How to deal with DCA's with no income?

exponential

Hi all.

After taking some advice from the kind people on here a number of months ago, I took the decision to allow my existing debts to default.
This was the only option available to me at the time and was all I could do to keep my head above water to ensure the mortgage was paid along with all the other priority bills.

The time has now come where I am receiving letters from the like of Lowell's and Link Financial.
The problem is, I do not have an income at all.
I am the sole owner and director of a Ltd company and do not draw any salary.
The company does not earn enough as it stands right now to be able to draw any salary however there is enough income to pay my bills as normal but I only take out what I need to pay those bills as and when necessary.

I have two questions, how do I respond to these DCA's and is there a set time-frame to do so and how do I offer anything when I do not earn a salary to pay anything?

Any advice would be greatly appreciated.

sourcrates

Lowell and Link are debt purchasing companies, not debt collectors, important difference.

They provide reference numbers in their letters, go online to their respective websites, log in to your accounts, fill in the income/expenditure form, and submit it, that then tells them your position.

You may have to elaborate a little by email possibly, but essentially that`s all you can do.

Otherwise once they have gone through their standard range of letters with you, you risk a CCJ if you don`t respond to them.

exponential

sourcrates said:

Lowell and Link are debt purchasing companies, not debt collectors, important difference.

They provide reference numbers in their letters, go online to their respective websites, log in to your accounts, fill in the income/expenditure form, and submit it, that then tells them your position.

You may have to elaborate a little by email possibly, but essentially that`s all you can do.

Otherwise once they have gone through their standard range of letters with you, you risk a CCJ if you don`t respond to them.

Thank you so much. (and thank you for correcting me)

I will do just that. Can I ask, what is the likely outcome when they see the fact that I have no salary to speak of?
Do they have any legal powers to speak of as far as demanding money etc etc?
I can't go through all this again, I really can't. The lock-downs destroyed everything I had spent years building up so just being in this position is crushingly difficult. 

sourcrates

They are just debt buyers, private companies, nothing special, I don`t understand why people think they are?

They have the same recourse to use the courts as everyone else has, but if you have no income to pay the debts with, why would they waste money doing that?

Court judgements are also subject to affordability, if you can`t afford to pay a debt, the court will not approve a payment order.

The usual response will be to put your account on hold for 30 days, after which they will contact you again for an update, its just rinse and repeat after that, if your circumstances remain unchanged, they may look to write the debts off, or accept £1 per month.

exponential

sourcrates said:

They are just debt buyers, private companies, nothing special, I don`t understand why people think they are?

They have the same recourse to use the courts as everyone else has, but if you have no income to pay the debts with, why would they waste money doing that?

Court judgements are also subject to affordability, if you can`t afford to pay a debt, the court will not approve a payment order.

The usual response will be to put your account on hold for 30 days, after which they will contact you again for an update, its just rinse and repeat after that, if your circumstances remain unchanged, they may look to write the debts off, or accept £1 per month.

Thanks again sourcrates.

Really appreciate the help and the relief your advice brings.