CCA no response next steps

3011gillian

Hi, we’re coming up to the 12 working days and we’ve only heard back from 1 company so far (acknowledgment rather than details of our account)
What would be our next step? Do we have to just wait? Or can we reply along the lines of ‘you’ve not replied therefore we assume it’s unenforceable and here’s a really low settlement offer’.

EssexHebridean

Just wait, I believe, at this stage. The ball is now placed firmly in their court.

In the meantime take the opportunity to go through your SOA and budget with a fine-toothed comb and start setting aside any money you can make spare, to firstly start building an emergency fund if you don't already have one, and secondly to know where you stand if you do get the paperwork from them and need to think about a payment plan.

Exodi

3011gillian wrote: »

Hi, we’re coming up to the 12 working days and we’ve only heard back from 1 company so far (acknowledgment rather than details of our account)
What would be our next step? Do we have to just wait? Or can we reply along the lines of ‘you’ve not replied therefore we assume it’s unenforceable and here’s a really low settlement offer’.

You cease payments until they provide a compliant agreement. No need to stir the pot or make settlement offers, it can take debt purchasers time to procure these documents and they'll be aware that the debt is unenforceable whilst they haven't complied with your request.

3011gillian

Sorry I should have said we’re in a dmp so payments are continuing. We don’t really want to stop paying in case they are enforceable. But they hadn’t accepted our other offers so we sent CCA’s.
We’re happy to let the dmp roll on but would love to pay less than the full amounts and pay it off sooner!

3011gillian

EssexHebridean wrote: »

Just wait, I believe, at this stage. The ball is now placed firmly in their court.

In the meantime take the opportunity to go through your SOA and budget with a fine-toothed comb and start setting aside any money you can make spare, to firstly start building an emergency fund if you don't already have one, and secondly to know where you stand if you do get the paperwork from them and need to think about a payment plan.

How long do we wait though?? Why does the template say 12days if that doesn’t actually mean anything?
I’ve read it can take them up to two years!! Our dmp will be paid off and we’ll have paid the full amounts!! I guess the answer is to self management and stop paying those that havent responsed. Would we then be obliged to spread the rest of the money (currently £456 on a dmp) between the ones we are paying??
Sorry realise there is a million questions there!

Exodi

3011gillian wrote: »

Sorry I should have said we’re in a dmp so payments are continuing. We don’t really want to stop paying in case they are enforceable. But they hadn’t accepted our other offers so we sent CCA’s.
We’re happy to let the dmp roll on but would love to pay less than the full amounts and pay it off sooner!

As per the Consumer Credit Act 1974 (that these CCA requests relate to);

Section 77 Duty to give information to debtor under fixed-sum credit agreement.

(1)The creditor under a regulated agreement for fixed-sum credit, within the prescribed period after receiving a request in writing to that effect from the debtor and payment of a fee of [F1£1], shall give the debtor a copy of the executed agreement (if any) and of any other document referred to in it, together with a statement signed by or on behalf of the creditor showing, according to the information to which it is practicable for him to refer,—
(a)the total sum paid under the agreement by the debtor;
(b)the total sum which has become payable under the agreement by the debtor but remains unpaid, and the various amounts comprised in that total sum, with the date when each became due; and
(c)the total sum which is to become payable under the agreement by the debtor, and the various amounts comprised in that total sum, with the date, or mode of determining the date, when each becomes due."

(4)If the creditor under an agreement fails to comply with subsection (1)—
(a)he is not entitled, while the default continues, to enforce the agreement; F4

S. 77(4)(b) and preceding word repealed (26.5.2008) by The Consumer Protection from Unfair Trading Regulations 2008 (S.I. 2008/1277) regs. 30(1)(3), Sch. 2 para. 19, {Sch. 4 Pt. 1} (with savings in reg. 28(2)(3))

If they haven't provided the agreement within the prescribed period, the debt is unenforceable until they do. The law is pretty black and white on this. I would cease payments, if they are enforceable, start paying again.

3011gillian

Exodi wrote: »

As per the Consumer Credit Act 1974 (that these CCA requests relate to);

Section 77 Duty to give information to debtor under fixed-sum credit agreement.




If they haven't provided the agreement within the prescribed period, the debt is unenforceable until they do. The law is pretty black and white on this. I would cease payments, if they are enforceable, start paying again.

