Secured Loan - Black Horse secured loan sold to IDEM Servicing

HelpNeeded82

Hi folks 

Looking for some advice on how to deal with IDEM Servicing - had a secure loan with Blackhorse who sold the debt to IDEM and am now owing 4 times what the original loan was for. I've had issues paying the debt but tried to ask for a settlement figure to be told they don't do that - I need to repay the entire amount which surely cannot be right. 

I've submitted an Subject Access Request to both Blackhorse and IDEM for the original consumer credit agreement and have asked how much my debt was sold for and they are refusing to give me that information. I want to offer a realistic settlement but unsure if they are legally obliged to take it give the balance has been outstanding for so long. 

Really struggling to see any dent in the overall balance and I dont want to pay back 4 times what i originally borrowed - its obscene and now i'm being hounded by them so any tips or suggestions welcome on how to deal with them. 

thanks

HW 

[Deleted User]

HelpNeeded82 said:

I've had issues paying the debt but tried to ask for a settlement figure to be told they don't do that - I need to repay the entire amount which surely cannot be right. 

It surely can be right. They're under no obligation to reduce the capital owed. 

They're also not going to tell you what they paid for the debt - that's their commercials and not for you to worry about.

If they won't offer a settlement figure, just keep plugging away with your regular payments. It sounds like you defaulted, so there's no interest being added.

redux

There are discussions on here which show that although Idem can be difficult to deal with, and count themselves as doing things differently from other such firms, they do sometimes reach settlements at a discount to the account balance.

It might take 3 or 4 months rather than days or minutes.

HobgoblinBT

Probably sold for nothing.  The debt collection firm takes on the debt and pays a percentage of their successful collections to the original lender.  The % paid to the lender is a commercial agreement so I doubt is seen by the lender as relevant to the borrower.  Some debt collection agencies are subsidiaries of mainstream lenders.

What was the loan secured against?

Many loan agreements include clauses to enable “reasonable” collection costs to be added to the debt, which include court costs, land registry fees etc.  If there is the option of repaying the loan by your sale of the asset rather than a forced sale it is likely that the costs to you will be considerably less.

The above may not be what you want to hear, but it is based on my past banking career of passing defaulted loans to debt collectors and dealing with insolvency practitioners.

Thrugelmir

If the loan is secured against your home. Then they've no need to accept partial settlement of the debt. 

Pixie5740

HobgoblinBT said:

Probably sold for nothing.  The debt collection firm takes on the debt and pays a percentage of their successful collections to the original lender.  The % paid to the lender is a commercial agreement so I doubt is seen by the lender as relevant to the borrower.  Some debt collection agencies are subsidiaries of mainstream lenders.

What was the loan secured against?

Many loan agreements include clauses to enable “reasonable” collection costs to be added to the debt, which include court costs, land registry fees etc.  If there is the option of repaying the loan by your sale of the asset rather than a forced sale it is likely that the costs to you will be considerably less.

The above may not be what you want to hear, but it is based on my past banking career of passing defaulted loans to debt collectors and dealing with insolvency practitioners.

I don’t think IDEM are debt collectors as they appear to be part of the Paragon Banking Group.