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  • FIRST POST
    • MSE Andrea
    • By MSE Andrea 18th Nov 16, 1:05 PM
    • 8,464Posts
    • 20,703Thanks
    MSE Andrea
    Struggling with debt? Ask a debt advisor a question
    • #1
    • 18th Nov 16, 1:05 PM
    Struggling with debt? Ask a debt advisor a question 18th Nov 16 at 1:05 PM
    If you need help with your debts, this is the thread for you.

    Trained advisors from StepChange Debt Charity (formerly CCCS) are here and waiting to answer your debt questions. Theyíre a friendly bunch so please donít be shy!

    There are three ways to get in touch:

    1 - Simply post your question below and Richard, Allen, Rachael, Linsi or Kirsty will reply. If your question is about bankruptcy, then pop over to the Bankruptcy board.

    2 - If you would prefer to ask a question in private, feel free to send a message to StepChange Private Messages.

    3 Ė StepChange Debt Remedy is a free and confidential online debt advice tool. You can put a budget together at your pace, and you can also talk it over with an advisor through online chat.

    If you're a StepChange Debt Charity client already, please contact its Aftercare team rather than posting in this thread (their contact details are in your Welcome Pack).

    This is discussion thread part four, see parts one, two and three.

    Finally, follow @MSE_Forum on twitter for debate and discussion on all things MoneySaving and more.

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Page 23
  • StepChange_Linsi
    Hi Cath

    Welcome to the forum and thanks for your post.

    Before a creditor can pass or sell a debt to a collection agency you have to have defaulted on your account and a default has to be registered on your credit file.

    A default stays on your credit file for 6 years. The record of the debt will be removed from your credit file 6 years after the default was registered, even if youíre still repaying the debt.

    I understand from your second post that this debt is quite old. If First Trust defaulted your account more than 6 years ago the debt will have already been removed from your credit file. Assuming the default was registered over 6 years ago, it canít be added to your credit file again just because a new company is collecting it.

    The exception to this would be if the collection agency decided to take further action such as applying for a CCJ (you can find more information about this on our website). For this reason itís really important that you donít ignore this debt.

    As you donít agree with the outstanding balance Iíd recommend you contact First Trust and ask them to clarify the discrepancies. If you still disagree with the outstanding balance or feel youíve been treated unfairly you can then make a complaint to First Trust.

    You can contact First Trust in writing or call them. Whichever you decide to do, itís best to keep a record of who youíve spoken to and the dates youíve corresponded. If you do make a complaint but youíre not happy with the response from First Trust, you can escalate your complaint to the Financial Ombudsman.

    While youíre doing this itís also a good idea to contact the collection agency to let them know whatís happening and come to an arrangement to repay the amount you do admit to owing.

    I hope this helps,

    Linsi

    12th Aug 17, 9:27 PM
    CATH3070
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    Hi all. Can someone please help me. I was paying off an old first trust bank overdraft now with a balance of 300. Today I got a letter from the bank to say they sold the debt to asset link capital at a value of 919. Why have they sold it at the wrong amount? it's not on my credit report. I'm scared to ring them incase it ends up showing on my credit file as I'm getting ready to apply for a mortgage. Should I just ignore this altogether. If I rING it might alert them that my last payment was on in June 17 and they add it to my file then it'll ruin my score and show for 6 years. I'm so stressed worrying about this. I thought all was ok as I was paying it off, but looks like they haven't even taken in to consideration the 600 quid I've already cleared . Please help
    Originally posted by cath3070
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • sourcrates
    • By sourcrates 14th Aug 17, 12:09 PM
    • 11,952 Posts
    • 11,441 Thanks
    sourcrates
    Before a creditor can pass or sell a debt to a collection agency you have to have defaulted on your account and a default has to be registered on your credit file.
    Originally posted by StepChange_Linsi
    Hi Linsi,

    This has always been my understanding also, i hope you dont mind me butting in here, but an increasing number of posters are telling us their accounts are been sold on without the issue of a default notice, or a default been registered on there credit file by the original creditor.

