MBNA Assigns New Acount Number

[aggravated]

I had a new account number assigned by MBNA when they sold/transferred/put into collection the account. Is this legal? The CA's have tried to collect on both numbers, but MBNA reports the new one to the CRA's. Big source of confusion! Where would I find the legalities on this?

[credit_on_mars]

MBNA does that. I had a Master Charge card (yeah decades back) that was with a bank in Florida that went BK-7 and they sold the accounts to some other bank (can't remember now) who sold it to 1st Union who sold it to some other bank who sold it to MBNA. MBNA assigned a new account number to it. The thing about this account is, it was paid off and closed 24 years ago! I forced MBNA to admit it by writing to the:

Comptroller of the Currency

Customer Assistance Group

1301 McKinney Street, Suite 3710

Houston, TX 77010

and complained about MBNA's banking practices. Didn't help much because some bottom feeding CA calls a few times a year wanting payment. Weird.

[Secrest]

Is that legal for MBNA to assign a new account number. That seems a little odd to me. What would be their motives for doing so.

[Methuss]

What I am about to say only applies to credit cards.

Under the Credit Practices Rule, an issuer of a credit card may change your account number if the account is in good standing, but not if it is closed or charged off. Changing the account number effectively creates a new "card" and the Rule prohibits that once an account is in default.

[credit_on_mars]

I am sure after so many years that MBNA took an old account of mine that was closed with zero balance or somehow some bank in the middle of it all charged it off -- because the MBNA account number they assigned to me had no charges, payments or anything on it. I get a phne call from a bottom feeder CA now and then but only once did I answer it and yelled at the idiot that I have never had an account with them and they had absolutely no proof I have so pee up a rope. But, every few months they will call back. Guess some day I'll talk with them -- ask them for the $1,000 now or later Actually, I could sue them, and others, but it is too much work for a retiree.

[Methuss]

Send them a C&D all communications...stating that you never had an MBNA account and that unless they prove strict proof to the contrary, you will sue them for violations of the FDCPA if they continue to contact you about it.

[credit_on_mars]

Well, C&D's or anything else does not work for that CA -- they will never give up. I even had the "Comptroller of the Currency" come down on them and the OC but they still list the account as mine. Like I say, the account in anyone's name is way, way past SOL and they do not have documents so when I feel like answering them I plead with them to sue me. All I get is, “I will turn this over to our legal department,” when I reply “FU and please do” and hang up.

[divemedic]

So why don't you sue them? They are also in violation of Florida chapter 559. Go to myflorida.com and navigate to the legislature section, read chapter 559.72 of the statutes.

[credit_on_mars]

So why don't you sue them? They are also in violation of Florida chapter 559. Go to myflorida.com and navigate to the legislature section, read chapter 559.72 of the statutes.

There comes a time in one's life when it is no fun doing such things. I am retired and just got my Medicare card! I owe no one and own a house, car and all the other junk, will not need to borrow for the rest of my life. I really do not sweat the small stuff like CA's. If they should piss me off then I ma have some fun and sue them, but after watching my wife sue and win a suit against a bowling alley and insurance company, and then they just ignore her – I an not happy with lawyers, courts or anything legal. Juts look at those people in New London, CO when the city will take their property for a shopping mall. When they come for my home they will see lead flying. No, I will not sue the bastards until they think they found someone who really cares.

[divemedic]

So why are you here then?

[breathing_easier]

I am sure after so many years that MBNA took an old account of mine that was closed with zero balance or somehow some bank in the middle of it all charged it off -- because the MBNA account number they assigned to me had no charges, payments or anything on it.

I'm curious about this. If the account reflects a $0 balance, what is the amount the CA is demanding? I wonder what the going JDB rate is for a closed account with a $0 balance? By the way, now that you're a retiree you have all the time in the world to file a lawsuit! If you won't do it for you, do it for us that are still working!

[breathing_easier]

... but after watching my wife sue and win a suit against a bowling alley and insurance company, and then they just ignore her – I an not happy with lawyers, courts or anything legal.

There are ways of remedying that.

[aggravated]

What I am about to say only applies to credit cards.

Under the Credit Practices Rule, an issuer of a credit card may change your account number if the account is in good standing, but not if it is closed or charged off. Changing the account number effectively creates a new "card" and the Rule prohibits that once an account is in default.

Methuss,

I did a search on the "credit practices rule" after reading your post. I can't find anything that prohibits the creditor from changing account numbers. Can you point me in the right direction to find the info you are speaking of? The info I found also says that the "credit practices rule" does not apply to banks that issue credit cards. I assume that MBNA is a true bank (Maryland Bank North America). Any help would be appreciated!

