Assigned debt help please

Ford_v6

Hi all, ive just joined up today and would appreciate some advise please. I had a credit card with approx £9000 on it with Yorkshire bank, in May last year I lost my job and have been unable to find work since so I was claiming JSA, recently I have gone on to Income support and Carers instead because im having to look after my elderly father. After a lot of hassle I managed to get Yorkshire bank to agree to payment terms of £1 a month for 3 months, then they wanted £5 for the next 3, I agreed to this. However 1 month into the new agreement they have assigned my debt to a company called Cabot Finance. The first I knew about this was when I got a letter last week telling me they had done this and the date of “assigning” was 1 month ago. What I would like to know is how I should go about dealing with Cabot, they have called me once but I wasn’t in and left a message saying they would call me at 5pm last night but I haven’t heard from them. I owe this debt and have every intention of paying it back if I can but id like to know how it stands legally, I.e do they actually own my debt now and what proof can they give. Ive heard of Sar and Cca Requests, do I need to do these? Im also concerned about giving personal info out over the phone without knowing exactly who im dealing with. I would just like a little advice please before I make contact with them and set up a payment plan.

Tixy

When they call ask them to put everything in writing to you and don't confirm any details over the phone to them.

When they write you could send the prove it letter so you can see the notice of assignment and see its your debt they are collecting (it sounds like as you've already had the letter from yorkshire you could miss this stage out if you are happy its your debt).

You could also do a CCA request - this is to get you a copy of the original credit agreement (costs £1).
People usually request this if they believe that either there may not be a legally valid agreement. On some older agreements the creditors didn't include all the required legal terms and this means that they cannot take you to court for the debt (or you could contest court proceeding). When people have an unenforceable agreement they creditors/debt collector can continue to report to the credit reference agencies, so if you don't pay it would show on there but they cannot take you to court.
So some people use this to stop payments to the debt, it depends on the individual, their circumstances and their credit file - chance of wanting more credit in the next few years etc.

Aside from these letter/optionss, when cabot write to you you should be able to just reply to say you can still only afford £1 or £5 a month towards the debt until your circumstances improve, and hopefully they will accept this.

Ford_v6

Hi Thank you for the quick reply. I have heard nothing from Cabot yet, i had 1 phone call approx 10 days ago but i wasn't in and they said they would call me back the next night, despite staying in i have heard nothing from them since. Im going to send a letter today asking what i need to do next, is there a template available that i can use or is there certain things i shouldn't ask or write? Im thinking of asking for a CCA request to make sure they own the debt legally, also the original agreement was taken out over 10 yrs ago iirc. Thanks again, its nice to know people can help others in what can be quite a daunting situation.

Tixy

I'd always suggest starting with the prove it letter - it specifically does not admit liability for the debt, whilst you find out more info - template here to adapt as required - http://forums.moneysavingexpert.com/showpost.php?p=11570893&postcount=2

Ford_v6

Thanks, still not heard anything from Cabot so i sent a CCA request on the 12th Aug, it arrived there on the 15th, however i received a letter from them on the 19th which was basically a hello letter although the date on it was the 26th july! The next day (20th Aug) i received another letter telling me they have received my CCA request and would provide the info within 12 days. They are claiming to have a interest rate of 12% apr on the account and have already added £155 despite the original lender freezing the interest on the debt, can Cabot do this or are they trying it on? Im claiming income support because im looking after my elderly farther so ill have no chance of reducing the debt if that is the case.

Ford_v6

Sorry to drag this back up to the top but can anyone give me some advice, im quite worried about the amount of interest Cabot have added on already. Ive still not received my CCA request back yet, as soon as i do ill get in contact with them and sort something out. With a rough calculation ill need to find £90 a month just to pay the interest charges which at the moment is going to be impossible