New Protocol for debt claimers

[Still Waving]

I suspect you have too much faith in the system

Certainly in the short term there will be many claims coming to SB that will not allow time for the new process- we all know of claims that arrive just in time to avoid the limitations clock.

It's all speculation, and only time will tell. However the 'industry' has known about the forthcoming changes for some time.

[cardiac arrest]

The process can go forward if the parties fail to agree, but given the parties have likely disagreed for some years I can't see shortening the timescale solving anything. All that will happen is the unresolved argument will carry on in to court, with the judge deciding who has the best case. Like I said earlier, provided both parties give full disclosure during the negotiation stage it should work better, but half the problem has been claimants haven't exactly been open and honest about what evidence they have...it will be interesting to see how many finally stop bluffing and just give up..

[nightwatch]

The process can go forward if the parties fail to agree, but given the parties have likely disagreed for some years I can't see shortening the timescale solving anything. All that will happen is the unresolved argument will carry on in to court, with the judge deciding who has the best case. Like I said earlier, provided both parties give full disclosure during the negotiation stage it should work better, but half the problem has been claimants haven't exactly been open and honest about what evidence they have...it will be interesting to see how many finally stop bluffing and just give up..

Ah, will that mean less on selling of known UE debts, or do we think some are still going to try their luck?. they would blame the seller for not passing on all information before they bought them.

[cardiac arrest]

Ah, will that mean less on selling of known UE debts, or do we think some are still going to try their luck?. they would blame the seller for not passing on all information before they bought them.

DCA's buy these in bulk as they become available from the Banks. They're usually considered to be the more 'difficult' cases which the Banks have given up with, hence why they only sell at around 5% of the face value, and are lumped in batches rather than sold individually. A DCA will take this batch of 50 or so knowing that if 4 or 5 pay up they're quids in. There must be some scrutiny of the paperwork for the DCA's to assess which are the easiest cases to win, which you'd assume they'd go for first. The rest and the dubious ones they'll just be trying it on, with threats and such like.You could assume that if your default has done the rounds, and been going on for some years that your chances of winning are better ? If they knew they could win a court case they'd go for it straight away, wouldn't they ? These are just my assumptions, but if you've had a defaulted debt of £5,000 or so for 10 years and still not been taken to court for full recovery there must be a reason, you'd think. ...The route to court might have a shorter time line, but the evidence required hasn't changed . What would be interesting is if it was compulsory for DCA's to put up or shut up, ie they have to bring to court with x weeks or write off the debt...!

[scottygees]

DCA's buy these in bulk as they become available from the Banks. They're usually considered to be the more 'difficult' cases which the Banks have given up with, hence why they only sell at around 5% of the face value, and are lumped in batches rather than sold individually. A DCA will take this batch of 50 or so knowing that if 4 or 5 pay up they're quids in. There must be some scrutiny of the paperwork for the DCA's to assess which are the easiest cases to win, which you'd assume they'd go for first. The rest and the dubious ones they'll just be trying it on, with threats and such like.You could assume that if your default has done the rounds, and been going on for some years that your chances of winning are better ? If they knew they could win a court case they'd go for it straight away, wouldn't they ? These are just my assumptions, but if you've had a defaulted debt of £5,000 or so for 10 years and still not been taken to court for full recovery there must be a reason, you'd think. ...The route to court might have a shorter time line, but the evidence required hasn't changed . What would be interesting is if it was compulsory for DCA's to put up or shut up, ie they have to bring to court with x weeks or write off the debt...!

so I have received one of these yesterday. I have been advised to ignore and await their next shot. Am I legally bound to complete this form and what will their next shot likely be if they continue to pursue the debt. Has anybody else any experience of receiving one of these and what action did you take?

[CAPS ESC]

so I have received one of these yesterday. I have been advised to ignore and await their next shot. Am I legally bound to complete this form and what will their next shot likely be if they continue to pursue the debt. Has anybody else any experience of receiving one of these and what action did you take?

I don't think that is the advice from AAD. There is a template to respond to newer LBAs. A clear response to any LBA has always being advised ASAIK.

[scottygees]

I don't think that is the advice from AAD. There is a template to respond to newer LBAs. A clear response to any LBA has always being advised ASAIK.

I don't think this is actually an LBA. I sent it to Niddy to look at and am acting on his advice.

[Still Waving]

Hi

I wouldn't want to gainsay Niddy, especially when he has seen what you were sent, but just to be clear in my own mind - were you sent an information sheet, a 4-page reply form and a financial statement form (I&E)?

[CAPS ESC]

I don't think this is actually an LBA. I sent it to Niddy to look at and am acting on his advice.

My mistake then.

Regarding income and expenditure forms, I have always thought it gives the opposition the info they need to plan their attack rather than to be reasonable about their demands.
i have received dozens and never returned or even responded to one.

[scottygees]

Hi

I wouldn't want to gainsay Niddy, especially when he has seen what you were sent, but just to be clear in my own mind - were you sent an information sheet, a 4-page reply form and a financial statement form (I&E)?

yes I was. Any advice? I feel I should complete and return this

[Still Waving]

I think you should seek clarification from the experts here (double check with Niddy or Di). There may be some account-specific circumstance which Niddy took into consideration.

The guidance notes to the new pre-action protocols include -

"3.4

If the debtor does not reply to the Letter of Claim within 30 days of the date at the top of the letter, the creditor may start court proceedings, subject to any remaining obligations the creditor may have to the debtor (for example, under the Financial Conduct Authority’s Handbook).

Account should be taken of the possibility that a reply was posted towards the end of the 30-day period."

[scottygees]

I think you should seek clarification from the experts here (double check with Niddy or Di). There may be some account-specific circumstance which Niddy took into consideration.

The guidance notes to the new pre-action protocols include -

"3.4

If the debtor does not reply to the Letter of Claim within 30 days of the date at the top of the letter, the creditor may start court proceedings, subject to any remaining obligations the creditor may have to the debtor (for example, under the Financial Conduct Authority’s Handbook).

Account should be taken of the possibility that a reply was posted towards the end of the 30-day period."

i will send the documents to Di to look at as well and get advice from her. Obviously these are new procedures and we will all learn how to deal with them collectively.Thanks again

[Joanna Connolly Solicitors]

The new Protocol does seem to place an onus on the recipient of a Letter Before Claim to complete a financial statement which, hitherto, creditors could not force one to to prior to Court ordering it.

There is no onus on the debtor to complete the financial statement unless they intend to admit the debt and pay it.

Di

[Joanna Connolly Solicitors]

I don't think that is the advice from AAD. There is a template to respond to newer LBAs. A clear response to any LBA has always being advised

That template letter is no longer applicable after the introduction of the new Pre Action Protocol for Debt Claims where the Letter Before Claim is 'form based'.

Di

[charitynjw]

From a 'tactics' perspective, will the new PAP procedure replace CPR 31.14 requests? (Which, from what I've experienced, were largely ignored anyway in potential SCT claims.)