Already repaid loan to 'friend'!!

dizzy2274

Hello Everyone

Really need some advice. About 4 years ago I borrowed £1000 from a friend. He transferred the money using online banking to my account.

I repaid the in cash a about a month later, because he WAS a friend I didn't even think about getting a receipt or ask him to sign something to confirm that I had repaid the loan in full.

Shortly, after he and I fell out about something (can't even remember now) and haven't spoken or met since. Last week, out of the blue I received a solicitors letter, basically stating that I had 14 days to repay the loan or a debt collection agency will ordered to visit to collect the debt!!!:mad:

The letter was sent to my parents house (I've moved houses since I last spoke to my 'friend') and letter had to be signed for.

I just don't know what to do, I can't prove that I have repaid the loan.

Any advice or help would be really appreciated.

corbyboy

The letter is threatening a lot but there is not much they can actually do. A debt collector is not a bailiff. They have absolutely no powers and cannot seize anything.

Can you remember what he did with the money once you gave him it? Did you give him the whole lot in one go? Did he put it in the bank. I think evidence of you withdrawing £1000 from your bank followed by him depositing £1000 into his bank a few days later would be a pretty strong paper trail.

dizzy2274

corbyboy wrote: »

The letter is threatening a lot but there is not much they can actually do. A debt collector is not a bailiff. They have absolutely no powers and cannot seize anything.

Can you remember what he did with the money once you gave him it? Did you give him the whole lot in one go? Did he put it in the bank. I think evidence of you withdrawing £1000 from your bank followed by him depositing £1000 into his bank a few days later would be a pretty strong paper trail.

Hi

Thanks for your reply.

I basically paid him back in one go. I dont't know what he would have done with the money after that, I can only presume he banked it but I have no way of knowing for sure.

[Deleted User]

and how long ago is this?

dizzy2274

woodbine wrote: »

and how long ago is this?

Hi

I borrowed the money 4 yrs ago and then repaid it within a month of borrowing.


I received the letter a week ago...so effectivly have 7 days left to respond.

ViolaLass

How did you pay him? Presumably not cash?

dresdendave

Does he have anything in writing showing that he lent you the money? A bank transfer doesn't prove it was a loan, It could have been a gift, payment for goods etc.

As he sent a registered letter to an address where you no longer live, presumably you didn't sign for the letter?

dizzy2274

dresdendave wrote: »

Does he have anything in writing showing that he lent you the money? A bank transfer doesn't prove it was a loan, It could have been a gift, payment for goods etc.

As he sent a registered letter to an address where you no longer live, presumably you didn't sign for the letter?

Hi

No, he doesn't have anything in writing about lending me the money, it was just a verbal arrangement.

The letter (addressed to me) was sent to my parents house and my Dad signed for the letter, even though I don't live there. I am concerned because the threat of debt collectors has been made and the Debt collectors will be calling / visiting my parents address.

dresdendave

If debt collectors call at your parents house, they should not allow them in, ask them to leave and call the police if they refuse to get off their property.

Would debt collectors normally take on a case where there is no evidence that a debt actually exists?

Idiophreak

ViolaLass wrote: »

How did you pay him? Presumably not cash?

If you paid in cash, do you have evidence of the withdrawal?

paddyrg

Gather basic evidence of any transfers, cheque payments or withdrawls. If you can't find the bank statement, print one online, or ask the bank for a copy statement (sounds like you know the date) which will cost a fee - mine charge £12. Once you have this, write back to him stating that you repaid this on such-and-such a date, have paperwork to back this up, and that he should not bother you any more as he was paid in full at the time.

Debt collectors have no rights beyond normal civilians - they ask if they can come in, you tell them no, ask them to leave, and call the police if they do not. They are not court bailiffs, just random blokes, treat them as such. They will not be from a debt collections agency (they would not buy the debt without legal paperwork) so he would be paying them a fee of ~£100 to get them to visit - I think it's just a hollow threat to try to scare you by sounding official.

The only people who can come into YOUR home (not your parents place) for property are bailiffs, that takes the courts to appoint them, and that is a lengthier process following a small claims court judgement. Your friend would sue you in SCC, you deny the debt, show what evidence you have, judge tells lender to go away.