I have a historic debt with Welcome Finance which, after a prolonged period of time, has gotten back in touch with me. Having read a few posts on this site, I think there may be a few options I can look into with regard to possibly reducing the balance on this debt. There is quite a long story here, so let me explain as best I can.... 18 Aug 2001: Purchased 2nd hand car from Direct Car Finance. Finance provided by Welcome Finance. No PPI. Shortfall Insurance also taken out for full loan term. Breakdown and recovery insurances also taken out, not for full term. Loan repaid erratically. ?? May 2002: Car stolen and not recovered, motor insurance paid out for a total loss. Shortfall insurance also paid out. Both lots of money went to Welcome against loan balance. Loan continued to be repaid erratically. April 2003: I signed a new loan agreement to enable the balance to be used to pay off the car loan, which now had no security as the vehicle was stolen and I was left with an unsecured loan to pay off. I have in my possession a full list of transactions on my account from inception to this date. Jul 2005: After once again falling behind with my payments, I signed another new loan agreement. If i recall correctly this was to allow me to reduce my payments by taking the balance over a longer term. May 06: Last payment to Welcome I have a record of. Jan 2007: Moved house, lost contact with Welcome, heard nothing from them until March 2010 when a letter from Willen arrived. I have my copies of the Aug 01 and Jul 05 agreements. I also have a large number of cash receipts from payments I have made, probably most but definitely not all of them. I have the vast majority of correspondence from them. I have read reports of some people having success in defeating Welcome due to incorrect clauses in the Credit Agreements. The two agreements I have clearly state that PPI is not a part of the agreement, and I think it is extremely unlikely I have it on the 3rd agreement. It is over 6 years since my last payment to Welcome, if my final receipt is indeed the final one. My frustrations are two-fold. Firstly, despite a large total amount of money being paid to Welcome by me, and additional payments from the motor insurer and the shortfall insurance company, I still owe over £2000. Secondly, Welcome were a rude and scary company to deal with, to the extent that I had cause to place a written complaint with witnesses to them regarding a DPA breach in 2004. To be totally honest, I am sick of this having been a millstone around my neck for over a decade now and am looking for any way I can to reduce / clear the balance, perhaps with reference to the original agreements, charges applied, statute of limitations, etc. The end-game I am looking for is where this shows as fully settled and satisfied on my credit file, and I am prepared to negotiate some sort of settlement to achieve this if I have to, but would like to explore all the options. I have scanned and uploaded copies of my loan docs, but unfortunately cant attach the link due to a low post count. Thanks in advance for any help anyone can offer. I am just a bit confused as to what my options might be....

Hi I would like to send a letter to my loan company offering them an increased payment monthly to clear off the arrears on my account. I have completed a budget sheet and will include this with my letter. Is there a template I can use, or can someone help me with the wording please. I have received default notices and i think the lender is taking legal action and looking to repossess. I want to stop this if possible please. Thanks.

Hi, This may be an odd question but here goes. I have a CCJ instalment order which I pay £40 monthly, and they also got security on my property for 9k when Restons took me to court for unsecured credit card which I did try and fight but they got security and an instalment order. Now I am at a bit of a crossroads as I dont live in the house, it was rented and I was going to sell and may have a potential buyer. I am now thinking of moving back in the house as the equity may not be enough to repay my other debts and would want to come out debt free, however if I sold but would be about 2k short. So my question is if I rang up the lovely Restons and said I will sell the house if you pay me back 2k otherwise I will move back in and pay my £40 til eternity what reaction do you think I would get (I am a single parent so unlikely they could force sale if I moved back in the house) Is there any negotiation after security granted? If anyone could offer advice it would be appreciated.

