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Nationwide unenforceable in court personal loan
stuffed80
Posts: 17 Forumite
I have been in a dmp for the last 2 years and everything has been going fine.
A Few months ago nationwide sent me a letter saying they where carrying out an investigation on the interest that has been charged on a £20,000 loan I have with them. Never thought much of it till today when I received another letter from them saying they have completed said investigation and they have found they never followed the consumer credit act but nevertheless my account balance and interest is correct as of now, it then goes on to say they are now not allowed to take court action on me to reclaim this debt.
So I rang them and they admitted it wasn't no longer enforceable in court but I should just carry on paying through my dmp.
Where do I stand here? Is there any point me carrying on paying this when obviously they have messed up?
Thanks for any help just wanting to be clear as to where I stand with this.
A Few months ago nationwide sent me a letter saying they where carrying out an investigation on the interest that has been charged on a £20,000 loan I have with them. Never thought much of it till today when I received another letter from them saying they have completed said investigation and they have found they never followed the consumer credit act but nevertheless my account balance and interest is correct as of now, it then goes on to say they are now not allowed to take court action on me to reclaim this debt.
So I rang them and they admitted it wasn't no longer enforceable in court but I should just carry on paying through my dmp.
Where do I stand here? Is there any point me carrying on paying this when obviously they have messed up?
Thanks for any help just wanting to be clear as to where I stand with this.
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Comments
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I have been in a dmp for the last 2 years and everything has been going fine.
A Few months ago nationwide sent me a letter saying they where carrying out an investigation on the interest that has been charged on a £20,000 loan I have with them. Never thought much of it till today when I received another letter from them saying they have completed said investigation and they have found they never followed the consumer credit act but nevertheless my account balance and interest is correct as of now, it then goes on to say they are now not allowed to take court action on me to reclaim this debt.
So I rang them and they admitted it wasn't no longer enforceable in court but I should just carry on paying through my dmp.
Where do I stand here? Is there any point me carrying on paying this when obviously they have messed up?
Thanks for any help just wanting to be clear as to where I stand with this.
If they've admitted they can't enforce the debt in court then you have a much greater bargaining power to get the account closed.
You can stop paying altogether. The debt drops off your credit report 6 years after you defaulted (which as you're on a DMP you already have) and eventually they write the remaining debt off as uncollectable.:footie:
Regular savers earn 6% interest (HSBC, First Direct, M&S) Loans cost 2.9% per year (Nationwide) = FREE money. 0 -
Seems a bit to good to be true. I have a credit card with them too do you think they may take that to court if I stop paying the loan?
Don't want to mess dmp up and end up with charging order on my home 😒0 -
Seems a bit to good to be true. I have a credit card with them too do you think they may take that to court if I stop paying the loan?
Don't want to mess dmp up and end up with charging order on my home 😒
A charging order requires enforcement action in court and as they can't take court action against you so they will not end up with a charging order.
Now you aren't paying the personal loan you can pay more towards your other debts which should go some way towards encouraging them to not take enforcement action against you for the CC debt. If they do however take enforcement action as long as you keep paying whatever is ordered by the court and that's usually far less than you're paying under a DMP then they can't get a charging order.
If they did in the very very unlikely event get a charging order then you can just stop paying altogether. They almost never enforce a sale preferring to wait until you sell your house to get their money even if that means they'll be waiting for decades.:footie: Regular savers earn 6% interest (HSBC, First Direct, M&S) Loans cost 2.9% per year (Nationwide) = FREE money. 0 -
Seems a bit to good to be true. I have a credit card with them too do you think they may take that to court if I stop paying the loan?
Don't want to mess dmp up and end up with charging order on my home ��
No it doesn't work like that, one has no effect on the other.
Did they give a specific reason as to why they deemed it unenforcable ?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 -
If they've admitted they can't enforce the debt in court then you have a much greater bargaining power to get the account closed.
You can stop paying altogether. The debt drops off your credit report 6 years after you defaulted (which as you're on a DMP you already have) and eventually they write the remaining debt off as uncollectable.
that would need confirmed, may not be the case could be AP0 -
Thanks for all the replies. What's an Ap?0
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Ok. I'm best checking that soon as possible. What's the best credit checker company? Use to use experian but was expensive0
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Ok. I'm best checking that soon as possible. What's the best credit checker company? Use to use experian but was expensive
Noddle is free to use.
https://www.noddle.co.ukI’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 -
as is clearscore0
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