DMP Mutual Support Thread - Part 12

unicorndeva · 10 July 2017 at 5:14PM

heavenlyharry01 wrote: »

Wow!
Just received a letter from PRA Group, who have bought our MBNA debt, to say that it's currently unenforceable!
I understand that there are mixed opinions on just ignoring it or offering a 10% settlement figure.
I'm currently paying just £1 per month on this.
Can someone kindly advise if I should continue, offer a 10% settlement (which I am able to) or cancel the standing order and wait to see if they find the documents in the future.

Also I have another question regarding making settlement offers. I have an amount of money which I have split fairly between my creditors, using the calculator on the NEDCAB website.
Should I include the other offers I am making, and the full amount I am splitting between the creditors or just the offer to that creditor? Is it better that they see the full amount of money I have to offer and how it is being split or not?

Many thanks

As the debt is currently unenforceable you have to choose whether to make a 10% offer or go down the 'statute barred' route which will take 6 years from the date of your last payment. Paying 10% (if it's accepted which it probably will be) will get the debt gone for good but make sure you word your offer carefully so that they cannot chase you for the balance at a later date, or sell the debt on to anyone else who can chase you for it.
Statute barred is a bit more complicated (I'm no expert on it) and if the paperwork is found anytime in the next 6 years you will be liable for the full debt again, but if the paperwork is not found you would not have to pay any more money. When you start on this route you will need to be prepared for the debt being chased and all the various different threats/tactics the debt collectors use. Could you cope with the stress that this may cause?

Good luck with it though

motivated · 10 July 2017 at 5:57PM

Hi all

Quick question from me. After writing to Halifax (again) telling them that I will be paying token payments etc. Today I received 2 letters regarding 2 loans. My question is, have I now been defaulted? The letters read:

DEFAULT NOTICE (served under section 87(1) of the consumer credit act 1974.
You must pay £xxx by 28th July. If the action is taken before this date no further enforcement will be taken.

If you do not take the action required further action may be taken against you. We will automatically terminate our agreement with you. We may seek to recover by instructing a debt collection agency and/or take legal proceedings against you. It also says that I should contact a solicitor or my local trading standards department I'm a little worried to be honest

Confused again

M

January2015 · 10 July 2017 at 6:15PM

motivated wrote: »

Hi all

Quick question from me. After writing to Halifax (again) telling them that I will be paying token payments etc. Today I received 2 letters regarding 2 loans. My question is, have I now been defaulted? The letters read:

DEFAULT NOTICE (served under section 87(1) of the consumer credit act 1974.
You must pay £xxx by 28th July. If the action is taken before this date no further enforcement will be taken.

If you do not take the action required further action may be taken against you. We will automatically terminate our agreement with you. We may seek to recover by instructing a debt collection agency and/or take legal proceedings against you. It also says that I should contact a solicitor or my local trading standards department I'm a little worried to be honest

Confused again
M

Don't worry - standard letters sent out automatically. Things are progressing just as they should.:beer:

leanne12345 · 10 July 2017 at 6:26PM

motivated wrote: »

Hi all

Quick question from me. After writing to Halifax (again) telling them that I will be paying token payments etc. Today I received 2 letters regarding 2 loans. My question is, have I now been defaulted? The letters read:

DEFAULT NOTICE (served under section 87(1) of the consumer credit act 1974.
You must pay £xxx by 28th July. If the action is taken before this date no further enforcement will be taken.

If you do not take the action required further action may be taken against you. We will automatically terminate our agreement with you. We may seek to recover by instructing a debt collection agency and/or take legal proceedings against you. It also says that I should contact a solicitor or my local trading standards department I'm a little worried to be honest

Confused again
M

I believe this is the notice they have to send you before they can issue a default, so not defaulted yet but in theory you should be after the date in the letter if you don't pay the requested amount. I'm sure someone will correct me if that's wrong!

Ninarob76 · 10 July 2017 at 7:14PM

Can you explain why requesting a CCA can help when you are in a DMP?
Any help appreciated!
Our DMP due to finish in 2030, but obviously if you have any advice that will help - GREAT!

StopIt · 11 July 2017 at 7:58AM

Ninarob76 wrote: »

Can you explain why requesting a CCA can help when you are in a DMP?
Any help appreciated!
Our DMP due to finish in 2030, but obviously if you have any advice that will help - GREAT!

They establish if the original creditor has the correct paperwork for your accounts. Debts like Overdrafts, utilities (Phones, Energy) and Tax Arrears are not covered.

Those caveats aside, if a creditor is unable to fulfil a CCA request, the debt cannot be enforced in court and is effectively a write off. Any accounts dated before 2007 has to have extra information, the Prescribed Terms of the account.

However, if you're in a DMP until 2030 at least, I'd be looking at other ways of looking at this debt. an IVA, DRO or Bankruptcy would have you clear of debt along with your credit history in 6 years, rather than 23.

[Deleted User] · 11 July 2017 at 9:54AM

StopIt wrote: »

However, if you're in a DMP until 2030 at least, I'd be looking at other ways of looking at this debt. an IVA, DRO or Bankruptcy would have you clear of debt along with your credit history in 6 years, rather than 23.

Don't make it longer than it is, StopIt;). The time remaining on the DMP is 13 years not 23. Still a long time to be on one though, I always believed that companies like SC like them done and dusted in well under 10 years, otherwise they suggest another solution.

I agree with you that it would be advisable for the OP to look at alternatives to a DMP though.

StopIt · 11 July 2017 at 10:04AM

carbootcrazy wrote: »

Don't make it longer than it is, StopIt;). The time remaining on the DMP is 13 years not 23. Still a long time to be on one though, I always believed that companies like SC like them done and dusted in well under 10 years, otherwise they suggest another solution.

I agree with you that it would be advisable for the OP to look at alternatives to a DMP though.

Haha yes, 13, not 23.

Thanks for pointing out the fact that I'm clearly not awake this morning.

The point stands although 13 years isn't half as bad as my horrific maths made it out to be.

Now, can someone get me some very strong coffee?

sourcrates · 11 July 2017 at 11:11AM

leanne12345 wrote: »

I believe this is the notice they have to send you before they can issue a default, so not defaulted yet but in theory you should be after the date in the letter if you don't pay the requested amount. I'm sure someone will correct me if that's wrong!

That's correct yes.

Although they don't always go through with there threats, best to check your credit file in a couple of months to confirm the account has been defaulted or contact the creditor after the 28th for confirmation.

vaper · 11 July 2017 at 12:01PM

Hi folks.
Sorry, stupid morbid question coming up.
Am I right in thinking if anything happened to me my CC debts would automatically pass to my husband?
THank's
Vaper

DMP Mutual Support Thread - Part 12

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