If you get a letter saying that a debt has been sold to a debt collector you may be very worried.
This article answers common questions about what has happened and how it will affect you:
- will the debt collection agency (DCA) be horrible to deal with?
- is it legal to do this?
- do you still have to pay the money?
- what about your credit record?
- what if you don’t owe the money?
Contents
I don’t think this is my debt
The letter doesn’t say what the debt is!
If you get a letter that might be about a debt but it doesn’t give any details at all, it is just asking you to call them, then this is a “fishing expedition”. They don’t really know who the debt belongs to and they are hoping someone will give them their details (date of birth, previous addresses) that will match.
You can usually ignore these vague letters – see Prime Location Services – do I have to call them? for an example.
But I don’t owe this money
When the letter mentions a debt that you don’t think you owe, do not ignore it.
If you have already repaid the debt, tell the debt collector this. Ask them for a Statement of Account for the debt if they say you do still owe money.
If you have never borrowed from that lender, or never used that electricity supplier, reply telling the debt collector to Prove It!
It is the debt collector’s job to show you are the borrower. You don’t have to prove you aren’t. But unfortunately you may need to be persistent about this.
Has the debt really been sold?
A lender will often appoint a debt collector to try to collect the money for them. This isn’t a “sale” – you still owe the money to the original lender. None of the rest of this article is relevant.
If you aren’t sure what has happened, the best thing is to contact the original creditor and ask them if your debt has been sold or not. If you are worried and don’t want to talk to the creditor, phone National Debtline for advice about the letter.
Is the sale fair?
Is this even legal? Why wasn’t I asked?
When a sale happens, everything about your debt remains the same, except that you now owe the money to the debt collector who has bought the debt. The T&Cs of the debt haven’t changed – just who the creditor is.
You won’t be asked to agree to the sale. AndYou can’t object to or stop the sale.
You agree to the original terms when you borrowed the money or opened the account. In the small print, there will have been a clause that said that the lender can “assign his rights” to a third-party. This is the legal term for a “sale”.
Your debt can be sold if you are in debt management or you have an arrangement to pay. It may not feel fair if the lender accepted your monthly offer and you are making the payments as agreed, but legally the lender can still sell the debt.
There is one exception here. If your lender subscribes to the Standards of Lending Practice and if they had previously been shown evidence that you have mental health problems or critical illness, your debt should not have been sold. Most banks and many major credit cards are subscribers. Go to your local Citizens Advice if you would like help with this situation.
How much was my debt sold for?
That will depend on the state of your account. A debt where you have paid token payments or nothing for a long while may have been sold for very little, just a penny or two in the pound. If you are making regular payments then it will have been sold for more.
You won’t be told what your account was sold for. The sale is a commercial agreement between the seller and the buyer.
This may seem annoying or unfair, but the debt collector and the original lender are not doing anything wrong by not telling you the sale price.
The price the debt collector paid for your debt is irrelevant to you. It doesn’t affect the amount that you now owe. You still owe the full amount but now to the debt collector.
If the lender has been paid, why do I owe anything?
The original lender has had the debt settled by the DCA. But you now owe the money to the DCA instead.
Think of this example. You borrow £200 from your sister for some car repairs, agreeing to pay her back £50 a month. But she suddenly needs all the money immediately, so your dad gives your sister the £200 and you repay your dad instead. Same debt, same repayments. You borrowed from your sister but now you don’t owe her anything but you do need to repay your dad.
This is pretty much what has happened with your debt being sold. Your debt stays exactly the same, you just owe it to a different person.
NB This example isn’t an attempt to explain the legal contractual obligations – it is an analogy illustrating why you now have to repay someone else.
I want to carry on paying the original lender
You can’t do this. You don’t owe any money to the original lender anymore.
Has this reset the 6 year period for becoming statute-barred?
No, this hasn’t changed anything about statute barring:
- if the debt isn’t yet statute-barred, the 6 year period carries on, it doesn’t start again after the sale. But if you were hoping the debt would soon become statute barred, the debt collector may push you to make a payment or go to court for a CCJ if you won’t. See “My debt has been sold, just when I thought I was out of the woods” for your options.
- where you have been making payments, this debt will never become statute-barred.
- a debt that is already statute-barred will continue to be so after the sale.
Read Statute Barred Debt – Common Questions because statute barring is complicated.
My debt has now been sold to another debt collector!
This happens. Sometimes several times. There is nothing you can do about it.
Sometimes the debt collector is going out of business. In 2022-3 there was a very big transfer of debts from Hoist to Lowell for this reason.
If you have been paying the previous debt collector, just start paying the new one.
What will the debt collector do?
Will the debt collector be difficult?
You may find that debt collectors are as easy to deal with as the original lender. Indeed they may be more likely to freeze interest or accept a full and final settlement offer!
If you had a payment arrangement with the original lender, for example in a debt management plan, you just need to offer the same amount to the debt collector.
There are regulations to make sure that consumer credit debt collectors behave fairly. All debt collectors handling credit card, overdraft and loan debts have to be regulated by the Financial Conduct Authority and if you have problems with one, the Financial Ombudsman will look at your complaint.
Unless you ignore the debt collector, it’s unlikely that you will get phone calls at work.
Will they come to my house? send bailiffs?
Bailiffs can’t be sent until the debt collector has got a CCJ (see below) and you are not making the CCJ monthly payments. this is very unlikely unless you ignore the debt collector.
In theory, a debt collector can send someone to your house. They have no more right to enter your house and take your things than the postman has. You don’t have to open the door to them.
As a result, this is pretty rare. It isn’t going to happen unless you ignore the debt collector, and even then it’s pretty unusual.
Can the debt collector take me to court?
Legally, yes. The debt collector now has all the rights that the original lender had and this includes applying for a County Court Judgment (CCJ).
You don’t have to worry that this is going to happen straight away. The debt collector would rather reach an agreement with you for monthly payments and not have the cost and bother of going to court.
But in 2022, there were nearly 900,000 CCJs. Many of these CCJs are for quite small amounts – much less than a £1,000.
Very few original lenders go to court for a CCJ – they usually sell the debt and let the debt collector take you to court. You may have been ignoring the original creditor and all that has happened has been a few emails and letters. But if you ignore a debt collector they are much more likely to take you to court.
How much can you pay to this debt?
I already have a payment arrangement in place for the debt
If you have a debt management plan, tell the DMP company. They will switch your monthly payment to go to the debt collector.
Where you have set up the payment arrangement, you need to ask the debt collector for their bank account details so you can start paying them.
I can’t afford to pay anything as I have arrears on important bills
Explain this to the debt collector. Most of them will let you have a break from paying if you have priority debts.
DO NOT PANIC and offer too much
You should only offer what you can afford for regular monthly payments. Not the maximum you think you can stretch to next month.
Never borrow money to try to pay a debt collector. This is an already defaulted debt where interest should be frozen. You will make your situation worse by borrowing more money to clear this and paying interest on it.
If you have been ignoring this debt, this is a good point to review your whole situation and your possible debt solutions.
If you aren’t sure what to offer, or feel a debt collector is trying to push you to pay too much contact your local Citizens Advice. Or phone National Debtline on 0808 808 4000,
But I now have two defaults on my credit file!
Debts are usually already defaulted before they are sold. When it is sold the original creditor will mark the debt as settled with a zero balance owing and the debt collector will add the debt with the same default date that the original creditor used.
So now there are now two debts with defaults on your credit record. You may be alarmed because that looks bad.
But the debt isn’t being double counted because one of the debt entries says that there is zero owing.
And when your credit rating is calculated, only one of the two debts is counted. So your credit score will not get worse because you now seem to have two defaults.
Options when you cant pay bills & debts
Threats of court – are debt collectors bluffing?
Ask for the CCA agreement for old debts
Gidas says
Due to my personal circumstances I was unable to repay my credit card and a personal loan to HSBC BANK PLC, last paymen and the last contact with HSBC was 10 years ago in 2008. Recently I have received a letter from Robinson Way Debt Collectors, stating they have taken over my case and I need to contact them to arrange the repayment (total of 2900£)
I should mention that my personal loan that I took from HSBC years ago had the PPI that was sold to me for around 700£. I still haven’t claimed the PPI( I am aware that this can be done till 2019 August) I would like to clear my debt now, but not sure where to start now. Should I make the PPI claim first with the HSBC and then contact the Robinson way debt collectors, or just contact them in the first place and tell them that HSBC has sold my debt to them with the PPI, meaning they have sold an account to them with incorrect amount as the PPI has to be excluded from the amount that I originally own to the bank. Any help is much appreciated.
