My Debt Diary

[The Tech Clerk]

I have a full time job but don’t own a home no, I rent privately.

I want to own my own home, so would always want to avoid getting a ccj.

i could muster £10-20 a month to set up repayment plans for all of these but I don’t know whether that’s a good idea or whether better plan is to save a lump sum and try to negotiate a settlement.

no CCJ then pay plan they will not hang around for you very long, do not tell them your future plans either,. seek full final later on even then CRA file would show partial settled _= problem mortgage application.

[DF.Ben]

no CCJ then pay plan they will not hang around for you very long, do not tell them your future plans either,. seek full final later on even then CRA file would show partial settled _= problem mortgage application.

What do you mean exactly by they won’t hang around for me very long? I haven’t paid them for years. They leave me alone for the most part just suddenly get letters for 1 of the debts for about 3 months and then they go quiet again!

Would a partial settlement be a problem for mortgage application after 6 years from default date? my understanding was then it would no longer appear on credit report no matter what the current status as long as no ccj added

6 years is up in July 2025 for 5 cc defaults. I want to buy a house but I think I’ll need to partially settle them at least before I can get a mortgage. So probably looking at 2030 before owning a home will happen, even that may be wishful thinking

[Pat]

Hi Ben

So you really need to avoid a ccj and if the worst happened and you got one, my guess is it is highly unlikely any judge would sign off on simply £1 a month. It is likely to be a lot more than that ( of course I do not know your financial details).

It is easy for people to make statements when it is not our lives that are being affected. A CCJ will stay on file for 6 years but I suspect the whole Lloyds banking group might not be happy to give you a mortgage.

If the creditors know your future plans they will use that as leverage to squeeze payments out of you.

I am not sure what to suggest, certainly not sure what I would do in your place especially if the debt is enforceable, although there are many reasons why a creditor might fail in court.

one possible suggestion for now is a DSAR to the original creditor ( Halifax?) that way you might get more details such as was their a default notice served . If it were me I would be trying to find out a bit more. This debt is what around the 6k mark?

Worst case scenario is they issue a claim and you agree a Tomlin order where you repay and they don’t get a ccj BUT just one late or missed payment and they can and often do go for the ccj.

Start saving. I am not sure why they haven’t issued a claim or indeed if there is a ‘shelf life’ to a letter of claim.

If it were me I would have responded to the letter of claim but after 4 months I am not sure I would now. If you get a claim form make sure you acknowledge it as it gives you a bit more time. Then come back here.

Good luck, if I or anyone can offer more support then shout.

[DF.Ben]

Thank you, I really appreciate the replies.

I might start small payment arrangements on them, I think its less likely there will be any claims then if im making an effort to repay? And then it gives me some time to save and settle them.

I will also do the DSAR for the Halifax debt as well

[Still Waving]

Thank you, I really appreciate the replies.

I might start small payment arrangements on them, I think its less likely there will be any claims then if im making an effort to repay? And then it gives me some time to save and settle them.

I will also do the DSAR for the Halifax debt as well

I had a DMP in operation (pre AAD), but it didn't stop one creditor issuing proceedings and succeeding in getting a charging order. I was more naive then, and was not helped by Payplan. In fact they "helped" me admit the debt.

Also, I think that often creditors are less inclined to accept a F&F if they are receiving regular payments.

[Roger]

No payment made since June 2020, impacted by coronavirus couldn't afford the c.£10 payment plan
Everybody knows about Inflation Etc.. Etc..
"I'd like to buy a house one day!" Therefor NOT a home owner!
"I'm about to move house as well and wondering whether I should tell them my new address or let them work it out for themselves?"

Which simply means PRA are interested in whether you can afford anything! as I pointed out already NO money NO Pay

June 2023 - Received a Letter Before Claim
Its now October 2023!
If they are going to issue a Claim then they will won't they!
Nothing wrong with a tomlin order £1 per month! Cheaper than £10 per month

If it was me SILENCE I wouldn't communicate anything with PRA it would restart the Statute Bar Clock!
BUT pay Post Office to reroute your Mail!

