Debt Managers - serious stuff, can you help?

[jings]

Hi all, I'm desperate for help and I'll just post this before going to work - will do a proper hello when I come home!

 

A few months ago, my bank account was arrested because of a student debt I have. The debt was on a Clydesdale bank Mastercard and dates back about seven years. I have been paying this back (admittedly on and off due to having to difficult personal circumstances and having a bad memory due to having ME) and at some point, the debt was handed to Debt Managers and an agreement of £10 per month was put in place, as I couldn't meet the minimum repayments. I tried to set up a Direct Debit more than once so that I wouldn't forget to pay, but for some reason this was unsuccessful, and therefore I missed several payments. Moving forward to August 2007, I suddenly received a letter from my bank (Royal Bank of Scotland) saying that they had been instructed to arrest my two accounts with them (current and savings).

After much contact with Debt Managers they insist that I sign a mandate allowing them to take all the money that was in these two accounts (money which I need to live on and also my savings which I need to pay for a new well as the old one I'm using dries up every summer!), and they also want me to submit proposals to repay the amount that would still be outstanding. As yet I have not signed the mandate but get the impression if I do not they will take me to court.

I have said to them all along that I am willing to clear the debt, I just can't manage to do it all in one go.

As a result of my current account being arrested, I have now accrued something in the region of £350 in bank charges and interest which the RBS would like me to repay at a minimum of £60 per month (I intend to fight these charges after this is all cleared up, as I have been with the RBS for about 15 years, and they have always been helpful and accommodating) but my main concern at the moment is having £1500 taken in one go.

The other day Debt Managers sent me another mandate, a Decree which they've instructed the Sherrif officers to enforce, followed by another letter from the bank saying my account has been arrested again!

Please can anyone help, Debt Managers won't accept any proposal to pay monthly, but isn't that against my human rights or something? I can't afford to loose £1500.

My local MSP can't help, nor can the local advice centre, so I've just emailed the National Debtline.

Fingers crossed.

[sequenci]

I would suggest CALLING national debtline rather than just e-mailing them. The reason being is that you might not get a reply as quickly as you need. They only offer a skeleton service for scottish debt e-mails at the moment (time of year and all that!)

[mr.ton]

If you can still get your hands on any of the money, take it all out - open a basic bank account with another bank, put what money you have in there & tell these idiots to go f themselves.

If it comes to the crunch..let yourself be taken to court & end up re-paying a small amount per month.

[rory32]

If you can still get your hands on any of the money, take it all out - open a basic bank account with another bank, put what money you have in there & tell these idiots to go f themselves.

Do you have any idea what you are saying? The sheriff court have granted a decree against the OP (in case you are not familiar with the Scottish legal system this means that the case has already been to court and judgement has been granted against the OP). You also clearly do not understand what an arrestment of a bank account means. Frankly this advice is dangerous in the extreme.

 

jings what is stated on the decree? When did you take the student loans out? Are you a homeowner? Are you in employment or on benefits?

[noomill060]

" As yet I have not signed the mandate but get the impression if I do not they will take me to court."

I get the impression from this, that jings hasnt been taken to court yet.

Scottish law sounds pretty brutal if a creditor can just freeze an acount at will, though I expect there is more info to come.

[noomill060]

Google Govan Law Centre and ask for help.

[rory32]

Scottish law sounds pretty brutal if a creditor can just freeze an acount at will,

They can't freeze an account at will. They need to go to court to get an arrestment - which they have obviously done.

[Seahorse]

I assume you didn't even know these idiots were going to get a decree against you? From what my local court tells me, some folks are exempt from even having to inform you that they will be seeking an arrestment. Which means you can't even turn up to defend. Which just absolutely stinks, as far as I'm concerned.

 

I believe this is the case when Sheriff Officers chase you for unpaid council tax. But ordinary DCA's? Someone please tell me I'm wrong.

[rory32]

The OP should have received a citation. Council tax is treated seperately as it's a crown debt.

[noomill060]

Maybe the DCA is has simply TOLD jings that the account is arrested...

 

These pondlife are not above lying through their teeth.

 

And of course, if the alleged debt contains unenforceable charges, the arrestment itself may be unlawful.

[noomill060]

jings- have you actually asked the sheriff court if your account has been arrested?

[Seahorse]

Crown debt, Schmown debt. It's STILL all bollix.

[rory32]

Maybe the DCA is has simply TOLD jings that the account is arrested...

 

You would tend to notice if it's been arrested as the bank account is frozen and no DD or SO payments can be made (hence the charges on the account) nor can you withdraw money from the account. The bank would not allow an arrestment without the proper paperwork from the court.

[rory32]

what my local court tells me, some folks are exempt from even having to inform you that they will be seeking an arrestment.

This is only in the case of council tax arrears, VAT and income tax arrears in which case a summary warrant is awarded. An arrestment can then be sought. You will however be notified that a summary warrant has been granted against you and while you can not apply for a time to pay order you can still negotiate a repayment plan with the creditor.

[jings]

Hi all, thank you so much for all the answers, I'll try to answer them all in case theres any further advice you can give as a result.

 

sequenci - I will try them again tomorrow, I called them today but they must be so busy I didn't get to speak to anyone. Do you really think they can help? Cos the automated service says they can only deal with payment plans which are already in place.

 

mr.ton - can't get to the money, as the bank have emptied my 2 accounts with them into a holding account on behalf of Debt Managers.

 

rory32 - jings what is stated on the decree? When did you take the student loans out? Are you a homeowner? Are you in employment or on benefits?

