George Washing UE Diary

[George Washing]

Dear all,

Great forum, wish I had found it sooner.

Am after some advice please.Please advise if I am posting in the wrong area.

My partner and I racked up large debts over a c10 year period for a variety of reasons.

By 2008 we were unable to service the debt and we robbing peter to pay paul. In very late 2009 we entered a DMP with CCCS.

Defaults came through spring/summer 2010 for 8 of our 10 creditors (Natwest overdraft do not appear to have issued defaults) Debts now mainly held by westcot, robinson way etc. All credit cards bar one taken out way before 2007.

Since then we have been paying minimal amounts based on cccs budget. In the last couple of months my ltd company has been booming and fortunes are changing. Am keen to rid ourselves of the debt. Want to save up and buy a house etc.

Can’t yet afford to pay off all the debt (c60k) but should get to that stage (although would rather pay less if i can) so offered F&F in June using MSE template (hadn’t found this site).

Offered each of them 30% and they all either said no or asked for more info on income and expenses. Natwest credit cards offered deal at 70% (partial settlement would be recorded). We have not yet responded. Was cautious of sending budget as income has improved but DMP budget not yet reviewed to reflect this!

My plan now is to send them CCCS budget from spring 2012 and resend F&F offer. If they go for it we will pay it off. If not then what is the best way for us to get rid of the debt and start to build our rating?

As they all eventually froze interest we have avoided doing CCA or SAR. But having seen this site, I understand sometimes by playing it fair and paying off doesn’t help credit rating and that with at least 7 defaults between us, we are shafted for 4 more years whether or not we pay it off.

Also am confused about whether partial settlement is any better than “satisfied” or no settlement, and whether I should stay on CCCS as my fortunes improve.
Any advice would be appreciated.

[Deepie]

Re: Welcome to George Washington

Welcome
I know what I would be doing-----------> CCA Request
You have nothing to lose..........

Have a read here---->UPDATED - A Full Guide to Unenforceability

[Never-In-Doubt]

Re: George Washington UE Diary

Hi

I have moved the above two posts into your own new thread.

I would suggest you start by sending a CCA to each lender and cease all repayments, that way you can start to take control....

As above, take a read about how UE works etc and if interested or if you have questions, fire away.

Good luck

[SA Gold]

Re: George Washington UE Diary

Dear all,

Great forum, wish I had found it sooner.

Am after some advice please.Please advise if I am posting in the wrong area.

My partner and I racked up large debts over a c10 year period for a variety of reasons.

By 2008 we were unable to service the debt and we robbing peter to pay paul. In very late 2009 we entered a DMP with CCCS.

Defaults came through spring/summer 2010 for 8 of our 10 creditors (Natwest overdraft do not appear to have issued defaults) Debts now mainly held by westcot, robinson way etc. All credit cards bar one taken out way before 2007.

Since then we have been paying minimal amounts based on cccs budget. In the last couple of months my ltd company has been booming and fortunes are changing. Am keen to rid ourselves of the debt. Want to save up and buy a house etc.

Can’t yet afford to pay off all the debt (c60k) but should get to that stage (although would rather pay less if i can) so offered F&F in June using MSE template (hadn’t found this site).

Offered each of them 30% and they all either said no or asked for more info on income and expenses. Natwest credit cards offered deal at 70% (partial settlement would be recorded). We have not yet responded. Was cautious of sending budget as income has improved but DMP budget not yet reviewed to reflect this!

My plan now is to send them CCCS budget from spring 2012 and resend F&F offer. If they go for it we will pay it off. If not then what is the best way for us to get rid of the debt and start to build our rating?

As they all eventually froze interest we have avoided doing CCA or SAR. But having seen this site, I understand sometimes by playing it fair and paying off doesn’t help credit rating and that with at least 7 defaults between us, we are shafted for 4 more years whether or not we pay it off.

