I checked experian and found something i had forgotten about.

duncans-mum_2

Hi,
I am new to this site, and what Ihave read so far has been great and has got me motivated in to not 'bury my head in the sand'.

Between my partner and I, we are approx 12k in debt.Credit cards, store accounts and car loan. Some in my name and some in his, although these are 'joint debts' We have some good months and some bad (like this one as he is self employed and work sometimes dries up for a few weeks at a time)
I have tried to go through some of the options posted on the site and managed so far to get 3 months half price with Sky, and managed to save £50 on our car insurance which is a start. I would never have thought to ask before.

My question is, on trying to get new credit cards to take advantage of 0% interest on BT's both myself and my partner have been refused for them. I have got my list from Experian and have found an old debt I had stupidly forgotten about. It was originally for Freemans catalogue 4 years ago. At the time was in quite a bad financial situation, and defaulted and the debt was passed on to MCS collection agency to recover. I buried my head in the sand at the time and they stopped chasing and I forgot. The debt then was £300. Now it is on my file for £650 outstanding so interest has been charged. As they haven't chased me, what is my best course of action. I am unable to pay the outstanding balance in one hit. Do I contact them regarding this (and feel really embarrassed that I had not done anything before) or leave it and wait for them to eventually contact me. Or will the debt just keep rising. Surely this is a bit unfair not to remind me and just keep charging interest?

I know I am not faultless in any of my situation. Luckily at the moment all minimum payments I have to make are covered so have no-one chasing me, but it is not allowing me anything left over to actually live my life. ( I even have to get hand outs from my mum sometimes to eat which is great if you can get it, but doesn't help my self esteem much.

I have finished my rant and any feedback/advice would be greatly appreciated, as although my partner is aware of our financial situation, he doesn't like talking about it so is left up to me to sort out. Reading what all you guys say has motivated me to sort stuff out and hopefully feel that I can talk to people who might actually want to listen.

Even if I don't get any response, thank you everyone on this site for taking time to help each other.

x

Bokken_2

hello duncans-mum.
welcome and well done for making it this far there may be a fair way to go but from now on your in charge and that is a great feeling good luck.
Firstly I would say have a good read of the articles across the site so that you understand them before taking action.
i would phone the Freemans and say who you are and that you believe you owe them money and that could they send a statement of your outstanding debt.
Once you know that from them you could then approach them again and make a reasonable offer of payment.If they agree great.If not come back here and well try and help some more.
What ever you offer them should be easiest for you ie.£15 permonth,not what they demand.If they are too demanding walk away and come back here for more ideas or a different approach.
Have a look at the Water,Gas and Electricity boards here and see how much you can save you will be amazed how much extra cash this will free up per month.
keep us all posted with how your doing.

Peppa_Pig_5

Hi duncans-mum welcome to the site. Just an idea, but have you thought about ringing MCS Collection agency and seeing if they will take a full and final settlement. eg. maybe say you only have £350 and would they accept that to settle the account. Then see if there is anyway you could get hold of £350 such as family, or sell things on ebay. The default is then settled and you can carry on with improving your credit rating. I did this with a default in the past and they accepted a lower settlement.

Something to think about and good luck whichever way you go with this.

duncans-mum_2

Thank you both, especially peppa pig, as I had never thought of even suggesting that to them.

I shall be on the phone to them straight away tomorrow. Will let you know how I get on.

Thanxs.

in*the*red_6

Hi duncans-mum

Do you know if you happened to sign an credit agreement with them? I know it was some years ago now so you may not remember but search the forum for other threads on this subject as some people have been able to get their debts written off where no credit agreement was signed (apparently quite common with catalogues)!

ITR

SarahK_3

Just for future, once a default like this is paid off, how long does it stay on your credit file (or affect your credit-worthiness?),
SarahK

davek1

it remains on your credit file for 6 years from the date of default irrespective of whether the default is paid or otherwise

southernscouser

I know this doesn't help with your original question but if you are struggling to make ends meet have a look at this thread and post a SOA and we may be able to help you free up some money!

duncans-mum_2

Since putting in my thread I have actually hunted down any paperwork I had. I was slightly out on dates etc that I first said. And I got the Debt collection agency wrong - sorry)

My Freemans default was 420.00 0n March 1999.
Letter (Default notice) received in Feb 2001 saying I have not paid since 4th January, failure to pay will reult in legal proceedings.no balance given.
Finally I have a letter from a solicitors in March 2001 (Balance 300.00) saying they are instructed to issue County Court Proceedings if I did not make a payment within 10 days!

This is as far as my not so excellent paper trail goes. This goes back to the time of ignoring stuff and chucking things away.

I may be thick but would I not know if I had court proceedings issued against me or does this automatically happen?

I have just spoken to freemans to find out what they could tell me and they said the debt was passed on to Logic?? in June 99 at a balance of £615.00, so I must have paid something way back then.
Not sure what my next step is really. Have spent hours reading through other threads on this forum and not quite sure which way to go. My 6 years from default will be up but not 6 years from my solicitors letter (if that was the last one)

And No I definitely did not sign a credit agreement with these people.
I dont deny a 300 blance, but just scared to open a can of worms.

Just goes to show don't bury your head in the sand for too long cos you'll not remember whats what. I don't want this playing on my mind any more.

x

duncans-mum_2

Also just to add before anyone says anything I am trying to get another experian report but don't have a credit card with any balance and national debt doesn't take debit cards. Will try experian directly to see if they do.

Thanks all
x