 

Hi Rory, I don't have a copy of the Decree, the last letter I have that refers to it just says "As your record of payment is unsatisfactory the Sheriff Officer has been instructed to enforce the Decree held against you, and that a part payment does not prevent this enforcement"

 

This debt is a Mastercard I had in my student days, and I think (can't be 100% sure, dates back about 7 years. I do no deny my payment recored was very bad but I was supporting my parents both of whom couldn't work and I had to live on something!

Homeowner - yes at last.

In full time emplyment, although income varies from £800 - £1000 per month.

 

noomill060 - I'll give that a google, see if they can help too.

 

Thing is, a few months ago I managed to pay off and clear a CCJ and don't want to end up with another one!

[jings]

Just googled GLC and wondered if someone can explain the following in laymans terms!

 

Until the Debt Arrangement & Attachment (Scotland) Act 2002, GLC undertook 'defender poinding' work (recall, restriction, unduly harsh in court), including preventing threatened poindings and warrant sales. We also deal with wage and bank arrestment cases and actions of forthcoming. We expect to defend and resist exceptional attachment orders on behalf of G51 clients. We note that the 2002 Act excludes civil legal aid for this work - although it provides a right of appeal to the Sheriff Principal (to which legal aid is excluded). This is then an area of likely unmet need. GLC will deal with G51 cases and will look to challenge the relevant section of the 2002 Act as ultra vires of the Scotland Act 1998 and in breach of Art.6, Human Rights Act 1998 (which if successful could assist in this field).

Where clients are taken to court for debts and they have a dispute we will defend court actions (and counterclaim) if possible. GLC only deals with cases with a legal content, or serious and complicated debt cases. We undertake sequestration for clients where this is a last resort and appropriate.

[rory32]

Okay, poinding is the seizure, with the intent to sell, of a debtors moveable property in his own possession.

G51 clients

Well that's the Govan post code. They are a law centre for Govan who offer free legal advice. Fairly straightforward really.

We undertake sequestration for clients where this is a last resort and appropriate.

Sequestration is what bankcruptcy is called in Scotland. Basically they do what a lot of law centres do, they offer free legal advice to people in debt trouble. If you are outside of this area however you will need to use the law centre near you.

[sequenci]

 

sequenci - I will try them again tomorrow, I called them today but they must be so busy I didn't get to speak to anyone. Do you really think they can help? Cos the automated service says they can only deal with payment plans which are already in place

 

0808 808 4000

 

call from a landline.

 

yeah they will be able to offer assistance.

[jings]

UPDATE -

 

I managed to ge through to National Debtline this morning and spoke to a really nice man who gave me loads of advice. I'm just making out my personal budget so that I can phone the Sherif Officer in a min to plead that he realeses some of the funds in the arrested account. I will then make him a repayment offer and if that doesn't work, will try to set up the Debt Arrangement Scheme. He also said I am within my rights to ask for details about the Decree so I will do that too.

 

Thanks people, update you later.

[jings]

Another update...

 

Going to set up a debt payment plan through the debt arrangement scheme. Can't get an appointment before thursday tho

[patrickq1]

well good luck and hope you now have a worry free xmas,being a sufferer of ME myself i know just how impossible it is to remember to concentrate even on the little things so have a good xmas...and also govan law centre would be a good source for help just e mail them and explain .but listen to rory and you wont go wrong

patrickq1

[jings]

Further to my original post about DM arresting my bank account (twice now @ £25 a pop), I phoned National Debtline who advised a Debt Arrangement Scheme would be the best way forward, as well as speaking to the Sheriff Officer who issued the Decree.

 

I phoned the court but couldn't get to speak to the Sheriff - lady was quite obstructive.

 

Then I contacted my local approved money advisor to move things along. Turned out I had to see the same guy there as I saw in Aug (didn't know he was an approved advisor, but he couln't help back then, and today told me that a DAS would not stop the arrestment order which is current, although it would stop future legal action on this account. No good then.

 

Tried to find a free 1/2 hr with a solicitor, no luck but did get to speak to one on the phone, who suggested faxing all my docs to him tomorrow A.M so that we "can get things moving" (I hope he doesn't think I want to sue them or something 'cos I can't afford that!). I really hope that he can plead my case in writing to DM or the Clydesdale bank.

 

On the Sheriff Officer topic...I went to the local court house and asked to speak to him but was informed that I need to be dealing with the solicitor who works for DM. My only chance I suppose is that my (hopefully) free solicitor will be able to write to them and beg on my behalf.

 

It feels awful to be reduced to begging, but I'm spurred on by the fact that in correspondance to my local advisor, DM stated that I had not been cooperating with them! By this they mean I have missed payments over the years - well yes, but all along I have told them that my father was ill, my mother couldn't work, I had to support both of them and pay my dad's rent while I was a F/T student, as well as my own rent, then he died so I was left supporting my mum, and they also forgot to mention that I have tried to set up direct debits to them on several occasions as I have a very bad memory. I suspect they will win in the end, as they have many more things they can threaten me with, earnings arrestment etc but they're attitude stinks.

 

There, that feels better

 

Merry Crimbo

[rory32]

2 threads merged. Please keep to one thread - it makes your progress asier to gollow.

[rory32]

Have you looked into a time to pay order Section 129 time orders, Consumer Credit Act 1974 ? Have you contacted your local Law Centre (if you have one)? They offer free qualified legal advice on exactly this sort of thing The Law Centres Federation

[jings]

Hi Rory, my 'local' law centre is Govan, some several hundred miles awa'! I see you got the info about time orders from their site....makes interesting reading, I will mention it to the solicitor I speak to today. Tis really annoying that Xmas is coming up as I won't know what to expect in the post!

 

Would applying for the Time to Pay cost me anything? Does it involve a court appearance?

 

Sorry about the 2 postings, I couldn't find this original one it must have slipped off the board!