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Debt with Barclays £13,000
Helga14
Posts: 1,003 Forumite
My husband before I knew him entered into a crazy credit agreement with Everest windows at a rate of 24.8% interest and the debt is now with Barclays. Three years ago I called them said that he couldn't pay. He was in arrears and close to going bankrupt with various large debts at that point. They agreed to stop the interest and let him pay £25 a month rather than the £270 odd payments that he couldn't afford. He didn't have a job at that point.
Now things are a lot better. He has worked two jobs for the past two years and most of the credit card bills and tax are paid off. This debt remains though and i think after the year the £25 payments were stopped.
They just send a statement every 6 months. I can't find the last two statements in his paperwork.
The paperwork I've got says the account will be reported as defaulted with a balance of £9,250ish in July 2013.
I need to talk to them to find out if interest is still being added? How much they think he owes?
Ideally they would agree to right off the debt for a one off lump sum payment. Are they likely to accept this? What sort of level payment do you think they would accept? Has anyone got any experience with Barclays and how they would approach an historic debt like this.
Now things are a lot better. He has worked two jobs for the past two years and most of the credit card bills and tax are paid off. This debt remains though and i think after the year the £25 payments were stopped.
They just send a statement every 6 months. I can't find the last two statements in his paperwork.
The paperwork I've got says the account will be reported as defaulted with a balance of £9,250ish in July 2013.
I need to talk to them to find out if interest is still being added? How much they think he owes?
Ideally they would agree to right off the debt for a one off lump sum payment. Are they likely to accept this? What sort of level payment do you think they would accept? Has anyone got any experience with Barclays and how they would approach an historic debt like this.
Top wins in 2018: Trip to Iceland, helicopter ride over london, couples massage, £300 flight from Pringles, trip to Paris, cocktail making class and afternoon tea up the shard. .
Top wins in 2017:holiday to the Bahamas, trip to Paris, meal with champagne, a week in a manor house in France with £500 spending money.
Top wins in 2017:holiday to the Bahamas, trip to Paris, meal with champagne, a week in a manor house in France with £500 spending money.
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Comments
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Hi,
How long since he made a payment to this debt ?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 -
The last payment i can see was in March 2014 for £25. That would make sense as i think i sorted out a lot of his finances in March 2013.Top wins in 2018: Trip to Iceland, helicopter ride over london, couples massage, £300 flight from Pringles, trip to Paris, cocktail making class and afternoon tea up the shard. .
Top wins in 2017:holiday to the Bahamas, trip to Paris, meal with champagne, a week in a manor house in France with £500 spending money.0 -
His credit rating I know is pretty awful, he was turned down for a bank account recently. We don't have any joint financial products. My credit rating should be really good. I've never missed any payments, manage credit cards well etc.Top wins in 2018: Trip to Iceland, helicopter ride over london, couples massage, £300 flight from Pringles, trip to Paris, cocktail making class and afternoon tea up the shard. .
Top wins in 2017:holiday to the Bahamas, trip to Paris, meal with champagne, a week in a manor house in France with £500 spending money.0 -
I had a loan with Barclays (it was called a Barclays Masterloan).
It was taken out in 1997 but due to my circumstances I was only able to make token payments to Barclays from 2001 to 2011.
In 2011 Barclays passed my outstanding debt (just over £11k) to a Debt Collection Agency (Barclays still owned the debt).
I did CCA Barclays but unfortunately they did produce a valid agreement .
However the Debt Collection Agency wrote to me saying that they'd been authorised to offer me the chance to pay a one-off payment of £3,200 to clear the debt in a F&F.
I wrote back stating I couldn't raise £3,200 but I could raise £2,800 from a family member.
The Debt Collection Agency wrote back accepting the £2,800 and stated the balance of almost £9k would be written off.
I double-checked the offer (in writing) with Barclays and they confirmed that the F&F offer was genuine.
I therefore paid the £2,800 and received a letter stating that was the end of the matter - that was over five years ago.