Hello Everyone, I'm new to this site, and would be grateful for any advice regarding the thread subject matter. My apologies if this has already been dealt with previously: if so, please just point me in the right direction! My ex-wife and I were in serious debt when we spilt up in 2009. I had left the former matrimonial home (although I'm now back in it, on my own (it's a long story!)) and had lost sight of payments to an unsecured loan to Lombard Direct. Although this debt was solely in my ex-wife's name, whilst we were together as a couple it was being paid from a joint babk account. When we separated, my ex-wife stopped making payments towards this loan and, as a result, Lombard took a charge over the property, making it a secured loan. My ex-wife has subsequently decalared herself bankrupt and certain debts have been dealt with as part of her bankruptcy. However, I understand that Lombard, as a secured creditor, chose (or were obliged, I'm not sure) to wait until the property was sold in order to be repaid by way of any equity in the property. Notwithstanding that the property (which is still in joint name, as is the mortgage (although my ex-wife is no longer contributing)) remains unsold (although I intend to sell it now), I have learned today that Lombard sold the loan to iDEM. Given this, can anyone advise me whether, in selling the loan on, L ombard have (either deliberately or inadvertently) rendered the loan 'unsecured' - i.e. is the charge over the property still valid, or has it been invalidated by the act of transferring/selling the loan to iDEM? Any information/advice/help regarding the above would be gratefully received. Many thanks. Jools

Hi all, I split with my ex some 6 years ago and since then I have paid CSA of £450 per month (4 kids so 25% of my take home pay of £1800 as it was then!), I have also been paying the full mortgage, a secured loan and the Home Insurance for the house I do not live in. As I write this I can see I am being too generous. I do however get on fine with my ex and I see it as me paying for a roof over the kids heads not hers.I also have no problems seeing my kids anytime I want. However, I am now in dire financial trouble and am looking for ways to reduce my outgoings. I simply do not have enough income now my new partner has lost her job. I actually now take home approx £2000 but the CSA payment has never been amended. I was wondering, legally do I need to increase the payment to £500 as I am paying the mortgage and secured loan (which was for home improvements before we split). I actually pay out £1200 per month to CSA, the loan, the mortgage and the Home Insurance, oh I just remembered I pay both out Life Insurance too!! I'm therefore left with £800 per month to live on. I know some will say stop paying the mortgage, however she cant afford it and I believe I legally have to keep a roof over the kids heads? It also only has 10 years left before it is paid so I don't want to sign it over to her as I'll lose my share of the equity. On another note, although it is in joint names she has never paid a penny towards it. So I guess my question is, should I approach the CSA? Is it possible to deduct the mortgage and secured loan from the £2000 and end up with me paying less? I simply cant sustain the £450 let alone increasing it! Thanks in advance. Steve

I have a secured loan on my home which is currently in arrears (the company say arrears of £9000) but this is made up in part with excessive charges, compund interest, visits from 'mortgage counsellors', etc.My first charge (mortgage) is up to date and never been in arrears.The second charge is threatening litigation, reposession, etc. What is the worst that they can actually do? My home is in Scotland.Thanks for any advice.

Hello all, I have a mortgage with Northern Rock, there is also a secured loan on the property with First Plus and Red castle have had a temporary agreement in place for last 6 months. July payment is my final payment. I do not think that i can return to the full contractual arrangement as I am on a third of the wages that i used to be. Can anyone please advise as to the steps that i should take in order to come out of this mess a little less battered than i would be if I just allowed them to do what they want. Is it worth contacting council re - mortgage rescue scheme? applying for council housing? I have contacted Northern Rock to see about changing mortgage to interest only, but they are taking forever to get back to me. All help would be most appreciated. Many thanks in advance.

Hello there I am after a little bit of advice, I was declared bankrupt in November 2009 and was discharged the year after, all my debts went into the insolvency, and I have moved on dramatically since then. I have been trying to clear my credit file and most of my defaults from 2006 are coming off my credit file within the next few months. But one is still going to be there until April 2015 and that is a Nemo secured loan I had with my wife, we lost our house back in 2008 and there was a shortfall on the secured loan, so as my wife couldn't afford to pay they went to court and had a CCJ against her, we don't own any assets and Nemo has agreed for her to pay £50 a month to pay it. My problem is that one Nemo still addresses me as if I own the debt, and sends out statements to that effect. And that they refuse to put the debt as settled , partially settled or closed, on my credit file it looks as if I still own this debt which legally I do not as it was on my statement of affairs, and as my wife is paying the £50 a month its reducing down on my credit file, which means that under the 6 year rule with statute debts it will be permanently on my file. My wife who I am still with can only afford that amount as she is working part time, and only her income is relevant to this debt. Its also marking as default on her credit file, even though she is paying something towards it. Many thanks - sorry about the formatting it will not allow me to put paragraphs in - very odd

