Tesco loan in bankruptcy

divorcedclaret

Hi
I have been a long time lurker on this forum and read countless threads that really helped me before I went bankrupt in November last year so thank you to everyone.


It wasn't as bad as I expected even though I felt terrible beforehand being left in a dire financial situation by my ex-wife. so to anyone considering bankruptcy as their only option there is light at the end of the tunnel.


My question then :-


I have a Tesco bank loan in joint names with my ex-wife. All other creditors have left me alone after going bankrupt and put a default on my credit file although not all with the correct date which I will have to resolve, but Tesco keep writing to me to tell me my outstanding balance and ways I can pay.


I have informed them several times about my bankruptcy which they agree they have a note of. I told them I am no longer liable for this loan and they haven't put it to a default on my credit file and I am feeling harassed by their letters.


Their response was that they legally can keep me informed of the balance and that they won't show a default or stop writing to me until I provide proof of discharge.


I have escalated this to their complaints department and I'm awaiting a response.


Does anyone have any experience of this ? Are they right to be doing this and I just have to put up with it until discharge or should they stop writing to me ?


Thanks in advance


divorcedclaret.

fermi

Are they just writing with arrears notices, or are the more actively chasing and pestering for payment?

You can argue the default and that they shouldn't be contacting you, but there is also a counter argument that they have to send arrears notices at least otherwise they may lose the right to enforce the agreement against non-bankrupt signatories.

All in all, if you are not being harassed as such, it may just be easier to see what they do once you are discharged. It's at that point that you are legally discharged from the debt.

I might forward copies to your OR in the meantime though.

fierystormcloud

Yes they ARE harassing you. You don't owe this money anymore, as you are bankrupt!

If you have already sent them a copy of your bankruptcy order, then contact your OR, and ask them to send them a cease and desist letter. What they are doing is illegal; they are hounding you for a debt that no longer exists.

It is quite commonplace for creditors to do this; they feel that if they spook you enough, you will pay. Well don't. You don't owe the money any longer.

Tell your OR, and they will (or should!) write to them with a warning to quit hassling you.

They can't get anything from you, or take any action against you, so don't worry. You could actually just ignore them, but the trouble is, they may threaten a 'visit' from one of their henchmen. So it probably is best to contact the OR and see if he/she can write to them.

divorcedclaret

Thank you Fermi,
I knew someone would have a great answer on here and I read a lot of your contributions before going bankrupt so thanks again.




What you've said makes sense as it was they only debt in joint names rather than the others in my sole name, and I thought the bankruptcy was when the debt was gone so you have educated me there with it being the discharge that the debt is legally gone.


they are arrears notices but always with how to pay the arrears information on there, which I couldn't if I wanted to which seems a bit naughty.


I'll do exactly as you have advised though and feel a bit better having asked and got it off my chest, and I understand better now.


Thanks again for such a speedy response, this place has been a lifesaver with the information I've read over the last year or so.

divorcedclaret

thanks fierystormcloud.


I will certainly inform my OR as you and Fermi have advised.

fermi

divorcedclaret wrote: »

they are arrears notices but always with how to pay the arrears information on there, which I couldn't if I wanted to which seems a bit naughty.

They can't leave that out as the form and wording of the notices is set down in law. Leave any part out and they can't add interest or enforce the debt agaisnt the non-bankrupt person.

You can "argue" against it, but as said the legal grounds to do so are much firmer once you are discharged. And they may do as promised then, you never know.

If me for now I would file them and send copies to the OR.

divorcedclaret

Thanks Fermi.


A very clear answer and I understand totally now. Thank you so much.


I'll let the OR know and wait until November and discharge. Do you know how quick they are obliged to sort it out once I provide proof of discharge ?


I can't believe how quickly it is going, 4 months gone as of tomorrow. A third of the way through. I just wish I'd done it soone. For me and the mess I was left in, bankruptcy was like a life saver.

TheGardener

All the previous advice is good. I wonder though if the reason they are still sending statements is that as it is a joint loan - it is not actually completely lost cause for them as the whole balance is now your ex's problem - when you went BR, she became liable for the full amount. This means they will keep sending statements because although you are no longer liable, this is still a live account in their eyes. Its possible the computer is not able to produce the info for your ex without it generating a letter for you.