Thank you. Our aim with the CCA was that some would be u enforceable but we always planned to pay them off. Is there much chance of them accepting a low settlement if they haven’t replied in the 12 days or if we left it say a month? Or are they likely to say ‘we’re still looking so don’t accept your offer’.
How would stepchange respond if we wanted to put our dmp on hold while we wait? We have two that are still with the original creditors - Barclays closed overdrafts...would stepchange seem we can afford the £456 a month and want us to keep paying that to the two Barclays accounts?!?

Exodi

3011gillian wrote: »

Thank you. Our aim with the CCA was that some would be u enforceable but we always planned to pay them off. Is there much chance of them accepting a low settlement if they haven’t replied in the 12 days or if we left it say a month? Or are they likely to say ‘we’re still looking so don’t accept your offer’.
How would stepchange respond if we wanted to put our dmp on hold while we wait? We have two that are still with the original creditors - Barclays closed overdrafts...would stepchange seem we can afford the £456 a month and want us to keep paying that to the two Barclays accounts?!?

Firstly, get this low settlement thing out of your head. What you're proposing is a lose/lose for you; if they have the agreement, they'll not be interested as you're currently paying them... and if they don't have an agreement, you're voluntarily paying them when you have no cause to.

StepChange will obviously be aware of CCA procedure just keep them in the loop of what you've done. Also since you mention two debts that are still with the original creditors, it's more likely they will still have your credit agreement (it's usually when a debt gets sold on multiple times the paperwork gets lost) so don't be optimistic about having these made unenforceable.

3011gillian wrote: »

How long do we wait though?? Why does the template say 12days if that doesn’t actually mean anything?
I’ve read it can take them up to two years!!

You're confusing '12 days' which in this instance is the prescribed period in which you can deem a debt unenforceable and cease payment and how long it may take them to come back with paperwork. DON'T THINK THAT BECAUSE A DEBT IS UNENFORCEABLE YOU NO LONGER OWE THE MONEY.. Companies are within their rights to come back, even after two years or more, with a compliant agreement which would make the debt become enforceable again. It's actually common that companies are unable to respond within the prescribed period (usually they'll request paperwork off the original creditor which make take months to come through).

sourcrates

Hi,

The 12 days are only guidelines, they are not set in stone, except to wait 3/4 months or longer.

Accounts remain unenforceable until CCA is complied with.

3011gillian

Thank you both. I think the CCA may have been a waste of time in our case then and we may as well let the DMP roll until it’s finished and save any extra money for an emergency fund as suggested. There doesn’t seem to be any benefit if the options are to not pay anything (that doesn’t clear our debt and increases the stress of letters randomly arriving!) or to pay in full via the dmp (which although eventually pays it off may be more than we need to pay) hmm it’s tricky.
I think I misunderstood that the CCA would result in some unenforceable debts if we were lucky and we could then pay them off at a lower amount in a shorter time than our dmp has left.

Exodi

Firstly, s77 of the CCA is there really to stop anyone writing to anyone pretending they owe a debt - it acts to essentially ask a debtor to 'prove' your agreed to this debt (and the terms).

It's quite common for companies who bulk buy debts for a fraction of the original value to not have the complete paperwork to actually enforce the debt. They usually don't even care (the last figures I saw indicated that a debt purchaser only needed one out of five debtors to repay in full to make profit). This means that fortunate debtors may often have debts that are technically 'infinitely' unenforceable.

Just don't lose sight of the fact (which seems to happen to a lot of people on here with debt) that you did take money off this company in the first place, and you did agree to terms to pay them back for which you reneged.

3011gillian wrote: »

Thank you both. I think the CCA may have been a waste of time in our case then and we may as well let the DMP roll until it’s finished and save any extra money for an emergency fund as suggested. There doesn’t seem to be any benefit if the options are to not pay anything (that doesn’t clear our debt and increases the stress of letters randomly arriving!) or to pay in full via the dmp (which although eventually pays it off may be more than we need to pay) hmm it’s tricky.
I think I misunderstood that the CCA would result in some unenforceable debts if we were lucky and we could then pay them off at a lower amount in a shorter time than our dmp has left.

To be completely frank, I'm puzzled how you have read our replies and yet came to this conclusion. It's very often the case companies aren't able to acquire the original paperwork and as such, the debt remains infinitely unenforceable unless you intend to pay them regardless of whether you're legally obliged to?

I guess it boils down to your morals, I personally dislike people using CCA non-compliance as a way to avoid paying their debts but this forum generally encourages it.