Also am confused about whether partial settlement is any better than “satisfied” or no settlement, and whether I should stay on CCCS as my fortunes improve.
Any advice would be appreciated.

Hiya,

As already pointed out; once the defaults have been registered it's a point of no return really. Hard to swallow, although until recently (when i found this forum) I was still under the hope that defaults could be reversed, although it appears this is rarely the case when issued accurately.

I guess it really depends on how you want to deal with this.
Personally, if i had my own limited company, i would be paying myself a nominal wage, pulling dividends out and looking to settle the debt at the lowest possible deal possible. If you continue with the CCCS they will ask for (annual i believe) reviews of your circumstances and i guess this would include copies of your wage slips/tax return as a director so will be asking for more if your business is now booming as you say - well done on that by the way!
Pull out of that and the creditors will start flapping giving you the option to regain control. They have already dealt the blow that is the default, so other than threaten (although this is always a possibility depending on your circumstances, contracts, although this great forum should help you way before that would happen) you with legal action can't really do much.
All the best with whatever you decide, and i hope you stay around and keep us posted.

[SA Gold]

Re: George Washington UE Diary

Wouldn't it be better to check if your debts are UE in the first place, and only consider repaying any that are enforceable?

Once you've been defaulted, why pay the UE ones?

I have a limited company and do the above, but haven't paid anything to creditors for 21/2 years as they are UE,

I think so too, but forgot to put (if appropriate) at the end of the sentence - i guess the OP may have debts which are enforceable and i was really aiming at the ones he wants to deal with, opposed to the ones he may decide not to do anything with

[SXGuy]

Re: George Washington UE Diary

I can only say the same thing as FP really.

As its a ltd company, it really doesnt matter what the turnover is, its about your wages and any dividends (actually i wouldnt even include dividends, since they dont really have a way of checking this)

Most directors under LTD set theirselves a min wage to pay little or no tax and ni, and take the rest as dividends.

So although im not saying you should send them an I & E, i just wanted to say, that you could quite easily show min amount of income should you ever need to.

But def do a CCA Request first as if they are UE and you already have a default, you have nothing to lose and money to gain.

[George Washing]

Re: George Washington UE Diary

Thanks great advice which is massively appreciated. Cca obviously first step. Key thing for us is not avoiding paying debts (although that is a nice to have) but is in being able get a mortgage once defaults drop off circa 2016.

Our credit files will obviously be poor prior to these defaults dropping off (i get that this is the biggie) but can anyone help me to better understand what goes on our credit file and for how long if we do the following;
A. Stay on cccs and pay off over a few years (seems the worst option)
B. do UE and statute barred
C. Do full and final partial settlement
D. Pay off everything they say we owe to get fully satisfied. (am amazed one isn't recognised for this more!)

An interested to know what negative markers would be made and for how long they are visible - if anyone knows.

[SXGuy]

Re: George Washington UE Diary

Someone else may correct me but as far as i know its like this.

A. Your CRA will report AP markers for the duration of the balance, so longer than 6 years.
B. UE means default if havent got one already, 6 years on, CRA is clear of any record of that debt.
C. Partial Settlement Marker registered on CRA, upto 6 years
D. Everything marked as settled, prob take longer than 6 years, Defaults remain for 6 years regardless.

What would affect your credit?, most likely A., B, C, and maybe D if the defaults arnt older than 3 years from settlement.

Which would help you to obtain a mortgage quicker? B. unless you could pay everyone off quicker than 6 years from default.

But dont forget, even if you were to make a full or partial settlement, if you have been defaulted, they still remain for 6 years, so it would not mean you could obtain credit.

[George Washing]

Re: George Washington UE Diary

Hi all,

Am taking the advice and have come of the CCCS DMP (stopped paying) and am writing CCA letters. Am using a digital signature rather than my normal one, but what do I do about signing the cheques?

What does everyone else do?

Postal order?

