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Full & Final Settlement Refused

Posting on behalf of my OH. He has had a managed debt program for around 8 years now. 1 of his debts was sold to Cabot and quite possibly this was not the first sale of the original debt (he is as good at keeping paperwork as he is in managing his money lol).  I have been trying to help sort out his finances as he hasn't worked since the end of March due to Covid. I sent off for a copy of his CCA for this debt and Cabot replied around 6 weeks ago saying they hadn't been able to find it so far - the original debt goes back to 2007. From what I have read he no longer has to continue to pay as they haven't been able to produce the CCA. I fired off a F&FS offer from a template I  found explaining that due to being unable to produce the CCA and the fact that his work has dried up and is unlikely to change in the near future he was willing to offer £100.

This week we have had a response saying the offer is too low to accept and they want him to do return a budget planner. What is the next step? Do I write saying that £100 is the only offer and that as they have been unable to produce the CCA he will just stop paying the debt? Any advice would be much appreciated

Comments

  • You haven't said what is owed??? What percentage of the amount owed does your 100 pounds represent?
    March 2020 - 21k of debt; September 2020 - 14k of debt. Debt free target date September 2021 
    Diary of paying down debt whilst living abroad:https://forums.moneysavingexpert.com/discussion/6181237/5-000-miles-and-even-more-pounds#latest


  • Sorry - the debt is £4100 so it's a tiny % but the offer was based on the fact that without being able to produce the CCA then it doesn't have to continue to be paid. Also the monthly amount being paid off on this is around £4.50
  • Sorry - the debt is £4100 so it's a tiny % but the offer was based on the fact that without being able to produce the CCA then it doesn't have to continue to be paid. Also the monthly amount being paid off on this is around £4.50
    I'd imagine Caboot could sell the debt on and get more than that so I'm not surprised it was refused.  It would probably even be worth the risk of them attempting to get a CCJ on the off chance that it doesn't get defended.  10% may be a more realistic offer but it is early days and they may want to wait longer in case they can get the CCA.
  • Sorry - the debt is £4100 so it's a tiny % but the offer was based on the fact that without being able to produce the CCA then it doesn't have to continue to be paid. Also the monthly amount being paid off on this is around £4.50
    I'd imagine Caboot could sell the debt on and get more than that so I'm not surprised it was refused.  It would probably even be worth the risk of them attempting to get a CCJ on the off chance that it doesn't get defended.  10% may be a more realistic offer but it is early days and they may want to wait longer in case they can get the CCA.

    How long is reasonable to allow them to track down the CCA? The CCA was requested at the beginning of June
  • Suseka97
    Suseka97 Posts: 1,571 Forumite
    Tenth Anniversary 1,000 Posts Name Dropper
    It took the DCA 8 months to return as UE on a few of my defaulted debts, so these these things take time - especially given the current climate.  Many CS staff will be working from home, no doubt, so the wheels are likely to turn very slowly.  At the moment Cabot are likely to just put your account on hold and as has been said, such a small % is hardly worth it - so they can afford to be patient.   

    Of course they may never locate the paperwork and you can choose to walk away and focus on any priority debts, or any that are not UE.  They are unlikely to pursue a CCJ knowing that they are unable to provide the requisite paperwork, but that doesn't mean they have to accept offers either.  

    Now I should clarify that just because its deemed UE, the DCA can still try and collect and continue to write or contact your partner for payment.  What you have the luxury of doing is simply ignoring their requests and see what happens over time.
  • Suseka97 said:
    It took the DCA 8 months to return as UE on a few of my defaulted debts, so these these things take time - especially given the current climate.  Many CS staff will be working from home, no doubt, so the wheels are likely to turn very slowly.  At the moment Cabot are likely to just put your account on hold and as has been said, such a small % is hardly worth it - so they can afford to be patient.   

    Of course they may never locate the paperwork and you can choose to walk away and focus on any priority debts, or any that are not UE.  They are unlikely to pursue a CCJ knowing that they are unable to provide the requisite paperwork, but that doesn't mean they have to accept offers either.  

    Now I should clarify that just because its deemed UE, the DCA can still try and collect and continue to write or contact your partner for payment.  What you have the luxury of doing is simply ignoring their requests and see what happens over time.
    Thank you, that all makes perfect sense


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