Defaults starting to hit credit file…guidance?

RAS

The most important word in the debt collectors' lexicon is "may". All sorts of things may happen if you don't pay, but I am  more likely to get run over by a bus today than for those things to happen.

Further action just means that their computer is set up to send another letter.

allystar

Thanks for the replies! I think I’ll hold off and see what’s next when they return it back to lender.

i think it’s been bought as there was a settlement figure showing on my account (I shared screenshots previously) which showed a sell value of £2k of less than they are stating.

Rob5342

Things might start to escalate at some point if you just keep ignoring them. I didn't mean to suggest that you should perpetually ignore it, just thst you shouldn't get panicked into suddenly making a payment just because someone with no power sends you a letter. It might be worth paying then a small amount to keep them off your backs until you have the money for a settlement offer. 

allystar

Hi Rob5342, thanks for replying. I just want to see what happens with this next…just testing the water to try to delay any payment for a little longer.

I know Metrobank sold their unsecured loan portfolio at end of March, not sure who to, but plan to wait this out till it gets returned and see what happens next.

allystar

Letter from HSBC arrived today, advising that they have transferred administration of the debt to Wescot. 

Account has yet to default, so just sit and wait…

I assume that Wescot don’t own the debt at this stage? When I log in to HSBC, it shows no credit card or balance???

sourcrates

Wescott no longer buy debts, they just act as a collector, they will run through their standard letters and return the debt eventually.

allystar

sourcrates said:

Wescott no longer buy debts, they just act as a collector, they will run through their standard letters and return the debt eventually.

I know this might be a “how long is a piece of string” type question…any idea how long the likes of Wescot/Arc chase before handing it back? Thanks

sourcrates

allystar said:

sourcrates said:

Wescott no longer buy debts, they just act as a collector, they will run through their standard letters and return the debt eventually.

I know this might be a “how long is a piece of string” type question…any idea how long the likes of Wescot/Arc chase before handing it back? Thanks

No way of knowing, best advice is to pay it no heed, they will likely just be looking to collect the arrears at present anyway, so no point in engaging with them.

allystar

sourcrates said

No way of knowing, best advice is to pay it no heed, they will likely just be looking to collect the arrears at present anyway, so no point in engaging with them.

Another question from me…on my defaulted Ratesetter loan, being chased by Arc (which I have an affordability complaint in play with FOS), am I best to start paying something to Arc now or wait? I’m beginning to panic! they are looking for the full amount, not just arrears 🥲

**since posting this I went on Arcs website and their auto payment plan minimum payment is £250 a month so guess I need to hold off setting any payment up with them for now as I can’t afford anywhere near that…£250 is likely my monthly budget for all my debts right now. **

my other defaults so far is are Admiral Loan & Tesco Cc, but haven’t heard anything on further from either  yet.

HSBC still to default, but told it’s been passed to Wescot. 

still waiting on default from 3 x Virgin Cc (affordability complaint in for these too).

allystar

Just re-read the letter from ARC. I’m less panicked about rushing to pay as they say I’ve to make contact with 14 days (letter dated 22/4) and if they don’t hear from me they will continue to phone/text/write to me. 

I will make payments, just need to build my pot up u bit first for emergencies. The past couple of months have proven expensive and just proved that I was living on credit every month.

Am I being stupid holding off given it’s defaulted and been passed to ARC? Or do I still have a little time to get my emergency fund moving?