DCA chasing business debt under personal guarantee

System

This discussion was created from comments split from: Help with a Capital on Tap guarantee.

majicman82

Hello,

I wonder if you could guide me in the right direction.

I took a credit facility for my Ltd business with PG on it.

Ltd was liquidated, and could not keep up the payments. 

Loss of income, Liquidation costs etc.

I kept paying capital only, tried to negotiate with them (Capital On Tap) for a good few weeks [before my Ltd went to Liquidators] to reduce payment or arrange a settlement figure. I managed to stop interest for few months.

But , as I kept looking to negotiate, was passed from one person to another over time, and then got email that debt was referred to DCA.- Azzuro Associates./ Solaris Law. Balance £7600 or so.

Now, I keep making token payments to DCA,  but was advised by someone that: if the original creditor behaved in an unreasonable way, I could dispute this with DCA.

Can I have your thoughts on this?

sourcrates

There are really only three issues that may give you grounds to dispute a debt.

(1) Do you owe the amount they are asking for?

(2) Is the agreement they have legally enforceable?

(3) Has time run out to collect the debt, the limitation period in the UK is 6 years.

There are guidelines on how debt collectors should behave, as they should be professional at all times, you can by all means complain if they have fallen short of that standard, but unless (1),(2)or(3) above apply, you can`t dispute the debt itself.

fatbelly

I don't think the safeguards that apply to personal debt apply to business debt

Neither are we experts in that.

May be best to run it past

https://businessdebtline.org/

fatbelly

Have you asked for a copy of the personal guarantee?

https://businessdebtline.org/sample-letters/request-copy-personal-guarantee-bank-or-debt-collection-agency-disputed-debt/