Advice on my debts please

sa11aver

hi - please could I sense check my next steps.
I stopped paying my Tesco loan last August and have had various expected letters heading towards a default. The last letter I have had says :

“We’re now passing the management of your account to a Debt Collection Agency. This is because you haven’t repaid the amount that you owe. The debt collection agency now working on our behalf is called Westcot Credit Services. They’ll attempt to contact you within the next 10 days, to start discussing your circumstances. They can help you set an affordable and sustainable repayment arrangement.”

No default has been recorded on my credit report yet.

Do I just ignore Westcot until the default appears.

Thanks in advance for any advice.

RAS

Yep. If they do get you on the phone and you can talk, just tell them you'll start paying when the default is issued.

fatbelly

Wescot are just a collection agency who will run through their standard letters. You can safely ignore them

sa11aver

thank you both - appreciate the steer

sa11aver

another letter in yesterday - this time from moorcroft regarding my Tesco loan - with the following wording

”your account details have been passed to us by Tesco Bank to act as a collection agent and we will now be dealing with your account”

They say they will make contact but include ways on how to make payment. No default yet on this account.

couple of questions:

• Does the fact that they are a collection agent mean anything. Does it mean it hasn’t been sold to them?
• Should I wait for the default to show before making contact - or how do I play it.
  

Thanks again for any steer

sourcrates

Debts are assigned in one of two ways, equitable, and legal, and its important to know the "steer" between the two.

An equitable assignment means the assignee has rights to the debt, but will not have full enforcement rights, so they are basically acting as a collection agent only, and no formal notice is required to be sent to the debtor.

Legal assignment on the other hand, stems back to the law of property rights act of 1925, it requires specific formalities to be undertaken such as written notice to the debtor, as the assignee buys the full rights to the debt and can sue the debtor in their own name as they get full enforcement rights also.

So an equitable assignment means they are simply acting as collection agent and cannot take you to court, wear as a legal assignment is the complete opposite to this.

sa11aver

thanks that’s really helpful. Sorry to be thick but does that mean this is an equitable assignment so I can continue to ignore for now until it defaults.

fatbelly

Yes. Moorcroft are just collection agents, same as Wescot

sa11aver

Hi - me again.

So I have 3 defaults showing now so setting up payments. (Token amounts based on affordability).
I’ve logged into both Moorcroft and PRA and set up a direct debit no problem.

My question is Wescot. They seem to insist on talking before starting payments. Is there any way to avoid this and just set something up online. It looks like the only way to do this is if paying the full amount or if have an agreed repayment plan.

Any tips, I’d like to avoid talking to them if possible

thanks in advance

sourcrates

As said before, Wescott are simply a collection agent, and as such are irrelevant in the grand scheme of things.

You don`t need to say anything to them, just make your payment on their website ,if you want too, and leave it at that.