Incorrect Information on Debt

MoneyMiser

Hi All,

I am helping a friend sort out his debts. He is currently in a DMP with Hamilton Locke which I have said he needs to get out of. In the three years he has been with them he has paid them over £1300 and still has another three years to go! :eek:

I found out it is free to leave the DMP so I contacted his creditors to find out what a settlement figure would look like. Anyway one of them would not speak to me because the date of birth they had for him was incorrect.

The debt is his, no question, but if they have keyed in the wrong date of birth when the debt was passed on, can they legally enforce this?

MM

DarkConvict

Yes it can be enforced, they just need to update the details on DOB. They will have proof he owes the money by means of an agreement, a clerical mistake like this won't break that.

Get rid of Hamilton locks now, they cost you money to run the DMP which keeps you in debt, move to a debt charity DMP like CCCS - https://forums.moneysavingexpert.com/discussion/2077631

Free vs. Pay DMP - http://forums.moneysavingexpert.com/showpost.html?p=31705157&postcount=10

fermi

Because the d.o.b. they have on file is wrong?

Yes. They more than likely could enforce it.

Ultimately if it went to court and it was disputed that it was not his debt on just those grounds, then would presumably have enough grounds to rule that "on the balance of probability" that the debt was his and due.

Especially if the DCA/buyer could show reasonable cause to think that a genuine error has been made.

MoneyMiser

Thanks Guys,

Thats fair enough, thought as much but worth a shot. I have told him to get rid of Hamilton Locke and will look at the CCCS. Firstly though I would like a shot at the creditors direct before going on another DMP.

I have told him to ignore all correspondence from the debt collection companies because at this stage there is not much they can do but use their scare tactics. I will then be writing letters to enquire about a full and final settlement figure for each of the three debts. I am offering between 30% - 45% of the actual debt.

At least this way the £210 a month he is paying Hamilton Locke he can put away in a pot an use that to fund a settlement figure as and when one is accepted.

MM

DarkConvict

well here is a ROUGH guide on what companies have been known to accept,

please remember some people get lower amounts other have to pay much more than this,

these things depend on so many variables including what side of the bed the person in the company got out off

anyways rough guide is below

Debt still with original creditor NO default = 90% or more
Debt with original creditor but with a default = 75% or more
Debt with 'in house' debt collectors of the original creditor = 60% or more
Debt with external debt collector however still property of original credit = 40% or more
Debt owned(purchased) by external debt collectors = 25% or more

Gonzo wrote this, and it is something i would roughly agree with.
Its rare but ive seen acceptance between 10-20% as well.

MoneyMiser

DarkConvict wrote: »

Gonzo wrote this, and it is something i would roughly agree with.
Its rare but ive seen acceptance between 10-20% as well.

Cheers,

I have some experience with sorting out my partners debts a while back and the company accepted around 40% of the original debt.

For example, one of the debts is with Apex. Now I have known this company to sell the debt on to another company and this may be the route I suggest to him. If he ignores Apex until they pass the debt on then we may be able to get a lower settlement offer with the new company. The same goes with his other two creditors.

MM

MoneyMiser

DarkConvict,

Just seen your post on the other thread regarding settlement offers. Very interesting. The debts are his so I wont be pursuing that course of action but he is also being chased by Lowells. So may just see what happens.

blair oliver and scott limited
Apex
Lowells

These are the three i'm dealing with so if anyone has any experience with any of them I would be keen to hear your experiences with them.

MM