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    • carrot99
    • By carrot99 29th May 18, 2:38 PM
    • 6Posts
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    carrot99
    10yr old Welcome Finance secured loan - enforceable?
    • #1
    • 29th May 18, 2:38 PM
    10yr old Welcome Finance secured loan - enforceable? 29th May 18 at 2:38 PM
    About 10 years ago I got into a right financial mess which resulted in my house being reposessed - at the time I had a mortgage and a secured loan with Welcome Finance.
    After the house was reposessed I "presumed" there was enough equity in the property to pay off the debts and didn't hear anything since...
    Until a few weeks ago when I got a letter from Robinson Way (debt collectors) demanding £32k!


    I've been in touch with the mortgage company and they confirmed the sale of the house only covered the debt owing to them - I don't know what to do?


    I had a visit today from an "area manager" from Robinson Way - on instinct I denied all knowledge of the debt and Robinson Way are now getting in touch with Welcome Finance to get more info / proof of the debt...


    Can they enforce the collection and if so what do I do / what can they do???


    I've checked my credit file and there is no CCJ listed - so either Welcome never got a CCJ or it's dissappeared from my file?
Page 1
    • zx81
    • By zx81 29th May 18, 2:42 PM
    • 23,798 Posts
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    zx81
    • #2
    • 29th May 18, 2:42 PM
    • #2
    • 29th May 18, 2:42 PM
    If it's secured on the house, yes, it's still enforceable.

    Talk to them about a repayment plan.
    • iolanthe07
    • By iolanthe07 29th May 18, 2:46 PM
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    iolanthe07
    • #3
    • 29th May 18, 2:46 PM
    • #3
    • 29th May 18, 2:46 PM
    AFAIK the 6 year (five in Scotland) statute barred rule does not apply to mortgages and second mortgages. I believe they are not statute barred until 12 years gave passed, so you may need to talk to them and see what they can offer, but take professional advice first.
    I used to think that good grammar is important, but now I know that good wine is importanter.
    • D_M_E
    • By D_M_E 29th May 18, 2:50 PM
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    D_M_E
    • #4
    • 29th May 18, 2:50 PM
    • #4
    • 29th May 18, 2:50 PM
    Zx81 - OP says it was secured on the house, HOWEVER the property got repossessed and all proceeds were used to clear the outstanding mortgage and there was nothing else left to pay anything else.

    Presumably the loan would somehow have been removed from the property when it was sold and therefore would have converted to an UNsecured loan at that point?

    Don't know if this would apply and don't know the answer to the OP's question but the above might be an avenue worth pursueing, particularly as no acknowledgement or payment has been made for 10+ years?
    • carrot99
    • By carrot99 29th May 18, 3:48 PM
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    carrot99
    • #5
    • 29th May 18, 3:48 PM
    • #5
    • 29th May 18, 3:48 PM
    Thanks for taking the time to read and respond - I appreciate it


    After initially panicing and stressing I've realised that even IF it's enforceable - they cannot get blood from a stone... I have no idea how much they would "accept" as a payment plan but I'm not going to overstretch myself again for anyone or anything so they will have to take a low monthly amount and hopefully write some of it off (fingers crossed)
    • G_M
    • By G_M 29th May 18, 4:05 PM
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    G_M
    • #6
    • 29th May 18, 4:05 PM
    • #6
    • 29th May 18, 4:05 PM
    Thanks for taking the time to read and respond - I appreciate it


    After initially panicing and stressing I've realised that even IF it's enforceable - they cannot get blood from a stone... I have no idea how much they would "accept" as a payment plan but I'm not going to overstretch myself again for anyone or anything so they will have to take a low monthly amount and hopefully write some of it off (fingers crossed)
    Originally posted by carrot99
    That's one approach. But do you own another property now? Or a car? TV? Sofa?


    Those could (ultimately) be removed, but only if they take legal action which appears not to have happened yet.
    • D_M_E
    • By D_M_E 29th May 18, 5:34 PM
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    D_M_E
    • #7
    • 29th May 18, 5:34 PM
    • #7
    • 29th May 18, 5:34 PM
    Could be worth sending them the statute barred letter and see what they come back with.

