Overdraft/dmp

lillypoo

Hello guys

So I'm 14 months in to trying to sort out my debt. 

Defaulted on all three credit cards. Two sold on to Cabot and I'm making monthly payments.

One was handed over to wescot who gave up on me and sent 

it back to the original lender. I've had nothing from them since november/December last year.

My old current account was with the black horse bank. I had a £2000 agreed overdraft. I wrote to them about 8 weeks ago telling them I was entering a dmp , asking them to default and close my account.

They have replied that they're putting a 30 day hold on it with no further interest charged on the amount interest has now put me over the agreed amount.

So ...my question is ...does anyone know what's likely to happen next? Should i just ignore them again and wait for them to write it off ? I've told them in writing I want the account defaulted and closed and I've asked them to only contact me in writing.

stu12345_2

you can close an account anytime yourself or let them close it for you, but if it has debt with it, you have that outstanding after it's closed.
they can only default you once it's gone through the correct procedure, eg default warning notices 

but they can always not default you and let you repay it in a dmp or a similar method on a repayment method in an arrangement to pay

I had one credit card debt in a dmp that refused to default me, even though it was sold on,I asked for a manual default 8 months ago, it is only this month that they are doing it and are backdating it 8 months, so they say

the dmp company will write to them with your payment offer and interest should stop 

as for write off, that depends on lots of things, your age, health , assets, income, likelyhood of income ever improving 

have you told them all these things, so they can decide to write it off or not

usually works if debt has been sold on and  you are ill or disabled and making £1 a month payments for a long time imo

lillypoo

I've asked them to close it stu. They've just put a hold on it. I've also asked them to default it.
I'm self managed ..not using a dmp company.

stu12345_2

probably the bank won't close it until all the debt is repaid then. they are probably happy with your repayment plan and marked it as arrangement to pay.

you could give them nothing and let it default,  then they will close it and demand full payment .you could then at that point make a repayment offer 

as your are running your own dmp , why not pay the defaulted credit cards and pay bank nothing until it defaults then closes then add bank to your list if debts and start paying it as well 

the wescot debt may reappear in a new debt recovery company such as moorcroft, that happened to me rbs loan went to wescot, then back to RBS then to  moorcroft

sourcrates

Putting it "on hold" is a first step to closing/defaulting it, they won`t do it straight away, banks tend to drag their feet somewhat closing bank accounts where money is owed, so expect it to take 3/6 months to default and go to collections or a debt collector.

Emmel

I would just ignore them until it defaults. I completely ignored mines until they all defaulted. I currently have a loan, credit card and overdraft with TSB that i stopped paying 15 months ago, they have all defaulted, wescot have recently written to say they are acting on behalf of tsb for the loan but i have heard nothing about the overdraft or credit card. I have ignored wescot too, but not sure if i should wait until its sold on or should arrange to pay a tolen amount as its defaulted .

stu12345_2

Emmel, remember as your debts have defaulted, it doesn't matter if they are sold on or not, the creditor TSB is within their rights to apply for a CCJ.
they could stop using wescot and use another company or indeed sell them on.
But they could also go straight for CCJ application as they have not heard from you at all.
your choice token payment or wait to see if they do start the ball rolling with potential ccj application.

i mean if they do send you a letter befor action, you could negotiate a £1 or whatever you can afford at that point and see how they react

or you could hope you don't contact them.and they no longer contact you ever again for years and it becomes statute barred

lillypoo

sourcrates said:

Putting it "on hold" is a first step to closing/defaulting it, they won`t do it straight away, banks tend to drag their feet somewhat closing bank accounts where money is owed, so expect it to take 3/6 months to default and go to collections or a debt collector.

Thanks sourcrates. I was hoping that the "hold" was a step towards default/closure. I shall ignore them going forward.

lillypoo

@Emmel

I completely ignored wescot . After literally 3 months they gave up on me and returned the debt to m&s bank. That was November and I've heard nothing at all since. This suits me as it's allowed me to build up a better emergency fund AND put money aside to start saving for future settlement offers

sourcrates

lillypoo said:

@Emmel

I completely ignored wescot . After literally 3 months they gave up on me and returned the debt to m&s bank. That was November and I've heard nothing at all since. This suits me as it's allowed me to build up a better emergency fund AND put money aside to start saving for future settlement offers

That`s because Wescott only act as collectors, they don`t own the debts they chase, so are toothless to do anything if ignored.

Emmel

stu12345_2 said:

Emmel, remember as your debts have defaulted, it doesn't matter if they are sold on or not, the creditor TSB is within their rights to apply for a CCJ.
they could stop using wescot and use another company or indeed sell them on.
But they could also go straight for CCJ application as they have not heard from you at all.
your choice token payment or wait to see if they do start the ball rolling with potential ccj application.

i mean if they do send you a letter befor action, you could negotiate a £1 or whatever you can afford at that point and see how they react

or you could hope you don't contact them.and they no longer contact you ever again for years and it becomes statute barred

Lilypoo sorry to jump on your post, 

Stu, would it be better to pay something and avoid potential CCJ? (In Scotland if it makes a difference) Does a CCJ stay on credit fil for 6 years after it is Granted? Would I be given notice of a potential one before it is applied for?