Anyway back from Restons??

Charliebird

Hi Folks - my DH has been in a debt management prog with CCCS since Nov and things have settled down - or so we thought!! However MBNA have instructed (or sold the debt onto) Restons who have are applying for a CCJ against DH. A CCJ will massively damage my hubby's career and possibly could get him fired as he is regulated by the FSA ! On the advice of CCCS I have written a letter to Restons having completed the court papers and asked them for a Tomlin order (which I am led to believe is a binding agreement but not a CCJ so doesn't show up on a credit search) On speaking to Restons today they are not accepting this and would rather go down the CCJ route. I have explained that would mean that he would lose his job - no income - may well have to become bankrupt but they apparently would rather that!! They are also unhappy about the amount that he/CCCS have been paying. DH owes MBNA £17633.00 and the monthly pyment is £77.14 (there are a lot of creditors to pay - debt £165000.00) They want a monthly payment if £535.00 per month which is actually higher that what he was trying to pay under the credit agreement???! I have written to them offering £233.00 (which will mean that the other creditors will have to take less!) but from the tone of the solicitor/litigator I spoke to he said it was too low!?
So my question is - is it worth picking this up directly with MBNA? Or would the debt have been sold on to Restons? So when they quote their "client" they are talking about themselves?? I kind of looking for some leverage with them! Does anyone have any experience with this firm. Any help would be gratefully received.
Charlie

fatbelly

The debt will still be owned by Restons if they are referring to MBNA as their 'client'. This is unusual as MBNA are well known for being quick to sell their defaulted accounts to third party debt collectors.

Anyway, what I suggest is puting up a fight. Have you sent the court claim papers back? Did you admit the debt?

Xbigman

You made the worst mistake possible, you told restons how badly you didn't want a CCJ. Now they know they have you over a barrel they won't go take no for an answer. There is little you can do but stand firm. Point out that you will give the court the same income and expenditure info as CCCS used and you will ask the court to freeze the interest as you clearly can't cover it.
Ultimately if they want a CCJ they can do it. Just get the best terms you can, don't tell your DH employers and make sure you make the court payments without fail.
Regards


X

DVardysShadow

Xbigman wrote: »

You made the worst mistake possible, you told restons how badly you didn't want a CCJ.

Regrettably I have to agree.

I don't agree with concealing a CCJ if it is an FSA requirement.

About the only option I can think of now is to start filing for bankruptcy and hold out the choice of a sustainable payment or bankruptcy to the DCA. It will require nerves of steel, but possibly no more than you need to carry on anyway with £165000 of debt

gonzo127

i agree with DVardy on this one, if your husband is likely to lose his job because of a CCJ then you may as well look into filing for bankrupcy and get the clean slate,

however i would start by looking at what debts are joint as you do not want to end up liable for it all anyway and also start the process or 'transfering assets' to yourself (assuming the CCJ will only be on your husband and not joint and the same for bankruptcy) or to a very very very trusted family member (if you have one of course) i would probably suggest a parent as they tend to go out of their way to help their children, where as children tend to take from parents without always thinking (very generic i know but i hope you know what i mean)

GeorgeUK

Have they issued a default for this account yet?
Was it a loan or creditcard debt? Was it taken out before April 2007?
Is there any PPI or charges you can reclaim?

Charliebird

So basically I'm dammed if I do - dammed if I don't (or DH in this case.) All of the debts are his and in his name only.
CCCS told us to write to Restons and told us what to say - so basically we have received wrong advice?! Their view point was that if he files for bankruptcy then Restons get nothing. This debt is credit card. Not sure if the credit card was taken out before 2007.
Hubby is happy to sign over the house to me - but as I am a housewife I'm not sure the mortgage company would be happy to have just my name on the mortgage as I have no income. That is the only asset we have.
In laymans terms can someone tell me what the implications of a CCJ are? And also if he gets one does it impact the house and me (this is the only thing we now have joint)

gonzo127

well a CCJ (county court judgement) basically is a ruling by a judge about what you HAVE to pay to said creditor the usual way it is done is by giving the judge your SOA they will then look through it and make the judgement on this, usually the judge will say that you have to pay back exactly what you are paying now, basic theory of you cant get blood out of a stone!

the implications of a CCJ are that if you do not pay the judged amount at any point the debt collections company can apply for a court appointed bayliffe to seize any assets - this can be gotton around by signing a aferdavid ( sorry really cant spell) which states everything in the house is YOUR property and he owns nothing in the house - this however might mean they would try for a charging order on the house which means you would have to pay any remaining amount of the debt back to the company when you sell the house (basically it turns you unsecured debt into secured debt)

quick edit - just going on the fact that since all debt (£165000?) is in his name and only his name, if you can manage to get the house put in your name only (yes the mortgage would be a problem but might be worth looking into at least) then bankruptcy might be worth looking into, the bankruptcy part of this site would be a good place to start to get some initial details to look through so you can weight up the options

DGJsaver

doesnt being a bankrupt prove to be as damaging to other half as a CCJ ?

GeorgeUK

If the creditcard was taken out before 6th April 2007, you could check the credit agreement to see that all the presceribed terms are there. If they aren't, then the agreement was not properly executed and according to s.127 of the Consumer Credit Act 1974, a court must not enforce a debt if the agreement is not properly executed.

It's not a silver bullet and you need to be able to argue the case sometimes, but this is definately worth looking into if your back's against the wall.

You may have seen CCA requests mentioned on the site before.

gonzo127

DGJsaver wrote: »

doesnt being a bankrupt prove to be as damaging to other half as a CCJ ?

well my thoughts are going along this

if a CCJ will mean the lose of the OP's OH's job then bankruptcy will make no difference as he would lose job either way
if all (£165000) the debt in in OH's name, brankruptcy will 'clear' this debt giving a 'clean slate'

now of course the OP should check all the possible implications of such a move however if a CCJ will damage their position as much as implicated Bankruptcy might be a good option as at least it will wipe the slate clean with the other creditors as well