[Deepie]

Re: George Washington UE Diary

Hi all,

Am taking the advice and have come of the CCCS DMP (stopped paying) and am writing CCA letters. Am using a digital signature rather than my normal one, but what do I do about signing the cheques?

What does everyone else do?

Postal order?

or sign cheque slightly different............

[mk_chatham]

Re: George Washington UE Diary

Am using a digital signature rather than my normal one, but what do I do about signing the cheques?

What does everyone else do?

Postal order?

You can either send postal orders, which does add a little to the cost, or just send cheques with a slightly different signature. I didn't sign with my full name, as usual, but with just my initials, e.g.

Instead of "George Washington", sign "G Washington", the banks won't check the signature for £1.00.

MK

[George Washing]

Re: George Washington UE Diary

Hi all,

Went ahead and CCA'd all our credit cards and loans on 29th October. Used electronic signatures and sent postal orders rather than sign checks. (will set up one post per debt when sorted paperwork).

But before then I have a question:

Natwest have returned our postal order and said "The s78 request received has been returned to you as we require your original signature before we can proceed, photocopies can not be accepted. Please sign the request for information and return it........This is a requirement under the Data Protection Law's"

Capital one said "I would like to be able to assist in your request: unfortunately the signature provided doesn't match what we have on our records. Therefore we require a copy of document showing your current signature (this could be a drivers licence or passport). We feel this is a reasonable request as it is a necessary requirement of avoiding breach of regulatory and data protection duties owed to our customers."

My initial thought is that they don't have the original agreement and want to get our signatures to try to cobble one together. The fact that Natwest used a misplaced apostrophe on "Law's" suggests they are chancing it. The fact Capital One say "we feel this is a reasonable request" is also suspicious.

Any advice?

Thanks

[SXGuy]

Re: George Washington UE Diary

Be prepared for a battle, im sorry to say that the template letter hasnt helped me with NatWest.

There was two NatWest accounts i CCA'd to, one came back and said cant find agreement and closed their file.

The other, kept returning the PO and asking for a signature under DPA.

I sent the template letter, to which it sparked an internal complaint procedure, and i got a reply yesterday, its in my dairy at on of the last pages if you want to read it.

The admit that they send statements because they had an agreement to which was signed when the account was opened, but they also admit they require a signature to compare to the application under DPA.

Now whether or not we agree with them it does pose a question, if they didnt have an agreement, there would be nothing to compare it to, hense why the first one was accepted and admitted no CCA.

Or, I got lucky the first time, and they are just trying to follow what they think are the rules and havent bothered to check if there actually is an agreement until i send a signature.

Either way, i have a battle on my hands with this one. I should note, capital one had no issue sending a CCA so it seems its down to the person who receives the request.

Their complaints response letter states i should refer to OFT if not happy, so assuming its their final response, therefore i can either do that, which we know OFT is not likely to side with me, or i send the signature on top of AAD's antitamper strip.

Gonna have a little think over the weekend and decide what to do.

[Undercover Elsa]

Re: George Washington UE Diary

Hi SXguy,
This does actually give you a crafty opportunity to test the water..
What I've done in similar circumstances is write back saying I stand by the statements in my letter of xxxx in that there is no statutory requirement for me to supply you with a signature for this request.
However in order to resolve this matter without further pointless argument I enclose my signed formal request.


Type your name then just squiggle your initials only over the typing.


This way, it gets your request plus if they come back at you with "that doesn't match what we have on file" then you'll at least know they have something on file already...forwarned is forearmed

Edit: If you're as paranoid as I am you'll also scan a copy of the request including your "signature" in the event of future "creativity"...


Others may have different methods but that works for me. (They never questioned it)
Elsa x

[SXGuy]

Re: George Washington UE Diary

Thanks Elsa, it sounds like a good plan, i do recall that i had this issue once before, with a DCA, and i made sure the signature looked nothing like the original, which they accepted, but they did send the CCA LOL

Ill send the letter with the info you mention on Monday and see what happens.