    Example here https://www.nationaldebtline.org/EW/sampleletters/Pages/Time-has-run-out-to-recover-the-debt-%28sole-name%29.aspx
    • sourcrates
    • By sourcrates 29th May 18, 11:16 PM
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    sourcrates
    • #8
    • 29th May 18, 11:16 PM
    • #8
    • 29th May 18, 11:16 PM
    The debt, although no longer secured, is enforceable for a period of 12 years since you last made payment to the debt, or acknowledged it in writing.

    Also Welcome have gone bust, so they may not be in a position to provide any proof, which would be good for you.

    What are your circumstances, are you a homeowner again, have assets of any kind ?

    If you have no significant assets, and no hope of ever repaying it, as its a large sum of money, then Robinson way may take a commercial decision and decide not to pursue the matter.

    Or, there are other avenues to explore.

    How much was the original loan for, more or less than 25k ?

    When was your last payment to the debt ?
    Last edited by sourcrates; 29-05-2018 at 11:46 PM.
    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 expressed are mine and not the official line of MoneySavingExpert.com.

    Helping you deal with problem debt.

    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
    • carrot99
    • By carrot99 30th May 18, 9:49 AM
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    carrot99
    • #9
    • 30th May 18, 9:49 AM
    • #9
    • 30th May 18, 9:49 AM
    No I'm not a homeowner anymore and I have no real assets so Robinson Way are going to really struggle to get the money back... If I had it then I would pay it but I don't?


    The last payment was in 2008 (10 years ago)



    I'll just have to wait and see what they come back with



    What are the "other avenues" to explore?
    • D_M_E
    • By D_M_E 30th May 18, 1:03 PM
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    D_M_E
    Since Sourcrates - he knows these things better than I do - says it's 12 years for this type of loan and that Welcome have gone bust, try sending the proveit letter instead of or as well as the statute barred letter, available here https://forums.moneysavingexpert.com/showthread.php?t=2607247

    Also answer his question about how much the loan was originally for - more or less than £25k?
    • sourcrates
    • By sourcrates 30th May 18, 7:40 PM
    • 18,428 Posts
    • 17,319 Thanks
    sourcrates
    No I'm not a homeowner anymore and I have no real assets so Robinson Way are going to really struggle to get the money back... If I had it then I would pay it but I don't?


    The last payment was in 2008 (10 years ago)



    I'll just have to wait and see what they come back with



    What are the "other avenues" to explore?
    Originally posted by carrot99
    If the loan was for less than 25k, it will of been covered by the consumer credit act and you can ask for a copy of your credit agreement, (CCA Request) failure to comply will result in an unenforceable debt.

    If over 25k that will not apply.
    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 expressed are mine and not the official line of MoneySavingExpert.com.

    Helping you deal with problem debt.

    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
    • Hsam
    • By Hsam 14th Jun 19, 10:06 AM
    • 2 Posts
    • 0 Thanks
    Hsam
    Similar thing
    I have recently been contacted by a company saying they are now responsible for my motor loan with welcome finance and that I should start paying them. £12800
    When the said car was signed for I was married (20 years and together 27 years total ) and stupidly enough thought that things would be paid properly and weíd be together forever etc etc ..... this was more than 15-17 years ago.
    I have been divorced a short time now and I am slowly getting a life as well as a credit score etc .... but now putting myself on the map as such is raking up the past that I had no control of.
    ( divorced him due to unreasonable controlling behaviour )
    I had no idea that this was still an issue as it was so long ago and he told me that the car had been signed over to someone else then the car sold/taken back ?? So it was all sorted.
    I couldíve had correspondence over the years moving between houses but I havenít seen any !
    I wouldnít have had and definitely donít now have any paperwork or remember any details of dates amounts etc etc .....
    I know that he wouldnít have made a payment for well over 10-11 years if not more but in 2014 thatís now showing up on my credit report itís saying it was discharged in court.
    I donít what this means , if Iím liable still, if I contact them will this start it all off , if I can do the thing whereís there been no contact or payment before during or after the court decision ?? Iím just stuck as to what to do for the best and hate the fact this has now come up when Iím just starting to get my life back.
    Can anyone help with advice please ?
    Thanks
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