Lowell Solicitors CCC

teamdamon

I've been sent a Letter of Claim today with 30 days to prevent legal action.

On 12/11/2013 I cancelled direct debit for an Orange contract I had out for my sister who wasn't able to pay the contract. On 31/03/2015 Lowell took over have have been harassing me with letters on my old and new address.

Now they have sent this letter for a debt of £345.68 where they have threatened with a court county claim for £458.33.

I was wondering what I should do, I'm not sure how to go about this.

CakeCrusader

What sort of advice are you looking for? If you've signed a contract on your sisters behalf and she can't pay, you're still liable as you've signed the contract. If you had a contract and just cancelled the direct debit, you still have to pay the contract as you're still liable for it. From the info you've given here your option is to pay it, or not pay it and end up with a CCJ.

teamdamon

I was 18, she was 14 and didn't know any better. I can't afford to pay it as I'm a student with no job.

How badly will this effect the future? I've paid all my own contracts and this is my only debt.

CakeCrusader

I'm sorry, it sucks! The thing is though, is that at 18 you're legally allowed to sign a contract. It doesn't matter if you've done it to help someone else out, it's your name on the contract. Lowell now own your debt, it's likely that they have bought it for pennies in the pound. Have you sent them a 'prove it' letter? Have they sent you a copy of the contract? Have you spoken to them to see if they will accept a settlement? The worst thing that you can do is stick your head in the sand and hope it goes away. Your University should have a fund, so it's worth speaking to them too.



If you do end up with a CCJ it's highly likely that you'll have to pay the bill anyway, and it will cause problems if you want a decent credit card or a mortgage within the next 6 years. Some jobs (like being a Solicitor) don't allow their professionals to have a CCJ either, so you do need to think if you're studying law.

teamdamon

Yeah I was stupid, I shouldn't have done it. I've not done anything, I've just ignored the letters. Is there a certain layout I should do for the "prove it" letter? I'm very ignorant in this thing so I have literally no idea what to do. I was just told to ignore it when it first happened.

Yeah the plan is to get a mortgage in the next few years which is why I'm worrying now. I'm studying education so I don't think it will effect me job wise.

PixelPound

Letter of Claim is sent before any action is started. If you don't respond a claim form is likely to be issued with costs fees and interest added.

You took out the contract, it doesn't matter who the phone was for, unfortunately not knowing any better isn't an excuse. Unfortunately you have found out the hard way that whilst you thought you were helping, it meant you were liable.

Your options are, try and sort something now, or wait until the cost increases by £90 with the claim form is issued and then further when the CCJ gets applied and stays on your credit file for 6 years.

CakeCrusader

You did what you thought right at the time, and helping someone out is kind. It upsets the debt collectors more if you ignore them, it just looks like you're running away from the debt and they are more likely to go down the CCJ route. A letter of claim is a pre-court letter, so they haven't applied for a CCJ just yet, which is good! Use a prove it letter (I've attached a link below), it will buy you a little time and it will let you see the contract so you can make sure it was performed correctly (it won't be valid if you signed it before you turned 18 etc). If they come back with a copy of the contract and it's all OK, then you can offer them a settlement, this is usually a figure lower then the amount you owe (they won't have purchased the debt for the real figure anyway). You would probably need to pay it off all at once though.



https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter


Don't ignore debt collection letters, but do get advice before you reply to them!

PixelPound

teamdamon wrote: »

Yeah I was stupid, I shouldn't have done it. I've not done anything, I've just ignored the letters. Is there a certain layout I should do for the "prove it" letter? I'm very ignorant in this thing so I have literally no idea what to do. I was just told to ignore it when it first happened.

Yeah the plan is to get a mortgage in the next few years which is why I'm worrying now. I'm studying education so I don't think it will effect me job wise.

If you took it out a "prove it" letter will just delay things a few weeks - there are templates out there. A CCJ will affect you getting a mortgage, so don' just ignore it.

fatbelly

The standard form you have been sent can act as a prove-it. I would keep to the process rather than step outside it.

Here is Debt Camel's guidance to responding to the pre-action protocol letter.

https://debtcamel.co.uk/letter-before-claim-ccj/

Box C is the safe choice

rach_k

You're going to have to pay it, but have you asked your sister about it? She will be an adult now, maybe earning, so the decent thing for her to do would be to pay it. Or perhaps you could split it? That may make it more affordable for you.

Debt_suvivor

It’s a mobile contract, there’s no copy of agreement, only thing they would supply is a bog standard statement which is easy as hell for them to get. Would be better contacting them to find out what your options are