# Summons from the Credit Union.



## oosoom (14 Oct 2012)

I am having trouble with a credit union at the moment and have received a summons to appear in court at the end of November. 

The current amount outstanding is roughly around €1,800. 

I have asked them on many occasions to use my shares which are 1600 against it and I would pay the balance, they did not do this. 

I then received a letter from a solicitor a few weeks later, I again told her what I was willing to do. I had 7 days to do it and as I was out of the country at the time, by the time I had returned their acceptance had expired. 

Last week I received a summons  they are now seeking 2103 euro which includes legal costs, I contacted the solicitor and they are going to accept the shares and my payment of 200 euro but want me to pay the remainder by  providing €10 a week. 

I am angry that I have to pay this further sum of money when in the end they had accepted my original offer that I had offered them.

My loan was originally to be paid weekly but becoming self employed  I began making payments monthly, my account the longest period where the account was in arrears was 7  weeks. 

I think they may have taken legal action because I challenged their professional conduct where they had discussed my account with my father who has nothing to do with it and had even called his mobile number on one occasion to speak to me.    

Court is never a good thing so should I accept there offer of paying €10 a week as well as using my shares and the sum of €200.


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## ontour (14 Oct 2012)

Court is no a bad thing if you feel that you have been unfairly treated.  If you have a paper trail of the corresspondence requesting the transfer, evidence that you were out of the country and requested an extended period of time (although this should not be necessary), then pile up that corresspondence and bring it to court.

It is bizarre that a credit union would pursue this legal route for the amount of money involved and the fact that you have continued to make payments with the longest gap being 7 weeks.  I can't see most judges being happy with the credit union wasting court time.


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## oosoom (14 Oct 2012)

Thank you, I have the email with my original offer and have my email where I had a flight booked that proved I was out of the country. I am surprised too and the only think i could think of what is behind this action was the fact that I challenged  them for discussing my account with a family member.


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## dereko1969 (15 Oct 2012)

Or maybe they were annoyed that you unilaterally broke the terms of the loan by paying monthly instead of the agreed weekly payment?


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## Time (15 Oct 2012)

They obviously have totally incompetent solicitors. No judge will grant them any reliefs sought under these circumstances. They will be hit for their own costs and yours if you engage a solicitor.


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## Time (15 Oct 2012)

oosoom said:


> Thank you, I have the email with my original offer and have my email where I had a flight booked that proved I was out of the country. I am surprised too and the only think i could think of what is behind this action was the fact that I challenged  them for discussing my account with a family member.



Sadly this sort of carry on is common enough with some credit unions. They seem to think that they are kings in their small pond and that the law of the land don't apply to them.


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## Slim (15 Oct 2012)

Hi

I find it hard to believe that the CU has gone to court without having already set off your shares against your loan and trying to recover the €200 from you directly, not to mention that you have requested them to do so. If I were you, I would contact the local CU, tell the you intend to contest the court action on the basisi that they have previously refused an offer similar to that now acceptable and that you will expect/ask the court to award the costs against the CU. You might find their attitude changes somewhat. Good luck.


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## Crugers (15 Oct 2012)

oosoom, I'm with Slim on this one... unbelievable that they are thinking of wasting the courts time over such a small amount especially as you have already offered to pay in full!

Separately to the issue of the debt I would also follow up about the breach of their confidentiality pledge which all officers are obliged to sign annually.

It is completely unacceptable to discuss your account with anyone other than you. The only exception would be if someone was guarantor on your loan. Even then only the enforcement of the guarantee should be discussed.

The CU are obliged to have a Complaints Officer/Committee and procedure.  I would follow up on it until you have satisfaction or have exhausted their process. If you don't get satisfaction I'd bring it to the Financial Regulator.

Good Luck and it would be great if you could keep us updated.


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## oosoom (16 Oct 2012)

dereko1969 said:


> Or maybe they were annoyed that you unilaterally broke the terms of the loan by paying monthly instead of the agreed weekly payment?



Maybe that was it but things change for people and the fact remained that the bulk of this loan along with the 9% interest rate was repaid and in fact would have been completed if they had offset my shares and i in turn made a further payment of 200 euro, which i was always willing to do.


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## oosoom (16 Oct 2012)

Crugers said:


> oosoom, I'm with Slim on this one... unbelievable that they are thinking of wasting the courts time over such a small amount especially as you have already offered to pay in full!
> 
> Separately to the issue of the debt I would also follow up about the breach of their confidentiality pledge which all officers are obliged to sign annually.
> 
> ...



This person they spoke with had nothing to do with the account and had never gone guarantor, so I will make a compliant because i felt it was so unprofessional. I will keep you updated .


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## oosoom (16 Oct 2012)

Slim said:


> Hi
> 
> I find it hard to believe that the CU has gone to court without having already set off your shares against your loan and trying to recover the €200 from you directly, not to mention that you have requested them to do so. If I were you, I would contact the local CU, tell the you intend to contest the court action on the basisi that they have previously refused an offer similar to that now acceptable and that you will expect/ask the court to award the costs against the CU. You might find their attitude changes somewhat. Good luck.



They seem to want it the other way around. Below was the letter i received they want the 200 euro first then by a certain date then they will offset the shares The remainder which is fees relating to there legal cost they will accept payment by way of 10 euro per week.

Dear Madam,
We refer to the above matter and in particular to your email to these offices on the 8th October, 2012. Our clients are prepared to transfer €1,500.00 from your shares provided that a lump sum payment in the amount of €200.00 is paid within the next seven days.	This leave an outstanding balance of €248.53 and our clients are prepared to accept a standing order for €10.00 per week until this balance is cleared. You should call to the Credit Union immediately.


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## smeharg (16 Oct 2012)

oosoom said:


> They seem to want it the other way around. Below was the letter i received they want the 200 euro first then by a certain date then they will offset the shares The remainder which is fees relating to there legal cost they will accept payment by way of 10 euro per week.
> 
> Dear Madam,
> We refer to the above matter and in particular to your email to these offices on the 8th October, 2012. Our clients are prepared to transfer €1,500.00 from your shares provided that a lump sum payment in the amount of €200.00 is paid within the next seven days.    This leave an outstanding balance of €248.53 and our clients are prepared to accept a standing order for €10.00 per week until this balance is cleared. You should call to the Credit Union immediately.


 
And why wouldn't they want it the other way round?  Presumably, you are not currently making any repayments and that is why the situation has esculated to this.

If you had have written to them them initially, enclosing a cheque for €200, and requesting the balance to be offset against shares, you probably could've avoided this.  

Instead, and forgive me if I have interpreted your original post incorrectly, you made the offer then went off on holiday without following the offer through.

The CU is probably thinking this guy keeps promising to repay but we're still waiting.

Despite that, as others have said, it's a very inefficient way for the CU to deal with this.  From what your saying it could easily have been resolved in-house without the need to involve solicitors.

You may have grounds for complaint to the Financial Services Ombudsman if you can prove that the CU didn't act on your original request to off-set shares against the loan.


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