    I just wondered how widespread this might be, and what actions (if any) can the debtor take in this situation.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. I'm a volunteer to help the boards run smoothly, and I can move and merge posts there.
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Legal advice see : http://legalbeagles.info/
  • StepChange_Linsi
    Hi


    I donít think this is something we come across on a regular basis but Iíll certainly mention it to our Social Policy team.



    My understanding is that a debt regulated under the Consumer Credit Act can only be sold or assigned to a collection agency after a default has been registered.



    If a default wasn't registered but then passed on the debtor would be best speaking to the original creditor first and if needs be escalate the issue to the Financial Ombudsman.



    All the best,



    Linsi

    Hi Linsi,

    This has always been my understanding also, i hope you dont mind me butting in here, but an increasing number of posters are telling us their accounts are been sold on without the issue of a default notice, or a default been registered on there credit file by the original creditor.

    I just wondered how widespread this might be, and what actions (if any) can the debtor take in this situation.
    Originally posted by sourcrates
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • head above water
    • By head above water 15th Aug 17, 10:59 PM
    • 56 Posts
    • 55 Thanks
    head above water
    I am wondering what happens to a DMP at retirement age when income will drastically fall ?
  • StepChange_Allen
    I am wondering what happens to a DMP at retirement age when income will drastically fall ?
    Originally posted by head above water
    Hi there

    Thanks for posting.

    That's a very good question, and the answer depends on your circumstances. If you're a client with us it'd be a case of calling in and amending your budget with a debt advisor and then re-assessing your options. This'd be in a very similar way to when you did a budget initially and the advice would be on the same basis as back then; seeing what options you have to deal with the debts.

    I hope that makes sense.

    Allen
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • kairiozuki
    • By kairiozuki 22nd Aug 17, 5:39 PM
    • 11 Posts
    • 0 Thanks
    kairiozuki
    So, gonna give some of the backstory.
    I was living in UK for 8 years, And now i am in debt for 16k £. I had decent job, and was paying every month for around 500£ for the last 3 years. However, recently i lost my job, gave it some thoughts and decided to go back to my homeland. Parents getting old and have some health issues, so planing to take care of them as well. I decided to move out before i have to pay for another month of rent, since job-hunt might take a while and get me even deeper in debt.

    So i am moving out in a week. Job back home gonna be only 450Euros a month. i have no way of paying off my debt. i tried to apply for DRO but it takes some time, and didn't got decent answer yet. If my application for DRO fails, what should i do?

    I did StepChange Dept remedy, and it says that they'll send me a post with application for DRO. how long that takes? will i get it in a week? what else i have to know about StepChange and it's DRO process?
    • atlinford
    • By atlinford 22nd Aug 17, 9:15 PM
    • 8 Posts
    • 3 Thanks
    atlinford
    Hello,

    I am looking for help/advice. I completed the Debt Remedy questionnaire on the SC website and it has told me to budget, however I still feel as if I'm completely buried.

    Below is a list of my creditors and the monthly payments;
    - Halifax Personal loan = £438.31
    - 118118 money = £234.92
    - Barclays Partner Finance (0%) = £50.01
    - Evolution Money (Secured) = £465.98
    - Wonga 6 month flexi (£613) = £164.75
    - Lending Stream (£838) = £194.91
    - Sunny (£720) = £134.67
    - Black Horse (PCP Car) = £278.24
    - Halifax Credit Card (£989 balance) = £29.94
    - Aqua Credit Card (£2101.64 balance) = £68.92
    - Capital One Credit Card (£182 balance) = £182
    - House of Fraser Store Card (£830.11 balance) = £31.18
    - Next Store Card (£1908 balance) = £102
    - Very store card (£1239.97 balance) = £2 currently
    - Cash Plus credit card (£84.16 balance) = £10 currently
    - Halifax overdraft = £3000 regularly used to its limit. Fees are currently about £55 a month however this is changing from 1st of November and will double.

    I currently have £1200 of priority bills (such as mortgage etc) and if I include the car and secured loan it is £1930 in total.

    I earn on average £3200 after tax a month, however this is highly overtime reliant, which is a constant stress.

