Bailiffs can't do anything for consumer loans?

[qwertyjjj]

If a consumer loan is taken out and NOT secured on anything then presumably the bailffs cannot do anything?

[seanamarts]

I think you need to give a bit more info on this before any one can give advice

[qwertyjjj]

I think you need to give a bit more info on this before any one can give advice

 

I am just talking hypothetically.

Say you took out a 10k loan and simply never paid any installments.

What would happen?

It's a consumer loan therefore it's not secured on anything, you can't get any magistrates fines either therefore a bailiff cannot be called to collect anything from you.

[seanamarts]

ahh ok got ya.. well from what I know is that the debt goes to a collection agency first, if they decide to take it to court then you will be notified of this.. usually payment plans are set up, if you fail the payment plan then bailiffs are called in then you have to deal with them. For a debt that high owing Im sure an order will be put in place for bankruptcy lots of different routes to go down to get back the loan. I supose it really depends who is dealing with it. but bailiffs cant get involved until an order has been made from a court.

 

some one correct me if I am wrong

[qwertyjjj]

ahh ok got ya.. well from what I know is that the debt goes to a collection agency first, if they decide to take it to court then you will be notified of this.. usually payment plans are set up, if you fail the payment plan then bailiffs are called in then you have to deal with them. For a debt that high owing Im sure an order will be put in place for bankruptcy lots of different routes to go down to get back the loan. I supose it really depends who is dealing with it. but bailiffs cant get involved until an order has been made from a court.

 

some one correct me if I am wrong

 

The court order is most likely a CCJ though isn;t just requiring you to pay back the money over time from your pay check.

Now, if you have moved address how are you to know you have a CCJ against you?

Still, at that point that the payment plan is set up, what's to stop you defaulting on that? The bailiffs still have no right to your stuff because the loan wasn't secured on anything?

I don't have the above situation...just think it is interesting from a legal standpoint.

[seanamarts]

well I think you have proved Im blonde and from Essex lol .. it beats me but yes and interesting point.. i think

[spamheed]

The court order is most likely a CCJ though isn;t just requiring you to pay back the money over time from your pay check.

Now, if you have moved address how are you to know you have a CCJ against you?

Still, at that point that the payment plan is set up, what's to stop you defaulting on that? The bailiffs still have no right to your stuff because the loan wasn't secured on anything?

I don't have the above situation...just think it is interesting from a legal standpoint.

 

 

If a CCJ was granted for whatever reason and even if at the point of the order you wwere not aware of the original debt, then it wouldn't matter if the original loan was secured or not, it would be the CCJ that was being enforced and in the face of defaults, then the court bailiffs would indeed be able to levy etc against your property.

 

As soon as you were made aware of the CCJ, you would of course have the opportunity to seek a set aside etc

[qwertyjjj]

If a CCJ was granted for whatever reason and even if at the point of the order you wwere not aware of the original debt, then it wouldn't matter if the original loan was secured or not, it would be the CCJ that was being enforced and in the face of defaults, then the court bailiffs would indeed be able to levy etc against your property.

 

As soon as you were made aware of the CCJ, you would of course have the opportunity to seek a set aside etc

 

Aha, so it is the CCJ they can claim against?

Presumably you do not have to let the bailiffs in the property though for 6 years and then you're ok?

...or change address where they can't find you?

Also, I don't know many companies that credit check you therefore if you had a CCJ, they wouldn't know about it.

[spamheed]

Aha, so it is the CCJ they can claim against?

Presumably you do not have to let the bailiffs in the property though for 6 years and then you're ok? This is not as cut and dried as with a normal consumer debt, a CCJ never becomes Statute barred, but after 6 years they would need to go before a judge and explain why they haven't yet enforced the CCJ.

...or change address where they can't find you? If they can prove that you have been deliberately avoiding the repayment of the CCJ, then they would have a case to put before a judge

Also, I don't know many companies that credit check you therefore if you had a CCJ, they wouldn't know about it.

 

These days everyone does credit checks, from the landlord to the utility companies, Yup, even British Gas can report to the CRAs and if you changed your address with the bank it would be reported and there are even rumours that the DVLA and councils freely hand out this information to the CRAs like confetti.

 

I think this would fall into the classification of being under the radar for six years or so. this would effectively rule out utilising credit in any form

[qwertyjjj]

These days everyone does credit checks, from the landlord to the utility companies, Yup, even British Gas can report to the CRAs and if you changed your address with the bank it would be reported and there are even rumours that the DVLA and councils freely hand out this information to the CRAs like confetti.

 

I think this would fall into the classification of being under the radar for six years or so. this would effectively rule out utilising credit in any form

 

Yeah but if you've not paid back your 15k loan (like many) then you might not need further credit

[spamheed]

Yeah but if you've not paid back your 15k loan (like many) then you might not need further credit

 

I get your point about further credit but it also means that your location would be constantly updated with the CRAs

[qwertyjjj]

I get your point about further credit but it also means that your location would be constantly updated with the CRAs

 

CRA?

You mean if you move address, the bailiffs will just follow you about based on your council tax location?

...I presume they couldn't track you through your credit file because they would have to run checks on you, which they cannot do without permission.

 

I assume some people do this...then leave the country.

[BLF]

CRA?

I presume they couldn't track you through your credit file because they would have to run checks on you, which they cannot do without permission.

 

 

 

Hi, experian and equifax searches can be made legally by collection agencies and other organisations, however, they have to pay for the privelage.

 

That is why if you, say, apply for a loan, the lender will always state " This info will be provided to credit reference agencies and OTHER ORGANISATIONS".... the other being non specific.

[fluffy_bunny]

CCJ's can be transferred up to the High Court and then enforced by HCEO's

 

Although I have a feeling ones subject to a Consumer Credit Agreement are exempt from this

[tomtubby]

I am just talking hypothetically.

Say you took out a 10k loan and simply never paid any installments.

What would happen?

It's a consumer loan therefore it's not secured on anything, you can't get any magistrates fines either therefore a bailiff cannot be called to collect anything from you.

 

Then the bank/finance company would have to issue an summons.

 

If you did not respond or offer a defence then Judgmement would be entered against you (CCJ). If unpaid after 30 days, the creditor would need to pay a fee for a warrant of execution be be issued and this would lead to a County Court bailiff visiting you. If the Judgment was over £600 the creditor can pay a "transfer up" fee to have the CCJ enforced by a High Court Enforcement Agent.

 

In addition, if you have a property, the creditor can apply to the court to have the debt registered as a charge against your home. This is an all too common scenario.