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  • FIRST POST
    • tahirk555
    • By tahirk555 6th May 18, 3:53 AM
    • 15Posts
    • 2Thanks
    tahirk555
    Looking for some advice (dealing with a large debt)
    • #1
    • 6th May 18, 3:53 AM
    Looking for some advice (dealing with a large debt) 6th May 18 at 3:53 AM
    Hi,

    Been lurking for a while but wanted to get some advice from the folks on this forum as I am struggling to deal with a large debt that has appeared in my life (a challenge I want to deal with the right way).

    --------- TLDR ----

    I have 3 debts totalling 250k roughly that are with Moorcroft Debt Collectors who will contact me in 7 days to discuss repayment. I only know of one of the debts and believe the other two are not mine but obtained through fraud....what do I do? Legal advice? Debt adviser where do I start?

    --------- TLDR ----

    *** the details:

    Long story short I have about 250k of debt against me that has been passed to a dubious collector called Moorcroft and from speaking to my friends and family they are a nightmare that I really don't want to have to deal with (but I will have to...the right way I hope).

    The debt is split into 3 separate amounts all relating to the original creditor Birmingham Midshires who provided a mortgage to me for a property I had purchased about 12 years ago as an investment to sell on later (which I tried to do but failed miserably as the housing market collapsed around me).

    The other two debts (about 80k for one and 100k for the other) were for mortgages in my name that I had no knowledge of however I realised to my detriment they had been take out fraudently using my identity and signatures (however I wasn't aware of this fact until many years later when they started to surface and I noticed my credit was very poor and/or I couldn't get finance to purchase a car for example).

    I had unfortunately met a chap during those early days through a mortgage broker whom I had dealings with and knew the owner personally and I was assured he was a successful property investor looking for people to co-invest in property purchases (where someone like me would make a small profit).

    Initially looked good, I made a few thousand and had no cause for concern however when I was asked to get involved in a large land purchase (to build flats and profit for sales/rent) I refused as I was being asked to get involved in more complex property related matters that I simply didn't understand but also wanted to focus on my own property that I was hoping to later sell on.

    I heard nothing from the guy and couldn't locate him when the proverbial SHTF moment happened (I was being sent letters for unpaid council tax for property's in London and other places I had never heard of or had knowledge of).

    Also by this time my own property didn't sell and the price nose dived below the original mortgage so it sat in limbo. BM (Birmingham Midshires) were initially very helpful and patient and tried to work with me but I was simply unable to sell the property and it remained vacant for a number of years until BM eventually auctioned it for about 80k below its value and then later demanded I pay the shortfall.

    Obviously by this stage I was completely lost, ruined financially and unable to understand what had happened and what was happening I had some discussions with BM and their solicitors to work out some kind of repayment (I had accepted liability for this property) however when they later presented the other figures I almost died.

    My health deteriorated and I was pretty much just surviving on the surface with no idea of what to do. I was able to work with a debt adviser who managed to workout the extent of the debts I had (amounted to 1.9 million pounds at one point!!!) and he helped to reduce the debts down to just a handful including the 3 with BM as mentioned above.

    We were able to prove in some cases that the signatures used for my identity were of such poor quality and attempt that the judge dismissed the cases (the ones that we did go to a tribunal court for). Bankruptcy was refused for a reason I don't quire remember but I was pretty much at a loss at this point any way.

    Fast forward I was dealing with BM solicitors via email on and off then heard nothing and I had managed to get working again and sort my life out as best as possible (renting a property but with no financial footprint of any kind) until recently when I got 3 letters stating that the BM debts had been given to Moorcroft Debt Collectors.

    I spoke to a debt adviser a few days ago and the chap was very helpful advised me various options but he did the maths and said even if I agreed an IVF repayment I would be crippled having to pay 1500 pounds a month at least.

    Its suffocating and I have had sleepless nights now worried sick that this will not only cripple me but affect my children and partner for a very long time!

    Help please.

    Trev
Page 1
    • sourcrates
    • By sourcrates 6th May 18, 9:49 AM
    • 15,277 Posts
    • 14,365 Thanks
    sourcrates
    • #2
    • 6th May 18, 9:49 AM
    • #2
    • 6th May 18, 9:49 AM
    Hi,

    You have a lot going on here, so lets break it down to just the basics.

    First, has there ever been a period of 12 years where you have not made payment or acknowledged the debts in writing ?

    Second, assuming the answer to the above is no, are you able to afford a payment plan that will clear the debts within a reasonable time frame ?

