DCA, expired defaults and some advice please!

av47ar

Hi guys, this is my first post as a user but I'm not a new reader, over the years I've found several threads that have been of great help in my situation.

A bit of background: Relationship broke down in 2004, moved in with a friend, he didn't pay his share, I funded the bills/my life with my wages and credit cards while trying to juggle all these payments and then he moved out leaving me in a mess and then everything crashed when I lost my job resulting in a CCJ and several defaults ranging from 2005 - 2007 and a debt of approx £22k

I found several temp jobs, tried to make repayments, cab tried helping as well as the CCCS but with all the letters flooding through the door I started to bury my head, hoped it would go away and refused to answer the door some days! I started work again and priority bills like CSA and overpayments in WTC and council tax arrears took up a large chunk and my unsecured debts varied in payments from £1 - £20.

Over the past several years I've paid off my CSA, council tax and WTC as well as energy bills that fell behind at the expense of unsecured debts. I have approx £17 - 18k of debt now and all but one of the defaults has fallen off my credit file (last one comes off in july this year) which is a great weight off my mind as it helps to rebuild my life.

My real questions are:

1) Even though the defaults do not show (i have a copy of my credit file from equifax as I don't have the funds to pay for creditexpert this month which I used previously and found it a better site) will they still affect my ability in the future to get a mortgage/credit once I repair the damage as they are not satisfied and still outstanding?

2) I understand that the DCA's have the debts to recover and can enforce the debt by requesting a CCJ if payments stopped, what is the best method to deal with them now? I have had issues with capquest and westcott as they have refused to reduce my payments in the past, I do work but have changed jobs twice since october 2012 and my wage has reduced significantly I'm worried that if I request this they may see that as a sign of none payment and look at further recovery. Even a few quid extra a month makes a difference to shopping and the little home comforts!

Would it be wise to obtain copies of CA's from each of them?

3) Would bankruptcy be an option? and would it help with question 1? I realise this will do damage again for 6 years and ill need to find money to do so.

Past two years I've let it tick over but finally accepted I need to deal with this and be pro-active. Some may consider this lazy and dis-respectful and others see it as a step forward realising there is an issue to deal with. The first step was accepting the problem and contacting the DCA's and original creditors.

any help, advice and experiences are welcome.

thank you

Jay

av47ar

And i have searched the threads this evening but not found directly a similar question, my apologies if there is one as there's so much info!

happy_bunny_2

1. After 6 years, defaults vanish from your report, paid or not.

2. They could get a CCJ if they have a valid agreement (pre 2007) or you don't defend it. So yes, CCA request is in order then report back with the results, as what they send you may be worthless.

3. Not qualified to comment.

So, are you still paying? When did you last pay?

av47ar

Hey, thanks for the reply.

I'm paying each one 8 debts in total ranging from £20 - £1 per month. Once one gets paid off I take the excess I have and pay towards another with the lowest balance to clear that

happy_bunny_2

No harm in issuing a CCA request, especially for pre April 2007 cards and loans.

Need it to exist and be correct in every way to get a CCJ. If not, you can pay what you feel like and are in a good position for a reduced settlement offer.

av47ar

May Iask then what are the differences before/after April 07?

One or two keep sending reduced settlement offers, so if the default is not on the credit file it can't be updated to partially settled if I can afford to accept it?

happy_bunny_2

Before, they need a signed perfect agreement. Not so after due to changes in the consumer credit act.

Correct, but be careful of the wording. If not a full and final settlement, or settled with no balance remaining, then they may sell it on etc and it might use you grief in the future. Can't think a court would issue in a CCJ in these devious circumstances mind.

Some DCAs re add defaults, but not supposed to and an be removed via complaints process.

If in doubt over settlement offer wording, post back. Worth asking for CCAs first though, as from my experience, not having one means you can settle for less. 30% figure in one of mine.

matttye

av47ar wrote: »

Hey, thanks for the reply.

I'm paying each one 8 debts in total ranging from £20 - £1 per month. Once one gets paid off I take the excess I have and pay towards another with the lowest balance to clear that

I know it's tempting to clear the lowest balance first, but it makes much more sense to clear the debt with the highest rate of interest first even if it's not the lowest.

Something to think about!

av47ar

That's great, thanks. I'll have the CA requests off by Thursday so soon as I know I'll post back. What if they replied though without a CA to offer? Does that mean they can't collect on the debt? And if so does that happen often?

I'll have to keep an eye on my credit file then while I deal with all this

av47ar

Matttye, I thought that as well, far as I'm aware interest charges were frozen a few years back

happy_bunny_2

av47ar wrote: »

That's great, thanks. I'll have the CA requests off by Thursday so soon as I know I'll post back. What if they replied though without a CA to offer? Does that mean they can't collect on the debt? And if so does that happen often?

I'll have to keep an eye on my credit file then while I deal with all this

If hey don't respond, or fail to provide, then the account is in dispute. Although you still owe it, but they can't make you pay til they magic up the CCA.

Quite complex, especially for this time of night, but basically I they don't have one they are stuffed. They can reconstitute one for your CCA request, but wold need the original in court.