Been paying token payments for years: what are my options?

[bangsie]

Hi All,

Please bear with me while I fill you in on my case.

I’ve been paying token payments to DCAs for 10 years, first by arrangement with them, then 5 years ago through a legal aid charity. Total debts: £40 across 7 debts.

The monthly token payments are £20 in total, which I can afford.

I’ve had no trouble from any of them the past 5 years, but recently got a letter from Drydens Fairfax, one of the DCAs, asking me for an update on my current situation and asking me to fill in a financial questionnaire.

I replied straight away saying that I am unable to increase repayments, and that if I’m pursued for more, as I have no property or savings, I will declare myself bankrupt, which is true. Being self-employed, my income is hugely variable and anything I put down on a financial questionnaire could be accurate now but not in 2 months. My situation is that I don’t even have a tenancy agreement in my name, rely on staying with a couple of friends, sometimes family, so any extra money I make needs to cover that, not go to a DCA!

When the charity negotiated on my behalf with Drydens 5 years ago, they asked them for the CCAs, to which they replied ‘we have requested them from the original creditor’. 5 years on, nothing. But they have the nerve to ask me for financial details. I didn’t add ‘you haven’t provided me with CCAs’ as I wasn’t confident with how to proceed with that so many years later.

Please note that I have called all the original creditors, they confirmed that the debts were sold on, however Drydens, in many of their letters use language like ‘representing our client’ or ‘on behalf of our client’. Highly misleading.

My questions are:

1. If Drydens come back to me after the letter I wrote mentioned above, saying ‘you still have to fill in a questionnaire to keep your arrangement’, what are my options, given they have never provided the CCAs as required by law?

2. Do I start the letter process again given I never wrote the ‘account in dispute’ letter?

3. If they skip a few steps and come back with a pre court letter or something like that, will informing them that I am now definitely going bankrupt put a stop to that while I get a bankruptcy date?

4. Should I not be so rash with the bankruptcy?

Sorry for so many questions, I am just trying to prepare myself and would like to be one step ahead of them, so would be hugely grateful for any advice!

Many thanks!

[MrsD]

Re: Been paying token payments for years: what are my options?

welcome to AAD

Have I got that total debt figure correct? £40??

Who is the Legal Aid charity? is it free or are you charged for paying them?

At first glance, I wouldn't worry too much. and hold up on the bankruptcy, wee bit extreme just at the moment.

If you could give us a bit more information, it would help

What kind of debts are they?
How old?

[bangsie]

Re: Been paying token payments for years: what are my options?

Thanks Mrs. D - Sorry £40k! Lol

Debts are all unsecured, the ones with Drydens are all credit cards, all pre 2003, some as far back as 1998/99.

The legal aid was CLA which has since become part of Shelter. It was free advice at the time as I was earning next to nothing. No they don't take a commission on the repayments.

[MrsD]

Re: Been paying token payments for years: what are my options?

does Shelter talk to your creditors for you?

You need to read around the forum, you could at UE but you've been keeping it going with your token payments for years so you would be starting from scratch, on the other hand you have nothing to lose and the worst a CCJ is going to do is mess up your credit record (already messed anyway) and possibly get a payment of £1 on a CCJ (only if they take you to court and win)

You need to make the decision, do you want to continue as you are? or do you want to stop paying anyone and ask for CCAs?

[Undercover Elsa]

Re: Been paying token payments for years: what are my options?

With debts so old, and after paying for all these years I know what I'd do

CCA Request

[cymruambyth]

Re: Been paying token payments for years: what are my options?

Hi, I agree with Elsa and MrsD. Read the unenforceable diaries to help make your decision. If you are prepared to deal with letters etc, you could take control and deal with it yourself. If you stop paying it will take 6 years for the debts to become statute barred, however, they may well have dropped off your credit records if they were defaulted over 6 years ago - don't check because this prompts lots of contact!

Do not speak to any of these companies only communicate by letter.

Please post for any help or with any questions no matter how silly, we have all been in your situation or still are.

[bangsie]

Re: Been paying token payments for years: what are my options?

does Shelter talk to your creditors for you?

You need to read around the forum, you could at UE but you've been keeping it going with your token payments for years so you would be starting from scratch, on the other hand you have nothing to lose and the worst a CCJ is going to do is mess up your credit record (already messed anyway) and possibly get a payment of £1 on a CCJ (only if they take you to court and win)

You need to make the decision, do you want to continue as you are? or do you want to stop paying anyone and ask for CCAs?

Thanks Mrs. D - no Shelter no longer talks to them, I've not needed any intermediaries these past 5 years as they've not bothered me.

Regarding my credit rating, the interesting thing is none of them are recorded on there and as it's been over 6 years since I defaulted, it actually looks like I have no debts. In any case, makes no difference as I've learned how to live without credit the past 10 years - the hard way, but I learned!

Regarding paying or not: for the time being, I'm happy to keep paying but not to give them any more details than I have done over the years. Shelter did request the CCAs but they never provided them, so just wonder if they come back with a nasty letter, whether I should request them and can do so while still paying the token payments?

[bangsie]

Re: Been paying token payments for years: what are my options?

Thank you cymruambith.

