Help - newbie with question re: statutory demand

snowy123_2

Hi

I am new on here and I am hoping that someone will be able to help. A while ago we took a cash advance on a Barclaycard which was the wrong thing to do I know, however it was one last ditch attempt at saving my business (which did not work)

We did not keep up repayments and if I am honest I buried my head in the sand, until we had a threatening letter from 1st credit. I set up a payment arrangement later in the year when the account had been passed to Connaught Collections. The amount owed was 7k and they would not take any less than £800 a month which was a struggle. I offered to pay £600 a month which would have been easy, but they would not accept this. I managed to pay 2 payments of £800 but then the plan fell into arrears and a few weeks later we had a man arrive at our house with a statutory demand under section 268 (1) (a) of the insolvency act 1986.

I was then in the postion to pay the amount so sent a cheque in March to pay the full amount.

Last night we had another man arrive at our house who would not talk to me as the card was in my husbands name. He said he would come back, he didnt. I was so worried so, out of curiosity I called Connaught collections who said that they never recieved the cheque back in March and therefore this man was attending the house to present a petition.

I said I could send another cheque to pay in full which I can do but they have said that there are costs added on top.

These costs are £2k+

Is this right??????

Please help if anyone on here has had expereince of this or of connaught collections as they will not give me a breakdown of the costs and the solicitior has said I can only write to them.

Thanks in advance.

ie: do I just pay it????

katyw

Hi.

I'm not sure of the answer, but someone who can help will be along shortly. But have you checked your bank statements to see if the cheque had cleared? I would have noticed something that large clearing or not (Only because I haven't got it!). Also, did you send the cheque/letter by recorded delivery? If you do need to send another cheque, always send it recorded so then you have proof if it arrived.

Sorry I can't be more helpful.....there are lot more people out there who are more knowledgeable than me.

x

skylight

First things first. Find out where the bloddy hell the first cheque went. Its for a lot of money. Check your bank statements and if its not cleared then cancel the cheque immediately anyway. I know that cheques can technically have an expired date but if in the wrong hands they would forge a change. If the cheque has been cleared then you need to get you bank to get you a copy of the cheque ASAP. Do not be fobbed off here - the copy will have the details of the account the cheque was paid into.

Connaught HAVE to legally give you a full breakdown of the costs and the amount owing. Demand a CCA - signed copy of the consumer credit agreement and all associated statements and costs. There is a template somewhere here about the CCA and its about £10 if you are requesting everything under the data protection act.

Firstly, this will give you a full breakdown of the charges that you are entitled to and secondly will prove to you if they are even allowed to legally enforce the debt.

DO NOT LET ANYONE INTO YOUR HOME. If they turn up again, smile politely and tell them to bog off. I wouldn't even open the door. Tell them you know your rights, they have no powers and get lost.

In the meantime, call the courts and ask for a stay on this statutory demand. It is probable that they are calling your bluff - 1st credit and Connaught do this (send OH 2 SD's for the same thing that nothing ever happened) but if you do not under any circumstances want to be made bankrupty then you need to talk to the courts. I think there is small fee involved and you can ask for a stay in the fact that the debt has been paid to your knowledge.

Is bankruptcy really a bad thing for your OH? Is it something he has considered? Although if he has £2k to pay off the debt again, then this is perhaps not the best course of action!!! Have you spoken to a debt advisor with Payplan or CCCS?? They are very helpful and knowledgable and should be a first port of call,

snowy123_2

Thanks so much for replying!

I didnt check - hindsight is a wonderful thing - I had so many things to pay I wrote lots of cheques but this was from another account which I dont have access to.

I sent the cheque from the post office but it was not recorded so it is my own fault, however I did not hear anything so I wrongly assumed it would all be ok???

I'm just worried about these costs as they do seem excessive

Thanks though - I'll wait for someone to come along who may know more xx

snowy123_2

Thanks for the other reply.

Right - I have cancelled the first cheque, it was never cashed at all, I have checked.

I dont know where the hell it went - all I know is I posted it and it never got there.

We had 2 statutory demands, one through the post (which I buried my head in the sand with) and one which was delivered to us personally at our house.

The guy has said if I pay this amount on Monday (the amount and costs) that he will request to the courts that the matter be concluded as the amount has been paid in full.

I can pay these amounts on Monday however, I think it is just the fact that I do not know what the costs are that is bugging me. He could just have plucked any figure out of the air really.

I have called the solicitor and they just have a message saying that because they are so busy at the moment that they cannot take any calls but I can write to them or fax them, but I need to pay this all by monday really.

The fees are not from Connaught they are fees from a solicitor for sending people out to the house etc.

ARGH!!!!

snowy123_2

Hi

What I meant was it is a savings account, I dont have internet or phone access to it and never check statements - stupid I know!

Sorry if that was not clear.

The building society have said that they cannot place a trace on the cheque unless it was cashed, which it wasnt so they have just said that "it probably was lost in the post"

skylight

Super - cheque cancelled - thats one thing!

I am sure that there is a limit on charges but I cannot find anything about it. I know that baliffs are limited and can find plenty about that.

I still think a request of the CCA will help here and ask for everything under the data protection act, which you are entitiled to have including a breakdown of charges and why.