£470 Santander debt - paying off with a DCA - Santander saying I owe them £2700

simpatico

Hi everyone

Back in March 2011 I ended up £470 overdrawn with Santander/Abbey. I was younger and stupider back then so decided to open an account with a different bank and ignore it.

This was never an arranged overdraft, and in fact I wasn't aware that my account was even capable of becoming overdrawn. Just in case that's relevant.

Anyway...for the past couple of years I've been paying this £470 debt back to the DCA that Santander presumably sold it to. However during that time I receive 'statements' from Santander every six months, stating matter-of-factly that I owe them £2700

These aren't demands for payment as such, although the latest one did include a 'notice of arrears' which I'm not sure if the ones before it did. But again all very casually phrased, nothing heavy.

These statements say 'LOAN' but they must be referring to the overdraft debt as I never had a personal loan or credit card or any other form of credit from Santander.

If they have sold the original overdrawn amount to a DCA can they continue racking up interest and charges on the account???

I've almost finished paying off the original £470 debt to the DCA. That appears on my noddle credit report but no account/debt with Santander does. I never receive any other communications from Santander over than these six monthly statements of transactions. No bank statements (though they may have originally been online, I honestly can't remember) no new debit card which would surely be due by now if they considered me an active customer, etc. No customer communications of any kind.

I'm almost debt-free in general now, and if the March 2011 date of default on my credit file for the £470 debt is what counts, then I'm only 10 months away from anything Santander related being statute-barred surely?


I guess it's possible that £2700 is charges/interest incurred from the period BEFORE Santander sold on the original overdrawn amount to the DCA, but why wouldn't they just sell on the whole thing??

I'm reluctant to get in touch with Santander due to potentially resetting the statute barred clock etc.

I'll swallow and start paying Santander something every month if I really have to - what I really fear is getting more recorded defaults or god forbid CCJ's. But equally I don't want to pay a debt that isn't legally valid.

Sorry if I've rambled a bit here.

Any advice much appreciated,
thanks.

Marktheshark

Request the deed of assignment from the DCA using a SAR.

sourcrates

Hi,


Well you said it yourself, they arnt demands for payment, so that should not worry you.

What would worry me, is if I did not recognise the account they were writing to me about.


It could be an error, in that Santander's systems still think this is an active account, and has been accruing charges ever since 2011, but in reality it was sold on, and there systems haven't picked this up.


Do the account numbers, sort code, name address etc, all tally ?


If so, then that is the most likely scenario.

simpatico

sourcrates wrote: »

Hi,


Well you said it yourself, they arnt demands for payment, so that should not worry you.

What would worry me, is if I did not recognise the account they were writing to me about.


It could be an error, in that Santander's systems still think this is an active account, and has been accruing charges ever since 2011, but in reality it was sold on, and there systems haven't picked this up.


Do the account numbers, sort code, name address etc, all tally ?


If so, then that is the most likely scenario.

Name and address is certainly correct, it's my mum's address where I was living at the time. I'm going to do some digging around over there on Monday for old documentation from Santander to see if the sort code and account number match.

The weird thing is if it were still accruing charges, the amount in arrears should have increased in the last six months? Yet this statement I'm looking at tells me the same amount on 15/11/2015 (the 'statement opening balance') as on 14/05/2016.

It also says

The current balance on your account is £2,700.70 and the amount of arrears on your account is £2,700.70

Please note if you have already made arrangements with us to pay the arrears and are maintaining this arrangement, you do not need to contact us.

All very strange as the only 'arrears' I've been paying are obviously towards substantially different + lower debt amount, via the DCA.

sourcrates

If you are not actively been chased for this money, I would be tempted to let sleeping dogs lie until after the alleged account is beyond the limitation period, then attempt to investigate it if necessary.

simpatico

sourcrates wrote: »

If you are not actively been chased for this money, I would be tempted to let sleeping dogs lie until after the alleged account is beyond the limitation period, then attempt to investigate it if necessary.

Thanks, that's what I've been doing up until I got this most recent statement so I guess I'll just continue then. Just don't want to end up with another default I've got to wait six years to drop off, if this other £2700 ends up with a DCA eventually then I guess they'll record a new one rather than it coming under the original 2011 one. I suppose it's a risk I'll have to take.

National_Debtline

Hi Simpatico,

simpatico wrote: »

Back in March 2011 I ended up £470 overdrawn with Santander/Abbey. I was younger and stupider back then so decided to open an account with a different bank and ignore it.

Anyway...for the past couple of years I've been paying this £470 debt back to the DCA that Santander presumably sold it to. However during that time I receive 'statements' from Santander every six months, stating matter-of-factly that I owe them £2700

These aren't demands for payment as such, although the latest one did include a 'notice of arrears' which I'm not sure if the ones before it did. But again all very casually phrased, nothing heavy.

These statements say 'LOAN' but they must be referring to the overdraft debt as I never had a personal loan or credit card or any other form of credit from Santander.

I'm almost debt-free in general now, and if the March 2011 date of default on my credit file for the £470 debt is what counts, then I'm only 10 months away from anything Santander related being statute-barred surely?

This is all very confusing - did you ever get chance to check if the account numbers matched? Is it the same account number on the Santander 'reminder' letters that is on the DCA letters? If it is then I think you need to complain to the DCA and Santander and ask for clarification because only one organisation can chase a debt at any one time.


If it is the same debt then it is also very unlikely that the Limitations Act could apply because you have been making payments to 'the debt' and therefore, have been acknowledging it - but this is not something that comes up, in this way very often I am afraid, it is very confusing.


But if these are 2 different accounts then it may be the case that the one with Santander could be statute barred soon (unfortunately, it still not clear when the 6 year clock would have started, as because you don't recognise the account) and actually that would be the bigger concern. If someone has taken out credit in your name without your consent then that is an issue of fraud and you will need more advice. My advice would be to check the accounts numbers ASAP and go from there. Good luck,

Laura
@natdebtline