    Please advise

    Thank you
  • StepChange_Rachael
    Hi

    Thanks for your post.

    Iím sorry to hear you lost your job and itís left you in a difficult position.

    A debt relief order (DRO) is a type of insolvency. The application once completed, with the help of a money advice service like StepChange and the fee paid, is then sent to the Insolvency Service to review.

    The Insolvency Service will then decide if the application is accepted or rejected.

    The application is sent via email straight away from Debt Remedy but you can request it by post following the email link, this can take 3-5 working days.

    The application takes approximately 6 weeks but this can vary as the fee needs to be paid before the application can be sent and some people need longer to save towards the £90 fee. The fee is set by the Insolvency Service for the application to be processed.

    Youíll see in your personal action plan that the DRO lasts for a 12 month moratorium period and changes in your financial situation could impact the DRO, although having less money available is unlikely to impact it, positive financial changes could.

    As youíve also mentioned youíre moving home, I assume from what youíve mentioned this is outside the UK, I think itís important to speak with our DRO team if this is the case. It's important to make sure any changes wonít impact the application before going ahead. You can find our contact details here.

    If a DRO is rejected by the Insolvency Service youíd lose the fee and would need to find an alternative way forward to deal with the debts, StepChange can help discuss the next steps if that is the case but we'd only recommend and put a DRO application forward if we believe it will have a good chance of success.

    Weíll hope to hear from you.

    Take care
    Rachael


    So, gonna give some of the backstory.
    I was living in UK for 8 years, And now i am in debt for 16k £. I had decent job, and was paying every month for around 500£ for the last 3 years. However, recently i lost my job, gave it some thoughts and decided to go back to my homeland. Parents getting old and have some health issues, so planing to take care of them as well. I decided to move out before i have to pay for another month of rent, since job-hunt might take a while and get me even deeper in debt.

    So i am moving out in a week. Job back home gonna be only 450Euros a month. i have no way of paying off my debt. i tried to apply for DRO but it takes some time, and didn't got decent answer yet. If my application for DRO fails, what should i do?

    I did StepChange Dept remedy, and it says that they'll send me a post with application for DRO. how long that takes? will i get it in a week? what else i have to know about StepChange and it's DRO process?
    Originally posted by kairiozuki
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
  • StepChange_Rachael
    Hi

    Thanks for posting on the forum and detailing your debts.

    Youíve mentioned that youíve completed Debt Remedy, Debt Remedy lets you access your personal action plan which details our advice and recommendations based on your situation.

    However, Debt Remedy may suggest reducing areas and sometimes it will ask you to contact the team to discuss these areas before being able to access your personal action plan. Ultimately you will be able to access our advice and this wonít only be advice on how to budget, it will include advice and solutions to deal with your debt.

    Iíd suggest speaking with the team who can take a look at your Debt Remedy budget to help you access our advice and your personal action plan.

    The information youíve included in Debt Remedy will give us a full picture of your financial situation and appropriate solutions.

    You can log back in to your Debt Remedy tool and access our contact details here.

    Thanks
    Rachael



    Hello,

    I am looking for help/advice. I completed the Debt Remedy questionnaire on the SC website and it has told me to budget, however I still feel as if I'm completely buried.

    Below is a list of my creditors and the monthly payments;
    - Halifax Personal loan = £438.31
    - 118118 money = £234.92
    - Barclays Partner Finance (0%) = £50.01
    - Evolution Money (Secured) = £465.98
    - Wonga 6 month flexi (£613) = £164.75
    - Lending Stream (£838) = £194.91
    - Sunny (£720) = £134.67
    - Black Horse (PCP Car) = £278.24
    - Halifax Credit Card (£989 balance) = £29.94
    - Aqua Credit Card (£2101.64 balance) = £68.92
    - Capital One Credit Card (£182 balance) = £182
    - House of Fraser Store Card (£830.11 balance) = £31.18
    - Next Store Card (£1908 balance) = £102
    - Very store card (£1239.97 balance) = £2 currently
    - Cash Plus credit card (£84.16 balance) = £10 currently
    - Halifax overdraft = £3000 regularly used to its limit. Fees are currently about £55 a month however this is changing from 1st of November and will double.

