We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
Debt collector adding 27% to debt as 'fees'
gazfocus
Posts: 2,509 Forumite
i wasn't really sure where to post this, so apologies if it's in the wrong place.
Our previous commercial landlord has decided after 12 months that we owe them for 'unpaid rent' which I am disputing. However, they have contacted us through a debt collection company who have then added their costs on top. The original balance they say we owe is £960, and the debt collection company is claiming the balance is £1180 which they have admitted includes their fees.
Now, I've worked out the interest at 8.5% and that would come to about £60. I've also looked up what the landlord is allowed to charge for 'debt collection' and that's £40 for debts up to £999.99 but are then allowed to charge additional 'Reasonable Costs', however they are adding 27% to the balance which I would not have thought would be 'reasonable'.
Is there any guidance as to what might be considered 'reasonable'?
Any help would be appreciated.
Our previous commercial landlord has decided after 12 months that we owe them for 'unpaid rent' which I am disputing. However, they have contacted us through a debt collection company who have then added their costs on top. The original balance they say we owe is £960, and the debt collection company is claiming the balance is £1180 which they have admitted includes their fees.
Now, I've worked out the interest at 8.5% and that would come to about £60. I've also looked up what the landlord is allowed to charge for 'debt collection' and that's £40 for debts up to £999.99 but are then allowed to charge additional 'Reasonable Costs', however they are adding 27% to the balance which I would not have thought would be 'reasonable'.
Is there any guidance as to what might be considered 'reasonable'?
Any help would be appreciated.
0
Comments
-
Just deal with the landlord if possible, don't be paying any "fee" from a debt collector, they can't enforce the actual fee, and it won't be recorded on your credit file, stuff em !!!I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 354.2K Banking & Borrowing
- 254.3K Reduce Debt & Boost Income
- 455.3K Spending & Discounts
- 247.2K Work, Benefits & Business
- 603.8K Mortgages, Homes & Bills
- 178.4K Life & Family
- 261.3K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.7K Read-Only Boards