    Thirdly, again assuming the answer is no, why has Bankruptcy been ruled out again ?
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Free Legal advice see : http://legalbeagles.info/
    • theoretica
    • By theoretica 6th May 18, 11:27 AM
    • 5,334 Posts
    • 6,647 Thanks
    theoretica
    • #3
    • 6th May 18, 11:27 AM
    • #3
    • 6th May 18, 11:27 AM
    Did you report the fraud to the police when working with the first debt adviser?
    But a banker, engaged at enormous expense,
    Had the whole of their cash in his care.
    Lewis Carroll
    • tahirk555
    • By tahirk555 6th May 18, 6:23 PM
    • 15 Posts
    • 2 Thanks
    tahirk555
    • #4
    • 6th May 18, 6:23 PM
    • #4
    • 6th May 18, 6:23 PM
    Did you report the fraud to the police when working with the first debt adviser?
    Originally posted by theoretica
    Hi initially I didn't out of shame and fear I had knowingly gone into several investments with this person and I felt I would also be caught up in this mess or not be able to proceed on the grounds that my identity was used fraudulently.

    When I spoke to the debt adviser at the time he suggested we should not report the fraud until we knew the extent of the problem and had dealt with some on going court cases (at some point I felt like a mug and we drifted apart losing communication over the past few years).
    • tahirk555
    • By tahirk555 6th May 18, 6:27 PM
    • 15 Posts
    • 2 Thanks
    tahirk555
    • #5
    • 6th May 18, 6:27 PM
    • #5
    • 6th May 18, 6:27 PM
    Hi,

    You have a lot going on here, so lets break it down to just the basics.

    First, has there ever been a period of 12 years where you have not made payment or acknowledged the debts in writing ?

    Second, assuming the answer to the above is no, are you able to afford a payment plan that will clear the debts within a reasonable time frame ?

    Thirdly, again assuming the answer is no, why has Bankruptcy been ruled out again ?
    Originally posted by sourcrates
    I had email contact with Shoosmith Solicitors representing the mortgage company and I believe I didn't claim liability but I acknowledged the debt for the mortgage on my house that I had at the time but stated I had no knowledge of the other two mortgages (which is correct).

    At the time the court that was dealing with this matter between myself and the mortgage company indicated I didn't meet the criteria for bankruptcy however at the time we were only aware of the first debt (the mortgage on my house).

    I wonder with this amount could I claim bankruptcy? Is there time seeing as its now in the hands of a debt collector?

    If this happens it will affect my ability to work temporarily (I am contracting so have my own ltd company) but I am sure my employer would be able to take me on as a permanent member of staff (it would affect me financially but I think I could manage).

    Thank you for the reply.
    • tahirk555
    • By tahirk555 6th May 18, 6:45 PM
    • 15 Posts
    • 2 Thanks
    tahirk555
    • #6
    • 6th May 18, 6:45 PM
    • #6
    • 6th May 18, 6:45 PM
    Okay looking into this a bit more and had a chat with friends & family I think the best option for me is to apply for bankruptcy.

    I won't be doing this myself I think I need professional help here to make sure my application is good enough for approval. IF it goes ahead it will at least give me time to breathe and start rebuilding my life.
    • sourcrates
    • By sourcrates 6th May 18, 7:00 PM
    • 15,277 Posts
    • 14,365 Thanks
    sourcrates
    • #7
    • 6th May 18, 7:00 PM
    • #7
    • 6th May 18, 7:00 PM
    Okay looking into this a bit more and had a chat with friends & family I think the best option for me is to apply for bankruptcy.

    I won't be doing this myself I think I need professional help here to make sure my application is good enough for approval. IF it goes ahead it will at least give me time to breathe and start rebuilding my life.
    Originally posted by tahirk555
    Well I donít know when you last looked at Bankruptcy, but the process nowadays is much easier and more simplified than ever.

    You pays your fee, itís looked at by the OR, and thatís it, your bankrupt, itís all done online, via post and phone now, no court appearance nessessary, itís as easy as it has ever been.

    However, I agree you need proffesional advice here, but you do not need to pay for it, Nation Debtline or Stepchange are both free sources of expertise in these matters.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Free Legal advice see : http://legalbeagles.info/
    • tahirk555
    • By tahirk555 6th May 18, 7:44 PM
    • 15 Posts
    • 2 Thanks
    tahirk555
    • #8
    • 6th May 18, 7:44 PM
    • #8
    • 6th May 18, 7:44 PM
    Well I donít know when you last looked at Bankruptcy, but the process nowadays is much easier and more simplified than ever.

    You pays your fee, itís looked at by the OR, and thatís it, your bankrupt, itís all done online, via post and phone now, no court appearance nessessary, itís as easy as it has ever been.

    However, I agree you need proffesional advice here, but you do not need to pay for it, Nation Debtline or Stepchange are both free sources of expertise in these matters.
    Originally posted by sourcrates
    Okay thank you I will contact them asap when they are available.
    • theoretica
    • By theoretica 6th May 18, 7:50 PM
    • 5,334 Posts
    • 6,647 Thanks
    theoretica
    • #9
    • 6th May 18, 7:50 PM
    • #9
    • 6th May 18, 7:50 PM
    Bankruptcy sounds worth looking in to, but I don't like the idea of the fraudster getting away unreported.
    But a banker, engaged at enormous expense,
    Had the whole of their cash in his care.
    Lewis Carroll
    • tahirk555
    • By tahirk555 11th May 18, 9:57 AM
    • 15 Posts
    • 2 Thanks
    tahirk555
    Bankruptcy sounds worth looking in to, but I don't like the idea of the fraudster getting away unreported.
    Originally posted by theoretica
    Neither do I unfortunately I can't afford the legal costs to investigate all of the matter and right now I need to draw a line under all of the debt.

