What to do when there is no credit agreement to be found and money is being requested

helpNeeded

Hi, I’m new to this but really need some help and advice. I’ll post all the details so I don’t drip feed, so apologies for the long post.


I started a process many years ago when my husband was sent a threatening letter from a company stating he owed them money. He was fairly sure that he’d taken out a few loans over the years but was also confident that he’d paid them off. I requested a statement of account and an original signed copy of the credit agreement alongside all other paperwork held on the account. We’ve sent numerous correspondence and I’m now just not sure what to do.

They supplied a statement of account with one reference number on it, and a signed agreement which is dated a few years before the start of the statement of account with a different figure on it and a different reference number. These two documents clearly don’t match up, nor does any of the other paperwork. My husband is adamant that he paid everything off, and was in fact owed PPI from the old accounts for which we have paperwork for. The company agreed that he was owed PPI from the other accounts, but subtracted this from the balance that they claim he owes.

We’ve received a letter today to say that they can’t provide us with the agreement, and “accept therefore that [they] are prevented from enforcing the agreement while [they can’t provide the agreement]”. But go on to say “While we cannot enforce the agreement, [their] rights continue to exist under the agreement and therefore the balance is outstanding”.

Where do we go from here. We’re certainly not paying them a significant sum of money for something which my husband can’t account for and neither can the collection company! And, if anything they owe us money.

What do we do next? I’d gratefully receive any help or guidance you have.

Tixy

Hi and welcome

I would simply stop corresponding with them and ignore any contact from them. Keep a copy of that letter from them.

There is nothing they can do now unless at some point in the future they manage to produce a valid credit agreement.

(The only thing not to ignore would be if they sent court papers to start court proceedings but that is very unlikely and would be pretty stupid of them after that letter to him).

helpNeeded

Thanks. So just cut our losses with the money they did owe him for PPI on actual accounts, that they've deducted from the balance on this invented account, and wait for the six years for it to come off his credit record?

Tixy

Sorry I missed about the PPI.

Is this a debt collector I assume - not the original creditor?

I guess he could write a formal letter of complaint to state that he disputes that the debt exists and as they have been able to provide no evidence of the debt then asking them to pay him the PPI refund that has been incorrectly and unfairly allocated to this alleged debt.

If they fail to comply then the next likely step would be a complaint to the FOS I think.

helpNeeded

Will try that then. Thanks very much.

happy_bunny_2

Is the account with the original creditor still or a DCA? Who owns it?

Helps figure out what to do PPI wise.