CCJ - MIL Collections Ltd
Sparx
Posts: 909 Forumite
Hi guys, appreciate any advice on this.
I was helping a work colleague before Christmas who was contacted by MIL Collections Ltd chasing a debt she's completely unaware of.
Short story: they ignored her proof of debt request twice and filed a CCJ through MCOL at her old address, despite having her current home address, mobile and email so she never received the summons paperwork... Now they have been awarded a CCJ because they purposely chose not to send it to her current address, which they were given both verbally and via email.
The tl;dr version is:
She only found out from a monthly credit file update today by Clearscore. She was initially emailed by MIL Collections in December 2017 stating she owes ~£150 odd, she phoned them the same day and was told it's for unpaid utilities and it dated back to her Uni student accommodation 6-12 months before (which is in another county 2 hours away from her home). On this call she also gave them her current home address, mobile number and they already had her email (hence she called to ask what it was about).
She asked them to provide proof of the debt, as far as she was concerned she paid all her final bills including utilities when she left. They told her on the call they would look into it and get back to her. She heard nothing until January 2018 when she received a Default Notice via email (nothing in the post). She responded AGAIN asking for proof of the debt as this still hadn't been provided... She had a reply stating SHE had to contact the company and it wasn't up to them (not true far as I'm aware, the onus is on them yes?). They then referred her to another utility company which wasn't even the one she was paying during her time at Uni.
Again she heard nothing until the Clearscore credit report updated this month, to see a CCJ for ~£220 odd despite hearing nothing and receiving no court summons. The credit file shows it was registered against her OLD uni address, so presumably they won by default. Now despite twice on the 1st phone call she made to them and via email on another date providing her current address, they have chosen to issue a court claim knowing she is not at that address.
I've suggested she applys for a set aside using the N244 form, albeit will cost more than the debt itself @ £255 but will hopefully be recovered. But the point is she doesn't need or want a CCJ for a debt she had no summons for, was unable to defend and was still awaiting proof of debt they have simply ignored her. Absolute cretins if you ask me, this could damage her for 6 years completely unnecessarily.
Lastly, seems quite obvious she should be able to get a set aside. Can she request any kind of compensation (apart from the £255 court fee cost to be paid) for such bad practise and their behaviour has been atrocious on this?
Thanks in advance for any advice.
I was helping a work colleague before Christmas who was contacted by MIL Collections Ltd chasing a debt she's completely unaware of.
Short story: they ignored her proof of debt request twice and filed a CCJ through MCOL at her old address, despite having her current home address, mobile and email so she never received the summons paperwork... Now they have been awarded a CCJ because they purposely chose not to send it to her current address, which they were given both verbally and via email.
The tl;dr version is:
She only found out from a monthly credit file update today by Clearscore. She was initially emailed by MIL Collections in December 2017 stating she owes ~£150 odd, she phoned them the same day and was told it's for unpaid utilities and it dated back to her Uni student accommodation 6-12 months before (which is in another county 2 hours away from her home). On this call she also gave them her current home address, mobile number and they already had her email (hence she called to ask what it was about).
She asked them to provide proof of the debt, as far as she was concerned she paid all her final bills including utilities when she left. They told her on the call they would look into it and get back to her. She heard nothing until January 2018 when she received a Default Notice via email (nothing in the post). She responded AGAIN asking for proof of the debt as this still hadn't been provided... She had a reply stating SHE had to contact the company and it wasn't up to them (not true far as I'm aware, the onus is on them yes?). They then referred her to another utility company which wasn't even the one she was paying during her time at Uni.
Again she heard nothing until the Clearscore credit report updated this month, to see a CCJ for ~£220 odd despite hearing nothing and receiving no court summons. The credit file shows it was registered against her OLD uni address, so presumably they won by default. Now despite twice on the 1st phone call she made to them and via email on another date providing her current address, they have chosen to issue a court claim knowing she is not at that address.
I've suggested she applys for a set aside using the N244 form, albeit will cost more than the debt itself @ £255 but will hopefully be recovered. But the point is she doesn't need or want a CCJ for a debt she had no summons for, was unable to defend and was still awaiting proof of debt they have simply ignored her. Absolute cretins if you ask me, this could damage her for 6 years completely unnecessarily.
Lastly, seems quite obvious she should be able to get a set aside. Can she request any kind of compensation (apart from the £255 court fee cost to be paid) for such bad practise and their behaviour has been atrocious on this?
Thanks in advance for any advice.
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Comments
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Contacting the utility company/s in question directly as advised would have been a good start.
Rather than paying to have it set aside just pay the amount owed, it will drop off her file if paid within 30 days of issue, then make a complaint to the utilities companies and the DCA and escalate if applicable.0 -
Paying the debt in full before 30 days from CCJ date means it will get removed from credit file.
Applying for CCJ on the grounds that she had provided updated address details before hand could be good enough reason for it to be set aside - it doesn't mean the debt goes away, just resetting it back to before the claims form has been issued, a new claim form can be issued to correct address.0 -
Yes I've made her aware applying for a set aside doesn't cancel the debt, just puts her back in the position she was... Which was asking for proof the debt exists! If it's evidenced she's happy to pay it.
But the cheek of them ignoring her, then issuing a claim at her old address, despite having her new address just to add costs and trash her credit rating is ridiculous...
If she sucks it up and pays the CCJ now, she's just added another £70-80 I think. Whereas if she applies for set aside, she can recover the costs or not incur the fee - is that right? Then go back to asking for POD then agreeing to pay or not.
Had she been issued the claim form to her actual home address, she could've lodged a defence that she requested proof of debt on X and Y date - neither of which have been responded to. Until such time the debt is in dispute until evidence is provided. Surely that's sufficient? As she's happy to pay the amount once they can provide evidence.
The CCJ date was about a week ago so early April - does that mean that was the date of the court hearing? I possibly thought as it was showing on her credit file, it was 30 days prior so pointless paying and it wouldn't be removed. So if she did pay the new amount of ~£220 odd, with the CCJ date being a week ago, it would drop off her credit file and not show?
The thing is if she pays it, is it not admitting responsibility of the debt? Meaning she has little to no leeway to argue the debt's validity with MIL Collections, the utility company or ICO?0 -
When she moved out did she not provide a new forwarding address to the utility company?0
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did she get a final bill and inform them of the new address? Its a big difference between believing she had paid everything and actually paying everything. The POD will be she was on the bill and maybe liable until the next student updated details the next term if she did not inform them correctly.0
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Hi Sparx
A court hearing is only held if a defence if entered. Where there is no response, or the debt is admitted, there is no need for a hearing. I agree that court papers should have been sent to the address your friend provided. If she can prove she did this, it could be grounds for a set aside. As mentioned above, if a set aside is successful the court process can begin again. Your friend would have to successfully defend the claim to avoid another CCJ.
She will now have to decide her preferred route to deal with this. Paying off the CCJ within a month of it being made is simpler, but she would not then be able to challenge the debt. If she applies for a set aside there are costs involved, and she will need legal advice on what she can claim back from the claimant.
You have to apply promptly (on finding out about the CCJ) for a set aside, so either way she will need to make a decision fairly quickly. You can find more details on how to apply for a set aside here https://www.nationaldebtline.org/EW/factsheets/Pages/howtosetasideacountycourtjudgment/settingasideaccj.aspx. Best of luck with it all.
Susie
@natdebtlineWe work as money advisers for National Debtline and have specific permission from MSE to post to try to help those in debt. Read more information on National Debtline in MSE's Debt Problems: What to do and where to get help guide. If you find you're struggling with debt and need further help try our online advice tool My Money Steps0
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