Thanks

[credit_on_mars]

I accidentally answered the phone and it was a CA! They threatened to put a lien on my house. Said they sent me 42 letters and answered a DV. Oh yeah, maybe my mail carriers is eating my home work.

I asked if they knew what my mortgage was, they did not know I own it out right. Several other unlawful acts then I called the B a B and told her I was recording the call – she got upset and yelled. The she told me that my wife had applied for a CC with Discover! Oh yeah! My wife was sitting beside me. I

think these bottom feeders are really faruked. I then asked please sue me. Hum, maybe I need to sue them! Several laws she broke. Let's see -- that's $1K each

[Methuss]

Methuss,

I did a search on the "credit practices rule" after reading your post. I can't find anything that prohibits the creditor from changing account numbers. Can you point me in the right direction to find the info you are speaking of? The info I found also says that the "credit practices rule" does not apply to banks that issue credit cards. I assume that MBNA is a true bank (Maryland Bank North America). Any help would be appreciated!

Thanks

My bad. I mixed up a law. It's in the Truth in Lending Act, Section 226.12 (The Credit Practices Rule is section 227.12).

It reads:

(a) Issuance of credit cards. Regardless of the purpose for which a credit card is to be used, including business, commercial, or agricultural use, no credit card shall be issued to any person except:

(1) In response to an oral or written request or application for the card; or

(2) As a renewal of, or substitute for, an accepted credit card.

An account in default, closed, or charged off is not an accepted card by definition because it cannot be used to make purchases on credit. The vendor cannot accept it.

[credit_on_mars]

Don't know why I even talked with those dummies, it has been over a year since I had it out with a CA over my ID theft problems. Someone used my ID to open several CC’s and charge to Moon back in 1995. I moved two times and then did a stupid trick – I sent for my credit report. Up until then I was one of those lost souls where no CA could find me. I had no idea I ow4ed anyone anything because I had paid everything of before retiring. And, having just renewed my security clearances with the Secret Service, USAF and Navy with a clean credit record I was dumbfounded to find out my ID had been used to do such things. It caught up with me so I hired a lawyer to take care of it but some thing no one can do – it will take providence to clean up my record after the theft.

Some things are better left alone. I will consult with my high-priced layer again and file lawsuits against the CA -- this time for much more than a puny $1,000 for each violation. I hate paying lawyers!!!!!

BTW, the SOL in Florida fro CC charge offs or debts is four (4) years -- period. This five year stuff is just that -- bull stuff.

[Methuss]

Maybe I missed something but I didn't see you mention IDTheft before this last post....

Section 609d of the FCRA as amended by FACTA says all you have to do is file an identity theft report with the police and send that to the CA. Once they get it they can't collect, can't report to the CRAs, and can't "sell" it to anyone else.

Since it is past SoL anyways, the only thing you have to worry about is them polluting your credit report. And, this procedure stops that action.

[credit_on_mars]

Well, polluting my report is not big problem. My score is 761 even with those assholes on it. I really will not need credit anyway because I need no credit. I have a credit card and it works great. Only one for small items and Internet stuff, with a low limit so's any would be thief will not steal but a little. I worked on retirement many years ago and now set for life. No bloody credit cards!

[credit_on_mars]

Maybe I missed something but I didn't see you mention IDTheft before this last post....

Section 609d of the FCRA as amended by FACTA says all you have to do is file an identity theft report with the police and send that to the CA. Once they get it they can't collect, can't report to the CRAs, and can't "sell" it to anyone else.

Since it is past SoL anyways, the only thing you have to worry about is them polluting your credit report. And, this procedure stops that action.

It is hard to go to the sheriff’s department after the ID theft took place 10 years ago in another part of the country. I found out about it after I had moved from south Florida to Virginia and to central Florida – 10 years after the fact. The deputy just told me to wait until the sue me then sue them back. Finding out about ID theft 10 years later complicates matters. Discover Financial sued me and ,my lawyer asked for documents. The signed agreement was an obvious forgery with all kinds of misspellings and screw ups and the statements provided were way out of line with out movements. The actually put my current address on all of them and we had not moved here until over a year after the last statement was supposed to have been mailed out. In other words, they had no idea where I had lived but the address the thief gave them! OOPS, thief didn’t know I moved!

