DRO - creditors rights... what they can/can't do?
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Incywincy21
Posts: 58 Forumite
Only me again!
So, I am awaiting my experian report coming back (seems to be taking its time - though things always do feel this way when you're waiting on them!).
I wrote to my creditors with a hold letter - I've had about 10 phone calls from one, and average of 5 a day from each of the others.
To be honest, I received a lovely reply from Capital One who just said they were grateful for letting them know about financial circumstances and they're there to help (i'm waiting on progressing with DRO before contacting any further).
However, other creditors have sent quite threatening letters... can anyone tell me what they can/can't do? One in particular has sent a bit of a worrying one.
Many thanks.
So, I am awaiting my experian report coming back (seems to be taking its time - though things always do feel this way when you're waiting on them!).
I wrote to my creditors with a hold letter - I've had about 10 phone calls from one, and average of 5 a day from each of the others.
To be honest, I received a lovely reply from Capital One who just said they were grateful for letting them know about financial circumstances and they're there to help (i'm waiting on progressing with DRO before contacting any further).
However, other creditors have sent quite threatening letters... can anyone tell me what they can/can't do? One in particular has sent a bit of a worrying one.
Many thanks.
SPC no. 462 TOTAL £48.11
SPC11 No.462 Target: £250
NSD May - Acheived: 7 NSDs (Started 21/05/17)
NSD June (Target 15/30) - Achieved: 14/15
NSD July (Target 18/31) - Achieved: 3/18
SPC11 No.462 Target: £250
NSD May - Acheived: 7 NSDs (Started 21/05/17)
NSD June (Target 15/30) - Achieved: 14/15
NSD July (Target 18/31) - Achieved: 3/18
0
Comments
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They can do pretty much nothing.
Who has sent the letter that worries you and what did they say?0 -
Many thanks for the reply Fatbelly
Two have sent me letters that worried me.
I had one from PayPal Credit (a very very small amount of debt (few £s) that could easily have been paid off, but due to DRO application don't want to show preference) who sent me several leaflets one from the FCA (which I gather is standard), but the others were a mixture about going to court and about non payment. Their main letter was in a very threatening tone - I understand I owe them money and I asked them to hold on the account for 30 days but they have details the further charges that I will incur if they don't receive payment by 2/6/17.
Tesco Bank also sent an FCA leaflet (like I say, I gather this is normal) but also say in their letter that if full payment isn't made within 14 days 'steps will be taken to recover the debt' ... by this I guess they mean bayliffs?
It all feels such a mess at the moment!
Many thanks for taking the time to reply!SPC no. 462 TOTAL £48.11
SPC11 No.462 Target: £250
NSD May - Acheived: 7 NSDs (Started 21/05/17)
NSD June (Target 15/30) - Achieved: 14/15
NSD July (Target 18/31) - Achieved: 3/180 -
You are right - you must not show preference in the lead-up to a DRO. The easiest way to treat them equally is to pay them all nothing. The sooner you save your £90 the sooner you can have the DRO.
It does not matter how much they threaten to add in interest and charges - unless you are right up against the 20k limit.
No, bailiffs cannot just be sent in. There must first be a court claim. You get 14 days to respond, you can extend this to 28. Then the court issues a judgement (ccj). If you do not pay, usually within a month, the creditor can ask for a 'warrant of control. The bailiff then has to give you 7 days notice. It's a long process.
What Tesco mean is that if you don't respond to their standard letters they will pass it to an agency who will work through their standard letters.0 -
Many thanks again Fatbelly - that has certainly eased my mind!
They certainly know how to worry you! But fingers crossed the DRO application will be done and dusted before they get very far along the bailiff process.
I am saving the £90 so that as soon as I get the paperwork is sent in and I get the phone call to pay, I can go and do it.
Again, your time and replies much appreciated!SPC no. 462 TOTAL £48.11
SPC11 No.462 Target: £250
NSD May - Acheived: 7 NSDs (Started 21/05/17)
NSD June (Target 15/30) - Achieved: 14/15
NSD July (Target 18/31) - Achieved: 3/180 -
You are right - you must not show preference in the lead-up to a DRO. The easiest way to treat them equally is to pay them all nothing. The sooner you save your £90 the sooner you can have the DRO.
It does not matter how much they threaten to add in interest and charges - unless you are right up against the 20k limit.
No, bailiffs cannot just be sent in. There must first be a court claim. You get 14 days to respond, you can extend this to 28. Then the court issues a judgement (ccj). If you do not pay, usually within a month, the creditor can ask for a 'warrant of control. The bailiff then has to give you 7 days notice. It's a long process.
What Tesco mean is that if you don't respond to their standard letters they will pass it to an agency who will work through their standard letters.
In my case I was advised to pay a first ccj instalment by the CAB prior to a DRO application. It was a very small sum though. The reason they gave was that if the court orders it then you should pay it. However, if your debt is prior to a Money Claim then it's not necessary.0 -
portofcall wrote: »In my case I was advised to pay a first ccj instalment prior to a DRO application.
Not by me .0 -
Standard pay up or else template letters are par for the course, as are the phone calls, it's the cheapest way of contacting you.
Debt collection takes a long, long time, creditors use debt collectors when they lose interest in chasing you themselves.
Bayliffs are a long way off, don't be confused by the fellas you see on the telly.I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter0 -
Many thanks everyone. No payments are being made. Just sitting tight now - hoping Experian report will arrive soon.
Just puts you off guard. This forum is great for peace of mind - very much appreciated.SPC no. 462 TOTAL £48.11
SPC11 No.462 Target: £250
NSD May - Acheived: 7 NSDs (Started 21/05/17)
NSD June (Target 15/30) - Achieved: 14/15
NSD July (Target 18/31) - Achieved: 3/180
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