My Debt won't go away

Queen24053

Hi all.  

I have a debt that I am considering disputing. This Is because there is a difference of £5,962.92 between what the creditor bank says I owe and the amount the solicitors who have been representing the bank are demanding.

 This involves a loan for £25,000 which I got in 2004, yes 2004, from a high street bank, ABC bank, (not real name). I had a few other debts from other lenders as well.

In 2005, I got into serious financial difficulties, couldn’t service my debts, and got entangled in a spiral of debts. The debt became unmanageable, as I started borrowing more to pay old debts. Before I knew it, my total debt was slightly over £80,000 with 8 lenders.

I sought help help from the Citizens Advice Bureau and managed to negotiate reduced monthly payments, and interest was halted by all creditors. In 2007 ABC Bank engaged RS Solicitors (Not their real name) to collect payments on the bank’s behalf. I was making monthly remittances to all creditors directly.

I was subjected to constant pressure by RS Solicitors, unending demand letters and court threats, In 2010 I got myself put on a Debt Management Plan with the Consumer Credit Cancelling Service (Now StepChange). Since then, I have been making monthly payments to all my creditors through StepChange.

Fast forward to August 2023, I received my annual loan statement from ABC bank showing that my loan for £25,000 was fully repaid. I have historical statements from ABC bank showing my remittances and balance progression.

RS Solicitors sent me a conflicting statement showing that I still owed £5,962.92 in interest and other charges. All my creditors, including ABC bank never charged interest during this period.

RS Solicitors said that they got a CCJ in 2007 although they never enforced it, or put it on my credit record. When I asked for a copy, they said they did not have one as everything was done electronically. A CCJ may well have been registered against me because I vaguely recall completing some court forms although I cannot remember what the forms were about.

 I made inquiries with the HM Courts & Tribunal Services requesting for a copy of the CCJ. There was none at HM Court Records. I have also checked my credit file. There is no record of any CCJ on my credit file either.

I asked RS Solicitors why I should continue servicing the loan which was fully repaid. Their response was that they were just following bank instructions. When I called the ABC bank, they referred me back to RS Solicitors.

StepChange advised that I should challenge RS Solicitors and that they would freeze payments while I pursued the matter. I have been reluctant to do this on my own without legal advice.

I have repaid all my other debts. There only two remaining with a combined outstanding balance of £438.80. I hope to clear this as well in March/April 2024.

 The situation with RS Solicitors is really stressing me. I am now retired and depending on a state pension. I would like to challenge RS Solicitors but I am not sure how to go about it, and I cannot afford a lawyer.

I thought my loan statement from ABC bank should mirror the solicitor’s records and vice versa. Or am I missing something here?

What are my options?

Grumpelstiltskin

Earlier thread on the same topic.

My Debt Won't GO Away — MoneySavingExpert Forum

fatbelly

Thought it seemed familiar...

I answered it here

https://forums.moneysavingexpert.com/discussion/comment/80557695#Comment_80557695

hoverFrog1

I suggest sending them the evidence that it is paid in full and then doing absolutely nothing. You have evidence that it is paid. It is up to them to prove that it isn't. Also your debt is with the bank. The solicitor acts on their behalf. If the bank refuses to respond then threaten them with the FCA and the ombudsman.