J2 Solutions and a debt that should have been settled.

Someonehelpplease wrote: »

Hi

I wrote earlier as I had received a letter from J2 Solutions and was very worried about it. I am now aware of what it relates to and was hoping for some further advice.

The outstanding debt relates to finance for a car which was purchased in 2003. As mentioned in my earlier post I fell into difficulties, at the time I owed my own home and the finance company placed a charge against my property that when the property was sold, they would be repaid.

The property was sold and handled by a firm of solicitors. It seems that the firm of solicitors however did not repay the charge and instead sent the surplus funds to me (this was not a major amount and went towards setting up my new home which is rented and paying off other debts). I was told this at the time of completion but after several conversations, I was told that it was resolved and the confusion was due to an "administrative error" because the completion happened very quickly.

I have received a letter from said solicitors advising that the debt has been reassigned to them and that I should pay them the amount, which is just over £7k within 7 days. Where do I stand on this? I cannot afford to do this, I am barely managing as it is. Can anyone advise what I should do?

Many Thanks

SHP

Hi SHP - thanks for clarifying the situation so explicitly. It is a bit complicated, but you should not be forced to pay for someone else's 'administrative error'.
Personally, I think that they would, indeed should, settle for a much lower amount in 'full and final settlement', but before you reply to the letter, please hae a word with one of the Debt Counselling Charities:

• National Debtline - 0808 808 4000 - www.nationaldebtline.co.uk
• CCCS - 0800 138 1111 - www.cccs.co.uk/
• Your local CAB

You have not denied the 'debt', but niether was it your fault that resulted in the current situation. It may be possible that some of the responsibility can be borne by the original solicitors. In any case J2 can NOT force you to pay the whole amount within 7 days if you can not afford it. Nor can they pressurize you into making monthly payments at a rate higher than you can afford. If they take you to Court, then you would have, through your 'defence' the opportunity to explain the situation to the Court and to make an offer of payment by instalments, based on your income/expenditure. The Court would decide the amount and issue a Judgement (CCJ) accordingly. Provided that you stick to the payments, then J2 could exert no further pressure on you, otherwise they would be in contempt of Court.

But, please, talk to one of the above debt charities - they will be able to give you the independent, free and professional advice that you need.

I thought the acknowledgment had to be in writting or by payment. As the debt was a formar charge on a house I would imagine it had already been CCJ'd.