Lloyds/Newman

[shadowdog]

I have an outstanding debt to Lloyds Bank which was assigned to Arrow Global.

 

Its for £3600 and originates from a current account with an £500 overdraft.

 

A DCA called Newman are now chasing me and have sent a letter threatening to issue County Court prodceeding against me.

 

I got into debt arround 5 years ago due to marriage break up and after being chased by several DCAs was paying one of them £10 per week up until about two years ago but could not keep it up due to being unable to work due to long term illness.

 

Newmans have stated in their later that they operate a nominal payment scheme for people who are unemployed but urge me to contact them immediately which I have not done as yet.

 

Someone suggested I said I should send them a prove it letter which I have not done as yet.

 

Can someone please advise me as I am going out of my mind with worry over debts and dont know what to do.

 

I have no money property or anything of value.

[sunflower99]

Hi Shadowdog

I know its hard but please try not to worry.If you indeed got nothing of value and not a home owner and unemployed or on a low wage or benefits I would be very surprised if they issued court prooceedings!They can not get blood out of a stone! In your case i am sure it is a just a scare tactic and if they were silly enough to take you to court what is there to take! A judge would only order you to pay what you could afford which in your case is nothing and as you not a home owner they can not put a charging order on your home ,so please stop worrying ! There is nothing for them to take !

[Alloyz1]

Hi Shadowdog

 

First thing, don't worry!! DCA's have no authority and can not make you do anything you don't want to do, without going to court and then they need the courts judgement. A court will only rule you to pay what you can afford (even a £1 per month if you can prove thats all you can afford.

 

"You only have to pay what you can afford"- remember that.

 

DCA's try to talk you into paying more, so "DO NOT SPEAK TO THEM"- remember that, letters only and tell them that in your first letter.

 

The account won't be covered by the CCA 74, but how did the debt get to £3600 if the overdraft limit was £500? There could be some unfair charges.

 

To give your self some breathing space, ask them to prove they have authority to collect the debt.

 

Start to produce and income and expenditure breakdown to prove your surplus cash (£0 in this case).

 

If/ when they do prove they are authorised to collect the debt, you can then offer a 6 month 50p per month due to no surplus cash. A court would see this as trying.

 

Theres 6 months breathing space.

 

See how you stand in 6 months but produce the income expenditure breakdown so you have proof.

 

Keep smiling, the balls in oyur court, not theirs!!!

[sunflower99]

Alloy21 is right! But as i said in my first post i dont think this would get anywhere near court and i am sure in your case if you stand your ground show them you not intimidated by them they will give up ! Maybe just write to them once and point out you can not afford anything and then ignore them.Though like Alloy21 said you could look into getting unfair bank charges refunded

[shadowdog]

Many thanks for the advice, alot of this is from charges and I did try to relclaim them and got the account put on hold for a while the high court case was going on but since that went in favour of the banks they have told me they would not be refunding any charges.

 

Thats when the DCA's started chasing me again.

 

Can someone please advise what sort of letter I should send as I have not acknowleged any of their correspondence. Should I tell them I am only on benefit or would they find that out for themsleves if they applied to take me to court?

 

Is there a sample letter on your site asking them to prove they are authrised to collect the debt. I was'nt even aware that there still grounds to try and reclaim charges.

Edited July 18, 2010 by shadowdog
add text

[sunflower99]

Hi shadowdog

I must admit i never been down road iof reclaiming charges yet,All my activity has been concentreated just on fighting of DCAs

I think Bankfodder is the sites expert on claiming charges as he manages and runs this site and started cag originllally to get people aware of rights on claiming charges.If you look in on some of his threads he has done a few about claiming charges and you could ask for advice on there!

[sunflower99]

http://www.consumeractiongroup.co.uk/forum/barclays-bank/264898-need-help-reclaiming-charges.html

This thread may of be some help and interest to you

[sunflower99]

http://www.consumeractiongroup.co.uk/forum/general/201984-why-let-your-bank.html

another thread this time startedby Bankfodder:)

[Guest]

have a good read here re o/d and cca (it seems that an o/d is covered, to some extent, by the cca)

http://www.consumeractiongroup.co.uk/forum/debt-collection-industry/237096-overdrafts-covered-ccas.html

 

http://www.consumeractiongroup.co.uk/forum/legal-issues/235954-big-overdraft-must-respond.html

[shadowdog]

Ok will do that and many thanks for the advice, does anyone have any idea on how I should word a letter to them regarding asking them to prove that they are authorised to collect the debt and should I inform that I am only on benefit, or would they find that out if they apply to take me to court.

[sunflower99]

Ok will do that and many thanks for the advice, does anyone have any idea on how I should word a letter to them regarding asking them to prove that they are authorised to collect the debt and should I inform that I am only on benefit, or would they find that out if they apply to take me to court.

Hi Shadowdog

As i said they are very unlikely to issue a court summons! to someone in your circumstances so i shouldent worry to much ,I think they only issues a summons if you got a reasonable income or own property or have some money! Honestly they will not gain anything from taking you to court by sound of it and will only want to issue a summons if they think they going to make money on it. They are just trying to put frightners on you because they despearrte to make a few pennies out of a debt they know they have no realistic hopes of recovering!if it gets to court!and you make judge aware of your finacial situation,They would be very silly to even attmpt to issue you with a court summons!

[sunflower99]

National Debtline England & Wales | Debt Advice

 

There are some sample letters pn the debtline site. Here is a link

[shadowdog]

Many thanks, I tried that link but there did'nt seem to be an appropiate letter, does anyone else have a template, is it the same as a prove it letter???

[Guest]

shadowdog

 

you could also do a subject access request, making sure that it includes a list of 'transactions'.

[shadowdog]

Hi

 

I was going to start a new thread with this but could not find out where to.

 

As suggested I sent a letter to Newmans asking them to prove the debt and today I received copies of Bank statements. Can anyone please adivse me on the next step. Should I write to them offering a nominal payment or should I simply say I cannot afford the debt. Are there any template letters dealing with this?

 

Many thanks