    I currently have £1200 of priority bills (such as mortgage etc) and if I include the car and secured loan it is £1930 in total.

    I earn on average £3200 after tax a month, however this is highly overtime reliant, which is a constant stress.

    Please advise

    Thank you
    Originally posted by atlinford
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • kairiozuki
    • By kairiozuki 23rd Aug 17, 1:42 PM
    • 11 Posts
    • 0 Thanks
    kairiozuki
    questions
    Dear StepChange_Rachael,

    Thank you for your response. You mention that application was sent straight away from Remedy. so I did finish Debt Remedy and requested Application for DRO got email which says:

    You've completed your StepChange Debt Remedy. You're now one step closer to becoming debt free.

    We'll send you a pack which explains how to apply for your Debt Relief Order (DRO). This will include all the contact details for our DRO Team. They will help and support you while you apply for your DRO.

    Does it means i that application been send or i'll still have to apply for it when i get a pack? if so how long it'll take to arrive? it's little bit confusing.

    In previous email i got my personal action plan, which says to pay a fee, which is also confusing. Biggest question is it says that i have to prepare Proof of Income... I can understand that, but the thing is, i just lost a job recently, and my next payday back in my country gonna be nearly 2 months away, how can i proof any of that? should i wait till i get my first payday back home? if i'll send my old payslip or bank statement, it'll look that i don't need any help with my debt...
    Last edited by kairiozuki; 23-08-2017 at 1:45 PM.
    • Bewildered Banshee
    • By Bewildered Banshee 23rd Aug 17, 2:58 PM
    • 31 Posts
    • 23 Thanks
    Bewildered Banshee
    Hi.
    I'm going to do a dmp as my debt remedy suggested but wondered what would happen with a joint savings account and offset? could a c.c debt offset against a joint account?
    Thanks
    • Scoofie
    • By Scoofie 23rd Aug 17, 5:51 PM
    • 1 Posts
    • 0 Thanks
    Scoofie
    Hi there. I have a hsbc balance transfer card. I am looking to transfer the balance from my very credit card to this new card to save money. Can this be done? Thanks
  • StepChange_Kirsty
    Hi there,

    Thanks for your reply.

    The pack referred to in the email youíve received is the application pack for the DRO. We need you to complete the application pack before we can move you forward with the DRO.

    Often we send this application pack by email so I would recommend checking your junk mail folder in case it has gone there in error. Based on the email youíve received above, the application pack has already been sent so if youíve not received the pack please contact us so we can look into this for you.

    Based on the fact you are due to move from UK in the next week I would highly recommend speaking to our DRO team as soon as possible in order to discuss this further. You can find their contact details here. They will be able to advise if the DRO is still the best option for you considering your changes in circumstances.

    We hope to hear from you soon.

    Kirsty


    Dear StepChange_Rachael,

    Thank you for your response. You mention that application was sent straight away from Remedy. so I did finish Debt Remedy and requested Application for DRO got email which says:

    You've completed your StepChange Debt Remedy. You're now one step closer to becoming debt free.

    We'll send you a pack which explains how to apply for your Debt Relief Order (DRO). This will include all the contact details for our DRO Team. They will help and support you while you apply for your DRO.

    Does it means i that application been send or i'll still have to apply for it when i get a pack? if so how long it'll take to arrive? it's little bit confusing.

    In previous email i got my personal action plan, which says to pay a fee, which is also confusing. Biggest question is it says that i have to prepare Proof of Income... I can understand that, but the thing is, i just lost a job recently, and my next payday back in my country gonna be nearly 2 months away, how can i proof any of that? should i wait till i get my first payday back home? if i'll send my old payslip or bank statement, it'll look that i don't need any help with my debt...
    Originally posted by kairiozuki
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
  • StepChange_Kirsty
    Hi,

    Thanks for your message.

