Letter from PRA telling me debt is unenforceable

DebtfreeDreaming · 4 March 2019 at 10:38PM

Hi

I defaulted on my debts back in 2010 and have been doing a self managed DMP. The debts are no longer showing on my credit file. NatWest have recently sold my loan & overdraft on from Wescot to PRA. Received a letter from PRA telling me that the loan account is “currently classed as unenforceable” but the balance remains payable and they will let me know if the account changes status.

I have no idea why this is or what to do....

Any advice would be greatly appreciated.

Thank you

sourcrates · 4 March 2019 at 10:51PM

Well, that makes two of us then, as I don’t know either.

Usually it means they have no compliant paperwork, so could not take legal action against you for non payment.

So your options, keep paying or stop paying, up to you my friend.

DebtfreeDreaming · 4 March 2019 at 11:07PM

Thanks for your reply sourcrates. Do you think I should send a CCA?

Seems weird that they are volunteering this information... I’m worried that I will end up with a CCJ or the debt appearing back on my credit file...

Willing2Learn · 4 March 2019 at 11:32PM

Hi,

The account cannot reappear on your credit files. The account is gone for good.

Likewise, if the debt in unenforceable, then by definition, I don't believe PRA will be able to pursue enforcement with a CCJ.

sourcrates · 4 March 2019 at 11:45PM

You would only get a CCJ if you didn’t respond to the claim.

And a claim could be put to bed rather quickly by asking for your CCA, you could send CCA request now, confirm your suspicions, then it’s your choice.

DebtfreeDreaming · 5 March 2019 at 7:55AM

Thank you both. Should I stil make my monthly payments until I have sent & received the CCA information?

fatbelly · 5 March 2019 at 8:08AM

DebtfreeDreaming wrote: »

Hi

I defaulted on my debts back in 2010 and have been doing a self managed DMP. The debts are no longer showing on my credit file. NatWest have recently sold my loan & overdraft on from Wescot to PRA. Received a letter from PRA telling me that the loan account is “currently classed as unenforceable” but the balance remains payable and they will let me know if the account changes status.

I have no idea why this is or what to do....

Firstly, keep that letter safe.

The loan is now officially of a lower priority than the rest of your (enforceable) debts.

There is no need to do a cca on this loan, and you cannot do them on an overdraft. If you want to do them on the other debts, then you may find some of the others become unenforceable too.

If the 'status changes' then cca the loan at that point. For now, you can stop paying it and redirect payments to the others.

An unenforceable debt is really not a debt from a dfw perspective, particularly when the creditor has admitted it in writing. They would hardly be likely to try a court claim having done that.

WhenIam64 · 5 March 2019 at 9:28AM

Received a letter from PRA telling me that the loan account is “currently classed as unenforceable” but the balance remains payable and they will let me know if the account changes status.

AFAIK and others will correct me, the Deed of Assignment is the legal starting pistol to collect the debt. This allows them to start to chase the assigned debts using their cut n'paste threats and legal nonsense. The debt becomes enforceable when the original creditor/assignor confirms the existence of the correct paperwork (mostly missing but sometimes not) to the PRA as the assignee. PRA may never actually have the correct paperwork and may go back to the assignor if challenged.

So the letter is a heads up that PRA are now the legal owners and they will be checking the paperwork. So if you do a CCA it may come up blank and you get a false positive. As FB says, until the status changes, no need to pay - but don't expect a get out of jail card either.

Exodi · 5 March 2019 at 10:35AM

There's also the possibility that it's a template letter and the debt is unenforceable as it's statute barred (you mention you defaulted in 2010).

I wouldn't personally send them a letter as there is no reason to and would just let sleeping dogs lie.

Suseka97 · 5 March 2019 at 11:54AM

Exodi wrote: »

There's also the possibility that it's a template letter and the debt is unenforceable as it's statute barred (you mention you defaulted in 2010).
I wouldn't personally send them a letter as there is no reason to and would just let sleeping dogs lie.

You make a good point, but in terms of 'statute barred' - this debt won't be if the OP has been making payments via a DMP, irrespective of whether it shows up on his credit file or not. The statute barred clock is 'reset' whenever you acknowledge the debt and by making paymetns each month - that's what you are doing.

But I'm with you in relation to the 'let sleeping dogs lie' sentiment - just put that one on hold for now and use the money towards your other (currently) enforceable ones.

[Deleted User] · 5 March 2019 at 11:55AM

Exodi wrote: »

There's also the possibility that it's a template letter and the debt is unenforceable as it's statute barred (you mention you defaulted in 2010).

.

Except that the op has continued to make payments

Letter from PRA telling me debt is unenforceable

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