Sara (Debt Camel) says
Are you absolutely sure you haven’t spoken to HSBC about these debts OR paid anything to them OR already made a PPI claim for them in the last 10 years?
Gidas says
Dear Sara, I am absolutely sure I had no contact with HSBC Since 2008 or any debt collectors in 10 years, I am aware that Robinson way is not the first debt collections company trying teir luck, but I haven’t responded to any correspondence from them or previous debt collecting agencies. Also did NOT claimed PPI yet, and now thinking if I should do it. I’ve changed my bank to Lloyds in 2008 and banking with them fomthen. At first I had a bad credit for 6 years then my credit file was deleted and I was able to to get new credit card with Lloyds. Only recently (month ago) my debt was sold to Robinsons way debt collectors and I started receiving letter from them. I understand that my debt may be statue barred as I had not accepted my debt by contacting bank or debt collectors all this time, but it is still a debt and makes me feel bad about it so I just want the advice what acctions to take or how to approach the debt collectors to repay my debt avoiding addictionl big APR%
Thank you a lot for your response.
Sara (Debt Camel) says
These debts are almost certainly statute barred. It is up to you if you want to pay them, but legally you don’t have to.
The law which makes these debts time-barred is there for a very good reason – after so long it is very difficult to prove how much you actually owe. If you asked the debt collector to produce the Consumer Credit Act agreements for the debts, they may well not be able to find them. So the law says creditors have to take legal action within 6 years to prevent this sort of situation.
I have written an article on Statute Barred debt here: https://debtcamel.co.uk/statute-barred-debt/. There is a letter in there that you can write to Robinson Way saying the debt is statute barred.
One good option for you would be to talk to National Debtline about this. You can phone them on 0808 808 4000. See what they say. Perhaps you could decide to send the statute barred letter and see how Robinso Way reply?
At this point you probably don’t have to worry about the debt collector adding more interest. National Debtline can talk to you about this too.
If you claim PPI it may only reduce the amount owed rather than be refunded to you, so if you do decide to claim PPI you shouldn’t use a claims company, or otherwise you would still have to pay their fees. Resolver https://www.resolver.co.uk/rights-guide/ppi-reclaim is a good and free service to help with PPI reclaims.
Gidas says
Thank you very much for your advice.
KAREENA LAHAYE says
Have to agree-My daughter had debt with Argos, passed to Calbot-they raised a Court case. Told them & Court they needed to provide evidence that the agreed sell of debt was notified to my daughter by recorded delivery, despite the fact she made payments to them-case got stayed(put in a drawer) as Cabot cannot provide this evidence, so Court cannot make a decision. After 6 months, they tried again, with more threats-yet 3 months later-nothing-no revised Court case. I got info to follow this route from this site-so thank you and be brave, challenge them, they sure do not like it.
paula swainston says
Hi, I have a debt of my credit file which is due to be statue barred in November this year, I have today received an email form original creditor informing me that the debt has been sold to Lantern. Will lantern add this to my credit file with a new default date on? I’m paying off some debts through stepchange token payment plan, would it be better for me to add this debt to it or ignore until November when it’s statue barred. I just getting back on track with my credit file so don’t really want to run the risk of getting a last minute CCJ. Thanks
Leoni says
Hi Sara,
In November 2016 I took out a contract phone with giffgaff which use ratesetter as the lender. I was paying regularly but direct debit until it suddenly stopped. I tried to ring up and pay and set up a direct debit again and I was told on the phone that the wrong date of birth is on the account therefore I couldn’t pass their security and access my account! I tried ringing them numerous times and I was told the same thing, they can’t do anything… bye! Eventually someone told me to email a picture of my passport to them so I did. They said they’ve updated the account but the debt has now been sold to debt collectors!! I’ve opened an official complaint with them but I’m not entirely sure what I’m expecting the outcome to be. My argument is that they have literally gotten me in financial debt as well as all the extra charges, late payments, fee’s etc that will be added on, even though it was their own fault! Do you know where at all I stand with this? I have no idea, it’s seriously stressing me! Thankyou x
Sara (Debt Camel) says
Were your payments going to Giffgaff or RateSetter? You don’t mention your credit record, but this is another thing you need to worry about I am afraid – do you know what is showing, you need to check all 3 credit reference agencies, see https://debtcamel.co.uk/best-way-to-check-credit-score/.
Leoni says
The payments were to going to ratesetter, they are an external company used by giffgaff to take out contract mobile phones. I use clear score for my credit report and this has reflected significantly bad on mine.
Susan says
Hi ge money sold our account to arrow global in july2016 GE MONEY advised me today this account was defaulted in 2011 when I contacted ARROW to confirm this they advised no default was registered, they have requested eligible confirmation from GE l have spoken to GE MONEY today also who have advised me account was sold to ARROW therefore l must contact ARROW
Something doesn’t sound correct Is there anywere l can go to get confirmation of this
Sara (Debt Camel) says
Does the account from GE money still show on your credit report?
Susan says
It has been marked as satisfied
Sara (Debt Camel) says
That suggests it doesn’t have a default date on it, or it would have dropped off. Send a complaint to GE and say they have told you on the phone on dd/mm/yy that the account was defaulted in 2011, which is when it should have been according to the ICO guidelines, but that they never added a default date to your credit report. Attach a copy of your credit report showing this.
Susan says
Thanks for your advice l will do that
susan says
Hi
Have just received a call from GE Money to advise that the information i received concerning a default was incorrect(same details were given to me by 3 members of staff) ie DEFAULT NOTICES ISSUED AND NO DEFAULT WAS EVER ISSUED? I find this strange as l was on the understanding when 3 payments were late a default is issued ,so ge money were reporting on my credit account from 2011 late payments x 6mths they sold the account to Arrow Global in 2016 who have continued to report this same information
is this against the law
Sara (Debt Camel) says
Well it’s not against the law but you could reply saying it is against the ICO guidelines and so ask them to add a default back then, or you will send your complaint to the Financial Ombudsman. make sure they are treating this as a complaint and say you want a reply in writing to you.
Susan says
I spoke to GE MONEY they advised there must have been a valid reason as to why they did not default our account , they also advised it was continusly behind with payment therefore I will write to them requesting a valid reason and lodge a complaint
Sara (Debt Camel) says
“We did this so we are sure we must have had a good reason” oh well, send them a formal complaint and ask them to add a default date. Also point out you feel their customer service has been very poor as you have been told three times that GE had added a default, so either their systems are so poor that customer service can’t see what had happened, or they didn’t bother to check the details at all.
Tracey Dixon says
Hello.
Some advice needed please. I’ve been contacted by Lowell’s. I’ve contacted them and the debt is from British Gas from a flat I own. I have never lived in the flat as it’s always been rented. The outstanding bill is for £522.19 for gas/electric. I’ve contacted the letting agent as this flat has been fully managed by them for the past 12 years. The bill covers a time when the flat was empty. It is from 14th Nov-15th Dec 16. It appears that the letting agent has given British Gas my name, but the bill was sent to the rented flat. I’ve never received a bill. Firstly a bill for £522.19 for a month for gas/electric is ridiculous. An empty flat would at most use £20. Secondly it could well be that the letting agents have given the wrong meter readings. I have asked for the bills to be sent to me, through the debt agency, and I’ve also asked the letting agent for the meter readings. Is there anything else I can do? I do think that the letting agent is at fault as to put a bill in my name and not tell me is stupid and the outstanding amount is just ridiculous. The debt agency have asked me to make them an offer to settle, but i want to explore all my options first. Thank you.
Sara (Debt Camel) says
Pointing out that a bill of that size for an unoccupied flat is highly unlikely seems the best approach. I suggest you tell the letting agent to resolve this as the meter readings cannot be right.
Jim says
Hi Sara – hope you can help with this one. Im in a DMP and currently in the process of trying to seek interest refunds on pay day loans with a number of companies. The majority of my DMP is with for a loan taken out with Barclays circa 2010. There is a default on that account and the debt does not show up on my credit report. I believe the debt for the loan has been sold to PRA group – and payments are being made to them through my DMP each month.
So my question is – If I ask PRA for a CCA request what are my options? If they can produce it does that mean the debt is enforceable even though it was defaulted years ago? Of if they cant produce it do I just stop making payments full stop – or ask for a settlement fee?
DMP if for 9.2k in total – Debt with PRA is approx 8.5k of this.
And if the debt does not show on my credit report – will making a settlement payment show up at all?
Hope that makes sense
Sara (Debt Camel) says
“If they can produce it does that mean the debt is enforceable even though it was defaulted years ago? ” yes – this debt will never become statute barred because you are making payments to it. the fact it defaulted over 6 years ago and doesn’t show on your credit record is not relevant.
