3 points im desperate to clarify reg UE

[SUNFLOWER1]

Hi!

Can someone just clarify these few points for me please:

The 2 accounts I wish to seek the UE for has defaulted me anyway so surely if its unenforceable they cannot issue a ccj and if successful my balance will be returned to zero and the default remains on my file for 6 years which its going to do anyway (correct)?

Secondly am I right in thinking that should the agreement be unenforceable its does NOT mean that they have to remove all data regarding my account from their records and also my credit file therefore effectively Wiping them out" as has been suggested on other forums I have read!

Thirdly can someone tell me what the worst thing can happen by going down the UE route and not being successful and roughly how long this process takes?

Many Thanks (again)
I'd be lost without this site :-)

[MrsD]

Re: 3 points im desperate to clarify reg UE

Hi Sunflower

Welcome to the forum. If an account is unenforceable, it means the creditor cannot enforce it, ie can't take you to court. They can, however, phone, write, turn up at the door and generally pester you, and they can register a default which will stay on your credit record for 6 years, 5 if you are in Scotland. Your balance will not turn to zero bacause the debt will still exist, it just will be UE.
All of the detail of the debt will remain on your records for the full 5/6 year period.

There isn't really a "worst thing", they could take you to court despite the UE status of the account and therefore you'd need to fight the creditor in court, maybe shaping some "case law" in the process. Its up to you how far you want to take it really, no one would force anything on you. It is a big decision and its not the right decision for everyone and it is certainly not the easy road. To help you more we'd need to know more about your debts, how old they are and what stage. A lot of us on here have changed our lives with UE, but you have to make the decision yourself. Good Luck

[Never-In-Doubt]

Re: 3 points im desperate to clarify reg UE

Hi!

Hi & Welcome ya

Can someone just clarify these few points for me please:

Certainly!

The 2 accounts I wish to seek the UE for has defaulted me anyway so surely if its unenforceable they cannot issue a ccj and if successful my balance will be returned to zero and the default remains on my file for 6 years which its going to do anyway (correct)?

What happens is once you've been defaulted, no matter what else happens then after 6yrs the entry will drop-off your credit file, whether you pay or don't pay. However, if you don't pay then after 6yrs it also becomes Statute Barred meaning that you "legally" do not have to pay the debt back. However, if they obtain a judgment against you then things change somewhat. If you own your home they may apply for other warrant style processes such as attachment of earnings or charging order. However if no CCJ then you can usually see it through.

If it is unenforceable, they cannot obtain judgment, correct. However in light of the carey case lenders are taking the chance as judges are somewhat confused and tend to hide behind Judge Waksman ruling - therefore don't be disillusioned, if the lender issues court papers then you back down - we never sugegst you take them on - big no-no right now!

Secondly am I right in thinking that should the agreement be unenforceable its does NOT mean that they have to remove all data regarding my account from their records and also my credit file therefore effectively Wiping them out" as has been suggested on other forums I have read!

After the McGuffick (versus RBS) case, lenders can (and will) add data to the CRA's meaning you will be defaulted, and this is lawfully allowed to remain as it is a true reflection of how you ran the account, i.e you defaulted.

Thirdly can someone tell me what the worst thing can happen by going down the UE route and not being successful and roughly how long this process takes?

Worse thing, they CCJ you and you need to then back down and agree to repayment proposals. This is rare, but can happen....

Many Thanks (again) -- I'd be lost without this site :-)

Bless, thanks

[Never-In-Doubt]

Re: 3 points im desperate to clarify reg UE

Anyone home