Logbook loan advice - Mobile Money

lucyshadylyla

Hello, I wonder if anyone can help..

I took out a logbook loan in 2015(!) (aware this was silly but I was very young and stupid) I defaulted on the loan and at the time I wasn’t really that bothered about my credit rating so I let it fall into default and they just disappeared, I had to scrap the car about 2 years after this and honestly didn’t even give them a second thought (again, young and stupid days) I think I did let them know the car had been scrapped and they didn’t really pursue until a couple years ago they got back in touch and started threatening me with CCJ’s etc, this was around Covid so I was out of work but set up a small payment plan of £10 a month but what concerned me was the fact that I borrowed £1000 and the debt was still £1068 but I had been paying it for at least 2 years prior to it defaulting but I assumed ok must have just been very high interest? When I set up the agreement they said interest and charges had been frozen but the debt is still as we speak over £1000 according to my credit file?

I also have no paperwork or even the original loan agreement as it was so long ago, the only thing I’m able to go off here is my credit file and what’s reported on there but recently they’ve really stepped up the game, constant threatening calls/emails etc, I’ve also asked them for a statement because, they don’t have an online portal and from what I can gather online they don’t even exist in that entity anymore but they won’t do that either AND they are now reporting to my credit ref agency that I’ve missed the last 3 payments to my arrangement which I haven’t but is obviously negatively effecting my credit score now. (Coincidentally it was around 3 months ago I asked them for a statement…)

I’m actually looking to get money together to settle this asap but I’m concerned about settling and them just taking it further anyway because all the info I have currently is that they’re pretty dodgy.

if anyone has any advice I would be greatly appreciative, the company was called Mobile Money but emails come under MML or Norfolk Capital Group. 

Thanks in advance!

fatbelly

Court action would at least bring this to an end, and give a figure for you to pay which, if you did so within a month, wouldn't get reported as a ccj on your credit file

I doubt they really want to start a court claim.

I did consider whether this could be statute barred but on the timeline you have given I don't think it is.

As you can ask the FOS to rule before court, but not the other way around, I think you should start a formal complaint and see what they judge as fair

https://www.financial-ombudsman.org.uk/consumers/complaints-can-help/credit-borrowing-money/logbook-loans

ManyWays

I too think you should start a complaint, and about as much as possible.  MML appears to be a firm of solicitors who do debt recovery. A google suggests that Norfolk Capital owns Mobile Money. Mobile Money's website doesn't seem to work but the company still exists and they are still on the FCA register as active.

Complain about as many things from the Ombudsman list that @fatbelly gave as sound relevant.
Also complain saying you have asked for a statement of the account and they have failed to provide it.
Say you have never been sent Notice of Sums In Arrears letters. (This is likely, many of these firms are very lax about proper documentation).
And say they have incorrectly started reporting the debt to credit reference agencies, as a default was added in about 2016 and it dropped off after 6 years.

Send the complaint by email to Norfolk Capital, MML and this email address from the FCA register: complaints@mobilemoney.co.uk

lucyshadylyla

Thank you both, that’s very helpful!