Please help - debt company threats

jamiesmum_2

I have a few debts which I am currently paying on a reduced payment plan (most at a £ a month) because my income has been severely reduced due to illness and we are struggling for cash.

I thought everything was ok, as I have kept the payments up religiously and redone my expenditure and sent proof like sick notes and statements when theyve asked for it, I've been on these reduced payments for just over a year.

Out of the blue this morning one company phoned up and told me that they can't accept reduced payments any more and I need to drastically increase what I pay them. I told them I can't, as I am on SSP still, and could send proof, and they said they would send a bailiff round to seize things to pay off the debt!

Surely they can't do this if I am keeping up my end of the bargain? I told them I would pay more when I could but right now I can't! Is there anything I can do? I'm so scared.

The debt is about £7k (well, they say it is, because they've chucked on a lot of interest, it was about £4k) and the agent is DLC.

Please advise, thank you so much.

jamiesmum_2

It was an unsecured loan with BlackHorse. It was taken out about 4 years ago.

monkey22_2

Morning jamiesmum!

Firstly, don't panic. They're just trying to scare you into paying more than you can afford.
If you've paid them something every month, AND kept them up to date with your situation, AND provided them with proof of your income, they haven't got a leg to stand and they know it.

They would have to take you to court first, where a judge would look at your income and expenditure, and probably side with you. If you then failed to keep up the £1 payments only then could they apply to the court to send the bailiffs. Its a long drawn out process and not really worth their while.

I would recommend that you talk to one of the debt charities like CCCS or Payplan. They will give you loads of advice and if you do a DMP through them, they will deal with the debt collection agencies for you.

If the DCA is hassling you, tell them you only want to correspond through letters.

Just remeber, they're trying to scare you so stand firm.

monkey22

pcplum_2

went to edit my message and it disappeared!! ss. If the loan is unsecured then please dont panic. They are very unlikely to send the balliff, they are trying to scare you into paying more, Have you tried contacting CCCS, payplan or the citizens advise to help you with your debt, I am on a debt management plan with payplan and found them very good.

jamiesmum_2

I thought that was the case! I told them ifthey went to court a judge could see that I really CAN'T afford bigger payments right now and would just order me to keep paying the £/m and they said that wasn't true, they could just get a bailiff. I said I thought it had to go to court first, and they said they could get a court order without me being able to attend and present my side. S'not true,is it? !!!!!!!s!

jamiesmum_2

pcplum, I thought about using a company but I don't want to pay any fees or anything, I'd rather all my money went towards paying off my debts, however little I can give them right now.

Thanks both for your help, I was really upset and have managed to calm down a bit now!

Keeping_Positive

CCCS and payplan dont charge fees so please look at the non profit debt councillers on the resourse bar. No experience of payplan but cccs have been a good source of comfort for my OH and I heard really good things on this board about them.

A link here http://www.cccs.co.uk/

pcplum_2

Hi, Payplan, CCCS dont charge a penny, they are free I would never recommend paying a fee charging company. Yes they would have to take you to court first to get a CCJ and a judge would look at your income and expenditure and decide how much you should pay and only after that if you defaulted on your CCJ would they be able to apply to send the balliffs round. If anyone did come to your door, dont let them in and shut the door on them they have no right to come into your house. Please don't be bullied by them, keep paying what you can.

fermi

Agree with everyone else. The debt collector is talking utter rubbish in order to put the frighteners on you.:mad:

If it went to court they know that if you responded promptly and fairly to the claim then the judge would order payments at a token level if that is all you can afford.

Genuine bailiffs cannot get involved unless you break a payment agreement with the court. And even if you had trouble meeting any payments to the court, you would still have the option of asking for them to be reviewed.

The debt collectors are very aware of all this, which if why they hope to get you to pay more by making threats.

So as others say, don't be bullied into paying more than you can afford.

Give the free advice organisations a call, and they will confirm this.

[SIZE=-1] You can contact:
[/SIZE]

• [SIZE=-1] Your local CAB Office and ask to speak to a 'money advisor'.[/SIZE]
• [SIZE=-1]The Consumer Credit Counselling Service (CCCS) - Tel: 0800 138 1111 [/SIZE]
• [SIZE=-1]National Debtline - Tel: 0808 808 4000
  [/SIZE]

EDIT: And good advice below by churchrat on only dealing with them in writing.

churchrat

hi
good advice you have been given--just wanted to add, please don't talk to them on the phone. They would never threaten to "send the boys round" in a letter, (although some do use questionable scare tatics in print) so just keep repeating "all corresponce in writing please" whenever they phone you. If they refuse to stop phoning you either have their number barred or change yours. They should not be talking to like this, and WILL NOT do it in a letter.
good luck, and plaese get in touch with one of the free charities
cr

jamiesmum_2

Thanks so much to you all! You have totally calmed me down!

I have written them a letter telling them that I don't appreciate their scare tactics and that I will review my payments WHEN I CAN. Also that I would like all correspondence in writing and that I will no longer engage with them by phone.

Thanks again for the support and excellent advice. I will give the CCCS a ring on monday and see if they can take me on, I didn't know it could be done for free!