    Once I have done this via bankruptcy I will start investigating the fraud and try to get it some compensation for the damage done whether its just to see the person(s) in court and prosecuted.

    Thank you all.

    T
    • tahirk555
    • By tahirk555 11th May 18, 10:41 AM
    • 15 Posts
    • 2 Thanks
    tahirk555
    Hi another update I have been speaking to the chaps at Revive Solutions UK Ltd who have advised me I have two options:

    1. Bankruptcy
    2. IVA

    The IVA would mean I carry on as normal, pay about 350 a month for 5 years and then the debt would be written off (?).

    Sounds like a viable option if its true but I don't know who this firm is, doing a company check they haven't been operating much (or it could just be they haven't done their financials).

    Thanks,

    T
    • tahirk555
    • By tahirk555 11th May 18, 10:45 AM
    • 15 Posts
    • 2 Thanks
    tahirk555
    Hi another update I have been speaking to the chaps at Revive Solutions UK Ltd who have advised me I have two options:

    1. Bankruptcy
    2. IVA

    The IVA would mean I carry on as normal, pay about 350 a month for 5 years and then the debt would be written off (?).

    Sounds like a viable option if its true but I don't know who this firm is, doing a company check they haven't been operating much (or it could just be they haven't done their financials).

    Thanks,

    T
    Originally posted by tahirk555
    Ah these people actually: GW Financials (I assume they are all part of the same nest working through the Debt Clinic portal).
    • theoretica
    • By theoretica 11th May 18, 7:19 PM
    • 5,334 Posts
    • 6,647 Thanks
    theoretica
    Neither do I unfortunately I can't afford the legal costs to investigate all of the matter and right now I need to draw a line under all of the debt.

    Once I have done this via bankruptcy I will start investigating the fraud and try to get it some compensation for the damage done whether its just to see the person(s) in court and prosecuted.

    Thank you all.

    T
    Originally posted by tahirk555
    Have you tried the police? Report this, and all the debts you got previously wiped as clearly not yours, get a crime number, and there is a chance this will connect up with other reports about the same fraudster. You may not need to do much yourself, or you may meet inaction due to too much work.
    But a banker, engaged at enormous expense,
    Had the whole of their cash in his care.
    Lewis Carroll
    • tahirk555
    • By tahirk555 21st May 18, 2:35 PM
    • 15 Posts
    • 2 Thanks
    tahirk555
    Have you tried the police? Report this, and all the debts you got previously wiped as clearly not yours, get a crime number, and there is a chance this will connect up with other reports about the same fraudster. You may not need to do much yourself, or you may meet inaction due to too much work.
    Originally posted by theoretica

    Thanks going to go the police once I have my paperwork in order.


    I am currently speaking to someone from Fortis Insolvency I was put through to them by Debt Remedy (via StepChange) however I am not sure if this is the right way to go or are they sharks as well?


    Thanks.


    T
    • CIS
    • By CIS 21st May 18, 2:45 PM
    • 10,695 Posts
    • 6,195 Thanks
    CIS
    I heard nothing from the guy and couldn't locate him when the proverbial SHTF moment happened (I was being sent letters for unpaid council tax for property's in London and other places I had never heard of or had knowledge of).
    Did you get the council tax side resolved ?
    I no longer work in Council Tax Recovery but instead work as a self employed Council Tax paralegal. My views are my own reading of the law and you should always check with the local authority in question.
    • sourcrates
    • By sourcrates 21st May 18, 4:04 PM
    • 15,277 Posts
    • 14,365 Thanks
    sourcrates
    Hi another update I have been speaking to the chaps at Revive Solutions UK Ltd who have advised me I have two options:

    1. Bankruptcy
    2. IVA

    The IVA would mean I carry on as normal, pay about 350 a month for 5 years and then the debt would be written off (?).

    Sounds like a viable option if its true but I don't know who this firm is, doing a company check they haven't been operating much (or it could just be they haven't done their financials).

    Thanks,

    T
    Originally posted by tahirk555

    All insolvency practitioners charge a fee for administering an IVA.


    The basic difference between Bankruptcy and an IVA is that in Bankruptcy, you would lose all your assets, in an IVA, you wouldn't.


    If you have a house or property to protect, then choose IVA, if not, and Bankruptcy would not effect your work, choose Bankruptcy.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Free Legal advice see : http://legalbeagles.info/
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