” Of if they cant produce it do I just stop making payments full stop – or ask for a settlement fee?” That’s up to you. You can just stop – there is a risk the CCA may later be found but you may think this is tiny! Or you could offer a very low amount to settle it.
“if the debt does not show on my credit report – will making a settlement payment show up at all?” no, it will never reappear.
If you ask for the CCA agreement, can you come back and say if this is successful? Other people will be very interested!
Jim says
Thanks Sara – yes I will ask for the CCA and report back.
Many thanks
Laura says
Hi,
I’ve had a letter today to say that PRA Group are now the legal owners of my NatWest loan (debt) which has also been managed by Wescot for 18 months. Can I find out if NatWest sold this debt and for how much? Can I send a full and final settlement offer?
Laura
Sara (Debt Camel) says
NatWest have sold the debt – they will confirm that if you ask. But they won’t tell you how much for – you have no right to know that.
You can send a F&F offer if you want – how long ago was the account opened, how long ago did you default and are you paying anything to the debt at the moment?
jason nichols says
Hi All
I’m sure this has probably been asked before so apologies if it has. I owe money to Tesco CC and the debt was sold to Cabot. I submitted a claim for mis-selling PPI and eventually they have provided a figure for refund under the Pleven rule, however they have suggested that the refund will go directly to Cabot. Can they do this?
Sara (Debt Camel) says
Yes, this is what normally happens.
Ian says
Hi,
I have been in a DMP since 2013 with 12 creditors, some defaulted me early on and these are already dropping off my file. I have one account that I’m unsure what to do about, it was originally a creation credit card that was sold to Lowell in 2017, it was never defaulted. It is showing on credit file as upto date with a balance of £2000 but a credit limit of £0, this lowers my credit score as my balance/ credit limit ratio is really bad!
When starting the dmp creation agreed a reduced payment and dropped the interest so that when I paid £16 they still charged £15 interest. Every few months the agreements would expire and I would reduce what I was paying as my situation got worse, each time they still charged interest so that I was only reducing the balance by less than £1 per month. Between January 2013 and when it was sold to Lowell in 2017 I paid over £300 but my balance only reduced by £4 as Interest charges were being added along with some other charges.
My question is should I ask for a backdated default to be added? ICO guidelines at the time say when 3 to 6 months in arrears a default should be added but, the statements I was receiving didn’t explicitly say I was in arrears. Does not keeping to the original terms count as being in arrears? Also I think the ICO didn’t see temporary arrangements as a long term solution so should they have defaulted me because my situation wasn’t improving after years of payment arrangements?
Sara (Debt Camel) says
Yes you should ask Creation to add a backdated default. Also I think you should complain about the way they kept adding interest – see https://debtcamel.co.uk/creditor-wont-freeze-interest/. I would send these as a combined complaint but make it clear that you are are complaining about 2 things and what you want them to do to settle each. Send the complaint to the Financial Ombudsman if they refuse.
Debbie says
Hi
I’m currently on a DMP which has been running since June 2016. All of my creditors bar one have defaulted my accounts and backdated these which is what I want as I plan on remortgaging in a few years.
The debt that hasn’t was with NewDay but was sold to Link Financial. This was sold to them in August 2017.
On 30.01.19 I put in a DSAR with aqua asking for information about when the account fell into arrears and if the account was defaulted to which I’ve never had a response.
I spoke with Aqua on 25.01.2019 and was informed the account defaulted on July 2019 and they would send me confirmation of this. Again this wasn’t sent and they confirmed it wasn’t.
I have spoken to Aqua today and was categorically told the debt has been sold so should have defaulted. The advisor called the purchasing team at link who advised there were a number of accounts were sold to them but Aqua had made a business decision to not default the accounts.
So now I’m stuck between a rock and a hard place as Aqua no longer own the account so wont default it but I understand the default needs to be the original creditor.
I really don’t know what to do moving forward as the debt is showing on my credit file with link as payments up to date and if the default is not backdated, will appear when I look to remortgage in the future.
Do you have any advice on where to go from here?
Thank you.
Sara (Debt Camel) says
Put in a formal complaint to Aqua, saying they are treating you unfairly by not adding a default and say you will take the complaint to the Financial ombudsman if they do not add a default. Also complain that you have been misinformed twice by their customer services team who told you that it was defaulted. See https://debtcamel.co.uk/debt-default-date/.
Debbie says
Thank you. I’ll do this first thing tomorrow and get the ball rolling.
Sam says
Hi I went on a debt plan with Harrington brooks end of 2015 with 3 debts. I started missing payments as I was jobless and in an abusive relationship. I then had my debt sold on. Luckily my interest froze with all 3 and I continue to pay minimum. The only thing is am fed up and wondering shall I pay them all off by want a decent settlement payment without it staying on record. I pay £5 towards £350 payment. £23 for about £600 and £59 toward a £300. These are what’s left. In a better situation now but really want to start being financially stable now.
Sara (Debt Camel) says
Have all three debts defaulted on your credit record?
Steve says
Hi there,
A similar question to one above, but I’m just seeking clarification.
I have just been awarded some PPI compensation, by RBS for missold PPI on a loan. It was front loaded PPI added to the interest rate with Pre ticked boxes. So that was straightforward. I’ve been told to expect payment by the 22 April, but to be aware that the payment might be affected if I have been made insolvent, or have debts with the RBS group.
I did have debts with the RBS group until quite recently, however they have sold my accounts to the PRA group and have told me I no longer owe them any money and that I now need to deal with the PRA group.
Can RBS now legally pay the compensation money to the PRA group instead of me? Would this be written in the deeds of assignment? I can’t see how that would be legal, as I no longer owe the RBS anything?
To my mind it would be like the bank seeing I owe British Gas money and then paying that bill off in favour of returning the money to me.
Thanks in anticipation.
Sara (Debt Camel) says
I can’t say what will definitely happen. But in this sort of situation it is common for the refund to be used to reduce your outstanding balance on the debt with the debt collector. The legal “right of set off” still applies when a debt has been sold.
Jackie says
Hi, I pay to a debt collector for a loan I had with natwest (RBS GROUP) and I have just claimed for PPI, they said exactly what you were told, I thought I wouldn’t receive the compensation and was surprised when the fu amount was deposited into my bank. So, fingers crossed, you should receive your compensation too
Jane says
Steve did you get the PPI back from RBS or was it set off against a balance owed?
Debtperson says
Hi Sara Re July 3, 2018 at 10:30 pm comment
Sent letter requesting CCA from Capquest but no response. All went quiet except for a few phone calls-not answered. Then a few more letters increasingly threatening. On 30-3.19 letter from Capquest saying basically they think my financial circumstances will allow me to pay considerably shorter period… “should we not hear from you by 9/4/19 we will pass your account to one of our solicitors to consider commencement of legal action”. Should I resend the CCA request. Foolishly, I rushed off the previous one without getting it signed for. Debt £24k.- no longer on credit reference.
worried sick about this one.
Cabot same day offering 70% off Lloyds overdraft ~£14k and CC ~£3k =~£5.5k which my brother might help with. They are offering 30 days to decide and say partial settlement (obviously won’t go on my credit record but record is irrelevant) and account marked as nil. Can they then sell rest of debt on?
Sara (Debt Camel) says
Did you enclose a cheque for £1 when asking for the CCA agreement? If it was cashed, that is a good sign they got your letter…
Otherwise I suggest you send a new request and send it recorded delivery. Use the suggested format in here https://debtcamel.co.uk/ask-cca-agreement-for-debt/. Do not deviate from the template and do not complicate your request by adding anything else eg about data protection.
The Cabot CC you could also ask for a CCA?
They shouldn’t sell on a debt after a F&F but it’s best to get this in writing, see https://debtcamel.co.uk/debt-options/less-common/full-final/.
Really it would have been better to have followed up the CCA request with Capquest earlier. if they can produce the CCA agreement, you may regret offering Cabot 5.5k. You may want to go slow on the Cabot offer until you know more about the Capquest situation.
Debtperson says
Thanks, Sara
Yes, it did go with a PO but I can’t find the slip; I will send again. Cabot have been fair to deal with; they have given adequate time although it is mostly not CC debt.
Karen Rogers says
Sent CCA request today to Capquest.
As Cabot debt is 80% overdraft did not send CCA request to them. If Cap quest offered 30% settlement I would go for it.
Karen Rogers says
Sent the CCA request as soon as I got the letter and used registered post. They haven’t acknowledged but have sent a letter dated a week later saying as I hadn’t been in touch their solicitor would be contacting me shortly.
Should I be doing anything, urgently?
