Default & CCJ - Advice.

KyloRen

Hi,

Around 6-7 years ago I was somewhat careless and unemployed. To settle my debts I had resorted to Payday Loans and got caught in a downwards spiral with high interest rates I couldn't keep up with the payment and sadly today am having to suffer for it.

I had (2) pay day loans which are now defaulted (2011), that same loan was sold onto a collector who then defaulted (2012) me a year later for the same debt adding £20-£30 onto the debt itself.

I wanted to ask as I haven't had any credit or applied for anything over 5-6 years, would it be advisable of me to contact the company I owed money to and have the debt settled in full under the agreement the defaults be removed? I know it may sound a little far fetched but I have changed address since the defaults were imposed and haven't heard anything from the company since.

It's virtually impossible for me to obtain any credit with the defaults and my credit files showing no credit being obtained or paid at all.

My CCJ (2013) was sold to (2) collectors and I have now agreed to settle the amount in full.

The long and short of it is, I just need some advice in terms of how or where I need to go in my current position?

Any advice would be highly appreciated.

sourcrates

Hi,

I'm a little unsure from your post how many debts you have, and how many CCJ's you have, perhaps you can clarify this.

A debt can only be defaulted once, when it went to the collection agency, the default should still have the original date on it, they are not allowed to add interest or charges to a debt once it has defaulted, unless your original agreement allows for it.

Have you ever paid anything towards these debts ?

If not they could be close to becoming statute barred, so I would be cautious about doing anything until that position is also clarified.

As for the defaults, once they reach 6 years old, they will fall off your file naturally.

KyloRen

Thank you for the reply.

So I've had (2) payday loans originally(2011). I couldn't afford to make payments on the loans and the originally company defaulted me and then sold the debt onto a collector, who then defaulted me on the same debt a year later(2012). Typically showing (4) defaults in total for the above loans.

CCJ - I wasn't aware of this until checking my credit report last week. I originally went overdraft with the amount of £32.49, the bank continuously charged me interest on the OD until I could no longer afford to make payments this is around 2006/2007. The debt was then sold to a debt collector and then to a second debt collector over the course of the next 10 years the debt amount reached me was £3,148, which I think is madness as its not a loan or credit that I've borrowed.

The CCJ is on my account I've decided to pay it as it still has (3) years until it drops off and I can't afford to have a unsatisfied CCJ on my account for that long.

I've contacted the bank to ask exactly in detail of what the charges were for and when the account originally defaulted but they state they don't have any information apart from showing me the last the account was charged in 2007. Do I have a leg to stand on after all these years?

I hope the above clarifies the originally question.

Thank you in advance.

sourcrates

From what you say then, the old bank account with the CCJ, would of been statute barred more than likley, when the judgement was granted.

Did you not receive any court papers at all ?

At that point a statute barred defence would of seen you rid of that debt permanently.

Don't pay anything to it just yet, as you may be able to get that judgement set aside.
I suggest you have a conversation with National Debtline before you do anything else, in fact if you hang on till Monday, one of there reps will more than likley pick up on this thread.

Hang fire for now, my guess is they will advise you to ring them.

Regarding the defaults, check the dates, you can only be defaulted once for a particular debt, check if the original default date is still the same, if not written complaint to creditor/DCA and credit ref agency pointing out the error.

KyloRen

Sure, once again thank you so much for all the advice and help. There's virtually not much out there to advise people like myself the correct route or alternatives to dealing with larger companies.

With regards to me building my credit as I haven't obtained anything in over 5 years, would it be worth me buying a package with Credit Improver?

Has anyone used or come across the company?

Many thanks.

sourcrates

KyloRen wrote: »

With regards to me building my credit as I haven't obtained anything in over 5 years, would it be worth me buying a package with Credit Improver?

Has anyone used or come across the company?

Many thanks.

NO !!!!!

I cannot stress this enough, don't pay any 3rd party for "miracle cures", they are a RIP off.

Only Time and good financial management will improve your credit file, nothing much will change whilst you have defaults and especially CCJ`s on your file, once they have dropped off, then your file will improve.

Its just about paying on time, no late payments, defiantly no defaults, only time will improve it.

Please look into getting that CCJ set aside as well, you need to get advice, then fill in court form N245.

KyloRen

Morning,

Would there be anyone in particular that I could contact to get some more advice?

Thank you.

sourcrates

KyloRen wrote: »

Morning,

Would there be anyone in particular that I could contact to get some more advice?

Thank you.

Advice on what in particular ?

KyloRen

How would I go about sending a letter to a creditor about information they hold against the CCJ the took action for in court?

I need to know the date they applied for judgement as I want to see if it falls in or out of the 6 years.

I've sent a query to the bank and I've recently been issued a printout from the bank showing me the charges the applied to the account for 6 months and the balance they closed it at.

Many thanks.

sourcrates

All you need to do is contact the court, they will be able to tell you.


I assume it was Northampton Bulk Centre Court was it ?

KyloRen

Looking at my credit report it states Northampton.

So all I need to do is contact the court to ask which creditor and date they applied for judgement against me?