Direct Legal & Collections / Egg Loan

[turnedworm]

A while ago, when my business took a major downturn, I defaulted on my Egg loan. Over the last 18months or so it has been passed to Moorcroft and then onto Fredricksons. I spoke to Egg a couple of weeks ago to say I am in a position to start regular monthly payments - this was just after Fredricksons had handed it back to Egg.

 

Today, whilst away from my office, I received a call from Direct Legal & Collection asking me to repay the debt. I explained I am not in a position to pay the full amount or the large lump they were asking for. I asked for a statement of account to be emailed to me. They asked for £146 to halt legal action being taken.

 

When I got back from my travels I phoned Egg and asked how much is outstanding - c £2990. They gave me their "Client Liason Department" number. I shall be ringing them in the morning. I asked if they (Egg) had actually sold the debt and they said they had.

 

So I phoned DLC back and asked if they had bought the debt only to be told they hadn't and that they were dealing on behalf of Egg!!??

 

Now since my business doldrums of a couple of years ago I can afford c.£70 - 100 pcm. I do not dispute the debt and am not trying to avoid it. My main question is who should I talk to Egg or DLC?

 

Also are DLC similar to Moorcroft / Fredpay?

 

What are DLC most likely to do? In my telcon I said I would put together a household income / expenditure breakdown and send it to them.

 

Having read various posts I realise I should not have spoken to them.

 

Any thoughts most welcome! Thanks.

 

Turnedworm.

[Guest Old_andrew2018]

Hello, Have you sent a CCA request regarding this loan, if not you could do so, from this you will discover if the agreement was properly executed. Later you might also consider sending a S.A.R - (Subject Access Request), this will help you to discover what reclaimable charges were levied on the account Regards Andy

[turnedworm]

I think I have the original loan agreement in the office - is this the same. I can look it out tommorrow.

 

I received the letter from DLC today saying that if I didn't pay legal action "could" take place. Should I try to find out if the debt has been sold by Egg. If it hasn't then should I just start to pay money into the Egg loan account number and miss out DLC all together?

 

Is it unreasonable to ask Egg for a statement of account from the start of the loan?

[PossVox]

I received the letter from DLC today saying that if I didn't pay legal action "could" take place.

 

Yes and the Moon "could" be made out of cheese!!!

 

Send the CCA as advised and see what they come up with.

 

PV

[sosumi]

Direct Legal and Collections much much prefer to describe 'debts' that they've bought as still belonging to their 'clients'. If Egg has confirmed they sold it then they've sold it. DLC like hiding behind this nonsense.

[PossVox]

Here's the link for the CCA request letter:

 

http://www.consumeractiongroup.co.uk/forum/general-debt-issues/20758-creditors-dcas-letter-templates.html

 

It's letter template "N" you need.

 

Remember to send RECORDED to be signed for or SPECIAL DELIVERY.

 

DO NOT SIGN IT... PRINT YOUR NAME.

 

SEND A £1 postal order rather than a cheque (which would disclose your bank a/c details and signature).

 

Keep us posted.

 

PV

[turnedworm]

Here's the link for the CCA request letter:

 

http://www.consumeractiongroup.co.uk/forum/general-debt-issues/20758-creditors-dcas-letter-templates.html

 

It's letter template "N" you need.

 

Remember to send RECORDED to be signed for or SPECIAL DELIVERY.

 

DO NOT SIGN IT... PRINT YOUR NAME.

 

SEND A £1 postal order rather than a cheque (which would disclose your bank a/c details and signature).

 

Keep us posted.

 

PV

 

 

Presumably I dont sign it as my signature may be "borrowed"?

 

Many thanks for the info thus far. I shall keep you posted.

[ScarletPimpernel]

Surely if Egg had sold the debt they'd have complied with their legal obligation and sent an assignment letter, even if DLC have bought it as a simple assignment?

[turnedworm]

I have just spoken to a chap at egg and it would seem that they have not infact sold the debt.

 

I have found my copy of the loan agreement form (the other copy was signed and sent off) - in Oct'04. It would seem that the principle loan was for £5000 and there is a Loan Payment Protection plan at £693.

 

When I signed up for the loan as "self Employed" do I have an argument that it was missold? I am still self employed today.

 

I shall be sending off the letter over the weekend. Should I make a token interim payment to show "good will" prior to receiving the requested info - chrges levied etc.

 

Thanks again my learned friends (virtual!)

[turnedworm]

UPDATE-

 

I have made several calls to Egg and DLC today. I spoken to Egg about the PPI arguing two main points -

 

1. That a proportion of the amount should be set against the sum I'm being chased for.

 

And / Or -

 

2. The policy should not have been sold as I am self employed. Also wasn't made aware that 3rd party policies were available.

 

I am to write / email my complaint to the Customer Relations Dept who will look into it. I spoke to a very helpful chap who said it could take up to 8 weeks to determine the outcome of my complaint. I asked if DLC should hold on any legal action during this time and was told that under the Financial Ombudsman guidelines - they should hold off.

 

In the meantime I am awaiting a statement for the loan account to check any charges levied. As the proportion of the PPI does not get deducted automatically from the amount being chased I shall be checking all charges on the account VERY VERY closely.

 

I do want to pay the outstanding debt - but only that which is due and no more at a rate that I can afford!! Simple. It's a good job that people who build aeroplanes work in a more accurate way than these "banks"!

[turnedworm]

Reading various other threads I have realised that when DLC made their first call to my mobile I gave them some useful (for them info) - they asked if I am a homeowner and how many dependants etc!:o They even asked me to outline my household income and expenditure - at which point I suggested I would have to put that together over the next few days.

 

Does this make them more likely to go for CCJ action? If so should the dispute over the payment insurance be enough to put it on hold?

 

Views and ideas greatfully accepted!!