Karen Rogers says
Letter received back today from Capquest. They say they don’t accept they are the creditor envisaged by the CCA 1974 statute but they are willing to assist in obtaining such. They say they will now process the request of docs from the credit or and will revert in due course.
They say they are suspending collection activity pending provision of the docs.
They also are trying it on again by saying they have returned my £1 (not enclosed) and if it’s not received to contact them.
Should I just now wait? Sounds like they don’t want to accept the request legally.
Am I digging a hole, Sara?
Sara (Debt Camel) says
“They say they don’t accept they are the creditor envisaged by the CCA 1974 statute” this is nonsense – ignore it.
“They say they are suspending collection activity pending provision of the docs.” good
“They also are trying it on again by saying they have returned my £1 (not enclosed) and if it’s not received to contact them.” lots of creditors do now return the £1, but because you provided it you have made a valid request for a CCA and they can’t get out of it by not taking the money.
Yes, just wait. This all sounds perfectly normal.
Karen Rogers says
Many thanks, Sara, for your advice and support. I hope I’m not the unlucky one they can find paperwork for.
Karen Rogers says
Hi Sara. It’s now about 35 days and Cap quest have said they are still looking into my query and waiting for a response from MBNA. Sorry for the delay etc. … …they’ll keep me updated and let me know when they’ve had a response.
I’m waiting impatiently. I wonder if this is a good or bad sign.
Sara (Debt Camel) says
It’s not bad news, it’s no news.
Debtperson says
Got another letter from Capquest saying they are in regular touch with MBNA but have not yet had a response to their request. How long do they have to provide the information. It’s been 3 months now.
Cabot offer has expired, sadly. Many thanks.
LISA TROQUET says
My now ex husband while divorcing me managed to add a bill for a credit card that was in his sole name. I had used a card issued in my name 2 weeks after he left me as I had returned from my mother’s funeral to find he had emptied the garage snd cellar of fine , some were to be presents for grandchildren, catering equipment that had been purchased during our 30 year marriage, our car which I had paid £6,000 for the year before. He would not return the few items I asked him to return nor would he sell the goods and car so we could have half. I gave him further goods and went shopping using my card.
He obviously spun a yarn ( I was recovering from a heart attack and absent from. court) but he was good at saying our when things were bought by me and mine when they were bought by him. So in his mind he say the credit. card as « ours » even though it was very much His.
He is now chasing me for the debt which he was awarded in arrears with 8% interest which was very nasty to begin with and is now serving the debt to my Mothers address because he also managed to evict me and I’m forced to live here and normally he can’t get her estate. This way he can. How can I fight a debt that is his as the credit card is his and he has goods for that amount and more otherwise I would never have done this. He sais I was to get a car from the mobility people or just use my electric wheelchair while he and my ex best friend had 2 de luxe cars
Many Thanks
Sara (Debt Camel) says
It sounds as though he went to court and you now have a CCJ? I suggest you talk to National Debtline on 0808 808 4000 about your options.
Jane says
I have been awarded a PPI payout by RBS but am on a DMP. The NATWEST/RBS accounts are now with other creditors – will I receive the money or will it go to these creditors?
Sara (Debt Camel) says
Sometime it will go to you. Sometimes it will be used to reduce/clear the accounts with debt collectors.
Alison says
I have 3 credit accounts which I defaulted on a few years back. I’m now making payments on these due to receiving calls and letters. Just wondering, why pay it if the defaults going to stay for another 4/5 years?
Sara (Debt Camel) says
Because otherwise you may get CCJs that would be there for a further 6 years and then have to deal with bailiffs or other methods of enforcement?
If you feel you can’t repay the debts in a reasonable time, talk to a debt adviser about your options: https://debtcamel.co.uk/more-information/where-to-get-help/
Simon brock says
Hi I wonder if you can advise.
I had an old payday loan back in 2015 and stopped paying because of a change in circumstances. They have kept marking it as late payment until march this year when they sold it to a third party who have today issued a default notice demanding payment in full TODAY or the default will be registered.
Am I right in saying a debt shouldn’t be sold unless defaulted and also a default should be registered after no more than 6 missed payments?
Also the default notice should give me at least 14 days to rectify it before actually issuing a default against me?
Sara (Debt Camel) says
“Am I right in saying a debt shouldn’t be sold unless defaulted” No – they normally are but they don’t have to be.
“and also a default should be registered after no more than 6 missed payments?” Yes – you can ask the original lender to add a default back in 2015. https://debtcamel.co.uk/debt-default-date/ explains how to do this.
“Also the default notice should give me at least 14 days to rectify it before actually issuing a default against me?” that is for a Default Notice issued under the Consumer Credit Act as a precursor to taking you to court. It has nothing to do with a default on your credit record which is a historical record of whether you made the payments on time.
BUT think about whether you have a possible affordability complaint against the payday lender, especially if you had borrowed from that lender before this last defaulted loan. See https://debtcamel.co.uk/payday-loan-refunds/. If you win this case, your balance may be reduced or wiped out and any negative marks on your credit record removed.
Sophie says
Hi,
I’m trying to get refunds on payday loans that where sold to debt collection agencies. As per your advice on the website I’ve contacted them with my complaint for unfair lending (eg opos) and they just emailed back to say they didn’t agree to the loan in the first place so they don’t have to do anything.
What’s my next step?
Sara (Debt Camel) says
All your complaints need to go to the original lender not to the debt collector. You should inform a debt collector you have made a complaint to the original lender, but settling your complaint is nothing to do with the debt collector.
EXCEPT if the original lender has gone bust. Which may be the case with the opos debt? Was this a minicredit loan? If it was, talk to the Ombudsman about what (if anything) you can do.
Sophie says
Thanks for your quick reply! Yes they have gone bust so I’ll contact the ombudsman. Fingers crossed!
Therese says
Hi,
I had a default with Voda on 2015. Unfortunately, due to unforeseen circumstance and change of address, I only knew about it last year. I kept chasing them since then but initially I cannot go through security because the number belongs to someone else. Finally, we are at the end of it as they managed to find me in their records. They said they have sold this to TDX debt collections agency? Does this mean a default? and also when will the default be registered?
I tried asking for compensation as I have chased them for almost a year but they said that they don’t own this anymore so they cant give me duiscount. Can you help me move forward please?
Sara (Debt Camel) says
Does this debt show at all on your credit records unde Voda or TDX? Check all three credit reference agencies: https://debtcamel.co.uk/best-way-to-check-credit-score/
Michelle says
Hi,
I have been contacted by yet another debt collection agency with regards to a debt that I’ve had for a number of years. This debt has been sold in now for the fourth time – each time I’ve set up a payment plan with the new company, it’s ran for 12 months or so then the debt is sold on again to a different company without notification. I do not miss payments on the plan. I have noticed that the debt is still at the original amount when it was first sold. How do I proceed? At the moment I’ve refused to set up payment with the new company until I’ve sought advice. The debt is about 15 years old.
Thanks
Sara (Debt Camel) says
Can you say what sort of debt it was originally?
Wallace says
I have a Clydesdale Bank credit card which was sold to Cabot about 5 years ago. I requested a copy of the agreement under the CCA 1974 Act but they have failed to produce it. The Cabot lawyer however is still insisting they will take it to court and obtain a decree. They say that a decree is a finding of the court and is different to enforcement. If they are successful in getting a decree it will really mess up my credit rating, any suggestions on what to do? Can they go ahead and get a decree even when they have failed to produce the agreement or do you think this may just be a threat?
Sara (Debt Camel) says
I suggest you:
– read the regulator’s rules CONC 13.1.6 https://www.handbook.fca.org.uk/handbook/CONC/13/1.html
– talk to National Debtline 0808 808 4000 about exactly what you have been told by Cabot’s lawyer
– and ask ND if they think you have grounds to send Cabot a formal written complaint.
You could also post on the Legal Beagles forum: https://www.handbook.fca.org.uk/handbook/CONC/13/1.html
Rebecca Hesman says
I had a debt with PiggyBank who sold it on to Assest Collections. I am paying Asset but PiggyBank say I still owe them 370 for interest that occured when I was with them. Surely if you sell a debt the interest incurred originally goes to the company that has now brought it (asset)
Sara (Debt Camel) says
I suggest you ask PB and AC for statements of account for the debt. See what they produce!
Also look at whether you could make an affordability complaint to PB – see https://debtcamel.co.uk/payday-loan-refunds/
Rebecca Hesman says
I have made a claim against PiggyBank for a mis sold loan which I won and they offered my £370 as a gesture of good will. However they have said I wont get a penny as they will use it to pay off interest incured on my debt…yet the debt was sold to Asset in 2016. I dont know where I stand or how to fight this. As I said if a debt is sold surely any interest that was added was also sold ? Thank u for your reply
Sara (Debt Camel) says
ok, let’s work out what this refund SHOULD have been…
How many loans did you have from Piggybank? exactly which loans did they agree to refund?
