Debt

[Karlsen]

Hi Everyone

Can someone give mesome advice please.

I received a letter from a debt collection agency Lowell Finance.for a debt of £1600.

So I checked my credit file and found that the debt relates to Dec 2006 and the default debt was £906.

Can a debt collection agency add more money to the original debt ? I have never contacted the original company nor the debt collection agaency yet.

What advice can anyone give me with regards to this

Many thanks

[ims21]

Hi and welcome to CAG

 

I've moved your thread to the debt collection forum.

 

Who was the original creditor?

 

When was the last payment made to the account or when did you last acknowledge it in writing?

 

A DCA/Debt Purchaser can only add interest if it is provided for in the T&Cs of the original agreement.

[Karlsen]

It was a mailorder catalogue and I don't remember when that last payment was made but the default date was 12 th Dec 2006 as taken from my credit file

[ims21]

The reason I ask is that if the last payment to the account was a few months before the default date then this is coming up to being Statutory Barred.

 

Have you got any records going back that far that might help you find out when you last made a payment?

[dx100uk]

then it december it will go.

 

dca have no powers anyhow

 

and as they dont owe the debt they can do nowt !!

 

they have no legal powers anyhow.

 

sit on your hands

 

dx

[Karlsen]

Sorry it is so long ago and the debt was my daughter's but the catalogue was in my name I don't have any recollection of thelast payments made

[Karlsen]

Many thanks for the advice

[citizenB]

How did you make your payments to the account - by direct debit/standing order? If so, you should be able to see from bank statements when the last payment was made.

 

Alternatively you could send a Subject Access Request to the Original creditor - you should receive statements or a statement of account showing payments made and hopefully the last one made.

 

Companies dont always record a default immediately it has happened - therefore you need to know when the last payment was made in order to establish if/when the account will become statute barred. The time starts from the first missed payment + 6 years.

 

You will find a draft SAR letter in the CAG library, linked at the top of each screen - highlighted in green. You will need to send £10.00 with the request and they have 40 calendar days to comply with the request.

 

Meanwhile, if Lowells start getting heavy, advise that you require a copy of the agreement and a statement of account in order to establish any liability owed by you. Stress that you are not admitting any liability until they can prove there is one.

[Karlsen]

As per the Experian Credit report

 

The default date is 15/12/2006 and the balance was £917 owed to Shop Direct Finane Co Ltd .

 

It doesn't list any payments just an 8 figure meaning that the account is 12 months in arrears and the agreement has been terminated.

 

On 13/3/11 Lowell Portfolio Ltd took up the debt and it appears they opened a new account with the outstanding balance being quoted as £1544

 

I have not made contact with Lowell and have not acknowleged any debt owed to them.

 

The original payments were made by 'over the counter' bank giro slips

so the payments cannot be back tracked to when the last payment was made but I do think it is over 6 years ago

[dx100uk]

nope - 8 means its defaulted.

 

are you sayng it appears or appeared twice ?

 

or went away as the default was 6yrs old

and now anoth account has been registered, but the same debt?

 

something smells here

 

dx

[Karlsen]

I don't remember seeing it before on my credit file when it was Shop Direct

but it appearred in March 2011 listed as Lowell and defaulted.

 

I do actually have a current up to date account with Shop Direct,

which I have had for about 1 year

 

so I think they might have removed the outstanding debt that Lowell are chasing

[dx100uk]

no diff accounts then

 

so lowlife are shown as the owner

so they must have brought the debt

and their name is then substituted for everything.

 

dont forget

shop direct handle MANY MANY catalogue accounts.

 

dx

[Karlsen]

They do seem like a statute barred [problem] compay buying old debt and then flexing muscles to collect what they can.

[dx100uk]

well no its not SB'ed yet!

 

but 75% of DCA income is on debt they have no legal right to collect o

or that the debtors actually legally OWES anything on.

 

dx

[Karlsen]

well no its not SB'ed yet!

 

Well Experian quote the default date as 15/12/06 so they have just 6 months maximum to legally colleect on this. Or less if the last payment date is before that. I think I shall sit on my hands on this one until they actually turn up on my doorstep then I will dispute the debt and have them produce the backup paper to prove that I owe it

[BRIGADIER2JCS]

Check the other CRAs Equifax and Call Credit.