Sorting out my credit history

frabby

Hi all,

Long time on off reader, first time poster here. Please forgive me if im in the wrong place.

So, a long story short, I have decided its time to sort out my finances and clear up my debits. Over the years I had got myself in to a spiral of debts and not paying them back. Fully my own fault, but there was a reason why I acted like this but I think I have grown up now.

So I have gone though my credit file and think I made a bit of a mistake contacting Lowell today, all I wanted was the reference numbers for some accounts that wont expire until near the end of the decade. Most of the other stuff on my file will expire this year and apparently has now been written off (That is according to Lowell (their words) and my credit file)

There are a couple if items that wont expire until 2018/19 and I have the reference numbers for those to pay off at the end of the month. No problems there.

However there was 2 other items that defaulted in march 2010, and Lowell have said these have been written off. But they have told me that I have to pay them or it will continue past the cut off date which is March 2016. Is this correct? I did not acknowledge these debits, I did not mention them but they brought them up in the call. Is it correct that now they have mentioned them that they can now continue past 2016?

I really cant afford to pay them back in a lump sum and I dont want these debts to drag on, if they have expired then I dont understand how they can be saying they will take legal action against me to recover those debts. According to the Limitation Act 1980 it states "that the limitation period for simple contract debts is six years." (this is unsecured)

So what is true here? Have I just put myself up for a world of hurt?

Thanks for any help provided.

[Deleted User]

Lowell are trying to imply that because you've called, then you have acknowleged the debts and the statute barred time frame doesn't apply. This is completely incorrect; any acknowledgement of a debt has to be in writing by the debtor or certified agent. Just stall Lowell until the end of march and the two debts will be then statute barred and you can write to Lowell accordingly, all the time trying not to be smug(hard I know). By the way, the cardinal rule is NEVER to call, do everything in writing.

datlex

Lowell are a debt collection firm. They will use any means they legally can to recover debt from you. I would take a trip to Citizen's advise bureau, contact Step Change or Christians Against Poverty (CAP) about this. I think you seriously need professional advise from one of the organisations.

frabby

Thank for the reply, it made me laugh, yes its hard to be smug when they are trying to what seems lie to me!

So they cant use my call as an acknowledgement of the debit?

I know it was a stupid thing to do to call them, I regretted it as soon as I spoke to them, but I really needed the reference numbers so I could make the payments at the end of the month.

I wont have my file sorted out until July 2017 as that is when the last item (A CCJ) will drop off. I have been really good with finances for the last 4/5 years, but of course I have a fair amount of issues getting credit, hence why I want to sort it out and move on with my life.

Another question then, on my file, it states a debit is £126, but when I rang them, they told me it is actually £234 due to an early termination fee from the provider. (This is one that I will pay off at the end of the month)

Are they allowed to add this additional money outside of what the default says on my credit file?

Many Thanks

frabby

Thanks datlex, I will have a look in to them and see about contacting them

sourcrates

frabby wrote: »

Another question then, on my file, it states a debit is £126, but when I rang them, they told me it is actually £234 due to an early termination fee from the provider. (This is one that I will pay off at the end of the month)

Are they allowed to add this additional money outside of what the default says on my credit file?

Many Thanks

Hi Frabby,

Ok, you already know that ringing Lowell was not productive, please don't do that again.

If they want you to pay an account, legally, they must write to you.

Anything said in a Phone conversation, does not count for anything.

If Lowell write to you about any debt, you should respond to them with the provit letter, regardless of whether you recognise the debt or not :

https://forums.moneysavingexpert.com/discussion/2607247

They have to provide you with proof of the debt, and that they have the legal right to ask you to pay it.

You mention you intend to settle some accounts at the month end.
Before you pay anything, wait until Lowell write to you about them, do not answer the phone to them.
You never, ever pay the amount they are asking you to pay, DCA's pay pennies for these accounts, you can easily negotiate at least 30% off, often much more.
Always negotiate first.

Anything else you need advice with, please ask, as from your post it sounds like you are a DCA's ideal customer, please don't be !!!!