The last loan – how much did you borrow? how much did you pay to PB for it if anything? how much have you so far paid to AC? what is the current balance with AC?
Mandy says
Hi,
I injured my shoulder and missed some payments with 118118 because I had no work. I called today and they said they have sold my debt to a different company and cannot make payments to them. They won’t tell me who or give me their number as I wanted to make catch up payments. The problem I have is I moved to Australia all the details they have for me are incorrect they will not be able to find me but I want to pay and 118 cannot give me their details what can I do? Also there is £5300 left to pay is it eso able to offer a payment if £600 a month or will they expect more. I was previously paying £400 with 118118 before my accident. Thanks
Sara (Debt Camel) says
That sounds like a very large loan. Were the £400 a month payments affordable?
A debt purcahser has to take what you can afford. That could be £50 a month or less! The chance of them wanting more than £400 is very low! You could just wait and see if you are contacted by a debt collector. Put the £400 a month or whatever you can afford into a savings account so it’s there if/when you are contacted. If that is a while you may be able to get them to accept a lower amount to settle it.
If you are desperate to start paying (not sure why you would be?) you could send 118 money a written complaint that they have not informed you who the debt has been sold to.
Alan Power says
Hi,
Tesco bank credit card contacted me by letter that they had transferred my credit card debt last year to a debt collector with inaccurate information. This incorrect information was also sent to the central credit register. They advised that they had already transferred the debt to the debt collector but had registered it as a tesco bank debt to the CCR. The debt collector was in contact in the last year many times threatening all sorts with regard to the debt. Do I have any standing on having the debt wiped out on data protection abuse and contact the Information Commissioner’s Office or is this a mistake and that’s just the way it works. Many thanks, Adam.
Sara (Debt Camel) says
what was inaccurate?
Elaine Cardy says
Please can you help I’m at my wits end. Mortimer Clarke are chasing me for money for a very old debt. Initially they said a company is applying for a ccj. I notified them that it is statute Barr as it’s over 10 years old but they came back and said company applied for ccj 3 years ago so it’s not statute Barr. I have honestly not received any correspondence relating to this for over 10 years. I sent a letter back advising them of this . They now want my medical history, details of my GP , details of income and state they will apply for attachment of earnings. Well good luck with that, I’m disabled and have recently had a major operation. I have not worked for 10 years and am in arrears with my mortgage because the mortgage company keep giving the DWP the wrong info. I’m stressed enough with the arrears on my mortgage and am scraping by just paying what I can to put food on my table and pay a little towards my mortgage. Now I’ve got Mortimer solicitors breathing down my neck. Please can you help.
Sara (Debt Camel) says
Hi Elaine, so do you already have a CCJ? If you aren’t sure, have a look at a free credit report.
T Woodentop says
Hi Sara
Great website I’ve learned a lot. But hope you can advise on my debt that has been sold to Lowell financial who are now badgering me with letters and phone calls. From Feb 2012 to August 2013 I lived in a rented property however I don’t remember what water rate payments were made. Lowell’s have found me 2 -3 addresses later saying I owe 470 pounds for the period of Feb 2012 to march 2014. Obviously the date discrepancy could be challenged, but before I acknowledge or ignore the debt my understanding was a default would need to be applied. Would this be automatically applied at the last bill date? I.e. around the time I moved out and therefore if this reaches 6 years in 10 weeks, could I feasibly ignore this until August 2019 before telling them the whole debt is statute barred? If I challenge the dates now or in August would this acknowledge the debt?
Your advice would be much appreciated. Thanks
Tom
Sara (Debt Camel) says
I suggest you ask for copies of the Water bills saying you have no knowledge of owing any money. You can’t sensibly talk about defaults until it’s established why you do owe. Water debts do not becaome statute barred until 6 years after the date on the bill, so this is what you need to know.
Leyla says
Hi Sarah,
Sorry didn’t know where to post this. Since subscribing to your blog I have kept a close eye on my debts and credit accounts and I m now sooo confused and really dont know what I m doing anymore.
I have just logged into my clearscore to find that a company is about to record a default on my credit file- I have researched this and seen that these are debts I defaulted on in 2012, however the lenders didnt add this to my credit file and I had no visibility of these debts. Please advise on what I m supposed to do. I feel cheated in some way as I have managed to deal with most of my debts as we speak and to now find a debt collections company try to reset dates? I had around 10,000 in debts with more that 18 Lenders- mainly payday loans and a big one from Provident that I could never ever keep track of due to a divorce and having 3 children to take care of on my own. Please advise how I can ever get rid of all this and avoid these surprises? I keep getting conflicting data :( sorry for the long post. Thanks
Sara (Debt Camel) says
who were the original lenders?
Also if you had a lot of payday or Provident loans, have you looked at making affordability complaints? See https://debtcamel.co.uk/payday-loan-refunds/ for payday loans and https://debtcamel.co.uk/refund-doorstep-loans/ for Provident. If you win a complaint you could get a refund of the interest you paid and it’s likely that the debts will be deleted from your credit record.
Lee Jukes says
Hi,
I have received a letter from Cabot Credit Management Group which tells me:
We own your bluestone hire purchase/conditional sale. We recently confirmed you’re living at the above address, we need to make sure you know we’re responsible for managing your account and receiving your future payment.
I have no idea who Cabot or Bluestone Hire Purchasr are – especially the £8124.84 they say I owe??
What should I do?
Any help would be very gratefully received!
Sara (Debt Camel) says
Bluestone would probably be car finance? If you have never had a problem with any car finance then I suggest you send Cabot a Prove It! letter, see https://debtcamel.co.uk/prove-it/
Don’t ignore this – it is easier to sort out now than fight a court case!
Lee Jukes says
I’ll have a look into Bluestone – I’ve just bought a car with a loan from my bank.
Before that it’s been 10 years or more since I had another car on finance. Weird – I’ll send a prove it letter.
Isn’t any debt older than 6 years null and defunct anyway?
Seems odd!
Sara (Debt Camel) says
“Isn’t any debt older than 6 years null and defunct anyway?” it’s more complicated that, see https://debtcamel.co.uk/statute-barred-debt/
Andy says
This one has got me confused.
I have been paying a nominal fee on a very old debt, now the DCA has been sending me letters saying ”up to 75% off” an offer I would take if I could afford it. They have been sending these over many years.
The last two however have been delivered via signed for delivery which has me worried, is this normal ?
Sara (Debt Camel) says
No point in worrying about it. I think you are proposing to ask for the CCA agreement which sounds sensible if they are very old.
Joyce says
Hi Sarah,
I defaulted on my Halifax account some years ago and the debt was passed to Wescot Credit Services in 2013. I have been paying Wescot a monthly agreed amount with no problems. In January 2019 I recieved a letter from Wescot advising me that the remainder of my debt is now being managed by Link Financial Services. The letter is of an advisory nature and explains that Wescot are contacting me out of courtesy and that I do not need to do anything. As my current payments will continue to be made by direct debit. I have adhered to what is requiree of me and changed nothing where my payments are concerned. However when I logged onto Totally Money to check my credit rating in February I noticed that I had two late payments listed for both January and February 2019 against my Link Financial account. I wondered what was happening as my Direct Debit is still active and the account is up to date. I called Link Financial and they advised me that they have been receiving payments and there shouldn’t be a problem. But, I have been marked with two more late payments and my credit score is plummeting. I have written to Link and logged a complaint about this and I am waiting to hear from them. I am trying to understand why this has happened. I am fearful that all these logged mispayments could result in another default on my credit file.
Please can you advise.
Many Thanks.
Sara (Debt Camel) says
Did Halifax add a default date to the account? Was it sold to Westcot or were they just collecting on behalf of Halifax – if it was sold, Westcot should have added the debt to your credit record, did they?
Smon says
Hi,
I have recently been in a payment arrangement with 118 118 money, who have now sold the debt to Moorcroft. The letter I have received states the debt is just over £4k. I think this must be incorrect. 118 118 front load all of the interest so that at any point the outstanding balance is capital + interest. If you settle early they will rebate the accrued interest less a (28/56) day early settlement fee. My loan agreement with 118 is due to expire in January 2020. So my query is, surely the debt should be what the settlement figure is as at now? I can’t, but if I could settle the full balance now, I would be paying more interest this way?
I wanted to check if this makes sense before quering with the DCA.
Sara (Debt Camel) says
A statement about a loan balance will assume you are going to pay it to the end. It doesn’t assume you are going to settle this now.
