"we own you now"

bowks1968

Though a multitude of errors and ill health I have found myself on the wrong side of the money fence.

I slipped into trouble about 3.5 years ago following a mild stroke. My employer at the time ( only 2 months in) sacked me the same week citing "I don't want ill people working for me"... Nice man!

Anyway, despite being told to take it easy for a while I soon had the PPI companies biting at my heals and asking when I would be back in employment. I felt pressured and after being knocked back for several jobs "due to my health risk" decided the best thing to do was to try working for myself. A silly move without much research!
Just to prove my luck was definately on a downward spiral after a month or so my partner found out she was expecting. I felt both joy and panic. How could we afford to raise another person when we were barely making ends meet ourselves?

Common sence took hold and I abandoned my business plans and set out to find a new job again. After several knockbacks I finally landed a reasonable job by not mentioning my past health problem. I am still with the same employer and have no immediate plans to move on.

Soon after starting the job we had confirmation of our claim for working tax credits. Over £6,000!!! This figure, we were told, was correct as I had not earned enough through the previous year to pay any tax. I communicated that I expected to earn £15,000 that year but we kept getting replied from I.R. to say all was well with the claim and that "we can't accept estimations for future earnings".

Sure enough after months of claiming, and honestly believing all was well we got a letter from I.R. saying we had over claimed... Erm!!!

Payments stopped, money probles started. I felt the car we had purchased on credit must be the first to surrender. I had had this for just over a year and a half and was repaying paid £9500 for it. I offered to sell the car and forward the money I had recieved. A friend was willing to pay me £5,500 for this. The finance company refused and said it could only reclaim the vehicle which they did soon after. I set about contacting all of my creditors to explain our situation and made offers to each one that would ensure they were still in reciept of a token payment at least. All accepted for a 12 month period, bar the car finance company from who I had heard nothing but I continued to pay a token payment by standing order each week.

Over the past few weeks I have started to recieve letters from collection agencies demanding payment on behalf of various creditors. I have since switch payments from creditors to agencies and sent financial statements to all. However, since returning the ar to the finance company I heard nothing more about their expectations. Despite this I have continued to pay them a token payment each week. Last week I recieved a call from a lady who said her company was collecting the debt for the car and that she wanted £4700 paying there and then. I was shocked at this call not least because of the time that had passed since returning the car but because of her next comment... " We own you now! you must pay us in full or we will send a bailiff to your house and charge you interest of 17.5%".

What on earth do I do next. This company is calling we day and night even thought I have told them I work late shifts and my partner can not help. I have no assets and share my rented house with my partner and our two very young girls. Can they just march in here and lay claim on everything, even my partners and childrens possesions? I strongly fear that this could break our relationship and that I could end up homeless and without the one thing I have waited a lifetime for... My family!

Suggestions anybody... please?

GeorgeUK

Hi bowks.

Sorry to hear about your health problems and the money worries that has cused. Hope you're feeling better now as these DCA's are a real pain when they go on this tack. You'll be needing a fair bit of strength to get through this because it's time to fight fire with fire.

The DCA in that phone call has broken just about all the guidlines set out by the Financial Ombudsman. First thing i would do is write requesting a copy of the Consumer Credit Agreement and Deed of Assignment. There are template letters here. Just make sure you don't sign your name - rather print it, send it by recorded delivery and make sure you enclose the required payment. At the top of the letter make sure you have "I acknowledge no debt to you or your clients".

Also cancel any payments you have set up to the car firm as they no longer own the debt.

THE_LONE_RANGER_4

ignore silly thereats she owns you lal, in the real world she has the problem if the loan is unsecured there prob pay essential bills token payments to the rest until your sorted do not give out your work number hang up on them if you do not wish to talk do it all by letter if it realy annoys you change your number.

peb

OK; stop panicking. For Bailiffs to be instructed they will have to go to court, obtain an order against you, you not comply with that order, go again and ask for enforcement. A long expensive process. SHould they decide to take you to Court then you will also be present (ensure that if it is not a local court you get it changed) and if you can provide evidence that you are paying all you can (which it looks like you are) and you have been doing so (which you have) the judge will look what is reasonable.

I would strongly recommend you go ot CCCs or Payplan (these are free charities) and get their help. They will do the managing on your behalf and hopefully (though not guaranteed) stop interest on some if not all debts.

These Tax Credits have a lot to answer for!

Please keep posting and have a look on the DMP support thread.

churchrat

hi
just to say welcome and to say try not to let these "people" get to you. they can do nothing to you without a court order, and as peb says it takes long time even then there are restrictions on what they are allowed to take from you. It is a very good idea to get the DCA telephone number barred from your phone. i know BT will do this and I'm sure other providers will as well. Write to the DCA, saying that you will no longer speak to them and want everything to be in writing, make sure that you do this reg post. I think there is a template letter on here somwhere? I do not speak to any of the DCA we owe money to on the phone at all--it is amazing how polite they become if it is in writing. People like the evil woman who spoke to you really enjoy their work, it makes me wonder what they get up to in their spare time, eating babies perhaps.
Definitly go to CCCS, I wish we had known about them when we were in a similar position to yourselves.
good luck and let us know how you get on