    If you have an account with funds and an account with arrears and both accounts are in the same names then yes the right of set off does apply. This means we would recommend moving the money to a bank you donít have any debts with in order to make sure it is safe. You can find more information about bank accounts here.

    Depending on the amount of your savings, you might want to consider using some of these funds to pay towards the debts in order to reduce the amount you have outstanding. There is very useful article on the main MSE site which talks about repaying debts with savings. If this is something you wanted to do whilst in a debt management plan (DMP), we can give you help and advice. You can find our contact details here.

    I hope this helps.

    Thanks

    Kirsty

    Hi.
    I'm going to do a dmp as my debt remedy suggested but wondered what would happen with a joint savings account and offset? could a c.c debt offset against a joint account?
    Thanks
    Originally posted by Bewildered Banshee
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
  • StepChange_Kirsty
    Hi,

    Thanks for your post and welcome to the forum.

    As a Debt Advice charity Iím afraid we do not specialise in providing advice on balance transfers. You would need to contact HSBC directly to find out if you can transfer the balance from Very to that card. This article on the main MSE site also provides some useful information about using credit cards for balance transfers.

    If youíre struggling with any existing debt we can certainly give you some help and advice on dealing with it. To do this we would need you to complete a budget with us and there are a couple of ways you can access our service:

    ē Firstly, you can use the Debt Remedy tool within our website. This is a self-help tool which will guide you through the process of putting a budget together in your own time. If you have any questions you can call one of our Digital Debt Advisors who will talk you through the process.

    ē Alternatively, if you would prefer to speak to us over the phone, you can call our Helpline on 0800 138 1111 and have a debt advice session with one of our specialist advisors. We are open from 8am to 8pm Monday to Friday and 8am to 4pm on Saturdays. Calls are free from all landlines and major mobile phone networks.

    All the best.

    Kirsty

    Hi there. I have a hsbc balance transfer card. I am looking to transfer the balance from my very credit card to this new card to save money. Can this be done? Thanks
    Originally posted by Scoofie
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • kairiozuki
    • By kairiozuki 29th Aug 17, 3:28 PM
    • 11 Posts
    • 0 Thanks
    kairiozuki
    Dear StepChange_Kirsty,

    I Been told that i can finish off my DRO while i already moved away, as long as you do it in 3 years period. As you suggested, i did contact StepChange DRO Team, and one person looked like wanted to help, and send my all info from previous Debt concerns to Advice Team.

    However, after few days i got a very disappointing advice, which says like:
    As you have permanently moved out of the UK, we are no longer able to provide you with the best advice. We can advise you on the actions your creditors could take to collect debts within the UK or Ireland, but not on the actions they can take in the country youíre now living.

    I recommend you seek advice in your current country and determine the best way forward.

    It doesn't sound that they really keen on helping me anymore. Since i moved out, they don't care what's gonna happen for me... By Debt is UK Based, if i go somewhere in my country who gonna bother to do anything anyway? This is very frustrating... 1 says that you can do it within 3 years after you leave, but when you actually leave over says that he don't care about my debt anymore...
  • StepChange_Allen
    Dear StepChange_Kirsty,

    I Been told that i can finish off my DRO while i already moved away, as long as you do it in 3 years period. As you suggested, i did contact StepChange DRO Team, and one person looked like wanted to help, and send my all info from previous Debt concerns to Advice Team.

    However, after few days i got a very disappointing advice, which says like:
    As you have permanently moved out of the UK, we are no longer able to provide you with the best advice. We can advise you on the actions your creditors could take to collect debts within the UK or Ireland, but not on the actions they can take in the country youíre now living.

    I recommend you seek advice in your current country and determine the best way forward.

    It doesn't sound that they really keen on helping me anymore. Since i moved out, they don't care what's gonna happen for me... By Debt is UK Based, if i go somewhere in my country who gonna bother to do anything anyway? This is very frustrating... 1 says that you can do it within 3 years after you leave, but when you actually leave over says that he don't care about my debt anymore...
    Originally posted by kairiozuki
    Hi there

    Thanks for posting.

