Halifax Overdraft passed to Westcot - Advice Needed

Stick_of_Rock

My situation:

My £3300 overdraft with Halifax was finally pushed into arrears by their charges, despite me paying the large fees every month eventually I couldn't keep up.
After a conversation with Halifax(over the phone) I completely stopped using the account and instead began paying down at a low rate(£10 per month, with the intention of raising this when things get better).

Stupidly though, I didn't get the agreement in writing, and on Friday, discovered my account had vanished.

According to Halifax, the debt has been passed to a company called Westcot on 15th Feb. The kicker here is, I wasn't aware of this. We moved house soon after the original account problems, and as I always use online everything and paperless, I didn't change my address with the account. So, all notices have gone to an old address, including I presume, any letters from Westcot.

Halifax have apologized for the mix up(I know it's my fault on the address front but they still have my phone number) but have said I now have to deal with Westcot.

However, some research over the weekend(and a lot of self hate!) shows nearly everything about Westcot to be negative, and not being in this situation before I'm just really worried about contacting them. Halifax said they called on my behalf (while I was on the phone) but then said I must call them. Every piece of advice I read says don't call them!

I presume at the mo Westcot does not even know my address, but obviously I do need to get the ball rolling to pay this bill off.
Should I call them?/write to the them?/refuse and only deal with Halifax?

Funny part was at the end of the conversation, the guy from Halifax said, "but, your other accounts with us are fine so no worries with those!" (there's no money in them)

Just confused really and not wanting to do the wrong thing at the start, hoping someone has been in the same situation and can share their experience and advice.

Thank you loads in advance, and apologies for the wall of text!

sourcrates

Hi,
did you not get your post re-directed ?
Anyway, Wescott don't buy bad debts, normally they just act for there clients, or as they like to put it "manage there account", in this case Halifax.

Which means after a few letters to you go unanswered, they will simply pass the account back to HBOS, so you can ignore Wescott for the time being.

However at some point this debt may be sold on, and end up with a specialist debt purchaser such as Lowell or Cabot, now if you ignore these people for any length of time, you risk a CCJ By default, as they won't have your current address.

So it's catch 22, you don't really want to speak to them on the phone, when dealing with debt collectors, it's essential you do everything in writing, you really need to update your address with Halifax, then at least post will reach you in the future, and you can deal with it as you see fit.

Stick_of_Rock

Many thanks for the reply, it's really appreciated. This may concur with what I was thinking, try to establish paying off the debt through Halifax. I was going to write to them as well in regard to this. but I will certainly update my address.

Will the matter be passed back to Halifax though, or could it go from Wescot straight to a specialist debt purchaser? I obviously don't want this step to happen if I decide to wait it out.

Has anyone else been in this situation?

sourcrates

Stick_of_Rock wrote: »

Will the matter be passed back to Halifax though, or could it go from Wescot straight to a specialist debt purchaser? I obviously don't want this step to happen if I decide to wait it out.

Has anyone else been in this situation?

Halifax still own your account, it may be passed between various DCA,'s, it's not uncommon.

It won't go straight to sale though, usually take a while for that to happen with one of the big banks.

redux

Despite some of the negative comments you've found so far, I think you have better chances of talking sense with Wescot than certain other firms.

But if you want to be transferred back to dealing with Halifax, you need to find out the department that gave the instructions and persuade them to bring you back, promising you'll be in better contact from now on. I don't know how feasible this is, or the department name.

Halifax have been known to suddenly sell blocks of accounts though, and rather unexpectedly for the clients.

Either way, make a new arrangement, preferably for a bit more than £10, and stick with it.

Also, Halifax have arrangements for helping people in financial difficulties, including waiving part or all of the fees on overdrafts. If they weren't doing this, it might be worth asking why that help didn't come into discussion, and they might retrospectively refund some of the fees on a goodwill basis.

Stick_of_Rock

redux wrote: »

Also, Halifax have arrangements for helping people in financial difficulties, including waiving part or all of the fees on overdrafts. If they weren't doing this, it might be worth asking why that help didn't come into discussion, and they might retrospectively refund some of the fees on a goodwill basis.

To their initial credit they did agree to stop further charges, but in the same conversation insisted the over £100 charges they put on the account(making it break the overdraft) would stand. It was this amount I first paying off. Really frustrating.

pab233

FWIW, I've had two (very) long term accounts outstanding with Wescot and they have never been anything less than helpful and understanding.

charmed1318

I have dealt with Wescot for the last couple of years over and overdraft with HSBC, I have dealt with them completely in writing, mostly email.

My agreement was for a minimal amount and has been since, as my circumstances aren't changing soon.

I have not had any bad dealings with them, and whenever they ask for a 'review' every year or so I just email some information on my Income and Expenditure.

Just make sure you stick to the payments agreed for the dates you have agreed - which you can choose. I pay them every 4 weeks.

Hope that helps

sourcrates

Purely from a legal standpoint, debt collection agencies such as wescot, who "manage" (now there's a non legal term) accounts like this for the big banks, are not actually the creditor, unless a full legal assignment takes place.
That means they have no legal standing, as Halifax is still the accounts owner.


Which means they have absolutely no right whatsoever to ask you to pay this debt.
And if you choose to, you can ignore them.

gettingtheresometime

charmed1318 wrote: »

I have dealt with Wescot for the last couple of years over and overdraft with HSBC, I have dealt with them completely in writing, mostly email.

My agreement was for a minimal amount and has been since, as my circumstances aren't changing soon.

I have not had any bad dealings with them, and whenever they ask for a 'review' every year or so I just email some information on my Income and Expenditure.

Just make sure you stick to the payments agreed for the dates you have agreed - which you can choose. I pay them every 4 weeks.

Hope that helps

pab233 wrote: »

FWIW, I've had two (very) long term accounts outstanding with Wescot and they have never been anything less than helpful and understanding.

I'm also have a debt managed by Westcot and as the other posters have said, if you keep to the agreed amount by the agreed date you won't get any grief off them.

Stick_of_Rock

An update on this for future reference.

Westcot tracked me to my new address and began calling sending letters, some threatening, some benign. Also a lot of automated phone calls!(Several a day) As mentioned before I wasn't keen on speaking with them, and after the kind and helpful advice on here(seriously, thankyou all) I have gotten a response from Halifax after writing to them.

They have investigated and removed the account from Westcot and passed it back to Halifax. However they are not removing the default. This is unfortunate as it still massively damages my credit report. They also tried to say I had spent over my limit on the account which wasn't actually possible, but then on further investigation agreed it was their charges that caused the default, and have refunded £100 off the balance. Default still stands though so it's frustrating, but at least I don't have to deal with Westcot.

To be honest I'm not sure it's a good result? But, at least things are moving now. Am currently waiting for letters to confirm all this.

EDIT: Wescot also sent me separate letters trading as a company called 2F, so not sure if that is the name they use now?