Can I just take this opportunity to say how amazing this website is and how much I wish I had found it years ago rather than the others I was trying to get help from. I only posted last night and have had 3 replies already. On the others I've bumped my post a few times and still get nothing or something not so helpful.

You are right about them not being on my credit record, I ran a report last year and it was clean apart from one default as that was when I dropped to a token payment directly with Barclaycard, not a DCA.

I think at this point I'm still weighing up the pros and cons of going down the UE route - my strategy at the moment is more about not giving them even more personal info than I already have in the first few years, so my current question is how to deal with a nasty letter of them insisting on more personal details when they haven't provided the CCAs that Shelter asked them for 5 years ago.

I only communicate with them by letter, and have called them only once in the past 5 years, and told them the conversation was being recorded, after which they were more pleasant than you can imagine.

[bangsie]

Re: Been paying token payments for years: what are my options?

With debts so old, and after paying for all these years I know what I'd do

CCA Request

Please tell me

[Undercover Elsa]

Re: Been paying token payments for years: what are my options?

Hello Bangsie
If it was me I would send CCA Requests to them all. If you're not comfortable with stopping payments yet you don't have to, it has to be your decision, and no need to make it now.
CCA Request Template: http://forums.all-about-debt.co.uk/s...l=1#post495038

Wait and see what response you get to the CCA Requests, if they can't find the agreements then the debt is unenforceable.

I would also start an unenforceability diary here> http://forums.all-about-debt.co.uk/f...bility-Diaries

Read this info thread first for how to do it: http://forums.all-about-debt.co.uk/s...-Read-me-First!

In brief, you need to include details of each debt in a separate post in your diary, laid out as follows:

• Type of account (credit card/loan)
• Date commenced (ideally before Apr 2007)
• Approx balance
• Date last paid (approximate date you last made a FULL payment)
• Are you on arrangement or not paying
• Status (default/in arrears/up-to-date)
• Account owner (who is writing to you, a DCA or the lender)

Note when you've sent the CCA Request for each one, then update us with every response you get.

Golden rules...don't speak to them on the phone, and never complete the Income and Expenses forms they provide. They are extremely intrusive and request information they have no right to. Don't get me wrong, there are times, in some circumstances, when submitting an expenses sheet can be to your advantage, but I always recommend using the Nedcab online one if needed.

Welcome to AAD!

Elsa x

[bangsie]

Re: Been paying token payments for years: what are my options?

Hello Bangsie
If it was me I would send CCA Requests to them all. If you're not comfortable with stopping payments yet you don't have to, it has to be your decision, and no need to make it now.
CCA Request Template: http://forums.all-about-debt.co.uk/s...l=1#post495038

Wait and see what response you get to the CCA Requests, if they can't find the agreements then the debt is unenforceable.

I would also start an unenforceability diary here> http://forums.all-about-debt.co.uk/f...bility-Diaries

Read this info thread first for how to do it: http://forums.all-about-debt.co.uk/s...-Read-me-First!

In brief, you need to include details of each debt in a separate post in your diary, laid out as follows:

• Type of account (credit card/loan)
• Date commenced (ideally before Apr 2007)
• Approx balance
• Date last paid (approximate date you last made a FULL payment)
• Are you on arrangement or not paying
• Status (default/in arrears/up-to-date)
• Account owner (who is writing to you, a DCA or the lender)

Note when you've sent the CCA Request for each one, then update us with every response you get.

Golden rules...don't speak to them on the phone, and never complete the Income and Expenses forms they provide. They are extremely intrusive and request information they have no right to. Don't get me wrong, there are times, in some circumstances, when submitting an expenses sheet can be to your advantage, but I always recommend using the Nedcab online one if needed.

Welcome to AAD!

Elsa x

I can't find the heart icon - thank you Elsa!

I am now waiting for a reply from them regarding my letter and should they be getting shirty I will proceed as above. I am considering doing it anyway.

Can't overstate how happy I am to have found AAD! I've had more advice in 12 hours than I ever have anywhere else!!

[cymruambyth]

Re: Been paying token payments for years: what are my options?

AAD is a fantastic site where you get help and support without judgement at virtually any time of night and day. I only wish it had been around when I first started fighting as it would have saved, tears, anguish and money!

[bangsie]

Re: Been paying token payments for years: what are my options?

AAD is a fantastic site where you get help and support without judgement at virtually any time of night and day. I only wish it had been around when I first started fighting as it would have saved, tears, anguish and money!

I second your sentiment! Especially the first few years of dealing with DCAs directly, I kept giving in to pressure to pay more, every time a letter came I felt ill, etc. I haven't even been here for 2 minutes and feel supported, thank you so much.

[Never-In-Doubt]

Re: Been paying token payments for years: what are my options?

You are right about them not being on my credit record, I ran a report last year and it was clean apart from one default as that was when I dropped to a token payment directly with Barclaycard, not a DCA.

That would not affect the default date if it defaulted prior to that payment.

It only affects SB.

By the way, hi & welcome to AAD

[bangsie]

Re: Been paying token payments for years: what are my options?

That would not affect the default date if it defaulted prior to that payment.

It only affects SB.

By the way, hi & welcome to AAD

Thanks Niddy! Have read so much about you already