Yes... I have 24 creditors and only Capquest keep adding interest(I have two debts with them), but as you know, - "in certain circumstances" - interest is meaningless.
The reason that I've put "in certain circumstances" is because, as your o/h has only small debts (17.5k in total), then there is a fair chance that one day the debt will be paid back(this, of course depends on how much the o/h is paying back monthly to the creditors).
Whereas for the ones - like me - who owe astronomical amounts, then the debt will never be paid off, so the interest is meaningless.
In my opinion, you've done right by getting your o/h's DMP up and running first.
Your next step should be to write to your creditors who are adding interest, saying that it is unfair on your other creditors, for them to be adding interest, while your other creditors aren't.(I hope you can understand that last bit, 'cause I bloody can't).
Yeah, it's unfair that one lot of debts are GOING DOWN, while other debts are GOING UP.... That is what you should be telling the creditors who are adding interest.
Have the debts gone to DCA's yet, or are they still with the original creditors ?
Generally(but not always) interest will stop once it's sold or goes to a DCA.
The other thing to do is to get your payments down to as low as possible, and save the money up that you've reduced, then make F/F offers with the saved up money. That means that you are paying your creditors with their own money.
I have done this twice, but it takes a fair bit of time to accumulate a sizable wedge to offer them.
I've been on a DMP for 4 years, so time was on my side(and still is).
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You should have had notification from the original lender that the debt had now been sold/transferred/assigned to this crew
the account is in dispute
they are loading interest and charges with no proven contractual ability to do do - think you could put in a claim to get these rescinded
but - where there's no sense there is no feeling so in taking these actions view them as a CYA in preparation for court - if they do go online for a N'hampton special you can then dispute the claim and reject all the charges.
Play the longer game - don't get worked up - waste of effort - just play out the rope
Weve now received another one of their obnoxious letters with more charges on it , and now threatening to take this to court and drag me through the street naked(just exagerating there) or pass it a DCA wholl send the heavies round (again slightly exagerating). Am I right in thinking that they arent allowed to do this,Yes, and no. It is not actually illegal to continue to pursue a disputed account, but it IS strictly against the OFT guidelines which state that whilst an account is *in dispute*, no 'further action' can take place to recover the debt and the account MUST be placed 'on hold' until the dispute is resolved to the satisfaction of all concerned.
They are NOT permitted (under OFT guidelines) to pursue the account, pass it or sell it onto another DCA all the time the account is 'in dispute', or take any other 'further action'. This is not to say that they won't, but if they do, report them to all of the relevant statutory authorities and submit a formal complaint for harassment.
rikw wrote:I received a letter saying that they are now reassigning this debt and may involve court action or visit from debt collectors, my initial reaction is to get the bubbly out has they havent added any fee this time, and to finally see the back of them, but if the account is in dispute due to non return of CCA are they allowed to do this?In as far as I am aware, no they are not. As I have said in my previous post, once an account is *IN DISPUTE* it is effectively 'locked' until the dispute has been resolved. This means they are not susposed to sell it on which is what they appear to be insinuating they intend to do.
Think about it, if they intend to "reassign" the account, why would they want to take you to court? reassigning generally means selling it on. And as for doorstep collectors, well they can't send one of those unless you agree to it under a clause in English Common Law.
Threatening court action, and remember that is all it will be, a meaningless threat, constitutes 'further recovery action' and that is DEFINATELY not allowed as they are forbidden from taking any further recovery action on a disputed debt.
What has happened here, IMHO, is that you have backed them into a corner so to speak like a rabid dog, and now they are trying to fight their way out of it.
Ignore them, but REPORT them to ALL of the statutory authorites. That will blunt their teeth.