Is it legal for a loan company to charge interest on the outstanding balance after a court judgement and charging order have been obtained?:?

There is a good form on this site requesting a copy of the agreement you signed and some sort of document showing the debt has been transferd to them. The letter is good and has lots of leag quotes on it

 

I've looked but can't find this - any idea where on the site it is?

Thanks i'll give that a go

HI

I hope someone out there can give me some advice but bear with me it's long winded

I took out a £5,000 loan with Universal Credit in 1996, which unfortunately due to circumstances defaulted on after paying the bulk off. I heard nothing until approx two years later when I started receiving letters from Paragon Finance (they had apparantly bought the debt - but I didn't get to the bottom off this until recently). Having had no previous dealings with Paragon I asked them to supply details of the debt so I knew what I was being asked to pay. I heard nothing for a further year, when a bailiff turned up.

Once again I contacted Paragon asking for details, and again heard nothing. Things continued in a similar vein until March this year when out of the blue I received a letter from them informing me that it was for the loan I had with Universal (although they provided no copy of the agreement) and that they had already taken the case to court and obtained a charging order on my property.

I requested a statement and balance (as until this point various figures had been bandied about - going up and down like yo-yo's) and started making payments of £30 a month as a goodwill gesture, however I heard nothing from them until today.

Had a letter from them this morning - written in some form of financial jargoneeze:

"I can confirm that the balance outstanding under the Judgement Order is £4617.24 and the balance outstanding under the contract is £22107.21 to date.

I can confirm that this Company has, in accordance with the provisions of the loan agreement, charged interest on the account since the date of Judgement. The stated provision does not merge with the terms of the Judgement Order.

In the present case the Company has not increased or amended the amount payable under the order rather is seeking from you an additional amount properly payable under contract. If and when we wish to recover this additional amount it will be via seperate proceedings on that contract and not via the current order."

Is this a. as bad as it sounds,

b. legal and

c. is there anything I can do about it?

Thanks for listening to my waffle - any help or advice would be very much appreciated.

Fanack