Historic MBNA Debt

dizco

Hello

Apologies if this has already been discussed before. I don't get on here too much.

In 1997 I took out an MBNA Credit Card, and ran up £3,500 limit, which then defaulted in 2000, and was handed over to Wescot Credit Services.

I set up a Standing Order with Wescot and have been paying £30 a month (reducing to £20 a few years ago) since 2000.

I've just called for a balance and settlement figure (still a staggering £800, settlement was around £700). The debt no longer appears on my Experian Credit File.

Here is what I'm wondering:

1) If I pay the balance in full, will this reactivate the debt on my credit file and show that it has now been satisfied, displaying how long it's taken me to pay?
2) If I agree a settlement figure, will this also show on my credit file? Worse still would it show as partially satisfied, because I'd agreed a settlement?
3) If I stopped paying this debt, what would happen? Would the debt show as a default on my credit file, even though it dropped off years ago? Will it be transferred elsewhere? Can MBNA legally still collect this debt through collection agencies after over 14 years?

Your expert advice would be much appreciated.

Best, Chris

fermi

1) No, it can never appear again on your report.

2) As above.

3) Again, as above. No default can show ever again.

However, if you stopped paying always possible they could go for a CCJ which as a separate entry on a separate section of you file would show for 6 years if granted an not paid within 1 month.

May be worth sending a CCA request to Wescot to see if they have enforceable paperwork for this.

See: https://www.nationaldebtline.org/EW/factsheets/Pages/39%20EW%20Credit%20agreements%20-%20getting%20information/Default.aspx

If they struggle to get or produce it, or simply there isn't any, you may be able to negotiate a much smaller settlement at least.

dizco

OK, so I've written the standard letter to Wescot, asking them to supply the paperwork/statement/credit agreement, and I've received no response, despite chasing by phone and email.

The 12 working days has now passed, and I'm not sure of my options now. Do I make a setllement offer to close the account? or should I hang tight?

just.me_3

dizco wrote: »

OK, so I've written the standard letter to Wescot, asking them to supply the paperwork/statement/credit agreement, and I've received no response, despite chasing by phone and email.

The 12 working days has now passed, and I'm not sure of my options now. Do I make a setllement offer to close the account? or should I hang tight?

I would send a follow up letter telling them they are now in breach of the CCA request. Did you also enclose the £1 fee as a postal order?

Just so you know a creditor cannot chase you for you payment whilst you have an outstanding CCA request with them, all collection activity must stop as the account is in query.

I would suggest you send them a settlement offer in writing by stating you have a lump sum from a close friend or relative for £xxx (put the amount you want to offer, that you can afford). Make sure you say this is a limited time offer as you are making the offer to a number of creditors.

I've had some really good settlements by doing that - one debt I paid only 20% of the amount owed.

happy_bunny_2

Just sit tight til they write to you.

Despite the 12 day limit, it's rarely met, especially when dealing with DCAs.

Give it a month and if they write meantime, respond with where is my CCA?

dizco

I've received a response, and they have advised that they are unable to supply me with any documentation.

My account has been placed on hold and Wescot have invited me to contact MBNA directly, although they haven't indicated why I should be contacting them. Presumably to agree a final settlement figure? or does the lack of documentation now mean that legally I'm not obliged to pay anything?

Any further advice would be much appreciated.

enfield_freddy

play there bluff then , let them try for a ccj , without the paperwork they won,t get it


if they do get it , then just pay within one month ,


not your job to chase MBNA , the account is defaulted and sold to wescot ,


stop paying now!

happy_bunny_2

Stop paying.

See what comes through the post and from who. Then decide what to do.

MBNA couldn't provide anything for my old A and L card. I've not heard a squeak out of them for 2 years or so.

dizco

Thanks guys for all your advice.

Wescot called me tonight, asking why I haven't paid anything. i advised that MBNA were unable to supply the paperwork after my CCA request.

The lad I spoke to said that he would contact them personally for me (like he was doing me a favour) to see if he could obtain the original documents.

I'm awaiting further information.

dumpyboy

dizco wrote: »

Thanks guys for all your advice.

Wescot called me tonight, asking why I haven't paid anything. i advised that MBNA were unable to supply the paperwork after my CCA request.

The lad I spoke to said that he would contact them personally for me (like he was doing me a favour) to see if he could obtain the original documents.

I'm awaiting further information.[/QUOT

Watch out for them after 6 years after a request and them paying me 200 pound after 3 years off not producing a credit agreement they sent me what they said was the bank of Scotland agreement had wrong name , wrong date I birth and even my bank details wrong a merge bank that was not even about in 1994

dizco

I've had a rather ambiguous letter from Wescot today, reads as follows:

"We refer to your recent communication. Having contacted our client they have advised as they cannot provide the Copy Agreement which means the account is unenforceable and our clients cannot make you pay off the balance before it is necessary to do so, they cannot take out a County Court Judgement against you or take back anything you have hired or bought on credit, to take anything used as security when you took out the agreement. Our clients have advised that they can ask you to pay the balance, send you a letter which is called a Default Notice. They can also forward your information to the Credit Reference Agency or to a Debt Collection Agency and they can sell your account to a third party. The balance remains outstanding and payable.

In the circumstances, we believe the dispute has now been resolved and the full balance or agreed monthly balance is required by return (payment methods are then provided).

In the event you believe you still have a valid dispute, please contact us by the 22nd April as the account is on hold until this date, otherwise your account will be returned to our recovery team for collection."

I ignore this right?

Any advice would be much appreciated.