Lloyds TSB consumer debt Brighton

roxytoo

My partner has a debt that was passed to Brighton 17 years ago, we were paying £10 a month , then 3 years ago it was increased to £15 a month

They now want £50 a month, he rang them today , they said they were not a debt collection agency, they were lloyds TSB and the debt had been passed back to them 'in house'

He asked them to send the agreement which they said they would (but I don't think they will , we don't have anything in writing) and said his term had now expired on a 'verbal agreement 'made 3 years ago when he said he would increase payments

Is a verbal agreement binding? are they correct? we were told it would always be an interest free loan but suddenly told now if we dont pay them the new amount we would accrue arrears

GeorgeUK

A verbal agreement isn't worth the paper it's written on. That's why we advise that all communication involving a debt should be made in writing.

Do not phone them and any requests for the agreement should also be made in writing along with the £1 fee that would make it a legal requirement for them to supply it.

If the agreement is not enforcable or they cannot provide a copy of the original agreement (you would not get this with a CCA request, but could possibly do a SAR (cost £10)), then payment need not be made until an enforcable agreement can be produced. After 6 year of non payment if the debt is still unenforcable, it will become statute barred (unless it was for a mortgage or debt not covered by the Consumer Credit Act).