Hi all I hope someone can help. I had my house repossessed in March 2006 and had a personal loan secured against the property. Once the house was reposssesed and sold (which upset me greatly, I was in hospital at the time) I thought, well at least I don't owe anything now even though I have no house. Anyhow, one month after, on April 11th 2006 I received a letter stating "I refer to your request for a redemption statement" and subsequently recieved a demand for over £30,000 pounds. I can vaguely recall Paragon calling me asking for money and I guess I must have requested a redemption statement as I was under the impression that everything was settled. My concern is that, they have now (January 2012) sent a letter asking stating "upon receipt of this letter it is essential that you contact us". No mention of money, or court or anything. I had presumed that this was over with as the debt was first defaulted in October 2005 and the notification to vacate my house was given in 2005. By speaking to them in April 2006 have I acknowledged the debt? Where do I stand, should I write a Statute Barred letter stating that I DO NOT ACKNOWLEDGE THIS DEBT or some other course of action. I'm worried sick as to what I shoudl do now. Thanks In advance of your help. J

Hi. My wife and I have a Secured Loan with Paragon Finance, that was taken out in January 2006. We fell in to arrears in April 2011 and this has now escalated. We have been unable to make the monthly payment nor been able to repay the arrears. We received a Calling-Up Notice on 20 September 2011. I spoke to Paragon on 29th September 2011 with a view to trying to sort out the arrears and prevent further action. Unfortunately, we were unable to make a satisfactory arrangement, and this has now resulted in a citation for repossession under the Conveyancing and Feudal Reform (Scotland) Act 1970. It states that we are ordained to answer within the the Sheriff Court on 25th January 2012 @10:00am. I am at my wits end, as I have been unable to work since 2006 due to 3 failed back surgeries, and although I was still in receipt of salary for1 year, I now only receive Incapacity Benefit. My employers dismissed me due to ill-health in July 2009. My wife works, but her income covers our mortgage and living costs. When we took out the loan, which was via Loanline (Brokers), they advised that we needed to take the PPI, in order to get the loan. I did submit a claim, but Paragon declined it on grounds of my back problems being pre-existing, and also within 24 months of taking out loan. (I'd only seen my GP once about a sore back, and everything sorted itself). So now, we are being faced with the prospect of losing our home. Can it be repossessed if they are only the second in line, after our mortgage providers? Also, If I was able to raise the money to clear the loan entirely, will this stop the action or not? I have looked through the paperwork received today, and there is no mention of stopping the court action, if loan repaid. If I was to submit a claim for PPI refund, would that have any affect on the court action? I am really at a lose to know what to do. Any help/advice would be gratefully received. I know that this is all of our own making, but things have just got out of control. We have struggled to make sure our mortgage payments have been paid, only for this to happen. Paragon, have really made our lives hell, and now are about to make it worse! Thanks.

