Bank error in my favour - pressure to repay

Ulsterfry

Hi,

My better half incorrectly got paid twice last year by her previous employer. She of course blew the lot thinking they would never ask for it back - I know, I know.......I've told her!!!

Initially, they worked out some terms and she was paying back £100 or £200 per month. The total amount was about £1,500 and there is £700 remaining. Recently her circumstances have changed and she can't afford to pay back very much if anything at present. She contacted the bank (NatWest) and they were very good about it saying that they will send her a letter confirming the details to pay back what she can when she can.

However, today a letter arrived saying: Pay up the full amount or it's going to the debt collector. Anyone have any idea where she stands? Of course she is willing to pay back the debt, but nothing has been signed and there are no agreements in place so can they threaten the Debt Collectors? Is she obiliged to pay it back on their terms or when she can afford it.

Sorry for the long post, not even sure it's on the right board.

Any advice gratefully received.
Cheers,
Ulstefry.

natweststaffmember

Can you explain a bit more, who were her employers and what has natwest got to do with them?

By the way, she was wrong to spend money that was not hers by right.

nichart20

They are probally sending it to debt collectors as she is not able to continue the payments at the agreed amount, has she missed any payments as this will also be a reason for it to go to debt collectors, if she is willing to pay the best thing would be for her to send an income/expenditure form to them with an offer of payment

Gorgeous_George

They probably cannot be bothered to deal with recovering stolen money in dribs and drabs. An agreement to repay is an agreement and any deviation imposes an admin burden on the recovering agency.

Debt collectors are better placed to recover outstanding monies.

GG

danny69

This happened to me, although I paid it back in full as soon as they noticed their error. At the end of the day she knowingly spent money that wasnt hers. I'm not sure where she stands legally on this, but it is the bansk money and they have every right to demand it back straight away. She was lucky to be able to pay it back in installments.It takes a very naive person to think that they wouldnt get found out.

coljacks

Check out who the collection agency is. I used to work for a company who had an internal debt collection agency, Files were passed on if someone refused to pay or could not pay the installment amounts that were recomended. If it is an internal agency- don't panic, they are a lot more flexable than the company itself and are more willing to helpout. The best thing to do is phone them and advise of the situation.

ALIBOBSY

Agree with col, most banks use an internal agency first. Sometimes they even use a separate name to imply they are a separate entity all to threaten and intimidate.
If her change is that she is now on benefits (and I understand you may not want to say), she should be able to negotiate a token payment say £1 a week.
My employers once overpaid me like this and the next month took it back from my wage and left me with nothing (they had told me over the phone I would get a letter re the error and could arrange to pay it over time) I had kept most of the overpayment and hubby had his wage so we could manage.
Bet she won't do it again lol.
ali x

HelsBells_2

Can anyone tell me if I received a payment from a policy that they worked out the final payment and then said they had paid me too much, am I within my rights to offer to pay back in installments? I didnt know how much to expect so what they paid me I spent.