You had problems with this 118 loan – do you think the monthly repayments were just too high for you to manage? You might like to read: https://debtcamel.co.uk/refunds-large-high-cost-loans/ and think about making an affordability complaint. This complaint would go to 118, not to Moorcroft. If you win the complaint, your balance would be reduced so you only have to repay what you borrowed, with no interest.
Simon says
I was in a payment plan for almost a year for this loan. This loan was my 3rd loan from 118 (this was a top up of loan 2). I have already submitted the affordability complaint and the 8 weeks will be up on the 11th of June. If the complaint is upheld, even only on loan 3, the full balance will be cleared as the capital element has already been repaid.
CU says
Hi,
My husband has recently received two letters from Cabot stating they have instructed Global Debt Recovery to manage his account, then two letters from GDR telling him how to make contact and where to make payments. Both letters state the original lender was HBOS (on both letters, two separate amounts). The two GDR letters make reference to ‘escalating this to our collections department’ if they do not receive a response in 14 days. My husband does not recognise either HBOS debt, he previously fell in to default when he was younger (15-20 years ago) but believes this may have been with Lloyds, he is of a mind to ignore the letters for now. However, they are worrying me. I am undecided whether a ‘prove it’ letter is the way forward, or move straight to statute barred if we receive anything further. I am assured that he has not acknowledged the debt at any point and every element of the statute barred seems to fit (if indeed they have even been written to the correct person, they could well be fishing).
Any similar experiences out there, or experience of dealing with GDR? Any advice gratefully received.
Sara (Debt Camel) says
As he doesn’t seem to recognise this debt, I suggest a Prove It! letter and then decide what to do next when you see what they send in reply. https://debtcamel.co.uk/prove-it/
CU says
Thank you Sara – appreciate the response. Just got to persuade him to send the letters now, he is of a mind to ignore the letters being sent, I would prefer he took some positive action. We have had another letter today stating that it has reached the collections department and asking for contact to be made to ‘prevent further contact’ but we certainly won’t be making telephone contact.
CU says
Sara, one more question if you will – relating to the above. My husband does not recall default notices being served (although if these debts are his very very old ones he probably won’t remember) can the debt collect agency issue default notices out of the blue?
Sara (Debt Camel) says
these old debts are not going to reappear on his credit record if that is what he is worried about. I think he is over-thinking this. Just send the Prove It! letter.
CU says
Thanks Sara, he flatly refuses to engage with them by sending the Prove It! letter. He is happy to wait and see whether he receives a Letter before Claim and complete the required forms asking for the relevant documentation at that point. I will update if/when this happens.
This is a really great site, thank you.
Eman says
Hi Sara,
I’ve received a letter from Lowell offering me a 70% discount on my balance to clear and settle the account. (This came out of the blue) I’ve been making token payments to the account and have confirmed that a signed application form does exist so I believe the debt to be enforceable.
I’m tempted to bite their hand off on the offer, should I call them and request in writing that they confirm the payment will be full and final and the remainder of the balance wont be sold on? I don’t see anything in the current letter to confirm that, only it will be clear the balance.
Sara (Debt Camel) says
If they said “clear and settle” in the letter, then that should be ok, but if you aren’t sure, yes, ask them to confirm it.
Eman says
Thanks Sara, to be clear on the letter it states;
Thank you for your regular repayments. As you’re one of our valued customers, we’d like to give you the opportunity to settle your debt more quickly.
70% discount offer
If you contact us by *date* to arrange to settle this account in up to three payments, we’ll give you a 70% discount. This means you’ll pay *amount* to settle the account.
If your account is being reported to the credit reference agencies we will mark any default as partially satisfied, when paid, to show a discount was accepted. If you pay by installments, the discount is applied upon receipt of your final installment.
Call by *date*
We”ll accept *amount* to settle the account.
If settling the account is not affordable for you at present, you can disregard this letter and just keep making your regular payments as usual.
We look forward to hearing from you.
Sara (Debt Camel) says
That sounds ok to me. Make sure you keep that letter for 6 years though just in case you are ever contacted in future!
Eman says
Thank you Sara, invaluable advice as always!
Remi says
Hi I have a question in regards to two markers on my credit file, I have spoke with the original creditor (very) and they have advised they sold the debt to Lowell some time ago… however my credit markers for both are different amounts orgnial being with very is at £566 which i admit I completely ignored and the Lowell being £346 as I started making payments when it was sold to them. however both markers remain the for the same debt at two different amounts, I’m now in a position to clear the balance fully and my payment is being refused by Lowell as they are saying they have closed the account please could you advise me on what action I could take to get this corrected and if so any template letter I could send
Thanks in advance
Rem
Sara (Debt Camel) says
Is there a default date on the Very debt? on the Lowell debt?
Remi says
Hi Sara thanks for getting back to me yes they both have the exact same default date
Sara (Debt Camel) says
Ok so both will drop off 6 years after that date.
It won’t make any difference to your credit score what you do with this debt. If Lowell won’t take any money, you could just leave it.
Or you could write them a letter saying in that case you would like them to settle balance if the debt go zero.
Deb Sergeant says
Hi Sara
I have a twelve year old DMP, all debts dropped from my credit score a long time ago; they are all credit card/over draft debts and one loan (original amount 25k when I worked for a high street bank – I won’t go on about the bad advice I was given when my husband was laid off). All the debts have been passed back and forth between the original lender and DCA’s/management companies such as Lowell/Cabbot/Wescot and some have been sold. I want to know why the original lender bothers to do this and then takes back management, only to give it away at a later date. This cycle continues.
It must cost the companies money to do this so I have been trying to find out why it happens so regularly – maybe I have much older debts than most ?
I have never sent the CCA letters, despite being 99% certain the original lender of the largest debt will not have a copy of the original agreement. I get sent offer letters regularly, however my financial situation is such my payments started at 198 a month, reduced to 98 about 5 years ago and I’m currently paying 36 a month.
Thanks in advance
Deb
Sara (Debt Camel) says
Your position has got worse. But some people’s position improves – child care costs stop, get promotion, inherit money, move in with a partner with no debts etc. So creditors keep trying as sometimes they get paid.
Why not send those CCA letters for the old cards and loans, not the overdrafts ? https://debtcamel.co.uk/ask-cca-agreement-for-debt/
Joolz says
Hi.
My husband had a debt with o2 which has been sold to moorcroft now both have been marked on his credit file for different amounts can they do this, Also we have rang up for a settlement figure but moorcroft hold different amounts to what is on the credit file how can this be? Also if we are going for a mortgage would it be better to partially settle these debts or settle in full?
Sara (Debt Camel) says
Ask for a statement of the account so you can see what is correct. Credit records are often not updated frequently. See https://debtcamel.co.uk/dmp-partial-settlement/ for the mortgage question.
Joolz says
Ok thanks. Can these debts be marked on twice on the credit file? Also the debts are lower on the credit file than moorcroft are stating. Surely they couldn’t have increased if we have been paying them off.
Sara (Debt Camel) says
Its normal for there to be a debt from the original lender and one from the debt opurchaser. they should have the same default date.
Ask for a staement of account, then think if that is right, then get it settled. I suggest you don’t get distracted by theoretical problems about why the amounts are different on credit reports, tackle the underlying issue then make sure the debts show as satisied on your credit records.
Karen says
Hi Sara
I have 2 Newday credit cards and I have been paying £5 a month off each card at the end of last year they went in default this year one card in January and one card in Fabuary I was paying the £5 off each card before it went into default the Newday credit cards have stop all my interest on the cards but nothing is comeing of the amount I owe is this right
Thank You
Sara (Debt Camel) says
Have you asked them for a balance? it may be they are just not updating your credit record every month.
Alex says
Hi
I got a letter in December from PO Box 189 Huddersfield, it was from a DCA saying they have a debt they think could be mine please go online and register an account user BG a reference number. I only recently moved back to the UK having spent the 6 years in Spain and France, and am 100% sure I have not missed a payment or incurred any debts, I have no credit cards or credit agreements, all my bills are paid and up to date.
I ignored the letter as I am confident the debt either predates my leaving the UK in November 2012 in which case it is expired as I have not heard from them in the last 7 years, or the debt belongs to someone else with the same name.
I heard nothing till last week when another letter from same company arrived, and another again this week, this time I returned to sender unopened. Now the question is this the right action to take?
Alex
Sara (Debt Camel) says
who is the debt collector?
Alex says
Company is called Lowell but as they are not a company I have ever heard of assume they bought the debt in question
Mo says
Hi, so I was made Bankrupt and had put on the Insolvency Register in 2005 – One of the debts I had then was from a MBNA credit card for 16k.
