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MBNA - Payoff Agreements

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Jeff of The Colony TX (4/21/04):
My MasterCard and Visa accounts with MBNA have been in dispute since September 2003 due to MBNA reneging on an agreement to reduce my interest rate to 1%. Under the agreement, I made payments for 3 consecutive months at a pre-set level (MBNA obviously documented the agreement, as their representative had the payment amounts for each account in front of them when they called to confirm the payments in June, July, and August 2003). At the end of the 90 days, I was told I had to arrange for automatic debits from my checking account at a higher level than had been agreed upon in order to reduce the interest rate to 1%...and the rate would only be reduced for 12 months.

I told MBNA that I had lived up to the terms of our agreement, and that they were breaking the agreement. I refused to make additional payments, as the interest rate seemed to constantly fluctuate on the accounts--both of which had been inactive for at least 4 years. MBNA now appears to have charged off the balance, and sold the accounts to two different agencies. One agency, out of Buffalo, has sent me written notification of assignment via regular mail. The other agency, out of Houston, claims to have sent written notification (no notice has been received as of 4/21/04).

MBNA cited a total balance of approximately $15,000; the agency out of Buffalo has cited a balance of $10,000. The agency out of Houston has cited a balance of $8.000. Neither agency claims awareness, or concern, that the balance is in dispute, nor could either agency confirn what is the true balance owing. In addition, I have filed one complaint with the Federal Trade Commission regarding MBNA, and two complaints regarding the agency out of Buffalo.

Deborah, Ph.D., of Lincoln, NE, writes:
I have been on a hardship program with MBNA for 3 years. I have multiple sclerosis and may have bone cancer. This year came up for renewal so I called when I received my latest statement asking for $115.00 total, with a "late fee" even though my previous agreed amount of $54.00 was on time. I was told to continue making the $54.00 payments for 4 months and my hardship renewal would automatically "kick in".

Did not occur that way. My latest statement demanded even more, so I rang up MBNA and endured their know-nothing hippity hop game. I had to go through about 10 people, none of whom knew what they were doing. I was disconnected four times. Katie said I MUST go through their financial service debt consolidation program, where I put ALL my other debts to death by using MBNA. I spoke to with Renee and said: NO WAY. I spent over TWO HOURS with several "customer assistance experts" until I finally reached someone named Jeff Snow, who said to pay $56.00 a month, upped for some reason from $54.00. And that he would send me some forms to re-apply for this program. He failed to assure me of acceptance.

When I asked him what would happen if I let it go, if I were an evasive dishonest person, he said it would go to a collection agency and that he had "no idea" of what they would do. Garnish my SSI? Shoot me? What would they do? I have NO ASSETS. I had informed MBNA in writing and on the phone that I was severely disabled and sick and would probably die before I could pay them the $4,236.23 I owe them.

Their response was, "That's your problem." If there's a more convoluted, dishonest, serpentine bank/credit card company, let me know. These people don't know what they are doing, they disconnect me when they run into questions they cannot answer, and are not at all forthcoming in giving TRUE and FACTUAL information that comports with other MBNA representatives.

That they lack compassion is obvious. I almost feel like punishing them as they punish me by sending them 10 bucks a month. Just to see what would happen. I've never been evasive with them, they raise their interest rates whenever they please for no discernable reason and it's PUNITIVE.

I can't really afford the $56.00 they demand. I made a similar deal with CHASE for $35.00. They were super. Physically and emotionally, MBNA's Draconian measures and disorganization were a further drain on my rapidly diminishing health and energy. I am the victim of misinformed, lying customer "assistants" who are assisting me into an even more early grave. Thanks MBNA. Hire some humans once in awhile. I'm exhausted, sick with pain and ready to end it all because of these people.

Deborah raises a good point. Death erases all obligations. Creditors would do well to remember this and at least pretend to be a little compassionate when dealing with those who may be nearing life's end.

Donna of Clark NJ (2/22/04):
I have a credit card with MBNA. My husband was out of work for some time and we built up quite a bit of credit card debt. I tried to negotiate with MBNA for a lower interest rate since it was so high and difficult to even make the minimum payment which did nothing for the total balance and was told too bad! They were very rude and when I asked to speak with a supervisor was left on hold and never connected with anyone in charge.

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