince her that she is most definitely not alone.

[Timewilltell]

There are more like her than she knows!!

[Warwick65]

I know it is hard to take the leap but like any problem, facing up to it is often the hardest step. Remember we are anonymous on here unless you choose to tell Niddy or Di who you are and they are incredibly discreet.

I would have thought you should be making a complaint to Sainsbury and when they reject it go to the FOS. CONC is a very useful https://www.handbook.fca.org.uk/handbook/CONC.pdf. Looking at section 7 might be useful. I know it looks daunting but I believe Knowledge = Power

[DeaconsRevenge]

Type of account - Credit card
Date commenced – Nov 2018
Approx balance - £2000
Date last 'full' payment – Oct 2019
Arrangement – SC DMP (£1 per month)
Status – not yet defaulted
Account owner – Sainsbury Bank.

18th Oct - Sent letter letter to Sainsbury's asking for interest and default fees to be suspended.

20th Oct - Letter from Sainsburys - Cannot action due to "Security".

24th Oct - Letter from Sainsburys - Have agreed with SC to issue a default "We can then discuss a new longer term payment arrangement with you where we won't apply interest and charges"

5 Nov - Notice of sum in arrears received

6 Nov - Letter from Sainsburys "Notice served under section 87(1) of the Consumer Credit Act" in which they state "if total arrears are not received by 04/12/2020 we shall Instruct a debt collection agency and/or take legal proceedings against you for the outstanding balance"


So hopefully a way ahead with the default and interest/charges but it does seem that their wording about possible legal action is a bit strong considering that she is in a payment arrangement with SC.

[The Tech Clerk]

Debt collection agency shall Instruct a debt collection agency and/or take legal proceedings against you for the outstanding balance", well debt collection agency not authorised to issue claims. a debt purchaser or owner can instruct solicitors.

[Timewilltell]

Ok this is normal procedure, a standard letter, just don’t react at this point.

[Timewilltell]

Likely hood is they will pass it to an agency, who, as Tech points out, are pretty harmless, they will write for two maybe three months then pass it back to Sainsbury’s.
so you can both be assured that time and process is still on your side.

[DeaconsRevenge]

Thanks... pretty much what I thought