Advice needed on debt taken out in daughter's name by "friend"

[cymruambyth]

Re: Advice needed on debt taken out in daughter's name by 2friend"

I agree Barney, as difficult as it will be, who knows what else she is up to now that she has all your daughter's details; your daughter is going to have to do something to save herself.

[Barney]

Re: Advice needed on debt taken out in daughter's name by "friend"

Update:

Sorry for the delay. Lots been going on, both related and unrelated, and had no time to post.

Thanks for all the posts, we have pretty much gone with the general consensus of reporting as fraud as the best way forward.


The good news is that it doesn't look like there is any further damage (i.e. no other fraudulent accounts).

The 'f(r)iend' eventually paid daughter the 'promised' £15 p.w. on Friday last week (already a week later than promised!). Not without a great deal of prompting, excuses galore and daughter receiving a couple of abusive texts when she chased her for the money. It is/was looking very doubtful she would keep to this, or any other agreement, if getting one payment from her was this hard!


Things then escalated over the weekend:

Daughter received letters regarding the second (fraudulent) debt - a formal notice of arrears and a letter demanding payment of the full balance (£344) by 22 March or threat of court action etc. This was from 'Debt Collection Services' (DCS) acting on behalf of Studio Cards. (I suspect them to be 'in-house' collections, but may be wrong). From the statement received with this post, it also became clear that no payments have been made at all this year (and maybe none at all).


As I had already planned to do this weekend, I spoke with the Police 'Fraud Action' people for advice and gave them the full story. (Thanks Pompeyfaith for the link).

They were helpful and as reassuring as I suppose they could be. Their strong advice was:-


1st debt = pay up - not fraud, just daughter stupidly being too trusting. Speak to company and tell them the truth and pay off.

2nd debt = definitely 'ID fraud' needs reporting. They would suggest taking an 'information report' at this stage and issue a reference number that we should give to the company to show this has been reported as such. (They cannot issue a 'crime number' as daughter has not lost out financially at this stage - if company subsequently try to hold daughter responsible for this debt, then they can take a crime report and issue a proper crime reference. Seemed an odd way to me, but they confirmed to me that is how it works in this type of case).

This 'Information Report' is submitted by them to the Police fraud dept, who then "take it from there and decide what action (if any) they will take".

For our part, we were advised to phone both companies immediately and explain what has happened and, in the case of the fraudulent account, give then their reference explaining that daughter has been a victim of ID fraud.


So on 'Fraud Action' advice:-

Spoke with DCS (who sought authority from Studio very quickly indeed - so am guessing 'in-house' debt recovery). I explained the situation/fraud to a pleasant lady (not the debt recovery 'pond life' type at all). She took all details including the police reference and was to pass on to their fraud team who will write to daughter in due course (presumably after liaising with the police). The account is stopped in the meantime and it was also confirmed that the phone number they held on record is an old 'PAYG' phone belonging to the 'friend' and not daughter's - which I would think only strengthens our case. No hint was given as to outcome and I did not tempt fate by asking.


Subsequently I spoke with Next and explained daughter's predicament. Again the phone number they had on record was another old 'PAYG' phone belonging to the 'friend'. I did explain that I will be paying this off in full as daughter was very silly and, for their part, they suggested without any asking, that they would freeze all charges & interest and accept payment over three months "if this helped" rather than paying all off in a lump sum. This was agreed, which eased the financial burden for me paying it off. They have marked the account to be closed once repaid and removed the PAYG phone number etc. All to be confirmed in writing by them.


I suppose the next stage will be waiting to hear from DCS/Studio with their conclusions, once they have gone through their procedures with the Police. The fraud action people did say that there is a possibility that DCS/Studio could still try to hold daughter responsible for the monies they stand to lose, as they may feel that she did not take reasonable care to keep her ID private. Although they couldn't say, I think they were just painting a worst case scenario for us. (Hmm! They didn't tell me that when we started the report!)

One thing is for sure that if, or more likely, when the Police fraud officers contact 'friend' all hell will let loose, as she will not be expecting their visit!


Despite some reservations, I think we have done the 'right thing' by being totally honest. Time will tell!

That's where we are at at the moment.

[DoTheyMeanMe]

Re: Advice needed on debt taken out in daughter's name by "friend"

Hi Barney

I have just read through this thread and wanted to say, "Well done". Your course of action is obviously the right one, but obviously not an easy one to take. I know it is always hard to separate the facts of a problem from the 'protection' we try to give our kids, but you have got there.

Right from the start it was obvious that your daughter's only 'crime' was 'helping a friend with her problems.'. Far from being a crime, this is a valuable character quality. I hope this episode helps her make wiser decisions in the future, and I am sure it will.

I look forward to reading the updates and seeing her friend get her come-uppances.

Finally, all credit to you for sharing this with us, perhaps it will help others in similar circumstances.

[pompeyfaith]

Re: Advice needed on debt taken out in daughter's name by "friend"

Barney,

Well Done you did the right thing as honesty always pays and as a result they was lenient with the first debt and will no doubt help going forward with this, it is always a hard decision to make and call but your first concern is yourself and your daughter.

You must remember the upshot is your daughter's friend did wrong and took advantage so hopefully this will be a good learning curve for her too.

I look forward to any updates but hope you can now move on

Well Done.

