Moorcroft Debt Recovery and Halifax

debtmonster

Hi,

Have a credit card balance with the Halifax of over 3K.

Was out of work for 6 months last year which meant I was unable to meet the repayments.

Contacted them and agreed token payments of £1 a month, with the interest frozen - "an informal arrangement which will be reviewed in 6 months time"

"Our current fixed payment arrangement guidelines are intended to identify at an early stage whether your financial difficulties are short or long term, with the ultimate goal of your regaining control of their (sic) finances without the need for a default to be registered".

Wind forward a few months, I get a default notice from them in January, but I continue to make the token payment.

The six months is now up, and I'm slowly turning things around and I'm now in a position to increase the amount I can pay.

The account is showing with payments 6 months late but has not been defaulted.

However, got a letter this week from Moorcroft Debt Recovery Ltd, and apparently the debt is now with them - rang Halifax today and they confirmed this is the case and that it has been sold on.

Letter from Moorcroft states the Halifax account number, the outstanding balance (which is correct), and states it's a notice of intended litigation before legal proceedings in the County Court are issued....it is essential you settle this debt without delay....payment should be submitted in full within 7 days or contact made.


What's the best way forward from here ?


Do I need to request proof that I now owe the money to them - as I said previously they have the correct account number and outstanding balance.


I cannot afford to repay the full amount outstanding but I'm quite happy to negotiate a repayment plan with them, or indeed to try and go for a full and final settlement.


Any advice gratefully received.

debtmonster

Any thoughts on this one ?

Do I need to ask Moorcroft for proof they've taken the debt on or just start negotiating with them ?

Triggles

If you rang Halifax and they confirmed that they sold the debt on to Moorcroft, then I don't see any point in requesting proof from Moorcroft. Just my opinion, but it will seem a bit of a delaying tactic. If you read the letter carefully, you will probably find that it says "may" a lot instead of "will" go to litigation. We've dealt with Moorcroft before, and IIRC they sent a lot of letters with letterhead saying "Pre-litigation department" or some such nonsense. If you're prepared to pay a certain amount, then I would just send them a letter stating that you are able to pay £x amount per month. They might fuss or try to push you higher, but if that's all you can afford to pay, then just stick to that amount and insist that it's all you can pay. I find that for us it's best to do it all in writing, as over the phone they can put some horrendous pressure on you.