Who owns my debt

Zum2012

I am so confused!!

Many years ago we had a shortfall in our second mortgage (Welcome Finance) when the house got sold through a Scottish government mortgage scheme. three years later Welcome Finance sold the outstanding debt to a debt agency to collect money owing.

I have received a letter confirming they have taken over the debt, but on our credit file(Equifax) it is showing we owe welcome finance the outstanding balance.

Can two companies own one debt?

very confused :eek:
any advice would be much appreciated

bris

You say many years ago, how many exactly. If it is over five (in Scotland) and you have not paid or acknowledged the debt for a least this time then it is statute barred and you don't need to pay it. Just don't acknowledge it or agree to anything they want from you.
Have a read here and see if it applies to you http://www.debtwatchdog.com/time-barred-debts-in-scotland-Article-216.html

YoYoY

Zum2012 wrote: »

I am so confused!!

Many years ago we had a shortfall in our second mortgage (Welcome Finance) when the house got sold through a Scottish government mortgage scheme. three years later Welcome Finance sold the outstanding debt to a debt agency to collect money owing.

I have received a letter confirming they have taken over the debt, but on our credit file(Equifax) it is showing we owe welcome finance the outstanding balance.

Can two companies own one debt?

very confused :eek:
any advice would be much appreciated

You borrowed money from Welcome Finance. You failed to pay it back as per the agreement you entered into. Hence why your credit history reflects this.

As you have since been advised the debt has been sold, then presumably it is with the DCA it was sold to.

HTH

CAB_Swansea_Bay_representative

Zum2012, thank you for your query regarding who owns my debt.
I would suggest you look on your credit report to see when that account was last updated. If it has not been updated since you have received the letter from debt collection agency and the letter you have received states they have been assigned the debt then you can presume the debt has been sold by Welcome Finance to the debt collection agency although Welcome Finance should have written to you to inform you of the assignation. It may also be that Welcome Finance still own the debt and have just passed it to the debt collection agency to collect so it is important you check the letter, date and credit report. Unfortunately we cannot advice on scottish debts but if you think this debt may be statute barred as no payments have been made in some years I would suggest you contact your local Citizens Advice Bureau whcih you can find at www.citizensadvice.org.uk or get further information from the Scottish section of adviceguide at www.adviceguide.org.uk.
Hope this is of assistance.

Zum2012

YoYoY wrote: »

You borrowed money from Welcome Finance. You failed to pay it back as per the agreement you entered into. Hence why your credit history reflects this.

As you have since been advised the debt has been sold, then presumably it is with the DCA it was sold to.

HTH

Hi, this account has not defaulted, as I said it has been sold on, welcome went into administration many years ago. It show's on my credit file they have the debt, but we have been advised its been taken over by a new DCA

YoYoY

Zum2012 wrote: »

Hi, this account has not defaulted, as I said it has been sold on, welcome went into administration many years ago. It show's on my credit file they have the debt, but we have been advised its been taken over by a new DCA

Mortgages are repayable on the sale of the property they are secured against.
You didn't repay at the time, so you didn't pay it back as per the agreement you entered into.

Zum2012

YoYoY wrote: »

Mortgages are repayable on the sale of the property they are secured against.
You didn't repay at the time, so you didn't pay it back as per the agreement you entered into.

Thanks for your quick reply

Welcome Finance relinquished all rights to the secured property,so the house could be sold and a payment was made to them, but it left a small (balance) shortfall.