Statue Barred

[MillyJ]

My friend received a letter from a debt collection agency regarding a credit card she claims she has never heard of. Naturally, she wrote a letter to the debt collection agency advising that she had never heard of this credit card and could they send her the details of the account so she could inform the police.

 

About 2 months later they sent copies of the statement which state that the last payment made was Sept 2003. Some of the places where the card was used were where she used to go.

 

Unfortunately, in 2003 my friend was involved in an armed robbery where the robbers stuck a gun in her face, threatened to kill her and stole her handbag containing her purse. She suffered with post traumatic stress after this and has subconsciously blanked out the whole event. This letter from the debt collection agency is stressing her even more as she is now having to recap the history of that awful event and try to remember if she DID actually have the said credit card - a history she would rather forget. So, I have offered to help her.

 

My questions are:

 

1) Does her letter to the debt collection agency stand as acknowledgement of the debt - even though in the letter she denied the debt was hers?

2) If the last payment was made in September 2003, does this mean it becomes statue barred in September 2009 (this year)?

3) The amount they say she owes is double what the original debt was and from the time she sent her letter advising the debt was not hers to the time they provided the copy statements they have added an extra £200. Are they allowed to do this? To ease stress, my friend would rather paid the outstanding amount and forget about it - but is not willing to pay the excessive interest, considering this is the first time she has heard of the debt.

 

Any help would be appreciated.

 

Milly

[silverfox1961]

Hi,

 

My friend received a letter from a debt collection agency regarding a credit card she claims she has never heard of. Naturally, she wrote a letter to the debt collection agency advising that she had never heard of this credit card and could they send her the details of the account so she could inform the police.

 

About 2 months later they sent copies of the statement which state that the last payment made was Sept 2003. Some of the places where the card was used were where she used to go.

 

Unfortunately, in 2003 my friend was involved in an armed robbery where the robbers stuck a gun in her face, threatened to kill her and stole her handbag containing her purse. She suffered with post traumatic stress after this and has subconsciously blanked out the whole event. This letter from the debt collection agency is stressing her even more as she is now having to recap the history of that awful event and try to remember if she DID actually have the said credit card - a history she would rather forget. So, I have offered to help her.

 

My questions are:

 

1) Does her letter to the debt collection agency stand as acknowledgement of the debt - even though in the letter she denied the debt was hers?

No, it states that she knows nothing of the debt. That is enough

 

2) If the last payment was made in September 2003, does this mean it becomes statue barred in September 2009 (this year)?

It's not her debt so even if it was statute barred, it wouldn't matter.

3) The amount they say she owes is double what the original debt was and from the time she sent her letter advising the debt was not hers to the time they provided the copy statements they have added an extra £200. Are they allowed to do this? To ease stress, my friend would rather paid the outstanding amount and forget about it - but is not willing to pay the excessive interest, considering this is the first time she has heard of the debt.

They can add as much as they like as it's NOT HER DEBT

Any help would be appreciated.

 

Milly

 

I'm assuming the police got involved so they will have a record of the crime number. If the DCA don't believe her, contact the police to get the number

 

Follow the link to a letter to send them:

 

http://www.consumerforums.com/resources/templates-library/86-debt-collectors/573-general-debt-letter-if-you-know-nothing-of-the-debt

 

Don't ring them as they will tell you anything to get you to accept this debt.

 

fox

[MillyJ]

Sorry, I may have written that wrong.

She hasn't informed the police yet, she was waiting for the details of the card to come through. When they sent the copy statements, she recognises some of the 'purchases' as being in places where she used to shop - including the place where she worked/the robbery took place. She is now thinking that the debt could be hers and doesn't want to involve the police if it is, but it's pushing her memory back to the robbery and this is distressing for her. If the debt is hers, will it become statue barred in September this year? If she decides to pay the debt to rid her of the stress, will she have to pay the massive interest the debt collection agency have slapped on top?

 

Sorry for the confusion, but thanks for your response.

Milly

[silverfox1961]

I can understand the problem.

At any time did she tell the credit card company about the theft? If so that would help. If not then to slow down the DCA, send the letter I linked to first then a CCA request once a reply from the DCA arrives.

 

When you write, don't let her sign anything, just print her name

Send every letter Recorded delivery.

 

I don't normally advocate debt avoidance but some situations dictate otherwise. Your friend recognises some of the amounts but not all so someone else has used the card. As it's getting close to SB, the DCA may try the court route but with help we may be able to see them off.

 

Don't ring the DCA. (who are they by the way)

[MillyJ]

I'm not sure, I will have to ask her, but she may have unknowingly signed the original letter to them stating that the debt wasn't hers. I believe the company is called Cabot. I don't know if she reported the card as stolen. From what she has told me, the robbery caused her so much stress she just locked herself away and didn't do a thing - so I'm guessing not. The police may have a record of her purse being stolen at the time. Unfortunately, it's difficult to get precise information from her, as she doesn't want to talk about it, or be reminded about it - which is exactly what Cabot are forcing her to do. Will they really try to take her to Court before September? I dread to think what effect that will have on her. They've provided the statements for the account, but not the initial paperwork for the card itself. If they could provide that then this might prove it was definitely her debt and we could try and sort it out. Are Cabot allowed to slap on interest/charges that amount to over double what the original debt was?

 

From what I can tell, the letter you 'attached' is very similar to the one she actually sent - but with her own words. When she asked them for proof that the debt was hers - they just sent copies of the statements. Surely that's not proof - is it?

 

Thanks for your help.

Milly

[cerberusalert]

Don't worry about any court action, Cabot can be held off for several weeks until it's Statute Barred anyway + any default which may have been added to her credit file will drop off also. Postal ping-pong is a two sided game & can be used to your friends advantage.

[cerberusalert]

From what I can tell, the letter you 'attached' is very similar to the one she actually sent - but with her own words. When she asked them for proof that the debt was hers - they just sent copies of the statements. Surely that's not proof - is it?

That's what you want them to do from now on, the more rubbish they send back the better. It gives the ideal opportunity for your friend to dispute the a/c thus edging it nearer to being Statute Barred.

[silverfox1961]

Now Cerb has subscribed to your thread, you can only go up from here

 

Cerb always give good advice ( and no I'm not jealous )

[MillyJ]

I'll write a letter on her behalf asking for more proof of the debt. Is there a 'proper' name for the initial paperwork you sign when taking out a credit card that I can request they send? My minds gone blank!

 

Thanks

Milly

[silverfox1961]

It's called a consumer credit agreement (CCA)

 

This is the link to take you to most of the letters you are likely to need.

 

The Consumer Forums - Debt collectors

[cerberusalert]

Send the letter in post #2 first, make them prove the debt exists then you can send the CCA request. It all adds time.

[MillyJ]

Thanks. I'll give it a go.