Family Debt Problem

HermanMunster72

Hi, I’m new and have a real problem:

We recently found out that my sister and her husband had been made homeless, this was when they turned up at my elderly parents home asking if they could live there.

The couple have basically isolated themselves from the family since around 2006 and have got into deep debt.

On investigation I discovered that the company which had evicted them is IDEM Servicing, and that they apparently owe them just over £90K. But it gets worse… on investigating their bank statements I have discovered that they also owe around 18K to a company called Gregory Pennington.

The husband is currently working but my sister isn’t.

We’ve cleared out the house of their possessions and the house is with an estate agents who have been instructed by IDEM. We have also setup a mail redirection.

Letters from various other companies have now started to arrive.

My sister and her husband are basically borderline learning disabled and have ignored letters, phone calls and even visits from debt companies and even now are in complete denial about the who situation; I seriously doubt that they are capable of understanding what they have done.

I’ve spoken the Citizens Advice Bureau, who have been helpful, and I’ve obtained authorisation to speak to IDEM and Gregory Pennington and have received statements from the two companies.

What concerns me is how do I find out what other debt they have when my sister and her Husband are either uncooperative, absent or oblivious of any of the details, and what would be the best way to proceed.

Any advice would be gratefully received.

Mike

sourcrates

Hi,

Gregory Pennington are a debt management company, how can they owe them money ?
They would have to of engaged GP to act for them, GP don't loan money or buy debts, so how can they owe them 18k ?

Just a bit confusing that one ?

Muttipops

Mike, are they even capable of giving you power of attorney or would you want this level of responsibility?
Do they have any agencies involved with them, I mean gov agencies like social services, benefits etc.


I have never used it myself, but Experian is often recommended to look up credit card and loan details, http://www.experian.co.uk/ as they apparently provide a fuller picture than many reports give you.


I will scout around and see what other help could be given to find out, but fairly new to this business myself of debt advice!!!
You learn quickly on here.:)

HermanMunster72

Ahh, OK. It looks like they are paying Gregory Pennington a set amount every month so I assume that they pay the actual debtors from that.

sourcrates

There are three credit reference agencies in the U.K.

Experian, as mentioned above.

Equifax

And Noddle.

Creditors will report to anyone of the three agencies, so most debts will show on there credit reports.

You need to get a copy from each one.

Noddle can be viwed online for free, so can equifax via clearscore, and a £2 statutory copy is available from Experian.

sourcrates

HermanMunster72 wrote: »

Ahh, OK. It looks like they are paying Gregory Pennington a set amount every month so I assume that they pay the actual debtors from that.

GP will be changing them a fee for there so called "services".

It's difficult trying to sort out other people's debt problems, as there are data protection issues everywhere.

If you intend to take this on, GP should be able to give you there creditor details.

National_Debtline

Hi

I agree that asking Gregory Pennington for details of debts they owe, or checking all 3 of the main credit reference agencies is the easiest way to find out debts owed. You’ll need to encourage your sister and husband to work with you on that though.

Taking advice from the CAB was a good idea, and you’re welcome to give us a call if you need anymore advice on dealing with their debts. It may be a case of looking into bankruptcy to have their debts written off providing they don’t have assets to lose or any other negative effects.

James
@natdebtline

HermanMunster72

Thanks for your advice, I'll get those reports and approach Gregory Pennington.

National_Debtline

Do you know what the £90k owed to IDEM is actually for? Are they saying it’s rent arrears or is there a mortgage on the property?

James
@natdebtline

HermanMunster72

As far as I can work out, IDEM being not very helpful, there was a debt consolidation loan taken out with 'Picture Finance' which was secured against the house. This was back in 2006. My Sister and Husband are not being helpful in how this debt was accumulated, I suspect credit cards, but I have contacted IDEM to name the creditors, which so far they have not replied to.

Mike

redux

I hadn't heard of Picture Finance, but from a brief search it's a whole saga on its own - something to do with PPI, wound up several years ago, declared in default by FSCS, etc