[Barney]

Re: Advice needed on debt taken out in daughter's name by "friend"

This one is refusing to go away.

Brief background (full details above): Studio Cards account opened fraudulently by (ex) friend of daughter in daughter's name unknown to her. Running up debt of £340 ish. Reported to Police Fraud Action line and reference obtained.

Studio Cards (DCS Debt Collections, who I believe are Studio Cards "in-house" collections) were given full details of the fraud and the Police Fraud reference that was given to me by the Police Fraud Action team.

I was told someone would be in touch from DCS Fraud team, but we heard nothing, until further standard debt chase up letters in late March, April and May. The latter threatening passing on to Moorcroft.

Upon receipt of each letter I have phoned DCS and was promised on each occasion that it looked like their "Fraud team" had overlooked the case and that they would flag it up and someone would be in touch (I have each person's name and time of my calls)..

Then in early June a further letter was received, this time from Moorcroft with a further £20 added!) chasing the same debt. I did not contact Moorcroft, but immediately spoke with DCS again, who again said that it appeared to have been overlooked and that they would get someone to ring me.

Again nothing was heard back and a further letter has now been received from Moorcroft chasing with the usual threats of further action etc.

Is there wording for a letter to Moorcroft and/or Studio Cards/DCS that tells them they are chasing/harassing my daughter over an account that has been correctly reported to the Police as fraud and that they should desist immediately? This must contravene collection legislation/rules surely?

Any help/guidance would be appreciated.

[Never-In-Doubt]

Re: Advice needed on debt taken out in daughter's name by "friend"

If it's fraud then complain to the regulators now - you've given them ample opportunity to resolve - start with the FOS: --> http://www.financial-ombudsman.org.u...complaints.htm

[Barney]

Re: Advice needed on debt taken out in daughter's name by "friend"

If it's fraud then complain to the regulators now - you've given them ample opportunity to resolve - start with the FOS: --> http://www.financial-ombudsman.org.u...complaints.htm

Thanks Niddy, appreciated.

I realise that may be the end result, however, my daughter has not come out of this very well. She was already emotionally vulnerable before this (hence why her ex-friend saw her as an easy target) and with this being someone she thought she could trust, believed her friend's subsequent sob stories and unfulfilled promises that she would repay, before coming to me in March.

I am trying to take the stress and worry out of it for her as far as I can.

The only issue that has been verbally queried by DCS is that the goods were delivered to my daughter's address. Although it has been pointed out by me that she did not know that a fraud had been committed at that stage and had presumed that she was simply doing her friend a favour taking delivery whilst she was out.

I just wondered whether, with everything being verbal to date, whether there was a letter that would stop them in their tracks, rather than go down the formal complaints route. I felt sure I had seen a letter to that effect in the past, but cannot find anything.

Thanks again.

[Sapphire]

Re: Advice needed on debt taken out in daughter's name by "friend"

I suppose you could send them the standard 'Harrassment' letter which is somewhere on here and adjust it to suit.

[Barney]

Re: Advice needed on debt taken out in daughter's name by "friend"

I suppose you could send them the standard 'Harrassment' letter which is somewhere on here and adjust it to suit.

Hi Sapphire and thanks,

I was thinking more along those lines myself before I posted earlier, as I have put nothing in writing so far, only phone calls. If the letter fails, then I will take Niddy's advice and report to the authorities.

I think it will take a fair bit of jigging of the standard harassment letter. I would need to point out that the debt was reported to both the Police and themselves as fraud in March, so why are they still chasing a fraudulent debt.

I was wondering whether the reference to the various CPUTR clauses already in the harassment letter would still be relevant?

I was also debating whether to send this letter to Moorcroft, as it has recently been passed onto them, so they should then refer back to DCS/Studio Cards and it might then prompt them to sort this out once and for all?

[Never-In-Doubt]

Re: Advice needed on debt taken out in daughter's name by "friend"

You need to formalise things really.

Let me read through this tonight. I'll come back to you later.

[Barney]

Re: Advice needed on debt taken out in daughter's name by "friend"

You need to formalise things really.

Let me read through this tonight. I'll come back to you later.

Thanks Niddy.

It's been a bloody nightmare. My daughter is so very gullible and trusting that I sometimes despair!

I will await your considered thoughts once you have had time to read the thread.

Thanks again.

[Never-In-Doubt]

Re: Advice needed on debt taken out in daughter's name by "friend"

Hi & sorry for the delay.

Can we please switch to email as a temporary measure so I can ask (and you can answer more freely) specific questions. For now don't act upon either debts. We'll sort this easily enough, a few days - tops. But first I need to establish the facts so I'll email you either in the next few minutes or in the morning (is 01:40 the morning? Lol)....

de-stress yourself. It's really not that bad - it's a few quid. I was ID frauded for around £100k and it took 5yrs to sort hence the birth of AAD. I learnt the law to fight my case. It's all here in the forum

[Never-In-Doubt]

Re: Advice needed on debt taken out in daughter's name by "friend"

Emailed you

[Barney]

Re: Advice needed on debt taken out in daughter's name by "friend"

Emailed you

Thanks Niddy. You're a star!

Emailed you back with info requested.

Cheers!

[Never-In-Doubt]

Re: Advice needed on debt taken out in daughter's name by "friend"

Replied