Lloyds TSB Debt Settled but now sent to Debt Collector

RB1987_2

Hi

I am looking for some help...

I previously had a Lloyds TSB bank account from what I can see on my credit file started in 2007. I ran into charges etc (now debt is £741) with this and being young and naive at the time I just ignored everything to do with it, I hadnt heard anything about it and on checking my credit file a few weeks ago it was marked as Settled so naturally I was happy, however now I have 1st Credit Debt Collection Agency Chasing me for this debt, I am trying to say to them it will not be getting paid because as far as I am concerned it was settled. Howver they obviously arent accepting this. I am hoping to get a mortgage soon and need to get my credit file sorted, does anyone have any idea how I would start disputing this to have it removed from my credit file? this was all charges on an unarranged overdraft?
Help!

[Deleted User]

RB1987 wrote: »

Hi

I am looking for some help...

I previously had a Lloyds TSB bank account from what I can see on my credit file started in 2007. I ran into charges etc (now debt is £741) with this and being young and naive at the time I just ignored everything to do with it, I hadnt heard anything about it and on checking my credit file a few weeks ago it was marked as Settled so naturally I was happy, however now I have 1st Credit Debt Collection Agency Chasing me for this debt, I am trying to say to them it will not be getting paid because as far as I am concerned it was settled. Howver they obviously arent accepting this. I am hoping to get a mortgage soon and need to get my credit file sorted, does anyone have any idea how I would start disputing this to have it removed from my credit file? this was all charges on an unarranged overdraft?
Help!

How and when do you think you settled your debt? :huh:

Debts don't usually disappear by just ignoring them.

It will not be removed from your credit file until 6 years have passed as it is a record of how you handled (or didn't as the case appears to be) your credit.
As 6 years is probably approaching, expect a county court summons to be issued against you. Unless you have evidence you have paid the debt, then chances are it will result in a CCJ registered against you. That will stay on your credit file for another 6 years and will usually have an even more adverse affect on any credit application than a default.

Note also that a CCJ is never statute barred under the limitations act, so you may continue to be chased ad infinitum for the money owed.
(Chances are though that enforcement action would eventually be taken against you to ensure you pay - the cost of which will be added to the CCJ which itself may attract interest at 8% until paid.)

bengal-stripe

RB1987 wrote: »

.......on checking my credit file a few weeks ago it was marked as Settled........I am trying to say to them it will not be getting paid because as far as I am concerned it was settled.

If you did not pay the debt then it cannot be settled. So, it was marked erroneously as "settled" (possibly due to the transfer of the debt). People are allowed to make mistakes, you know! A wrong entry of “settled” does not settle the debt, only a payment does.

Nice try, it won't get you anywhere.