How to deal with a British Gas/Moorcroft debt

10 Posts
Outline of the situation.
~ I moved into my current rented flat December 2018
~ The first electric bill with British Gas was over £620 - this was for just over 1 months of electric
~ I contacted them several times disputing this as I live in a small 2 bed flat.
~ It turned out that the boiler was ramping up my electric
~ I left British Gas to go elsewhere as they never supported this daft bill and wouldn't return calls, the only reason I figured it out was through this forum.
~ I wasn't able to pay the £620 so I didn't make an arrangement with B.G.
~ They have sold my debt to Moorcroft
~ Moorcroft have been contacting me for a few months now
~ within the time that Moorcroft have contacted me I have received a default notice from B.G (dated 8/10/19) giving me 28 from the date to contact them
~ I didn't contact them as I didn't have a spare £620
~ My credit file is now showing 4 x missed payments to B.G.
~ I plan on getting a mortgage at some point so want to know what's best to do?
~~ Do I contact Moorcroft and set up a payment plan. Is it possible to get the debt back with B.G? Moorcroft have mentioned they will offer me a discounted payment, however that will show partially settled on my credit...is this a wise idea?
~ I worry that if I pay Moorcroft then even though I paid the debt my credit score will drop as it has done in the past as I would have still defaulted on the original account.
I hope all that makes sense and thanks in advance
~ I moved into my current rented flat December 2018
~ The first electric bill with British Gas was over £620 - this was for just over 1 months of electric
~ I contacted them several times disputing this as I live in a small 2 bed flat.
~ It turned out that the boiler was ramping up my electric
~ I left British Gas to go elsewhere as they never supported this daft bill and wouldn't return calls, the only reason I figured it out was through this forum.
~ I wasn't able to pay the £620 so I didn't make an arrangement with B.G.
~ They have sold my debt to Moorcroft
~ Moorcroft have been contacting me for a few months now
~ within the time that Moorcroft have contacted me I have received a default notice from B.G (dated 8/10/19) giving me 28 from the date to contact them
~ I didn't contact them as I didn't have a spare £620
~ My credit file is now showing 4 x missed payments to B.G.
~ I plan on getting a mortgage at some point so want to know what's best to do?
~~ Do I contact Moorcroft and set up a payment plan. Is it possible to get the debt back with B.G? Moorcroft have mentioned they will offer me a discounted payment, however that will show partially settled on my credit...is this a wise idea?
~ I worry that if I pay Moorcroft then even though I paid the debt my credit score will drop as it has done in the past as I would have still defaulted on the original account.
I hope all that makes sense and thanks in advance
0
This discussion has been closed.
Latest MSE News and Guides
Replies
You're right that your score will drop again when you settle it, but that's fine. You want lenders to like you, not the CRA.
A partially-settled debt is a bit better than an outright failure to pay, but as it stands the information on your credit file is factually correct. There's not much that can be done about that apart from paying the debt and wait for the defaults to drop off.
Thank you for replying so fast.
So I should just accept that the debt is now with Moorcroft and make a payment arrangement with them or accept their offer of a discounted total?
Your debt remains with BG, but moorcroft has discretion to offer arrangements sanctioned by the creditor.
If you dispute the amount they are asking, then contest it in writing.
More than a third of IVA`s fail....fact.
Could A Debt Relief Order help you ?
Never pay for a Debt Management Plan.
For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
I just called British Gas and paid the debt, they said they will call off Moorcroft and change my credit file to 'settled'.
I'd much rather pay them than give Moorcroft a penny.
Luckily I was able to scrape together the money to settle the bill - if I couldn't settle in full they would have left me with Moorcroft.
So just for anyone else in this situation, if you're able to pay what you owe to original company then contact them direct to do so, as I've paid things to Moorcroft in the past and it still showed as a default from the original account on my credit file.
Payment doesn't override the default.
Did they bill you for actual consumption, or estimated - what they thought or guessed you might use?
£620 for 1 month's electricity seems extortionate, even with an electric boiler.
positively ludicrous if you ask me.
More than a third of IVA`s fail....fact.
Could A Debt Relief Order help you ?
Never pay for a Debt Management Plan.
For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
Are you sure there is no reason other than the boiler for this massive electricity consumption?