Cabot bought unenforceable debt

[Desperate Daniella]

Thank you.

[MrSponge]

Thank you.

 

Good point. I think I see where you're coming from.

 

I was just looking to get the default removed which it will after a couple of years in any case.

 

What you're saying is that in addition to that I should not acknowledge the debt so that it gets stat barred as well in due time, and I don't end up resetting the clock by offering a F & F (?)

[Desperate Daniella]

Yes. Because if you say you are willing to pay them anything you are admitting that you owe them something!

[AndyOrch]

So just do as I advised in post#2 Mr Sponge?

 

Regards

 

Andy

[Hugh Jeffort]

Just for clarifiaction, your saying that if you send an F&F letter it resets the SB clock? Even if you state in the letter that you dont acknowledge it and you mark the letter 'Without Predjudice'?

Surely having a default against your file could cause more problems than simply paying the debt off without the correct paperwork? I know its certainly cost me more money to fight the debt than it would have to just pay it off, but its the principle!

[lookinforinfo]

Just for clarifiaction, your saying that if you send an F&F letter it resets the SB clock? Even if you state in the letter that you dont acknowledge it and you mark the letter 'Without Predjudice'?

Surely having a default against your file could cause more problems than simply paying the debt off without the correct paperwork? I know its certainly cost me more money to fight the debt than it would have to just pay it off, but its the principle!

 

If you don't acknowledge there is a debt, how can you then turn round and offer F&F?

[Desperate Daniella]

Exactly. See my post 78 above.

[Hugh Jeffort]

If you don't acknowledge there is a debt, how can you then turn round and offer F&F?

 

For the reason I stated, regardless of them having any proof to the debt they still mark your credit file and this has knock on affects on your ability to get loans/mortgages etc at decent rates, it ends up being cheaper to offer them a settlement to clear the alledged debt and move on. Also if you did not come to an aggrement with F&F and all correspondance was marked 'without predjudice' how would they prove that in court? They are not able to produce it as evidence.Dont get me wrong i'm not disagreeing with you, i'm asking for clarification.

[dpick]

Hi I believe that the account stays on your CRA files for 6 years after last payment or default whichever comes first so it may not make any difference making a F&F offer the CRA still reports the accounts status upto the 6 years.

 

dpick

[Desperate Daniella]

Also, if you settle with a F&F they mark your credit as 'partially settled' so it shows that you had a larger debt to start with.

[renegadeimp]

Whenever you negotiate a f&f, you must make sure that the main part of it is that the lender will remove ALL negative markers from your file or the entire entry itself. Without his the f&f is worthless.

[brokebutnotbeatn]

It depends on the reason for the F&F. If it's to clean up your credit file, absolutely.

[lookinforinfo]

It depends on the reason for the F&F. If it's to clean up your credit file, absolutely.

 

Problem is that if you have an account with a default two years ago and you do nothing, it will disappear in 4 years time. However if you come to an agreement and pay off some of the outstanding, that

will be marked on you credit file when you make the payment and stay there for another 6 years. In addition, you would have to ensure that they didn't sell on the debt to another company if the F&F wasn't drawn up in a foolproof way.

 

From a moral point of view it would be better to have paid something off the debt, but from almost any other angle, it would arguably be better to leave well alone. Maybe one day creditors will come to

realise that their pigheadedness over the way they report on credit files can act against them in such circumstances.