So, it ain't clean, cut and dry -- besides my lawyer need a payment on her yacht. I figure we can split all t hose $1K's and make out okay.

[aggravated]

My bad. I mixed up a law. It's in the Truth in Lending Act, Section 226.12 (The Credit Practices Rule is section 227.12).

It reads:

(a) Issuance of credit cards. Regardless of the purpose for which a credit card is to be used, including business, commercial, or agricultural use, no credit card shall be issued to any person except:

(1) In response to an oral or written request or application for the card; or

(2) As a renewal of, or substitute for, an accepted credit card.

An account in default, closed, or charged off is not an accepted card by definition because it cannot be used to make purchases on credit. The vendor cannot accept it.

Thanks Methuss! Makes much more sense and gives me some ammo to fire at MBNA. Party on Dude!

[aggravated]

I see some possible violations by MBNA for opening a new account to replace a charged off account. I don't know what this section of code is called, but I found it while searching for information about the Fair Credit Billing Act. I suspect that it is part of TILA, but cant determine this for certain. Anyhow, here is the link for it and part of the text.

http://www.fdic.gov/regulations/laws/rules/6500-300.html#6500130

§ 127. Open end consumer credit plans

(a) Before opening any account under an open end consumer credit plan, the creditor shall disclose to the person to whom credit is to be extended each of the following items, to the extent applicable:

(1) The conditions under which a finance charge may be imposed, including the time period (if any) within which any credit extended may be repaid without incurring a finance charge, except that the creditor may, at his election and without disclosure, impose no such finance charge if payment is received after the termination of such time period. If no such time period is provided, the creditor shall disclose such fact.

(2) The method of determining the balance upon which a finance charge will be imposed.

(3) The method of determining the amount of the finance charge, including any minimum or fixed amount imposed as a finance charge.

(4) Where one or more periodic rates may be used to compute the finance charge, each such rate, the range of balances to which it is applicable, and the corresponding nominal annual percentage rate determined by multiplying the periodic rate by the number of periods in a year.

{{6-30-05 p.6580.01}}

(5) Identification of other charges which may be imposed as part of the plan, and their method of computation, in accordance with regulations of the Board.

(6) In cases where the credit is or will be secured, a statement that a security interest has been or will be taken in (A) the property purchased as part of the credit transaction, or ( property not purchased as part of the credit transaction identified by item or type.

(7) A statement, in a form prescribed by regulations of the Board of the protection provided by sections 161 and 170 to an obligor and the creditor's responsibilities under sections 162 and 170. With respect to one billing cycle per calendar year, at intervals of not less than six months or more than eighteen months, the creditor shall transmit such statement to each obligor to whom the creditor is required to transmit a statement pursuant to section 127( for such billing cycle.

[aggravated]

Here is a link for the Fair Credit Billing Act (FCBA), Facts for Consumers page.

http://www.ftc.gov/bcp/conline/pubs/credit/fcb.htm

I can't find the section of the act that lists these "Other billing rights". Maybe somebody here knows? This quoted section is only part of the above linked page. Seems MBNA would be in violation of the first rule quoted for certain by opening a new account. I was never notified that they opened a new account when they charged off the original.

Other billing rights

Businesses that offer "open end" credit also must:

give you a written notice when you open a new account - and at certain other times - that describes your right to dispute billing errors;

provide a statement for each billing period in which you owe - or they owe you - more than one dollar;

send your bill at least 14 days before the payment is due - if you have a period within which to pay the bill without incurring additional charges;

credit all payments to your account on the date they're received, unless no extra charges would result if they failed to do so. Creditors are permitted to set some reasonable rules for making payments, say setting a reasonable deadline for payment to be received to be credited on the same date; and

promptly credit or refund overpayments and other amounts owed to your account. This applies to instances where your account is owed more than one dollar. Your account must be credited promptly with the amount owed. If you prefer a refund, it must be sent within seven business days after the creditor receives your written request. The creditor must also make a good faith effort to refund a credit balance that has remained on your account for more than six months.

[aggravated]

Anyone??

[Leadhead]

The FCBA is a sub chapter of the Consumer Credit Protection Act and was enacted by Congress to assure a meaningful disclosure of credit terms so that the consumer will be able to compare more readily the various credit terms available to him and avoid the uninformed use of credit, and to protect the consumer against inaccurate and unfair credit billing and credit card practices.

Use this link, rather than the FTC's little "points" paraphrased, cliff note thingy

http://straylight.law.cornell.edu/uscode/html/uscode15/usc_sup_01_15_10_41_20_I.html