By all means ask for a DSAR from Halifax

[The Tech Clerk]

No claim? idle threat maybe would of actioned by now (They must be desperate) hence stopping Moorcroft collecting and commissions).

[Pat]

Thank you, I really appreciate the replies.

I might start small payment arrangements on them, I think its less likely there will be any claims then if im making an effort to repay? And then it gives me some time to save and settle them.

I will also do the DSAR for the Halifax debt as well

If you start payments your debt will never be time barred although I understand your reasonings. As has been said, being on a payment plan doesn’t mean they won’t issue a claim.

I do wonder if PRA were using the LoC as a debt collection tool.

Remeber, if you negotiate a Tomlin order it is a judge who signs off on it, now I have heard of them being as low as £1 a month but that is rare so as I said, it is easy for Roger to tell you it will be £1 a month BUT HE DOES NOT KNOW for sure.

Also as for a mail redirect, yes do it but it is not 100% reliable and some letters explicitly state do not redirect. If you do move I think sending a simple change of address to them - please be advised that as of xxxxxx my address wil be …….. signed Ben. This does not acknowledge anything

I don’t want to scare you but if a ccj happened, they could apply for an attachment of earnings . Your employer would then be aware and some jobs do not allow ccj, if for example you need to be FCA registered.


I do not know what your finances are like but it maybe, and again, if they do issue proceedings, that you need legal advice. An ethical lawyer will tell you if you have a valid defence ( no guarantees) or if you should try and settle. Their advice will not be free but may be worth it. For example when I was settling a relatives will, I paid for 30 mins advice and realised I did not need to apply for probate- thus saving me time and money.

By the way, tempting as it maybe, I would strongly advise against applying for any credit. If they see you have been granted credit they will think an affordability check has been undertaken so you could afford to pay them.

[Roger]

DF.Ben

Has 5 Debts which have been diarised rounded come to approx £40k
This Halifax is the smallest at £5.5. Only a court can ask him for his Income and Expenditure and of course known outstanding Debts.
He obviously can't say definitively these are UE or statute barred so would have to discloses them.

His Expenditure must include firstly priority Debts, these Bad Debts are at the bottom of the stack.
We know there was a payment plan in place but he couldn't afford the £10 because of COVID as we know Inflation has been very high and is still a very high 6.7%

Looks as if PRA are trying to fish using that LBC doesn't it?
Tactically I would have done the same Silence!
Lets see what they do next! In the meantime SILENCE seems the most prudent course.

[Pat]

DF.Ben

Has 5 Debts which have been diarised rounded come to approx £40k
This Halifax is the smallest at £5.5. Only a court can ask him for his Income and Expenditure and of course known outstanding Debts.
He obviously can't say definitively these are UE or statute barred so would have to discloses them.

His Expenditure must include firstly priority Debts, these Bad Debts are at the bottom of the stack.
We know there was a payment plan in place but he couldn't afford the £10 because of COVID as we know Inflation has been very high and is still a very high 6.7%

Looks as if PRA are trying to fish using that LBC doesn't it?
Tactically I would have done the same Silence!
Lets see what they do next! In the meantime SILENCE seems the most prudent course.

Assumptions- this post is full of them and the odd truth. Yes only a court can force an I&E and yes this is the smallest debt.
BUT we do not know what Ben’s current financial status and its non of our business. Inflation is high but hardly very high, some of us remember the stubborn 15-25% years.

Yes priority debts are, well a priority, but a ccj is a priority debt.
PRA are possibly fishing which is why I would not apply for credit- if you do they may notice it on your credit report and think money

[Roger]

16th January 2021 "I do not have any lump sum available for F&F. Total debts of £39k all defaulted Jul/Aug 2019."
Its ALL in the Diaries

PRA assigned first 4 Debts thats so they Know
"Lloyds Bank Credit Card",
"MBNA Credit Card|",
"Lloyds Bank Credit Card",
"Halifax Credit Card"
The Fifth with Intrum

@Di
very kindly remarked on
https://all-about-debt.co.uk/forum/d...68#post1538368
also
https://all-about-debt.co.uk/forum/d...70#post1538370
AND Especially
https://all-about-debt.co.uk/forum/d...49#post1538549

Timewilltell

Excellent advice
"My advice Ben, is to ignore all that they send whether advised enforceable or not, carry on with your life and only take action when the court claim papers drop, they prey on people bowing to their pressure, as it is written, resist the devil and he shall flee.
just make sure that you keep filing all that arrives so that you have your own paper trail."