Today I got a letter through the post, at my current address which is different from the old address saying that Capot has passed on my debt to someone else and they are asking for repayment.
I am unsure of what to do as this debt should have been written off, it it just a case of them telling me they moved the debt to another agency and they don’t know I was made Bankrupt – if so should I ignore it or reply to them.
Can they legally try to get me to repay this amount?
Thanks
Sara (Debt Camel) says
No they can’t. Reply saying you went bankrupt in 2005. Give the date, court and bankruptcy number if you still have the details.
(In any case the debt would be statute barred and its highly unlikely the creditor would be unable to produce the CCA agreement for the debt. They are just trying this on even if you hadn’t gone bankrupt.)
Jim says
Hi,
I recently got a letter from Opos Ltd saying that they’re collecting for JS International LLC – TalkTalk Legacy. The amount is fairly small (<£100) and dates back to Jan 2017. I did hold a TalkTalk account and TalkTalk have recently confirmed that they did sell this debt and it is related to me, however they will not provide details of why the charges were made as the debt has been sold. As far as I remember the contract was terminated gracefully and no further charges were due. The current dca has no details to offer on why I was billed, and from reading this forum it looks like TalkTalk are still responsible for providing this information, could you confirm and if possible advise on any wording I might use to persuade TalkTalk that they're still obliged to give detail on the reason for the original charges?
Thanks.
Sara (Debt Camel) says
Send TalkTalk a written complaint to concerns@talktalkplc.com, put COMPLAINT in the subject line and say that you are disputing that you owed any money on your account and you want an account statement and an explanation why there is a balance. If that doesn’t get anywhere, tell them you want to make a Subject Access Request for a copy of all your personal data.
David says
Hi Sara,
I just recieved a telegram type letter from Wescot Credit Services. The letter does not say what it is about and who it is from instead these are represented by numbers and letters. The letter does ask me to contact them. The last time I recieved letters from Wescot was about a year ago just after my debt relief order was cancelled two weeks before it was due to finish because of a benefits back payment. At that time Wescot were representing Nationwide who were one of three companies to which I owed credit card debt. At that time, Wescot sent me three letters the last one of which offered me a much reduced payment sum to clear my one debt. However I was unable to take them up on this offer as it would have left me wide open to my other debts one of which was for a much larger sum. To give a brief summerly I ignored all of Wescot’s letters and nothing happened. Here I am one year later recieveing another. What should I do? My plan was to wait until they said they were going to take me to court after which time I woud inform them that I intended to go bankrupt. I have no assets and I am on Universal Credit with limited capacity to work.
Sara (Debt Camel) says
With no assets and a limited capacity for work, bankruptcy sounds like a sensible option. How long will it take you to get the bankruptcy fees together?
You could offer them a token £1 a month, or reply saying you cannot afford anything,
The other thing you could try is to ask Westcot for the debt to be written off. This isn’t usually an approach that works (see https://debtcamel.co.uk/debt-options/less-common/write-off/) but in your case you can argue:
– that you tried to resolve your debt situation with a DRO
– that it was not your fault the DRO was cancelled
– that your health means you are unlikely to ever be able to replay the debt (supply medical evidence about this)
– that writing the debt off is the responsible thing for a lender to do in this situation.
David says
I should be able to have the bankruptcy fee by the 27th of August providing the D.O.W.P don’t reduce my benefits before then as I am once again going through the UC50 and ATOS medical assessment process. Though my UC50 is not due to rech them before the 12th of August so I am optimistic. I will follow your advice as in telling them that I have nothing while asking them to write it off. But first I will wait and see as to what other letters they send. If they get serious with court them I will go bankrupt as I have no means of paying them back as well as nothing to lose.
Paul Knowles says
Hi there, Sara.
I’ve received a letter from Mortimer Clarke about their intention to issue a CCJ. They contacted me initially on 23rd Jan 2018……I requested Proof of Debt and Last Payment which I have now received back on the 14th June 2019!!17 months later! The debt is wtih HFC for £331 pls charges added so £416.
I am living with my partner now. I’m basically a House Husband and i help her with her Dog Grooming business. I am registered as Self Employed but i don’t take a drawing. Everything is in my partners name. I have no Credit or Bills in my name.
I spoke to them and said i already had a CCJ for £5700 and that i had no income. He game me instruction to contact National Debt Line. He put the account on hold for 35 days and has told me to contact again before this time ends.
What should I do? I have no official income of my own. I already have a CCJ that i can’t pay.
Thank you.
Sara (Debt Camel) says
If your partner’s business is profitable, it is usually sensible to be paid for this as you would have no NICs or tax to pay below a certain amount.
Talking to National Debtline seems a good option for you. If you don’t want to have any income to pay the debts you could look at insolvency options.
Wendy says
Hi Sara, I spoke with you in June 2018 as the debt management immediate financial had stopped trading leaving my husband owing one debt to Bank of Scotland for almost £10000. The original preference account was taken out 1997, and he defaulted and eent to debt management 2011..We took your advice and asked for a true copy of the CCA, and since that time the debt has been dealt with by, Moorcroft, and then CSL working on behalf of The Bank of Scotland…each have sent different paperwork but not a true copy of the original, the paperwork being totally incorrect…we have challenged this each time and in May sent yet another letter asking for a true copy to be sent and unless it was the debt would be unenforceable….my husband did offer to pay £5 per month as a gesture of good will until the paperwork was acquired, but this offer was ignored….Today he has a letter to say that the Bank of Scotland has sold the debt and ownership of it to Cabot, and he must now deal with them….the question now is….as it has actualky been sold does this mean the paperwork cannot be found….so is the debt unenforceble….and should he offer Cabot a token paynent as a full and final offer, or should he offer the £5, that he did originally….any advice forward would be very much appreciated please, Thankyou kind regards Wendy & Philip
Sara (Debt Camel) says
the debt being sold doesn’t say anything about the whether the paperwork can be found or not.
I suggest you tell Cabot that you have previously asked BoS for a copy of the CCA agreement and they have been unable to produce a correct version so you will not be paying anything until Cabot produce a true copy.
Wendy Isaacs says
Thanjyou Sara, I will do that today, and let you know the outcome….regards Wendy…
Emma Robertson says
Hi Sara,
I had an aqua credit card with a limit of 3500.
Went on maternity leave, kept up with minimum payments for a while but eventually due to the financial struggle I contacted them and came to an agreement to pay a lower amount. I was told the account could be placed on hold for a year . Fast forward about 2 payments later and I receive a letter to say my account is with hoist finance and to pay Robinson way which I’ve kept to .
I genuinely thought that my account had been just passed to these companies for a year but upon contacting Robinson way I now realise aqua just sold the debt on almost straight away.
However there hasn’t been a default issued and there isn’t one on my credit file just that it’s now owned by hoist. Am I just lucky?
I’m guessing the best thing to do now is to clear the debt asap as there isn’t and hasn’t been any intrest or fees added on. Should I be cheeky and ask for a reduced settlement?
Sara (Debt Camel) says
If you can clear the debt soon, that is the best thing. They may accept a reduced settlement – it’s worth asking!
Phil says
Hi Sara
Long story – i wont go into but can you shine any light on the following for me:
HSBC Credit Card 13 missed payments but still showing as late payment on my credit report not default. BPO are chasing this, when should this default of been reported?
HSBC current account (overdraft) same as above nothing paid in for 13 months but interest still being added.
What would you recommend?
Thanks
Phil
Sara (Debt Camel) says
See https://debtcamel.co.uk/debt-default-date/ which looks at the issue of what defaults should be.
John says
Hiya ,
I’d be grateful for any direction or opinion on this
I was looking to know if you could advise me on a situation that was brought to my attention through accessing my credit report. , I defaulted on an bank overdraft in sometime ago as a postgrad, 3 month arears , the account was subsequently closed, marked as settled and the debt sold to Cabot Financial. I have never been contacted by Cabot and thus have never aknowledged the debt.
The default is lodged as May 2014, however, I beleive (or would like to) I stopped making payments to this debt in or around Nov/Dec 2013, thus this account should have dropped off my credit report before the year is out.
I am keen to settle this matter as I have recently come in to a position to pay some of the balance off and would like to agree a full and final settlement on the provision that Cabot amend the default date accordingly and the account marked settled.
This raises a few queries for me;
1) What are the consequences for my contacting Cabot on my Credit Report?
2) If they accepted my offer so that the calendar read Nov 13 (d) …etc …Oct 19 (ps), or (s) , would that payment stay on my credit report even if the default dropped off due to 6 years or what would happen.
