Get out of jail free? CCA 1974

mumofthree_2

Hi everyone!

I've heard a rumour that if your creditors cannot produce a signed agreement from when you opened your account then they cannot enforce your debt.

I am now sorely tempted to max my catalogue accounts to get some furniture for miserable, bare home. I understand the moral issues here but frankly I am past caring....both the boys beds are broken and I currently have 2 grand worth of credit on my Next account. Temptation indeed!!!!

If there is a glimmer of hope that I can have the debt written off then, I'm sorry to say, that I will shamelessly max my account!

I don't remember signing anything. I opened the account approx. 8 yrs ago. I must have applied for the account but I don't remember what I sent them.

Thankyou for reading this. Any advice appreciated, even a sound telling off.

Lensman_2

mumofthree wrote: »

I've heard a rumour that if your creditors cannot produce a signed agreement from when you opened your account then they cannot enforce your debt. Without the agreement of the Court

They can still take you to court for a judgement. And you would feel mighty sick if it was given.

I would try Freecycle before doing what you propose.

Actually, I would sleep on the floor before doing what you propose.

10past6

There's a huge diference beween those who CAN'T PAY & those who WON'T PAY.

You need so step back and reconsider your actions.

mumofthree_2

Thankyou Lensman!
I know I'm being stupid but all our finance are in such a state that anything is tempting at the mo.
I'm currently setting up a DMP with CCCS and I'm tempted to max accounts before I start it.
Yes, again I know it's stupid...but we've got a mountain of debt which has built up on basic living expenses, not frivilously buying things. The temptation to get the things we need now rather than in 9 years is massive. I've never been silly with money. It is killing me to see my kids go without all the time.

mumofthree_2

Thanks 10past6 too!

10past6

mumofthree wrote: »

Thanks 10past6 too!

You need to be very careful MO3

If you spend on the card knowing you cannot pay it back, should your case ever reach a court situation, you'd have to explain why you suddenly spent on the card, at this present time, DJ (District judges) are not looking favourable towards defendants, regardless of what legislation states.

fatbelly

The logic goes as follows (pre-April 07 agreements only)

Under s61(1)(a) CCA1974 a regulated agreement is not properly executed unless a document in the prescribed form itself containing all the prescribed terms and conforming to the regulations under s60(1) is signed in the prescribed manner both by the debtor or hirer and by or on behalf of the creditor or owner.

Under s65(1) CCA1974 an improperly executed regulated agreement is enforceable against the debtor on an order of the court only.

Under s127(3) CCA1974 the court shall not make an enforcement order under s65(1) if s61(1)(a)(signing of agreements) was not complied with, unless a document (whether or not in the prescribed form and complying with the regulations under s60(1) itself containing all the prescribed terms of the agreement) was signed by the debtor or hirer (whether or not in the prescribed manner).

But best used as an argument when the debtor genuinely can't pay. And 10past6 is correct about district judges!

mumofthree_2

I'm hopeful that all our creditors will accept our offers on the DMP.

Believe me that this is really out of character for me and it will stick out a mile on my credit history. Obviously I'm very worried that if I spend anything on my account before I ask them to accept reduced payments then they will laugh in my face (or sneer loudly on the phone).

I am already preparing myself for a court appearance at some stage if our offers to our creditors are refused but I can't help but think that they can't get blood out of a stone.

I think I may have gone past stress and worry and have now reached a state of exhilarating craziness!

mumofthree_2

Hi Fatbelly

Thankyou. How about if I can't pay and take advantage of them offering me ridiculous amounts of credit?

It's like sticking a chicken in front of a hungry man and ask him not to eat it.

10past6

mumofthree wrote: »

How about if I can't pay and take advantage of them offering me ridiculous amounts of credit?

It comes under the heading "Irresponsible lending"

Same principle as "Irresponsible borrowing"

mumofthree_2

What's the worst they could do? Even if we are declared bankrupt our house has negative equity. The car is worth nothing but hubby needs it to get to work. We have nothing for bailiffs to take, except essentials like pans, plates, beds(broken), etc.

I'm feeling no fear tonight.

If we were freed from the debts we could cover our priority bills(almost).