Credit Union taking money from my shares to cover solicitor letter

[breakingbad]

Hi

Just wondering if this is legal?

Have fallen behind in my credit union loan payments (am paying less than I should per week) This was not agreed with them - my fault as I had not approached them.

I received a solicitors letter on behalf of them saying I had not been paying agreed amount, 10 days to come to an agreement etc.

Have since been in contact and have restructured payments.

Got a letter today from the credit union confirming that they have taken €28 from my shares in order to cover the cost of the solicitor letter mentioned above. Is this legal? Can they do this?

Thanks!

 

[julius128]

They can setup Legal Fees balance on your account and add cost associated with legal actions taken against your loan. Hence they will transfer fund from your shares to zero-wise that balance.