3) if i waited to after Nov to make this offer and they accepted and amended the date how would that be registered or how long an impression would that leave on my credit report?
Thanks for light shone!
John
Sara (Debt Camel) says
when was the account closed?
John says
By the original bank before it was old to Cabot?
its listed as being in arrears 3 months before settled September 2014,
But I don’t want really go back and get the bank into this, don’t mind it remaining on report with a dispute if needs be.
Thanks Sara
John
john says
Hi Sara,
Is there any update you give to this matter?
Sara (Debt Camel) says
Sorry I didn’t see your reply.
If the default date is May 2014, this debt will disappear from your credit record in May 2020.
If you stopped making payments in Nov/Dec 2013, a default date of May 2014 is reasonable.
harriet says
Hi, I have a dilemma! I am being chased for rent in arears from 2014 after I was asked to vacate the property because I failed to pay one month’s rent due to poor living condition of the property at the time. the council advised that we leave because the housing association was not cooperating or responding to them. our deposit was used to offset our outstanding rent but I recently received a call and an email this this year requesting payment of almost 3.5k. I was told that this is for bringing my tenancy agreement to an end before its end date. its really confusing because I was asked to leave and also the council had tried on numerous occasion to get a response from them. we lived in this house for almost 3 year without heat and had never defaulted on our rent. my daughter new born at the time fell ill numerous times due to the cold condition of the property. at the moment the loan has been sold and I need to know what my options are? thanks
Sara (Debt Camel) says
Hi Harriet, this sounds like an unusual situation.I suggest you go to your local Citizens Advice for help with this.
Nick says
Hi Sara,
my credit report shows I have a TSB £7000 personal loan default since 2015. I am aware that this debt was sold to Moorcraft and I have been paying £18 every month since then. My questions are:
a) if my credit report shows TSB not Moorcroft then who does the debt belong to? Should I continue paying to Moorcroft?
b) if I stop paying to Moorcroft could they get me a CCJ?
c) If I keep paying to Moorcroft could I still get a CCJ?
d) would the debt get statute barren in two years for the fact that I have been paying small amount to Moorcroft?
Thanks
Sara (Debt Camel) says
Are you sure the debt has been sold? TSB may have asked Moorcroft to collect the debt for them. The letters from Moorcroft should make this clear.
If you stop paying, then yes, they could go for a CCJ. They may not immediately. They may sell the debt on and another debt collector will go for the CCJ. But the chances of this debt just being forgotten are very slim.
If you carry on paying then in theory you could get a CCJ but it’s not very likely. It’s easier for them to do nothing and collect about £200 a year with no hassle.
This debt will never become statute barred as you are paying it. If you stop now, it wouldn’t be statute barred for another 6 years and before then you would be likely to have had a CCJ.
Do you have other problem debts as well? You need to think about the overall big picture, not just firefight the individual debts.
Stephen berwick says
G.E Money sold my debt to Arrow Global, I have managed the monthly payments and now been told I have 13 monthly payments left , but over the years I have outstanding charges for late payments with G.E Money At the sum of £2,475.34 I have asked Arrow for a break down of every late payment charge since I took out this loan to the present day because I do not have any information at the cost of each charge just a final figure of £2,457.34 could you tell me am I liable for those extra payments
Sara (Debt Camel) says
How long ago did you take the loan? How long ago did Arrow buy it?
Andy says
Hi Sara
I wrote a long while ago to my D.C.A. asking for my C.C.A. They acknowledged the request and said they were sending away to the original creditor, but that it could take several weeks.
I’ve been patient and waited the (literal) several weeks, but as yet no reply, I have a few questions.
1) Should I send them them an e-mail or letter asking what is happening, and should they acknowledge that they don’t have the C.C.A. (assuming they don’t) ?
2) I have been paying this debt in token amounts for many years, if they took me to court without having the C.C.A. could they argue that as I’ve been making payments I have in fact acknowledged the debt. ?
Many Thanks
Sara (Debt Camel) says
I normally suggest people should wait a couple of months before deciding the debt collector can’t produce the CCA. It sounds as though you haven’t yet got to that point?
It’s nota question of “acknowledging” the debt. That is only relevant for the completely different question of whether a debt is statute barred. Here you aren’t denying owing the debt, it is just a fact that in law the creditor can’t enforce it if you have asked them to produce the CCA and they have not done that.
Garry says
Hello, I have an account that went into default although no default was ever placed on any of my credit reports (I regularly check my reports with all 3 agencies) and no default notice was ever received by myself, when a default should have been placed the account disappeared from all my credit reports – that was 6 months ago and no default was ever put back on my credit report. I’m not disputing that I owe anything as I know for a fact that I do, I just don’t believe the account the DCA are trying to claim for me is mine.
The account was sold to a DCA within a week of when I estimate the default should have been placed with the credit reference agencies. However, I’m not sure the account the DCA is claiming from me is my account, the credit card number is wrong and the balance owed is also wrong. Unfortunately I did make a few small token payments to the account before I realised there was an issue with both the account number and the balance owed.
I’ve made the DCA who purchased the debt aware of this issue but they don’t reply to any of my correspondence by either post or email. They didn’t even reply to my requests to make a token payment.
I’ve made a complaint to the DCA (who have acknowledged the complaint was received and are investigating). Should I also make the original creditor aware of this issue? And what would be the best way to proceed with this issue?
Sara (Debt Camel) says
I would wait and see what the DCA comes back with.
S.Bapu says
Hi,. O2-Telephonica UK Ltd wrote that I owed them money and they have now sold my account to a DCA.
O2 never attempted earlier to contact me directly and instead surprised me with this action.
In June I went to O2 store on the High Street and was offered a better deal if I convert my Pay as you GO SIM to a monthly contract.They signed me up but 24hours later I was still unable to get connected as it showed on my phone that there was no network.I went back to the store the next day and they swap the SIM card to a new one.The same problem happened for the 3rd time.After 3 SIM changes and still no network connection I demanded that they switch me back to Pay as you GO which they reluctantly did and I got connected!
On the 6th July I received an email from O2 stating that “Your Airtime Plan is: £115.29 We’ll take payment in: 14 Days”.
I immediately contacted O2 on their Chat line and after being pushed around to 4 different departments I finally managed to be in touch with a staff from the Monthly Pay dept.The gentleman after hearing my arguments referred to his manager who than agreed to waive and cancelled the plan.
I insisted to the gentleman that he reconfirm that I would have nothing to pay which he did as well as telling me to cancel the direct debit instruction of my bank.
I have the transcript of our chat conversation printed to prove this.
Who should I contact,O2 or the DCA?
PLEASE TELL ME WHAT I SHOULD DO NEXT.
THANKS
Bapu
Sara (Debt Camel) says
I suggest you send a written complaint to O2, asking them to confirm that your contract has benn cancelled and you do not owe any money. Then you tell the DCA that you deny you owe any money and send them a copy of the complaint you sent to 02.
S. Bapu says
Dear Sara
I wrote to O2 as you had suggested and they have now taken action to recalled their claim and recall the debt action with the DCA.
Thanks again.
S.Bapu
Andrew says
I have recently complained to the Financial Ombudsman regarding an old debt (now at 30k). I have received an answer from the DCA (TBI) advising that they are willing to lower the interest from 8 to 3%. My questions is is it worth returning to the Ombudsman asking for this to be reviewd or to accept the lowered interest?
Sara (Debt Camel) says
What sort of debt is this? How old?
Zoe says
Hello,
I have an old debt with Halifax from 2015 which was sent to capquest which I have been paying £20 a month toward.
I requested my CCA agreement from Capquest. They replied last week saying they had requested it from the company.
This week they have sent through a document and a rather aggressive letter accompanying it.
They have sent me a photocopied two sided letter which claims to be a CCA with the accompanying letter.
However one side of the two sided photocopy holds my pre typed personal details noting page 4 of 8. The opposite side states some clauses and holds a signature of mine. Noted it’s page 3 of 21 so isn’t part of the first page.
There is a stamp on the signature page saying received 18 september 2008 when I took the card out. However the signature is dated 2009. So essentially they have created their own document.
Their covering letter states they can reconstruct the CCA as lung as the signature is genuine. I’m sorry but surely this is fraud?
Could you advise me here? Thank you
Sara (Debt Camel) says
See the section in https://debtcamel.co.uk/ask-cca-agreement-for-debt/ which looks at what to do if you are not sure you have been sent an adequate CCA.
Olly says
I have been paying token payments for a debt for nearly 6yrs. what is the situation of the debt after 6yrs do I have to keep paying the token payments
Sara (Debt Camel) says
Read https://debtcamel.co.uk/paying-old-debt/ which looks at this subject.