Full and final settlement help thread

sourcrates

DrWatson1 wrote: »

Okay, thanks for the info. The account dates back to 2006 - does this mean they have to provide a signed copy of the original agreement?

I'm pretty sure the terms they sent through are just a copy of their current T&C's, and not the ones in place in 2006. Would there be any way of checking this?

It's a bit of a myth that they have to supply the original signed document, they don't, not even for pre 2007 agreements.

A recon is sufficient no matter when your agreement dates from, and there is no requirement for it to be signed.

Where pre - April 2007 agreements differ, is in the terms and conditions supplied, the documents you receive must contain the "prescribed terms", for example, the interest rate, how and when you are to make payment, the credit limit applicable, etc etc.

If those are missing, then it can't be enforced through the courts.

You really need someone to look at what they have sent you, that knows what they are doing, in order to determine enforceability.

fatbelly

The requirements of CCA s 77-79 are most clearly set out in CONC 13, which is available as a pdf here

https://www.handbook.fca.org.uk/handbook/CONC/13.pdf

There was no change to these sections in April 2007, so pre and post this date, the law is the same on those sections.

What happened in April 2007 was that s127(3) was removed, and so earlier agreements that meet the requirements of a s77-79 request may not meet the requirements of s127(3), which are that the agreement must contain the prescribed terms in s61

Unenforceability under any section can be hotly debated so soucrates is right that you really need a specialist on your side if you are going to make those arguments in court.

But sometimes a creditor will agree their account is unenforceable.

DrWatson1

Okay, thank you both for the information. The agreement MBNA sent appears to be just a standard copy, as section 1.1 states "We will chose your initial credit limit and let you know what it is after we open your account", which I assume is not adequate enough cover legally.

I think I'll wait until all my creditors have replied and take stock. I assume the best course of action for any creditors who have not complied with the CCA is to stop making monthly payments and see how they respond? I also assume if they still pursue the debt at that point, then that's the time to speak to a specialist.

sourcrates

DrWatson1 wrote: »

Okay, thank you both for the information. The agreement MBNA sent appears to be just a standard copy, as section 1.1 states "We will chose your initial credit limit and let you know what it is after we open your account", which I assume is not adequate enough cover legally.

I think I'll wait until all my creditors have replied and take stock. I assume the best course of action for any creditors who have not complied with the CCA is to stop making monthly payments and see how they respond? I also assume if they still pursue the debt at that point, then that's the time to speak to a specialist.

It's difficult to say how a creditor will respond to an unenforcability claim.
Some put there hands up straight away, whilst others don't.

Your plan seems sound to me.

marzom

I have sent a full and final settlement figure to Wescott of around 35%. They have sent me a budget form - any problems with me filling this in and sending back or should I refer to my DMP budget agreed with StepChange?

fatbelly

marzom wrote: »

I have sent a full and final settlement figure to Wescott of around 35%. They have sent me a budget form - any problems with me filling this in and sending back or should I refer to my DMP budget agreed with StepChange?

It depends what it shows.

Ideally it shows no surplus income, or at least no more than the amount being paid in your dmp. I would keep it as close as possible to your dmp budget.

I guess they already know whether you pay rent or mortgage, so you're not giving new info there

marzom

Brill! Thanks fatbelly.

Daisypop

Hi
I have asked for cca on 3 debts in July and Have had letters stating would have to go to original creditor. Two have said will suspend collection until then.
I asked Stepchange to cease payments to the 3 in the meantime and explained am trying to arrange full and finals.
They have replied asking me they won't stop payment unless I explain why the debts are in dispute. I have said they are not in dispute but am trying to put myself in the best position I can to pay them off.
I am paying less to Stepchange at the moment than previously as my bOiler broke and I had to lend the money from a relative. I have paid some back but I do still owe a bit. On top of that I have 2 little dogs who have had medical problems, one quite serious and have paid out probably about 2k in the last 12 months and is still ongoing although has settled a bit for now.
I have explained this to SC previously but honestly feel that they don't trust what I'm saying and have to prove this over and over I have done 3 reviews since December and now have to do another one.
Anyone self managed had issues please? Been with SC over 4 years now.
I just want to try and pay things off at a settlement figure I've paid back 17k now and am not trying to say the debts are in dispute. Stressed!

Daisypop

Hi
Just another question. 1st credit have suspended collection until they can get what they need off the original creditor who is Opus, originally Citibank.
I've heard nothing back for about 2 months but today have received a letter from Opus saying they are notifying me of a default but should have done it 28 days before they did default me and hadn't done so. I'm going to check my middle report as am sure they defaulted me 2012 ish which is when I started with Stepchange.

I'm not sure why I would get this now unless they are trying to look at my account to provide the cca request information and have realised they did not notify me of the default? Also the balance at the top of the letter is the balance I owe now to 1st credit so am wondering if they haven't got the relevant info and are trying to get me to carry on paying as the letter also said to either pay the full balance or arrange a payment with 1st credit?
What do you think?

sourcrates

Daisypop wrote: »

Hi
Just another question. 1st credit have suspended collection until they can get what they need off the original creditor who is Opus, originally Citibank.
I've heard nothing back for about 2 months but today have received a letter from Opus saying they are notifying me of a default but should have done it 28 days before they did default me and hadn't done so. I'm going to check my middle report as am sure they defaulted me 2012 ish which is when I started with Stepchange.

I'm not sure why I would get this now unless they are trying to look at my account to provide the cca request information and have realised they did not notify me of the default? Also the balance at the top of the letter is the balance I owe now to 1st credit so am wondering if they haven't got the relevant info and are trying to get me to carry on paying as the letter also said to either pay the full balance or arrange a payment with 1st credit?
What do you think?

I've answered on your other post !!!