DF.Ben
"..
In June they decided to send me a Letter Before Claim, where I had 30 days to respond with an info sheet and reply form supplied. I ignored it and then never heard anything about court proceedings being started. I assume then it is ok to ignore a letter before claim as just another tactic they deploy and they don't always result in court proceedings being started?
.."
Nice tactic LBC on one just to get at the I&E?
Here we are End of October

[Pat]

16th January 2021 "I do not have any lump sum available for F&F. Total debts of £39k all defaulted Jul/Aug 2019."
Its ALL in the Diaries

PRA assigned first 4 Debts thats so they Know
"Lloyds Bank Credit Card",
"MBNA Credit Card|",
"Lloyds Bank Credit Card",
"Halifax Credit Card"
The Fifth with Intrum

@Di
very kindly remarked on
https://all-about-debt.co.uk/forum/d...68#post1538368
also
https://all-about-debt.co.uk/forum/d...70#post1538370
AND Especially
https://all-about-debt.co.uk/forum/d...49#post1538549

Timewilltell

Excellent advice
"My advice Ben, is to ignore all that they send whether advised enforceable or not, carry on with your life and only take action when the court claim papers drop, they prey on people bowing to their pressure, as it is written, resist the devil and he shall flee.
just make sure that you keep filing all that arrives so that you have your own paper trail."

DF.Ben
"..
In June they decided to send me a Letter Before Claim, where I had 30 days to respond with an info sheet and reply form supplied. I ignored it and then never heard anything about court proceedings being started. I assume then it is ok to ignore a letter before claim as just another tactic they deploy and they don't always result in court proceedings being started?
.."
Nice tactic LBC on one just to get at the I&E?
Here we are End of October

And your point is?

You did not actually answer any point I made.

[The Tech Clerk]

Principles and Codes of Conduct look through here see if misuse of procedures but have no intention following it through?

[Pat]

DF.Ben

Who sent you the Letter of Claim can you remember?

It is very unusual for PRA not to follow through

???????

Principles and Codes of Conduct look through here see if misuse of procedures but have no intention following it through?

Good point TC

[DF.Ben]

DF.Ben

Who sent you the Letter of Claim can you remember?

It is very unusual for PRA not to follow through

???????

Good point TC

It is definitely from PRA, on their letterhead. I still have it if any details would be helpful

On the topic of new credit, to be honest I do have
2 credit cards (£2k and £3k limit) since these defaults - bad credit types (ocean / cap one) for the last 2-3 years that I never miss payments on and 95%+ of the time pay in full but do use every 2-3 months as needed. for example got married a few months ago so had a need to use them for short term pinch point - all paid off now in full so without any interest charges. I certainly don’t intend to apply for any new credit and can close these if that would be best idea! Other than that I have a £1k overdraft (rarely used maybe end of month only £1-200) from before the defaults, sky mobile, next directory £150 no balance, PayPal credit £200 but again no balance just use it 1 month and pay the next. Sometimes spread payments interest free for 3 months on it.

I never missed payments on the original debts until the end, I went through divorce and the debts just got so unsustainable that I was paying £1k+ in min payments every month and having to spend again every month on them to make ends meet, I could no longer balance transfer my way out of interest so was suddenly getting swamped by interest and had no choice but to default in the end.
At the time it felt like the best thing I’d ever done as I knew what money I had and could live off once I wasn’t paying credit cards. But a few years down the line and I don’t really have a plan to deal with the debts. I always thought I’d partially settle but I’ve just never got to the point of having enough of a lump sum.

As far as I can tell PRA have never viewed my credit file and I have accounts on all the free monitoring sites - MSE, totally money, credit karma etc. I only got an alert when Tesco sold to Intrum and Intrum did some sort of creditor search.