My husband and I started a business in 2005 we took out a Government backed Loan with Lloyds TSB in 2005 for 50500 the following year I took out a second loan secured personally by me and my husband for 30,000 which they added nearly 7k of PPI. (I have put in a claim for this already and am awaiting confirmation). My husband resigned as a director as the business was struggling after 2 years to find another job so we were not both relying on the same income whilst I dealt with the business and the loan repayments. I was 7.5 months pregnant and went to the bank to say I was struggling with making the loan repayments and would do for at least 3 months. I was about to come into some money which would allow me to pay off the second loan. I asked the bank to see me through to this period. I was told that they would and I would just need to provide them with some information and a plan of how I was going to get myself back up and running again. I did this and they then came back to me and said they could no longer support me. I went to the bank again and said that if they didn't help me through until I received this money I would have to fold my business. The bank have essentially asked that I pay the 23k off immediatly (2nd loan secured personally). I have said I would do this as soon as I could but could not afford to at the moment and before I did I would require more information in regards to these loans I took out. The bank have now taken 2 months to provide me with only half of the paperwork I asked for. They have said they no longer do Governement backed loan and therefore have no information on it. In regards to the second loan we had written to our manager at the time as there had been 7k added to the loan (mis-sold PPI) which we had not been aware of. We were told at the time this was a condition of the loan, we have since been informed by the FO that this is not the case. We also believe that this loan should have never been given to us. We had only been trading for one year and were already struggling to pay debts hence the reason we asked for the loan but the bank never offered us any other means except a loan to be able to trade our way out. We have always struggled to pay this loan and in many cases had to borrow money or use inhertiance to pay it. We now have nothing left. After the 3rd year we took a loan repayment holiday for 2 years. I have asked the bank to provide me with a suitablility report and they have come back and said ' The suitability reports you refer to would be what we might call "a lending application" and Under the DPA we are usually able to provide these at a fee of £10 as you mention. Stuart has however been informed that this covers only sole traders and partnership companies and is therefore waiting for further advise on this.' Is this correct? If I were to pay back this loan then I have asked them to release me from my Personal Guarantee but they said that they will not do this as they can use this then to reclaim for the 1st Loan the Goverment backed on. It is therefore not in my interest to take the money from my parents to pay off any of the loans as they are still going to come after me. The personal Guarantee was also for 40k which is over what we took the loan out for we asked for 30k got 37k and they secured the loan for 40k can this be legal? In the meantime I have been told by my accountant I have to stop trading as I do not want to be seen as trading insolvent. I have therefore whilst I wait for them to provide me with paperwork so I can make an informed decsion on what I wish to do lost a large contract with a company which is essentially my cash cow and have no means in which to pay the ever mounting bills by them. I am now 9 months pregnant and I have still not got any answers from the bank in regards to this matter and I am finding it extremely worrying. Without the contract I had I am not sure if I will continue to be able to trade to make the 1st loan repayments whereas if they had supported me in the first place I would have paid off the second loan and most of the overdraft and be making money for the first time since I had started this. Essentially I am not trying to get out of paying the loans but they have now cost me my business and are still asking for their money. Can this be legal? Any help would be greatly apprecaited as I am desperate and about to have a baby and I am not sure I can cope with the stress but I can't believe the bank can treat someone like this.

In the mid 90's I was involved in a business partnership and took out a secured loan (secured on my property), with Barclays Bank. The house was jointly owned by myself and wife. She also signed the document relating to the charge on the property. We did not actually live in the property and still don't. In 2001 my wife died and the mortgage was paid off by the insurance element of the endowment. However the land registry obviously wouldn't release the deeds because of the charge. It is 13 years since I have had any contact with Barclays, and I had hoped that the 12 year statute barred rule would kick in. Having read the relevant part of the Limitations Act, I refer to the following; (2) No foreclosure action in respect of mortgaged personal property shall be brought after the expiration of twelve years from the date on which the right to foreclose accrued. But if the mortgagee was in possession of the mortgaged property after that date, the right to foreclose on the property which was in his possession shall not be treated as having accrued for the purposes of this subsection until the date on which his possession discontinued. (3) The right to receive any principal sum of money secured by a mortgage or other charge and the right to foreclose on the property subject to the mortgage or charge shall not be treated as accruing so long as that property comprises any future interest or any life insurance policy which has not matured or been determined. I take that to mean, so long as I have an interest in the property, the debt never becomes statute barred. Can anyone confirm that my interpretation of that is correct?

I've inherited my mother's house in her will but it has 10000 debt attached, 5000 secured against the house. I want to keep the house but can't pay the debts off. Are there any good firms that will buy equity in it, or what should I do? Cheers for help in advance

Hi I have a secured loan on my house. I want to move house - can I move house and take the loan with me or does it have to paid off with the equity from house? If I do this I won't have a deposit for the new house. Any advice would be appreciated Thanks