Dealing with PRA Group

EssexHebridean

Onebrokelady said:

(Removed by Forum Team)

Thanks I did think the advice was a bit out there 😊 I've had an email today from SC recommending bankruptcy which is not an option for me because of my house. I will try and post another SOA too.
I forgot to say I am just starting the process of claiming my NHS pension which will include a lump sum payment. I will be using some of this to pay off the last bit of my mortgage which would leave an amount that would be enough to clear my debt so that is an option. It takes 6 months for them to sort out so I could just keep up with my DMP until then 

I’m guessing this was your reply to me - the content was removed due to my suggestion that you ignored statements made in a post earlier in the thread as they were misleading and incorrect - sadly rather than removing just the problematic section the forum team removed the entire post. For clarity and in case it assists others, with the “offending” section removed it read:

The beauty of a DMP is that is can be as flexible as you need it to be - so it’s categorically not only suitable for a particular economic situation in the way they suggest. If you need to reduce right down to £1 token payments for now, then that’s what you do. Remember that it looks like energy prices should be dropping a little in the next few months so that may give you some increased wiggle room. Could I suggest that redoing your SOA and posting in here again might be a plan? You know as well as anyone that sometimes additional eyes can help to track down savings that you might have missed, and sometimes going through the process of doing it all line by line can also help you to spot where spends have crept up.’

Onebrokelady

fatbelly said:

I'm not saying you shouldn't try a settlement deal - in fact you should - but PRA are well known for being inflexible.

Checking they have a proper copy of the original agreement may give you a bit of leverage

Will do thanks 😊

Onebrokelady

EssexHebridean said:

Onebrokelady said:

(Removed by Forum Team)

Thanks I did think the advice was a bit out there 😊 I've had an email today from SC recommending bankruptcy which is not an option for me because of my house. I will try and post another SOA too.
I forgot to say I am just starting the process of claiming my NHS pension which will include a lump sum payment. I will be using some of this to pay off the last bit of my mortgage which would leave an amount that would be enough to clear my debt so that is an option. It takes 6 months for them to sort out so I could just keep up with my DMP until then 

I’m guessing this was your reply to me - the content was removed due to my suggestion that you ignored statements made in a post earlier in the thread as they were misleading and incorrect - sadly rather than removing just the problematic section the forum team removed the entire post. For clarity and in case it assists others, with the “offending” section removed it read:

The beauty of a DMP is that is can be as flexible as you need it to be - so it’s categorically not only suitable for a particular economic situation in the way they suggest. If you need to reduce right down to £1 token payments for now, then that’s what you do. Remember that it looks like energy prices should be dropping a little in the next few months so that may give you some increased wiggle room. Could I suggest that redoing your SOA and posting in here again might be a plan? You know as well as anyone that sometimes additional eyes can help to track down savings that you might have missed, and sometimes going through the process of doing it all line by line can also help you to spot where spends have crept up.’

😀I didn't even notice it had been removed 🙄 I'm going to go self managed. I can pay them £40 a month for the next 6 months then I will be taking my pension which gives me more options to pay it off.As you say energy prices should be coming down too  so that will help. I also found out this week that I'm being re banded at work so will get a small wages increase plus the NHS wage rise will help a little. I will be getting a lump sum as part of my wage rise but it's pro rata so not the full amount. I'm trying to decide wether to pay that off the debt or add it to my depleted emergency fund. Should I post an SOA in this thread or start a new one 

Floss

Put any lump sum & back pay (April to hopefully June) into your emergency fund 😉

Onebrokelady

Floss said:

Put any lump sum & back pay (April to hopefully June) into your emergency fund 😉

I think that's what I was going to do 😊 I need to build it up again and this will be my best chance for a while 

badmemory

I think if it was me I would not even consider equity release.  Maybe someone on here knows if you can even do that when you are not the sole owner.  To me it would be even worse than remortgaging as the interest rates are quite high.  Before you get your pension lump sum I think I would be looking at seeing what debts can be proved & which can't, going self managed & making offers to the provable ones saying you have a small amount that a relative is prepared to give you to help you get rid of your debts.  A pension lump sum will have them smelling blood in the water.

ETA  Have you checked that you have full state pension entitlement, if you haven't the pension lump sum would be far better off used for that.

enthusiasticsaver

Having looked at your soa I would write asking them to write it off.  I certainly would not remortgage, bankruptcy is not an option and given your budget is so tight I would not use your pension lump sum either.  By all means use it to reduce/pay off the mortgage but presumably you will still need to pay rent on the shared ownership bit so you need your lump sum to cover that and essential utilities not historic unsecured debt.  Equity release is also a bad idea so  I would not go down that route. 

Your income is too low and your health does not allow you to work more hours so PRA cannot get blood out of a stone.  If you do not have the money there is little they can do.  I would not mention your pension to them. 

sourcrates

Fatbelly`s earlier suggestion, echoed above by my fellow Ambassador, to ask for write offs is a very sensible suggestion, and one you should actively pursue.

Companies have individual set procedures for deciding such matters, but it also depends on individual circumstances.
You already tick certain boxes, such as ill health, and a reduction in hours, its not too great a leap of faith to suggest to them, that your health may deteriorate further, thus leading to a complete loss of income, at some point.

There are certain points you should emphasise, health issues, loss of hours etc, and others you should not mention, such as your pension for example, that was never intended to repay historic debt, and nor should it be considered for that purpose now, likewise equity release, or any other form of borrowing.

For the cost of a few stamps, a well written letter, and some time, patience, and effort on your part, you could rid yourself of this debt quite easily.

flipflopflo

There’s a brilliant saying used on here about using your pension to pay down debts. It’s stealing from your future self. 

ManyWays

Equity release is a terrible idea at the moment as the interest rates are very high.

I suggest asking for a write off as Fatbelly says and point out the combination of your poor health and the large size of the debts makes it unlikely you can ever repay it.

If that fails then ask for the CCA agreement by using the letter here https://nationaldebtline.org/sample-letters/information-about-your-agreement-under-consumer-credit-act/tter here to use.

And if they produce that, make token payments for a year and then ask again for a write off.