unknown overdraft debt from 10 years ago.

fianchetto

Today i have received a letter from a debt collection agency, Buchanan Clark & Wells acting on behalf of Aktiv Kapital Uk Limited. I called the number on the letter, feeling very anxious and worried about what it could be about and an extremely rude arrogant and unhelpful man, calling himself Mr Smith, informed me that Lloyds TSB are chasing me for an overdraft debt of £300 from over 10 years ago that i remember nothing about at all! I said that i didn't have that sort of money, having a baby to support but i could pay £10 a month, at which the rude man laughed and said that i would have to prove that this was all i could afford and i would have to provide them with a list of all my monthly outgoings! Does anyone know what i should do?

Alibali

If you have no knowledge of ever owing that kind of money to Lloyds, then call them back, tell them that you are disputing the debt and that you require proof that the debt is owed. Whilst the debt is in dispute the collection activity has to be put on hold. If it turns out that you owe the money, ask them to send you a financial statement proforma and take it to your local CAB/Money advice agency who can help you fill it out and sort out a repayment plan.

grandma247

It may not even be your debt. Try this page for info and help.

KellsBells

If it's over 6 years old is it not statute barred? I'm not sure but someone else on here might know....

fermi

fianchetto wrote: »

Does anyone know what i should do?

Send this letter.

----> http://forums.moneysavingexpert.com/showpost.php?p=34906257&postcount=5

fianchetto

Thank you to everyone who has helped me so much with this.

DVardysShadow

fianchetto wrote: »

Mr Smith, informed me that Lloyds TSB are chasing me for an overdraft debt of £300 from over 10 years ago that i remember nothing about at all! I said that i didn't have that sort of money, having a baby to support but i could pay £10 a month, at which the rude man laughed and said that i would have to prove that this was all i could afford and i would have to provide them with a list of all my monthly outgoings! Does anyone know what i should do?

What you should do is get tough. This may sound an unsympathetic answer, but if Mr Smith knows that when BC&W send you a letter, you will phone up and he can get you to promise £10/month, you are likely to be viewed as a soft touch to cough up for other debts which you know nothing about.

You don't have to prove how little you have until he has proved that you actually owe the alleged debt and that debt is not statute barred.

• Rule 1. Never phone them
• Rule 2. Never promise a penny until they have proved that it is you who owes this money and that the debt is not statute barred
• Rule 3. Never sign anything at the door

Redvee

I saw this posted on another forum I visit and tbh I have my doubts about it.

Thought i would add this info for anyone struggling with debt and being hounded by debt recovery agencys

A friend of mine owes a few hundred quid to a company, (he is on JSA)
He did not pay it and the debt was passed (sold to) a debt collection agency.
Luckily his Sister is a Solicitor who gave him some valuable advice which i thought i would share as it was news to me

If a company you owe money to sells on the debt to a debt recovery agency then by law you can write that debt off straight away by following this advice....

IGNORE every correspondence and threatening letter the debt recovery agency send you.
The debt is a contract between YOU & the company NOT the debt recovery agency, If you acknowledge the debt recovery agency (by writing,phoning them) then you are liable.
This is why debt recovery agencies use such bully tactics to get you to respond so they can legally claim the debt.

Is this correct?

fermi

Redvee wrote: »

I saw this posted on another forum I visit and tbh I have my doubts about it.

Is this correct?

Sounds appealing, but it's nonsense.

Debts can be legally sold (assigned) (Law of Property Act 1925), meaning that the buyer then gets the legal right to collect anything. If the assignment is an absolute one, then they can even take legal action in their name in the same way the original creditor could. That is valid whether you acknowledge it or not.

natscat84

Seems to me there are a lot of 'salvage collectors' about at the moment - buying up very old or very dubious debts on the cheap and trying to extract as much money as possible from people. Though I'm impressed - £300 - surely it would cost them more to employ a DCA and do the tracing etc than it would just to write it off?!

I would not engage in any more phone conversations with these people at all. Chances are, the debt would be statute barred if it's as old as they say it is. Any more letters you get from these people can just go in the shredder/bin.

Whatever you do, don't speak to them on the phone, especially if they ring you - I had a DCA get hold of my number about a loan that wasn't even mine, even though they convinced themselves it was since me and the original loan holder had the same (not uncommon) name, and they called me up to 6 times a day, leaving really threatening messages until I was forced to change my number!

TBH, if you ignore them, they may well just give up, especially if they have no proof

pauletruth

the first and most important rule whilst dealing with debt collectors is remain in charge.

next rule always make them prove it.

another never never ever phone them you will regret it. everything in writing. if the keep phoning complain and tell them to remove your number.
if the debt is defaulted never pay what the are asking. offer 50-60% at most. remember they only bought the debt for pennies. don't feel bad about the original lender they have claimed your debt as tax relief.
most important never trust a debt collector and always remember its only money and its sortable.