    I'm sorry for any confusion that has occurred with regards to your application for a debt relief order (DRO). I have double checked our process and procedures around this and can confirm the following:

    - If you qualify for a DRO via all other criteria, it is possible to still apply for a DRO as long as you have lived in the UK within the last three years.

    - However, we have a policy at the charity now that we can't give debt advice to people that don't live in the UK any more. This is because we can't guarantee that the advice is the best for those people. Debt solutions, debt collections processes and so on vary between different countries, so even though your debt is all UK debt, creditors could use your country's processes to collect it.

    We advise to seek debt advice within your country of residence. However if you wish, you could look to apply for a DRO with a different organisation (intermediary) in the UK.

    I'll send you a direct message with some information on if you'd like to discuss things any further.

    Best wishes.

    Allen
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • andyst
    • By andyst 5th Sep 17, 1:01 PM
    • 1 Posts
    • 0 Thanks
    andyst
    Proving passed-on debts
    HI - I currently have an IVA and am (slowlyl!) paying off debts owed to various banks/credit cards.
    Over the years these debts have been bought/transferred to other companies who have written to me saying they are now handling my debt and to keep paying as normal.
    My question is: I have heard from someone who said that he had various 'sold-on' debts, and filled in a template letter asking the companies to PROVE that the debt they had was his. Apparently they couldn't and he was let off £45,000 of debt.
    Has anyone heard of this, or have I been fed nonsense!
    Thanks!
    • StepChange Private Messages
      Verified User verified user
    • By StepChange Private Messages Verified User verified user 7th Sep 17, 8:59 AM
    • 112 Posts
    • 115 Thanks
    StepChange Private Messages
    Hi

    Welcome to the forum and thanks for your post.

    Creditors can sell debts on and often do once the original contract has defaulted.

    This is less common when the debts are included in an individual voluntary arrangement (IVA) but can still happen. This wonít impact the IVA as itís a legally binding agreement.

    If a debt has been sold on the creditor now collecting for the debt is legally liable to do so.

    If you werenít in an IVA, the new creditor could collect for the debt under the original contractual agreement, but as you are theyíll be bound under the terms of the IVA.

    A creditor will have to provide evidence that a debt is outstanding and that they are legally collecting for the debt, otherwise they won't be able to take further action to collect.

    In most circumstances the creditor will be able to provide this information, particularly as the debt is in a legally binding arrangement through the IVA.

    If youíve any queries regarding your IVA your insolvency practitioner or the Insolvency Service should be able to help further.

    Thanks
    Rachael


    HI - I currently have an IVA and am (slowlyl!) paying off debts owed to various banks/credit cards.
    Over the years these debts have been bought/transferred to other companies who have written to me saying they are now handling my debt and to keep paying as normal.
    My question is: I have heard from someone who said that he had various 'sold-on' debts, and filled in a template letter asking the companies to PROVE that the debt they had was his. Apparently they couldn't and he was let off £45,000 of debt.
    Has anyone heard of this, or have I been fed nonsense!
    Thanks!
    Originally posted by andyst
    I work as a debt advisor for StepChange Debt Charity and have specific permission from Martin to post on these boards to try and help those in debt. Read more information on StepChange Debt Charity in the Debt Problems: What to do and where to get help article. If you find you're struggling with debt and you need further help try our online advice facility Debt Remedy.

    Don't be afraid of getting debt advice. We'll help you take one more step towards getting help with your debt.
    • laurenmarsters
    • By laurenmarsters 8th Sep 17, 2:05 PM
    • 1 Posts
    • 0 Thanks
    laurenmarsters
    Debts
    Hello, I am writing about debts that I have incurred over the past few years. I am only 22 but have 2 credit cards, two overdrafts and a loan. I took out a £4000 loan but my dad needed it more than me so I gave him the money and he hasn't been able to pay me back. I find that I am paying so much out every month in interest but always continue spending on my credit card because I need to by the end of the month. I dont know whether I should look into getting an IVA? or DMP? the problem is that I will be wanting to buy a house in a few years and at the moment I cant afford to save any. I have been speaking to Payplan and they have said that they think an IVA is more suitable, but I dont want it to affect me for years.
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