Catalogue refusing to accept token payments

littlepinkstars44

Hello,

I recently sent out letters and £1cheques to all my creditors, along with a letter explaining my current incoming and outgoings.
Had previously sought advice for another creditor here

Today I have received a letter from Very saying that they cannot accept my offer as it does not meet their minimum payment criteria and have to phone them within 7 days to discuss options.

Any advice on what I should do now? They have cashed the £1 cheque I showed them, and that has already came off my balance on the account.

timbstoke

I don't know if this is good advice or not, but personally I'd write to them saying that token payments is all I can afford. If that isn't acceptable, then regrettably I will be forced to cease payments altogether and wait for them to take me to court. Should that happen, I intend to offer the same amount, and also will advise the court that I had previously offered a token payment and request that all monthly charges and interest payments since that date be deducted from any judgment made against me.

Oneday77

It's saber rattling. As long as your budget is true and all you can offer is £1 per creditor then there isn't much they can do other than either sell it on or go to court.
Should they take it to court they will take the payment as long as you are fairly treating all creditors evenly and not favouring one for another.
Do not phone them as they will bully and belittle you. Write back stating that is all you can afford and all communication must be done in writing no phone calls will be made or accepted.

JasX

Well you have a couple of options, fundamentally keep sending them the £1 cheque each month and tell them to go whistle.

So long as you're making an effort to tackle it AND sending them the token payments to cash (no matter how much they bleat and complain about refusing them) it'll count in your favour if it ever comes to court.

Beyond that feel free to negotiate but expect them to make alot of noise / mostly groundless threats to try to get you to treat them as a priotity over other debts.... which they're not.

Priority debts are keeping a roof over your head and council tax, followed slightly behind by esssential utilities that can cut you off, food fits in somewhere..... followed by nefarious catalog companies wayyyyy down the bottom of the pile with everyone else non-essentail

mandyl

i have 2 catologues that have accepted token payments. sorry cant remember if they were hassle but they are ok now. perserve if you can.
good luck x

littlepinkstars44

Thanks everyone. Going to send them a letter again with the incoming and outgoings on it again and saying that all contact to only be made through writing in the future!

mandyl

littlepinkstars44 wrote: »

Thanks everyone. Going to send them a letter again with the incoming and outgoings on it again and saying that all contact to only be made through writing in the future!

thats the way to go

magoogy

if the catalogue keeps refusing the offer and you just keep paying the £1 - what is the worst outcome if it went to court? would they be able to take any of the goods you bought from the catalogue back? not meaning clothes, etc - more big items like furniture, cookers, laptops, dvd players, etc..........just curious....thanks.

mandyl

i dont think they do although not sure on that one. theyd have a shock if they came to take my sofa back lol

Tixy

magoogy wrote: »

if the catalogue keeps refusing the offer and you just keep paying the £1 - what is the worst outcome if it went to court? would they be able to take any of the goods you bought from the catalogue back? not meaning clothes, etc - more big items like furniture, cookers, laptops, dvd players, etc..........just curious....thanks.

Mandy's right - catalogue debts are unsecured. Goods bought from a catalogue become yours as soon as you take delivery of them. Its not like a secured credit agreement/ hire purchase agreement that people have when buying electricals from places like currys etc or sofas bought from DFS etc.

If the creditor decided to take the OP to court then a CCJ would be granted and she should ask the court to order installments that she can afford.

timbstoke

What they may try to do is apply late payment fees. If they do, write to them after the first one is applied, advising that you are paying all you can afford to pay, and if they insist on adding the fees you will have no option but to cease payment completely until they get a CCJ where you can challenge these. There's a strong possibility that they'll back down at that point.