DCA doubt as applying for mortgage

[lostinwoods]

Dear All

 

I had old debt (O/D & CC) from NatWest since 2004 which should have been sorted out as some of the money extracted was stolen from the account and credit card which I properly reported at that time to police and bank but it never happened.

 

I went away for 6 months in July 2004 and came back in Jan 2005 and my account and CC were frozen altogether. At that time I had already opened an account with Halifax so I didn't damn care about NW (which I should have).

 

In Nov 2007 I applied to Experian for my credit check but their website said there is a problem and I couldn't get my file. Interestingly (not!) few days later I started receiving letters from DCA (Teleograph I guess) about the NW debts which I totally ignored till I received few more from some other company (must be passed to them). I got scared and called them and told them about the money being stolen and said that I can only pay £xxx amount of money but as you would expect they were deaf from that point on. Anyway I came across this website and thanks to CAG I never bothered to contact them again and moved house due to my new job.

Now, I'm in the process of buying my first home under shared ownership scheme and have been scheduled to Financial Assessment as a procedure for mortgage.

 

I know that assessor will access my credit report but what I also know that as soon as the guy will access my file, these bastards (DCA) will come back. I should be ready for the attack and back again on this website for some help and support. I now earn OK and want to pay back some money like 30% but don't have experience in negotiating with these people.

 

LW

(This website has grown since I was last visited and very happy to see that its helping people like me.)

[unclebulgaria67]

They could turn down the mortgage, depending on their criteria.

 

Might have been wise to check the record and to have sorted any problems before applying.

 

If the debt was from 2004, this will become statute barred soon and drop off your credit record. Knowing the date would be handy.

[lostinwoods]

Thank you unclebulgaria67

 

The date I believe was somewhere in October 2004.

What I don't understand is that during all these years I have contract phones and rental references checks etc but never been turned down due to poor credit check report. What is the rationale behind this?

 

LW

[unclebulgaria67]

If OCT 04 is the correct date, it should drop off the record this month, if it has been on there.

 

Perhaps NatWest have sorted out the account if the debt was due to theft. The debt may have been intially sent out for debt collection in error and taken back when the banks fraud team investigated it.

 

Check your credit record to see if it is still on there and then decide what you need to do. If it causes a problem with the mortgage or DCA's start writing to you, then you will have to write to NatWest to ask them to investigate.

[lostinwoods]

Sorry I think I have not made myself clear. I mentioned that some of the money was stolen not all. I extracted rest of money from O/D coz I had nothing in my pocket at that time. It was not a huge amount on O/D - £900 took out and £600 stolen and on CC £300 paid for various and £150 stolen. Total it was just £1,200 rest should have been paid back by NW but I have no inforamtion about it.

 

So I guess NW was right in passing onto DCA but I don't know how mcuh information was passed to DCA as the letter I received in Nov 2007 stated £2,500 for O/D and £2,800 for CC which means lots of interest and charges.

 

LW

[unclebulgaria67]

Ok, so the amount passed for debt collection may have been wrong.

 

Suggest checking your credit records and also for CCJ's. If you are applying for a mortgage, you need to have this information. You can't really avoid this as the records will be checked anyway, as part of the mortgage process, but you might as well access the details yourself, just in case the mortgage people don't provide you with any info they find.

 

This is to check for CCJ's. Worth doing, as you never know if a DCA obtained one by default writing to an old address.

 

http://www.trustonline.org.uk/

 

Check your credit records with Experian, Equifax and Call Credit. All offer free trial periods, but charge for credit rating. The records do vary, so worth checking them all.

Edited October 9, 2010 by unclebulgaria67

[lostinwoods]

Ok thank you I will try and post and any results in this post.

 

Thank you

 

LW

[lostinwoods]

Hi unclebulgaria67

 

I almost forgot why I started this post. I know that DCA will come after me as soon as the assessor will access my file. What I'm asking is that how to negotiate with muppets. Also I misunderstood the 6 year rule for ST, the last time I had any transaction in my account and CC was 10th July 2004 to be precise and by that measure 6 years are over so it is ST. But there is twist coz I acknowledged the debt over the phone in Jan 2008 as I was scared at that time.

 

So tell me as soon as I receive the letters what should I send them in reply. Should it be for ST or "I do not acknowldege this debt" letter.

 

Thank you

 

LW

[harrassed senior]

A bit difficult this, as if they recorded the call in 2008 it (might) have reset the sb clock to 2014.

 

However, your files being accessed by the Mortgage check will show anything that has been recorded within the last 6 years (possibly).

 

As suggested, I think you should check your own files asap. NW played 'dirty' with me, they passed my debt on for a certain amount, then added interest for 6 months and recorded a further default 5 months after that registered by the DCA whom they passed it on to. Took me a long time to realise this as the amount that they sold on was 2 loans and Od combined. The one they registered 6 months later was for the OD only plus even more charges.

[unclebulgaria67]

. But there is twist coz I acknowledged the debt over the phone in Jan 2008 as I was scared at that time.

 

My understanding is that it is very difficult to enforce a debt on the basis of a verbal acknowledgement of the debt. The courts would more than likely only accept written acknowledgement. Ask yourself the question as to why they did not leap at the acknowledge and take this to court at the time.

 

Suggest that if you do receive any communications that you send the statute barred letter.

[Jasper1965]

A bit difficult this, as if they recorded the call in 2008 it (might) have reset the sb clock to 2014.

 

.

 

Limitations Act 1980

 

30 Formal provisions as to acknowledgments and part payments

 

(1)To be effective for the purposes of section 29 of this Act, an acknowledgment must be in writing and signed by the person making it.

[harrassed senior]

Many thanks for correcting me one less point for the OC to be concerned with.

[lostinwoods]

Limitations Act 1980

 

30 Formal provisions as to acknowledgments and part payments

 

(1)To be effective for the purposes of section 29 of this Act, an acknowledgment must be in writing and signed by the person making it.

 

Thank you Jasper1965

 

This point is a life saver. If this is true then SB is already in place coz last transaction for debit card was in July 2004 and for CreditCard it was in Oct 2004, after that I couldn't access either of the accounts. If they come I'll simply send them SB letter.

 

Once again thank you.