Unenforceability & Template Letters

pebbles88

fto wrote: »

Hi,
Does this ruling affect this tread http://www.moneysavingexpert.com/news/loans/2009/11/debt-write-off-loophole-closed-by-court?utm_source=forum&utm_medium=sidebar&utm_campaign=box

Hopefully som peeps will be along soon to discussthis

nataraja

Hello, newbie here, a very good friend of mine, (who is dyslexic, and hes never been in work) has owned up to £2000 on a storecard from circa 2005 (not in default). I am determined to help her, she is getting used (just paying the interest is killing her), I can see from the previous posts that its very much like dealing with a parking ticket (I live in central london) letters to write and an unpleasant exchange with the other side, with similar sounding legalese browbeating and flim flam and threats and you hold your nerve. BLESS YOU NID for your words of widom here, letter 1 on the way......

vicky12

Thanks Never in Doubt.
You had answered me earlier and I will be following your advise.
Must say it's great to have you on here to help so many.
Your advise is excellent and I'm sure a great help to lots of people in trouble.
Keep up the good work...
I have only recieved 1 credit agreement back from 5 requests (egg ) so will now send out my second letter etc. Will let you know how I get on !!!
Thanks again...

k4j

never-in-doubt wrote: »

If you already have a default on them all, then it'd be best if you cease paying, i.e. now!. It is fruitless cos statute barred will commence 6yrs from last payment or the whole debt disappears after 6yrs from default date. In essence paying now does nothing so save yourself the funds....

Start at page 1 and send the CCA request to whoever owns the debt (i.e. whoever you're paying/registered the default)..... Then post back once they respond. Can you name the 5 companies please.

Thank you for the quick reply. I will do that and will post back with their reply. I have debt with barclays, sky, abbey, virgin and capital one.
So what you saying is if i have been defaulted in 2008, there is a chance the whole amount will disappear in 6 years?
I am a little worried about my house though. I have a mortgage. How would this affect me if i go down this route?
I have so many questions...lol...another one to annoy you. But i think i should take one step at a time.....and will have look at this thread properly. Read few pages and has been really helpful....Thanks once again

captainhaggis

k4j wrote: »

So what you saying is if i have been defaulted in 2008, there is a chance the whole amount will disappear in 6 years?

Hey there,

You're kinda right. A default will drop off your credit file after six years.... but then it could be put straight back on again. So what you need to do is IGNORE the lender completely. Do not pay them. Do not write to them. Do not (wherever possible) answer the phone to them.

The debt will become what's known as "Statute Barred" after six years without contact with the lender (five years in Scotland). It's about the only way of REALLY having a debt written off, as unenforceability doesn't write the debt off at all.

If you can determine that a debt is unenforceable, though, you can tell the creditor this and then fight them to have them leave you alone for the six years with the balance outstanding. Then after the six years, the debt "vanishes".

captainhaggis

nataraja wrote: »

Hello, newbie here, a very good friend of mine, (who is dyslexic, and hes never been in work) has owned up to £2000 on a storecard from circa 2005 (not in default). I am determined to help her, she is getting used (just paying the interest is killing her), I can see from the previous posts that its very much like dealing with a parking ticket (I live in central london) letters to write and an unpleasant exchange with the other side, with similar sounding legalese browbeating and flim flam and threats and you hold your nerve. BLESS YOU NID for your words of widom here, letter 1 on the way......

Hey there,

Not sure if it's safe to really look at this as the same as a parking ticket (never had one so cannot be sure). With a parking ticket you could find yourself in a big, lengthy battle to have it declared void. Same isn't the case here.

The debt will never be void, it will just be unenforceable. What this means is that the debt sits there, stagnant, in your account. You choose to pay or not (NID suggests quite adamantly that you don't) and any payment you do make is considered a gift to the creditor to put towards the loan.

The creditor CANNOT chase you (in theory) for the debt and nor should anyone else.

HOWEVER, unlike with a parking ticket, your friend will - absolutely will - be defaulted. This will balls up her credit file. There are methods of fighting the default but I think NID has said that it's a long, often fruitless battle.

So this is only a route your friend should consider if she

a) already has a messed up credit file
b) doesn't mind getting one

k4j

captainhaggis wrote: »

Hey there,

You're kinda right. A default will drop off your credit file after six years.... but then it could be put straight back on again. So what you need to do is IGNORE the lender completely. Do not pay them. Do not write to them. Do not (wherever possible) answer the phone to them.

The debt will become what's known as "Statute Barred" after six years without contact with the lender (five years in Scotland). It's about the only way of REALLY having a debt written off, as unenforceability doesn't write the debt off at all.

If you can determine that a debt is unenforceable, though, you can tell the creditor this and then fight them to have them leave you alone for the six years with the balance outstanding. Then after the six years, the debt "vanishes".

Ok thanks i understand this a little better.
Since being defaulted I have acknowledged it as my debt as i continued to pay them. So stopping all payments now is the best option for me.
What can they do in these 6 years....what i mean is what are their rights? can they send baliffs? can they take me to court?

never-in-doubt

fto wrote: »

Hi,
Does this ruling affect this tread http://www.moneysavingexpert.com/news/loans/2009/11/debt-write-off-loophole-closed-by-court?utm_source=forum&utm_medium=sidebar&utm_campaign=box

pebbles88 wrote: »

Hopefully som peeps will be along soon to discussthis

No - it has no affect, this is the unique case with unique circumstances I keep mentioning. Its because the loan company added £825 (fee) onto the loan and this was not technically a loan but because the amounts differed on the paperwork they fought for unenforceability - it was recently overturned.

It has no impact on currect ones, especially not credit cards.....

never-in-doubt

k4j wrote: »

Thank you for the quick reply. I will do that and will post back with their reply. I have debt with barclays, sky, abbey, virgin and capital one.

Ok, all easy to beat excluding Crappy1 who like to fight....

k4j wrote: »

So what you saying is if i have been defaulted in 2008, there is a chance the whole amount will disappear in 6 years?

Yes, 6yrs from default date (i.e. 2014) or 6 years from date of last payment. Whichever is sooner (so if you last paid in 2004 it'd go next year)

k4j wrote: »

I am a little worried about my house though. I have a mortgage. How would this affect me if i go down this route?

It wouldn't affect you unless they applied for a charging order (very rare) in which case you make an offer of payment - just keep us in the loop and you'll be fine

k4j wrote: »

I have so many questions...lol...another one to annoy you. But i think i should take one step at a time.....and will have look at this thread properly. Read few pages and has been really helpful....Thanks once again

Ok, fire away as many questions as you want - best to ease your fears before starting something you may (or may not) later regret.

never-in-doubt

k4j wrote: »

Ok thanks i understand this a little better.
Since being defaulted I have acknowledged it as my debt as i continued to pay them. So stopping all payments now is the best option for me.
What can they do in these 6 years....what i mean is what are their rights? can they send baliffs? can they take me to court?

Ahh shame you were paying them, so uin essence after 6 years from default date the default auto disappears from your credit file along with all trace of the old account. The money is written off as it is beyond the limitation period of 6 years, i.e. the lender can never ask for it again.

They can do nothing after 6 years, but leading up to it they can send bailiffs if they want but then you send them one of my letters from here and they soon crawl back under their stones.... the bailiffs have less rights than the lender lol... Dealing with Bailiffs Harassment But to answer your question, yea they can try any methods to get their money but you just ignore them and sit tight unless they start threatening charging orders in which you defend it (easy to do)...