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Old Debt

#1
Good Afternoon

Last month I received a letter from a debt recovery company, phoned them up and it is a debt from about 10 years ago, there was a small outstanding balance on a current account I infrequently used. (10 years after the event, I am a victim of data matching)

Divorced, changed jobs , moved house and must have forgot to tell the online bank, the outstanding balance has now accrued to just under £500, I didn`t get any mail (all mail forwarded for a year after moving house) or emails from the online bank

Last week after get a mortgage and various credit cards and bank accounts for the past 10 years, I get turned down for a mortgage because the online bank has gone a put a note on my credit reference.

Any pointers on will I be able to negotiate on the 500 and my credit reference repaired

Thanks

Archie
 

BiscuitsAB

LE
Moderator
#2
Yeah tell them to **** Right off at the High Port. Its statute barred unless they registered a judgement against you within 6 years. They have also broken the Data Protection Act 1998 by passing your data to a third party and are almost certainly in breach of CPUTR 2008.

Get your arse to CAG and do some research. Or pay my me my huge fees and I'll sort it out for you. ( No don't even think about it, I will cost you way more than the £500) go to CAG and get yourself Gen'd up.

The Consumer Forums - Page One
 

Wordsmith

LE
Book Reviewer
#4
BiscuitsAB will correct me on this one, but I believe there is a market in second hand debt. The company you originally incurred the debt with found it, realised it had close to zero chance of recovering it and sold on the debt for a specialist debt company - probably for just a few pounds.

The debt company chasing you is relying on you not knowing your rights and settling for all or part of the sum. They know that a significant fraction of people don't know the law and will pay up if confronted by a sufficiently threatening letter.

A bit of research and a letter to the bank pointing out they're in breach of the law and that if you don't get satisfaction, you'll forward all correspondence to the financial ombudsman may well sort out your credit reference problem.

Financial Ombudsman Service

Wordsmith
 

BiscuitsAB

LE
Moderator
#5
BiscuitsAB will correct me on this one, but I believe there is a market in second hand debt. The company you originally incurred the debt with found it, realised it had close to zero chance of recovering it and sold on the debt for a specialist debt company - probably for just a few pounds.

The debt company chasing you is relying on you not knowing your rights and settling for all or part of the sum. They know that a significant fraction of people don't know the law and will pay up if confronted by a sufficiently threatening letter.

A bit of research and a letter to the bank pointing out they're in breach of the law and that if you don't get satisfaction, you'll forward all correspondence to the financial ombudsman may well sort out your credit reference problem.

Financial Ombudsman Service

Wordsmith
Nothing to correct there. The market in second hand debt is huge and its worth their time firing out 10,000 letters using the shotgun approach, they will get people responding and offering to pay.
 
#6
Biscuits AB and Wordsmith

Thanks for you replies

I questioned the third party company and they said that they had not brought the debt but are acting for the parent company - Santander, and when I spoke to Santander - (Cahot) they said I had to deal with the debt company

Because I asked for evidence of the of the debt the third party has go back to Santander for statements, which I still don`t have and I have had to chase them up twice. I believe that Santander has now sent the statements to the third party

Archie
 
#10
Nothing to correct there. The market in second hand debt is huge and its worth their time firing out 10,000 letters using the shotgun approach, they will get people responding and offering to pay.
A mate of mine had a letter after recently coming back from 10 years overseas , a debt agency were looking for £55K from a failed business screw up , he did have a CCJ over 8 years old , he threw it in the bin and has heard no more in six months .
 

Drivers_lag

On ROPS
On ROPs
#11
I had one recently. Moved house and forgot about something.

I happened to have watched this - Debt Collector gives up on £1,775 after I sent them 3 letters! (www.BenLowrey.com) - YouTube so I thought I'd chance my arm. Rang them and asked for the original document containing my signature. A week later a letter dropped through the door containing the document. Bummer. But on reading it, holy of holies, my signature was nowhere to be seen. I have no idea how that happened.

Of course, I rang them full of righteous fury... 'Show me the signature', I thundered at the hapless clerk, who of course couldn't.

Result. Debt gone.
 
#12
Current accounts are slightly different from other debts and they will try and argue until they are blue in the face that the CCA1974 doesn't apply. But it does as an Overdraft is a rolling credit arrangement.

I could tell the OP how to sort it, but I feel its better for someone to go onto CAG and learn the how to's for them self.
 
#13
I believe that private debt recovery agencies are run along the same lines as wheel clampers and doormen. Although wheel clampers and doormen are probably now better regulated.
 
#14
You think you've got problems.

Just before Christmas, I got a letter from Nat West saying they were reposessing my house because I was sixteen thousand quid in arrears with my mortgage.

This came as something of a surprise to me as:-

1 I don't have any mortgage arrears

2 My mortgage is not with Nat West, its with a building society

3 I've never been a Nat West customer in my life

Presumably, the poor sod who should have received this letter will be getting a surprise visit from the bailiffs one day soon.
 

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