Cabot financial- please help

Mae85

Hello all.
I am at the end of my tether here and I really need some help.

So long story short- my OH had an IVA with his now ex wife (not divorced yet) , when he left he set up a separate one to pay off there joint debt of over £40,000. After a few months he had to quit his job and he was ill mentally and physically and as result of this, marriage ending and being homeless he had a breakdown. He couldn’t afford to pay his monthly IVA, we kept in touch with them (payplan) but eventually it failed.
I was advised by national debt line to write too all of his creditors and explain the situation along with an SOA and ask them to write off the debt as a good will gesture. 1 company did do so, most of them didn’t reply, but I have been in constant contact with Cabot since.
They have been putting his accounts on hold for months at a time but this week we had a letter saying the 3 months was up and time to review the accounts. To which I replied he was in worker financial hardship then ever ( we are surviving on £143.90 a week joint benefit claim) and we just have no surplus at all to offer.
He’s recieved an email toss off them
Saying this ‘we can confirm we are unable to deem your accounts uncollectable due to the litigation on account ****’ (the other account he had with them)
What does this mean?
Are they taking him to court ?

Please help!

sourcrates

Could be they are contemplating doing so yes, but dont panic, its nothing to get fussed about to be honest.

Do they have an up to date address for him ?

If they decide to get legal, he will receive a Letter before claim from Cabot, this is part of the protocol they must follow, the letter will set out the debt owed, and offering him an opportunity to make an arrangement to repay it, part of this requires the inclusion of a copy of his budget, so you make an offer, backed up by a copy of your budget basically.

So if £1 a month is all thats affordable, then thats what you offer.

You have 30 days to send back the paperwork, its then be up to Cabot weather to accept the offer, or continue with legal action, if they go to court, you just fill in the court forms they will send, making the same offer, again backed up by a copy of your budget, all the court will do is ratify that arrangement, making a county court judgement in Cabots favour for £1 a month.

You dont normally have to attend court, its all done online and by post.

So nothing to worry about at all.

Mae85

Thank you! They did say they would accept £1 a month per account but then put his accounts on hold for 3 months?
So maybe I should offer £1 a month or just wait?

sourcrates

Mae85 wrote: »

Thank you! They did say they would accept £1 a month per account but then put his accounts on hold for 3 months?
So maybe I should offer £1 a month or just wait?

They cannot take what you do not have, wait and see what happens.

Mae85

Thank you- that is exactly what national debt line said. I have been so worried about what to do as payplan told us to file for bankruptcy, and we really didn!!!8217;t want to do that.

fatbelly

What are you worried about re bankruptcy? It's very different to how it used to be. You might be worrying about something that doesn't happen now.