So it can be done but probably a better chance of getting a decent F&F if the debt has been passed to a DCA!0 -
Thanks for your feedback erskineman. What is CCA? I did find at one point the original credit agreement but i'm not sure that Barclays will have that from Everest. They have gone very quiet and don't seem to have passed the debt over to anyone. We could afford to pay a few thousand pounds to have it written off.Top wins in 2018: Trip to Iceland, helicopter ride over london, couples massage, £300 flight from Pringles, trip to Paris, cocktail making class and afternoon tea up the shard. .
Top wins in 2017:holiday to the Bahamas, trip to Paris, meal with champagne, a week in a manor house in France with £500 spending money.0 -
Thanks for your feedback erskineman. What is CCA? I did find at one point the original credit agreement but i'm not sure that Barclays will have that from Everest. They have gone very quiet and don't seem to have passed the debt over to anyone. We could afford to pay a few thousand pounds to have it written off.
Sorry Helga14, by CCA I meant 'Consumer Credit Agreement' and it looks as though you have yours!
Although you obtained your loan (probably) through Everest Home Solutions, the money would have come from Barclays.
'Everest Limited only offers consumer credit provided by Barclays Partner Finance...'
I don't think there's any harm in asking for a reduced settlement, although it may be more difficult as you probably own your own home - I had no assets when I did my F&F.
I'm not on here that often but can see that there are many experienced posters on this forum who will have the knowledge to advise you further, and hopefully someone will get back to you shortly!0 -
Thank you. Does anyone know if this payment is defaulted and on his credit record as such. Does it remain on there for a certain amount of time and then falls off his record? Does that mean the debt is wiped out? When he defaulted he had no income, negative equity and lots of debts. Now things are better with an income...sadly still negative equity but a lot more manageable debts.Top wins in 2018: Trip to Iceland, helicopter ride over london, couples massage, £300 flight from Pringles, trip to Paris, cocktail making class and afternoon tea up the shard. .
Top wins in 2017:holiday to the Bahamas, trip to Paris, meal with champagne, a week in a manor house in France with £500 spending money.0 -
Thank you. Does anyone know if this payment is defaulted and on his credit record as such. Does it remain on there for a certain amount of time and then falls off his record? Does that mean the debt is wiped out? When he defaulted he had no income, negative equity and lots of debts. Now things are better with an income...sadly still negative equity but a lot more manageable debts.
Check his credit file, it will tell you if a default has been registered.
Defaults stay on your file 6 years and then fall of, settled or not.
No the debt is not wiped out, it still exists.
No harm in doing another CCA request, just because they were able to comply last time, dosent mean they can now.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 -
Spoke to them today. I've asked for a CCA and they are sending it out. The outstanding debt is £9200. I asked what kind of figure they'd want to a F&F they said 60% of the debt so £5500 and they'd want supporting statements of his income and expenditure to agree to that. That is more than we can afford at the moment.
As no one is chasing for the money. We're going to just wait and see if the debt ever gets sold on to anyone else and we can agree a lower F&F with them.
Does anyone know of any risks on that? We'll be saving more to pay it off eventually. It is definitely a defaulted payment from 2013 so will remain on his credit file to 2019.Top wins in 2018: Trip to Iceland, helicopter ride over london, couples massage, £300 flight from Pringles, trip to Paris, cocktail making class and afternoon tea up the shard. .
Top wins in 2017:holiday to the Bahamas, trip to Paris, meal with champagne, a week in a manor house in France with £500 spending money.0 -
Never ask them on the phone for a full and final settlement . ALWAYS do it in writing and make them low offer (never start with the maximum you could raise). And always get written confirmation that it will close the account with no amount owing or they can chase you later for the rest. Remember on the phone you are dealing with someone whose only job is to get money from you.
The risks if you wait could be they may decide to get a court judgement (but probably more likely after they pass the debt on but not unplausible)£2 Savers Club for 2022 #120
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