Your views and questions.

Moderators: TalbotWoods, JaneClack

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By JaneClack
#262763 I think there is some confusion here - there was for me originally too. The 8% is STATUTORY interest , - that is the only rate the court itself can apply but it cannot apply this to any CCA regulated debt or for debts of under £5,000.

I had to have a teach-in on this as I was confused as thought no interest at all could be added to a CCA regulated debt and that was when I found out that the court ie District Judge has no right to impose statutory interest on the debt but has to rubber stamp any request made by a creditor for contractual interest if it was requested in the claim form (and was also in small print of original agreement). And as we all know contractual is often over 20%.
By nomlas
#262783 Hi NR, why dont you just go Bankrupt? I would not pay anything and save up the fees. You could then pay your family at a later date. It would take time for your creditors to take you to court that is IF they do, I very much doubt they would if you let them know, in no uncertain terms, that you have NO ASSETS and you are going to go BR. Even if they did any CCJ`s would be included.

A win win situation IMHO. Regards. -- nomlas
By Highlander363
#262813 Hi Sarah et al,

I previously wrote to Barclaycard with a CCA 74 Sect 78 request and this is what they said in reply:

"I would like to explain that we are currently unable to provide all the documentation and information required by section 78 of the Consumer Credit Act 1974 (the "Act"). Therefore, we accept that we are prevented from enforcing our agreement with you while this state of affairs continues."

Do you think therefore that it's worth pursuing the option of a CCJ? I've already written them using the National Debtline Template inviting them to sue me but just got a bland reply not even acknowledging my invitation to sue and merely stating that they are 'unable' to reduce interest any further or freeze it.

What do you folks think?
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By DuffNCustard
#262823 Lets just consider what Barclaycard have said:-

"I would like to explain that we are currently unable to provide all the documentation and information required by section 78 of the Consumer Credit Act 1974 (the "Act"). Therefore, we accept that we are prevented from enforcing our agreement with you while this state of affairs continues."

They are not going to to go to court for a CCJ and the reason they give is that they are unable to provide all the documents the CCA1974 require them to produce

I wouldn't assume that they will NEVER go to court -so there you have it. They will continue to levy their interest and you can either continue to pay them or not. - They've left the next action with you.
By Highlander363
#262843 Hi DuffNCustard,

Barclaycard further stated the following:

"Notwithstanding that we cannot currently enforce the agreement, our rights continue to exist under the agreement. You should therefore continue to pay the debt that has accrued on the account. We can and will continue to take any action short of enforcement, which includes reporting to credit reference agencies without also telling them that the agreement is currently unenforceable, demanding payment from you, issuing a default notice to you and instructing a third party to demand payment or otherwise seek to procure payment. We refer you to the case of [Philip McGuffick v The Royal Bank of Scotland [2009] EWHC 2386] in which it was held that none of these steps consituted "enforcement" for this purpose.

Now what?

User avatar
By JaneClack
#262853 Well you either come to some arrangement and pay it - or you just ignore it and wait. Once it is statute barred you can then send off the NDL statute barred template letter and refer the creditor/collector to the OFT debt collection guidance which states that if someone has stated the debt is statute barred (and it is) they should not be continuing to pursue you....

The debt has not gone but they cannot pursue you for it through the courts and after six years after default it will disappear from your credit file.
By NottinghamRed
#270153 Hi,
just wondering if anyone can offer any advice with regards to where i am now with my DMP.
As was the case with my first post evrything is going fine, all proposed payments are being made with the exception of Shop Direct (Very).
They have now passed the debt onto their 'in house' debt collectors - NDR Money who basically repeat the line that #53.23 is below the minimum amount they can accept.
At this point i had made 3 months payments of 53.23 to Shop Direct only to see approx 65.00 go back onto the account (45 interest and 2 x 12.00 charges) each month, thus my debt was increasing despite my monthly payments.
I therefore told NDR that until we could to some arrangement (ie my offer being accepted) that i was not prepared to pay 53.23 a month only to see the debt increase and therefore i would only be paying a token 5.00 per month.
They threatened me with an external debt collector to which i replied fine as they would probably accept 53.23 per month.
They then came away from this route and just repeated they couldnt accept 53.23 per month and that the account would be 'left to run it's course'. I plan to just continue paying 5.00 per month.

Am i dealing with this in the correct way or does anyone have any other suggestions?

On a side note i have also just requested my CCA for this account (posted last Friday)- it was opened around 2001 and i am pretty sure that there will not be a signed CCA - so if anyone could advise where that would leave me it would be greatly appreciated (i have been given the impression by a friend i could certainly claim back the 12.00 charges?).
By nomlas
#270193 Due to age of the debt there is a very good chance that they cant supply a fully executed copy of the original credit agreement. The trouble is that they are allowed to produce a reconstructed one and that might well do. However in your situation they would almost certainly, IMO, not take the chance in court. If they cant provide you with a true, signed copy of the original CCA I would let them know, in no uncertain terms, that you dispute the debt, have NO ASSETS and you wont pay anything unless they cease all charges. £53 PM is way too much anyway, again just my opinion.

Not sure about claiming back charges but if they cant prove the debt I would imagine you could well do so. Wait to see what they come up with and if its good news hit them with a claim.