Contact or not?

[Norbert]

Hi all

I received some very wise and valuable help on here in the middle of last year regarding an account with Co-op Visa with an alleged debt of £4934.

In short, the original CCA agreement from 1993 was improperly executed and is therefore totally unenforceable.

Co-op tried all manner of threats and coercion including threat of Statutory Demand (SD) but (with help from this forum) that was batted away in September 2014.

Since then I have not been in contact with Co-op Visa. They have since sold the debt to firstly Moorcroft and then Link, both of whom have written to me asking for payment proposals. I have ignored these letters on the basis that once six years elapses, the debt and default can be wiped from my credit history. Is this right?

However, I have recently seen some advice which suggests writing to the creditor and saying, in terms "You are never going to get your money and there is no court that can order it so either, so why don't you just write the debt off" - or words to that effect.

My question is, is it worth writing a letter such as this; if I do does it impact on the six year rule; and lastly if I do write, who does it go to - Co-op or the current owner of the debt i.e. Link?

Thanks in advance

Nick

[Deepie]

Re: Contact or not?

or just ignore it and let sleeping dogs...and all that

[cymruambyth]

Re: Contact or not?

I agree with Deepie, just ignore them. If you contact them they may restart contacting you.

[Norbert]

Re: Contact or not?

Thanks for the replies.

The reason I wanted to try and get the credit file cleaned up is because this is the last default on the file and it would be very helpful going forward to have the credit record clean!

[cymruambyth]

Re: Contact or not?

They won't remove any data from your credit file and even if you pay it off the default markers will still be there.

[Deepie]

Re: Contact or not?

Thanks for the replies.

The reason I wanted to try and get the credit file cleaned up is because this is the last default on the file and it would be very helpful going forward to have the credit record clean!

unfortunately the default will be there to stay ......

When did you get defaulted ?

[Norbert]

Re: Contact or not?

Here's a quick summary:-

• Type of account - Credit card
  
  
• Date commenced - 1993
  
  
• Approx balance - £4934.82
  
  
• Date last full payment - May 2010
  
  
• Are you on arrangement or not paying - Payment plan of £100 per month - stopped making payments June 2014
  
  
• Status - Default
  
  Account in default since at least May 2010 (with token £100 payments being made each month until June 2014) although I cannot find any correspondence that says "Default Notice" - just lots of documents saying "Notice of sums in arrears"
  
  "Default Notice" received dated 16th October 2014 although subsequently told by Co-op this notice was incorrect and to ignore it (see letter dated 30/10/14) below
  
  
• Account owner - Link

Most recent correspondence

16/10/14 - Default Notice from Co-op
23/10/14 - Letter from Co-op appointing Moorcroft
28/10/14 - Letter from Moorcroft saying they have been appointed
30/10/14 - Letter from Co-op - Default Notice issued on 16/10/14 issued in error - letter says "ignore it"
10/11/14 - Letter from Moorcroft asking for proposals to pay
29/12/14 - Letter appointing Link as DCA

[The Tech Clerk]

Re: Contact or not?

must be due a letter soon been a while - let sleeping dogs lie comes to mind!

[julian]

Re: Contact or not?

Your debt only becomes Statute Barred after 6 years in England and Wales. As you were paying £100 per month up until last year it will not become SB until after June 2020.

If it is unenforceable, you just sit it out, and wait for 2020. Do come back for advice if they begin to pester again.

[SaltnVinegar]

Re: Contact or not?

However, I have recently seen some advice which suggests writing to the creditor and saying, in terms "You are never going to get your money and there is no court that can order it so either, so why don't you just write the debt off" - or words to that effect.

I think many creditors would see that as a red rag to a bull, and unless you're supremely confident on the reasons the agreement was improperly executed, and representing those reasons in court (or paying a legal representative), you should consider the risks.

Link Financial have a history of issuing court claims, so I'd be considering whether I wanted to be making myself a target.......

[Never-In-Doubt]

Re: Contact or not?

I have ignored these letters on the basis that once six years elapses, the debt and default can be wiped from my credit history. Is this right?

Specifically relating to CRA's - yes, after 6 years from the date of original default, the entry will drop off and can not be re-added. However this date is nothing to do with the actual default date of the account as in s.87 (CCA). Did they default you maybe, before you set up the £100pm payments? I don't know - if there were a few missed payments from last actual payment until the monthly agreement then it could be already exhausted. Too many equations to guess I'm afraid.....

However, I have recently seen some advice which suggests writing to the creditor and saying, in terms "You are never going to get your money and there is no court that can order it so either, so why don't you just write the debt off" - or words to that effect.

I hope you never seen that BAD ADVICE on AAD - if so please share so I can ban the member in question....... We would never suggest that unless there was a reason, and being UE is not a reason (they still try and enforce UE debts). ONLY if you were dying or never likely to earn again due to ill health would we ever suggest you try for debt write off.

My question is, is it worth writing a letter such as this; if I do does it impact on the six year rule; and lastly if I do write, who does it go to - Co-op or the current owner of the debt i.e. Link?

Nope - let sleeping dogs lie - one default will have little affect on you, however the moment you start applying for credit it will alert this creditor and they'll start hassling you again.

I would not recommend going down the UE route with one default over £4k as it won't affect you - at all (other than mortgage application).

[Norbert]

Re: Contact or not?

Thank you for the replies - wise advice as usual!

[Norbert]

Re: Contact or not?

I would not recommend going down the UE route with one default over £4k as it won't affect you - at all (other than mortgage application).

We've already decided that it is definitively and irredeemably UE (this time last year after I sent you a copy of all the relevant paperwork and you kindly looked at it for me).

Not sure whether that impacts on the advice?

Can you clarify for me - does the six years start from the date of last full payment, the date of last part/reduced payment or the date of notification of Default?

Thanks.

[cymruambyth]

Re: Contact or not?

For a debt to be statute barred, 6 years starts from date of last signed acknowledgment of debt or any payment, no matter what size. Rob Way are arguing that one of my debts isn't SB because I made a payment of 1p.

[Norbert]

Re: Contact or not?

Thanks - I thought it was date of last payment!

The reason for asking is on the Co-op dispute, the original default from them was before 2010 and so if it ran from that date, would be coming up on six years now!