NRAM PPI success but DCA wants money

suep1967

I am enquiring on behalf of my husband. I sorted out the PPI and NRAM paid out - all through the help of MSE! Massive thanks!
However, strangely enough, as soon as the payout was, Mortimer Clark solicitors or Cabot, have requested money!
Background - husband made arrangements to pay via NRAM, then they sold the debt to Cabot, who then sent it onto Marlin. Payments stopped for about 12 months as there wasn't any communication from DCA. Husband had the top PPI on the loan so I suppose they weren't bothered at the time as they thought they would get their money one way or another.
I did a CCA request about 12 months ago to the DCA. They sent a letter back saying as they weren't in charge of the loan, that they may not have the paperwork but would forward it to him if they got it. Anyway, 12 months passed, and nothing. Great we thought. Until - claimed the PPI and surprise surprise, as soon as they payout came through, Mortimer Clark were back in touch with a copy of the front page of the loan application, but no terms and conditions on the back.
What I am wondering is that as they took so long to reply with the CCA request, is the agreement unenforceable? Is there a letter I can send to them to basically say something along the lines of "oh its convenient now to answer our request as you think we will pay off the loan with the PPI money - well do one!"
My husband is leaving his job in February and going self employed so we need the money for that, and as a back up to pay bills (I can't work due to ill health).
Sorry for the long story. Hope someone can help me please. They want an income & expenditure form back very shortly and I don't want to go down that road again.

National_Debtline

Hi Sue


The delay in responding to your CCA request, whilst far from ideal, won't in itself have rendered the debt unenforceable. I'd suggest that you/your husband seek some more detailed advice from one of the free charities on your options for dealing with it.


Dennis
@natdebtline

sourcrates

It was unenforceable, until they complied.

There was a period of time, where application forms, also doubled as credit agreements, was it a pre 2007 account ?

Is there any way you can upload a copy, removing personal details of course ?

suep1967

Yes, it was taken out May 2004. I'm gutted that I didn't write to them before to say it was unenforceable. :wall::wall::wall:

sourcrates

suep1967 wrote: »

Yes, it was taken out May 2004. I'm gutted that I didn't write to them before to say it was unenforceable. :wall::wall::wall:

Write back to the DCA telling them the paperwork they have sent does not comply with your request, and, as the court has already ruled on this matter, you still consider the agreement to be irredeemably unenforceable.

Ultimitly if they start a claim you have a good defence.

suep1967

Thanks for that. Is there a standard letter available for this? Just to make sure I get the right wording!

sourcrates

Try this :


Quote:
Account in Dispute - Section 10 Notice

Dear Sirs,

Account No:

You have failed to respond to my legal request to supply me a true copy of the original Consumer Credit Agreement for the above account. On **DATE** I made a formal request for a true signed agreement for the alleged account under consumer credit Act 1974 s77/8. A copy of which is enclosed for your perusal and ease of reference.

You have failed to comply with my request, and as such the account entered default on **DATE**.
(date = 12+2 days after you sent the CCA request - delete this text)

The document that you are obliged to send me is a true copy of the executed agreement that contained all of the prescribed terms, all other required terms and statutory notices and was signed by both your company and myself as defined in section 61(1) of CCA 74 and subsequent Statutory Instruments. If the executed agreement contained any reference to any other document, you are also obliged to send me a copy of that document.In addition a full statement of this account should have been sent to me detailing all debits and credits to the account.

Furthermore;

You are aware that the Consumer Credit Act allows 12 (+2) days for a request for a true copy of a credit agreement to be carried out before your client enters into a default situation. This limit has expired

As you are no doubt aware section 77(6) states:

If the creditor fails to comply with Subsection (1)(a) He is not entitled , while the default continues, to enforce the agreement.Therefore this account has become unenforceable at law.

As you have Failed to comply with a lawful request for a true, signed copy of the said agreement and other relevant documents mentioned in it, Failed to send a full statement of the account and Failed to provide any of the documentation requested, any legal action you pursue will be averred as both UNLAWFUL and VEXATIOUS. Furthermore I shall counterclaim that any such action constitutes unlawful harassment.

Please note you may also consider this letter as a statutory notice under section 10 of the Data Protection Act to cease processing any data in relation to this account with immediate effect. This means you must remove all information regarding this account from your own internal records and from my records with any credit reference agencies.

Should you refuse to comply, you must within 30 days provide me with a detailed breakdown of your reasoning behind continuing to process my data. It is not sufficient to simply state that you have a ‘legal right’; You must outline your reasoning in this matter and state upon which legislation this reasoning depends. Should you not respond within 30 days I expect that this means you agree to remove all such data.

Furthermore you should be aware that a creditor is not permitted to take ANY action against an account whilst it remains in dispute. The lack of a credit agreement is a very clear dispute and as such the following applies.

* You may not demand any payment on the account, nor am I obliged to offer any payment to you.
* You may not add further interest or any charges to the account.
* You may not pass the account to a third party.
* You may not register any information in respect of the account with any credit reference agency.
* You may not issue a default notice related to the account.

I reserve the right to report your actions to any such regulatory authorities as I see fit. You have 30 days from receiving this letter to contact me with your intentions to resolve this matter which is now a formal complaint. I therefore request a copy of your official complaints procedure which you are obliged to supply.

I would appreciate your due diligence in this matter and look forward to hearing from you in writing within 30 days.

Yours faithfully

suep1967

Sent letter as above, thank you. Unfortunately, it has just delayed the inevitable - now they want their money. Mortimer Clarke are persistent when it suits them. They even tried my mobile, which was only put on the PPI claim application as I was dealing with it on behalf of husband! Just goes to show that as soon as the payout landed, they pounced again.
Husband is going self employed in a couple of weeks, and I'm not working due to ill health, so all that can be offered to them at this point is £1 per month. They weren't bothered whilst the insurance was in place, and hadn't hassled us for a payment for over 12 months. Now there isn't any, they are being very intrusive.

Thanks for your help everyone. I suppose £1 per month will have to keep them at bay hopefully.

pmartin86

Just out of curiosity, as im a little too young to have been part of the whole "PPI" thing - Surely thats what the point of it was? You pay insurance so that when you fail to pay, the insurance pays? Or have I got that way wrong?

System

suep1967 wrote: »

Husband is going self employed in a couple of weeks, and I'm not working due to ill health, so all that can be offered to them at this point is £1 per month. They weren't bothered whilst the insurance was in place, and hadn't hassled us for a payment for over 12 months. Now there isn't any, they are being very intrusive.

If that's all that you can offer then it is the height of stupidity for your husband to go self employed when your finances are in such a crisis unless he has guaranteed income payable within a few weeks. I would suggest delaying the self employment until you have at least 3 to 6 months outgoings saved up in an emergency fund otherwise you're likely to be getting more debt letters from a whole new raft of people you're behind with payments to.

System

pmartin86 wrote: »

Just out of curiosity, as im a little too young to have been part of the whole "PPI" thing - Surely thats what the point of it was? You pay insurance so that when you fail to pay, the insurance pays? Or have I got that way wrong?

The problem with PPI is that it has clauses in and was sold to people who would never be paid out. Most of the last quarter of a century I've done self employed or agency work. Several times companies I got loans from tried to get me to sign up to PPI which specifically stated they didn't cover self employed/agency workers.

Fortunately because I can read, take the time to read the small print and have a functioning brain I never signed up to PPI because I knew it would never pay me out.