Me vs. Santander/Equidebt

[kpiotrowicz]

Hi,

 

I defaulted on a Cahoot loan in October 2006. I still owe £9000 on it and it now belongs to Santander. Equidebt appears to administrate it and they are the ones who deal with me and who I pay £30 a month to. I have tried speaking to them on the phone to settle the debt with an offer of £1800 which would be lent to me by my family. They will not accept it and countered with £6800 demand to clear it. Santander will not negotiate at all saying Equidebt handles it all.

 

What should I do?

 

It's going to be removed from my credit record anyway in 18 months, so I do still to pay anything at all?

 

Can they apply another default after it comes off my credit record, if I don't pay?

 

Should I stop paying the monthly amount?

 

I just want to get rid of it and don't mind spending the £2k to do it. I want to buy a house at some point and this is the last debt to be sorted.

 

Any advice gratefully received.

 

Regards,

Kevin

[silverfox1961]

Hi,

Firstly, even though the debt will disappear from your credit file, the debt still exists and as such I would advise that you continue to pay what you can.

 

They cannot add a second default (although some do try it on)

 

Getting them to accept a low F&F is an uphill struggle. If you can show thet you are in severe financial hardship, they may reconsider.

 

Are there any charges that have been levied against this account?

 

Dealing with this in writing is by far a better way than talking to them on the phone

[kpiotrowicz]

Hi,

 

Thanks for answering.

 

They have not applied charges to the account. Though at the present rate it's going to take years and years to pay off, I'd rather pay them a lump sump of the amount I outlined above.

 

What are the possible consequences of stopping paying?

[silverfox1961]

What are the possible consequences of stopping paying?

 

They could take you to court-possibly win- then you have a CCJ on your credit file instead of a default. Another 6 years of getting no credit.

 

Your choice of course

[kpiotrowicz]

That's a good motivator to pay it off.

 

Ok, if I were to accept their offer of £6800 as a partial settlement, do you have a link that would guide me through the procedure of agreeing to this whilst protecting me from any future attempts to get more money from me either by them or other companies/agents they may employ?

[brokebutnotbeatn]

Letter templates - Full and Final. Adapt that to suit. Do not pay anything until you have a response in writing. Click on the 'A Guide to Full and Final Settlements" link in SilverFox's note.

[kpiotrowicz]

I've looked at the letters. If was to do a CCA request who do you think I should address it to? Santander own the loan but Equidebt are the ones talking to me about it. It's a bit unclear as to whom I should be talking to. Will Equidebt just pass on the correspondence like a middleman or answer all that on their behalf?

[brokebutnotbeatn]

CCA the one asking for the money, SAR the original lender.

[brokebutnotbeatn]

As for F&F adress the the one asking for the money and go from there.