Proof of Debt Letter to Eversheds ???

scorpio62

Hello all,

I am new to this forum and am wanting advice

I was in an IVA for almost two years which failed in July 2008. During the two years whilst in my IVA, Max Recovery took over my debts. In October I received a "pay in full now or face court action or baliffs" letter from Eversheds who are acting on behalf of Max Recovery.

At the same time, I also received my notice of redundancy at the company I've worked at for 20 years

I panicked at the sight of this letter, telephoned Eversheds the very next day and offered them most of my redundancy as a "full & Final Settlement". I am now making token payments of £5.00 towards each of my four debts until I receive my redundancy payout in January. I didn't stop to think how I would survive financially without a job until a few days later

I have been searching around the internet for advice and also have been in touch with PayPlan who advised me not to give Eversheds anything (just keep paying the token payments) until I find a new job...... which I must say is proving a lot harder than I thought !!

I do now know that Debt Collection Agencies pay a small pitance from "job lot" IVA debts.

I was also advised by very helpful people, to ask Eversheds to prove the Debt, as generally they buy debts for peanuts, do not have original copies of credit agreements and I would then be able to negociate a more suitable full & final offer!!
I have now written the following letter to them

Account: xxxxxxxxx

Dear Sir/Madam,

I understand that under the Consumer Credit Act 1974 [sections 77-79], I am entitled to receive a true copy of the credit agreement and a statement of account on request.
I enclose a £1 postal order in payment of the statutory fee, Postal Order Serial Number xxxxxx which represents the fee payable under the Consumer Credit Act 1974.

You are notified that you are obliged to supply these documents, whether you are the original creditor or not under S189 of the CCA 1974.

Non-compliance with my request is a criminal offence under the above Act and will result in a report being submitted to the relevant statutory authorities.

I understand that under the Consumer Credit Act 1974 [sections 77-79], creditors are unable to enforce an agreement if they fail to comply with the request for a copy of the agreement and statement of account under these sections of the Act.

I understand a copy of any credit agreement along with a statement of account should be supplied within 12 working days.
======================================
I am now really worried that because I am now making token payments, this would make the demand for "Proof of Debt" letter totally invalid.

The lady who spoke to me from PayPlan said she would contact me again in mid January to discuss ways of dealing with my finacial mess but, I am already panicking

Am I doing the right thing by asking for proof of debt??

Any advice would be gratefully appreciated

scorpio62

fermi

scorpio62 wrote: »

I am now really worried that because I am now making token payments, this would make the demand for "Proof of Debt" letter totally invalid.

Not in the slightest.

They are still obliged to comply with the request.

fermi

scorpio62 wrote: »

Non-compliance with my request is a criminal offence under the above Act

Just to add. That bit is no longer true as the law changed earlier this year.

The rest is correct though.

scorpio62

Hi and thanks for your prompt replies. I will change my letters accordingly !!!

scorpio62