Debt not listed in bankruptcy??

Boilie

I see, that makes sense.
I will get on with this today and report back with an update.

Thanks again everybody!!

fermi

They are trying their luck. The law is clear.

It states that a bankruptcy debt is:

"any debt or liability to which he is subject at the commencement of the bankruptcy,"

That covers all non-excluded debts that exist at that time, regardless of whether they are listed on the forms or not.

It doesn't matter if a forgotten debt pops up 1 day, 1 month, 1 year, or 100 years after your BR. As long as that debt or liability existed when the BR order was made, it is covered.

Were you told it wasn't covered by letter or just on the phone?

Debt collectors have no conscience about lying on the phone. In letters, they will twist words to try to make you misunderstand the law.

Boilie

They said it wasn't covered when they spoke to my wife on the phone, they also said it wasn't included in the bankruptcy when they wrote to me (god knows how they can see that - LOL)

fermi

Even if they actually know it wasn't listed on the BR paperwork, then it may just be a case of twisting words.

If by "not included in the bankruptcy" they mean "not on the original BR paperwork", then that is correct, but misleading by omission.

It may not have been one of the debts the OR was aware of at the time, but in the most important legal way it is still covered by the bankruptcy order.

If on the other hand they are claiming that because of the debt not being on the original paperwork that the debt is not covered by the bankruptcy order, then they are guilty of deception and should be reported to both the OR, trading standards, and the Office of Fair Trading at the very least.

fermi

Perhaps also add to the letter.

As you are no doubt aware, this debt would also be statute barred under section 5 of the Limitation Act 1980.

Any legal action you may choose to pursue will defended in full, and an order for costs sought again your company.

Any action will also be reported to the courts and regulatory bodies as vexatious and an abuse of process.

immoral_angeluk

Boilie wrote: »

I just want to work out why they are adopting these tactics when they don't have a chance of collecting the debt

They're a business designed to make money...usually using scare tactics, lies and threats to get whatever they can out of you in the hope that you don't know any better and will pay up.

Boilie

Have just prepared my letter now, it will be sent tomorrow - thanks everybody all your advice is really appreciated.

Doucam

Good luck, hope it does the trick and keep us updated x

Boilie

Just a quick update, this is what appears on my credit rating

Company name:CIT GROUP (UK) LTD
Account type:Hire purchase/Conditional sale
Started:01/08/2003
Current Balance:Settled
Repayment Period: Monthly Payment: £35 over 48 months
Settled On:22/03/2006
File Updated for the Period to:16/04/2006
Status history:
[] brackets indicate most recent months status


What do you guys make of this?? This is the debt that is causing the problem

Doucam

It says settled???

I may be wrong but I thought if it said settled on your credit report that should be the end of it. So I can't understand why/how Cit Group have sold it on.