Cabot no CCA account 'on hold' next step?

Sarahc12345

Hi

My first time on site any help appreciated?

My credit card debt with Lloyds from approx 6 years ago sold to Cabot. I have always and still do pay £5 pm to Lloyds. CCA sent to Cabot and the have replied they cannot provide the agreement and put the account on hold and acknowledge the ca is unenforceable. I have checked credit file and there is nothing on there from Loyds or Cabot. The info on forums is conflicting so I am unsure whether I stay as I am paying £5 to Lloyds and don't send any letter to Cabot or do I need to send the 'in dispute' letter stating the data protection etc?

Also, can they register this on my credit file?

Fingers crossed that one of you much more knowledgeable people will point me in the right direction.

Sarah

fermi

When was the original credit card agreement taken out?

What do you mean exactly by "from 6 years ago"? Presumably you defaulted on the original debt then, so any default registered may have dropped off the credit files? If so, then they must not record another one.

Sarahc12345

I can't find when original agreement taken out but I have a letter from 2010 when I offered a settlement on the account. The account definitely defaulted as it was on my credit file but have just checked my credit score data and it's gone??

sourcrates

Hi,
No credit agreement means they are unable to take you to court to force you to pay.
Under the terms of your sec 78/79 request, if they cannot provide you with a copy of your agreement, then you are not obliged to continue paying them.

You simply write back stating that as the account is unenforceable, you will no longer be making any payments, and please don't contact me ever again.

There is nothing they can do about it.

fermi

Sarahc12345 wrote: »

I can't find when original agreement taken out but I have a letter from 2010 when I offered a settlement on the account. The account definitely defaulted as it was on my credit file but have just checked my credit score data and it's gone??

Defaulted account are removed completely from your credit file 6 years from the initial recorded default date, no matter what, even if not paid. So if defaulted in 2009 or something like that, this is most likely why it does not show now. Cabot cannot put it back on without breaking DPA rules, so should never show again.

So do you think this account was first taken out before or after April 2007?

It's never certain that they won't turn something up that complies with a s78 request, so knowing whether it's before or after that date when the law changed on enforceability outside that, could be important.

Sarahc12345

Hi

OK so I have got it wrong (very blonde moment) I was looking at my partners credit file data and not mine!!!!

So the original agreement was taken out with Lloyds in April 2004 and defaulted in Nov 2010 this is still showing on my credit file but was settled in July 2015 when Cabot bought the debt. Cabot have also registered a default on my file as of 4th Oct 2015, I sent the CCA on 9th Sept 2015 and received a letter on 11th Sept that they had requested the info and then second letter dated 9th Nov to say they haven't been able to get it and the account is now on hold.

I haven't paid anything to Cabot but have left the standing order continue to Lloyds for the agreement which was £5 per month?

What do I need to do now? I am so very grateful for your help with this, it is a minefield!!

Sarah

fermi

OK, so defaulted a bit more recently than we thought, so it still shows on the CRAs.

Cabot are allowed to record a 2nd default entry in their name, subject to a few conditions.

To quote the ICO....

CRA Defaults - Recording of defaults relating to debts that have been sold.

The practice of selling/buying debts is widely used. As long as the information is correctly recorded on a credit file by the lender selling the debt and the lender buying the debt, then two entries relating to one account would not be considered to be a breach of the Data Protection Act provided that:-

• both recorded entries are shown as being in relation to the same account/debt;
• the original debt entry should be shown on the credit file as being either ‘settled' or ‘zero' balance and should show that the debt has been ‘re-assigned’;
• the new DC who shows the debt in their name should maintain the original default date and the correct balances;
• the retention period for maintaining the information on a credit file should be based on the original default date regardless of who is responsible for the entry/debt.

The default date referred to there is NOT the 'last updated' date, or the date of the last D or 8 in the status history, or the date they the DCA started putting things on your file.

It's the "default date" in the main section of the entry which must match the original one from Lloyds.

Means that all trace of the defaults and account should come off your credit reports in Nov 2016, paid/settled or not.

Sarahc12345

Just drilled down on the default and it matches the original dates of the lloyds account started in 2004 and defaulted in Nov 2010.

fermi

Good. So you don't need to mess around making them correct it, and it will all come off Nov 2016 no matter what you do.

Sarahc12345

What is the best way forward now, do I need to respond to Cabot's letter saying the account is on hold or do I leave it to see if they produce the CCA

Also, do I leave the standing order going to Lloyds?

fermi

If Cabot have a credit file entry in their name, then that indicates that the debts has been sold to them, rather than them just acting on Lloyds behalf. If that is the case then you shouldn't be paying Lloyds anyway.

If me, I think I would first be querying with Lloyds the status of the account and where the payments have been going exactly?