Lowells - how to proceed? ** RESOLVED - ACCOUNT CLOSED **

[Dave66]

The following happened before I found this site and learnt about my legal rights etc

, so what I should or shouldn't have done is pretty much mute

- as I now KNOW what I should have done - but feel free to chastise me!

 

Lowells first wrote to me last August 23 at my current address regarding an outstanding overdraft/charges amount that they had bought from a bank.

 

I knew it was mine as I had ignored them at previous addresses,

but following my recovery from severe anxiety and depression,

I wanted to start to rebuild my horrendous credit record.

 

i contacted them towards the end of September, (couldn't fault them as far as how I was treated in respect of agreeing how much I was able to pay them per month).

 

After a discussion with a friend about the bank charges,

I put the account into dispute so that I could challenge the unfairness of the bank charges.

Issued them a SAR and got everything I wanted.

Before I could go through the charges etc, I was struck by another bout of depression,

and so continued with the payments without any further challenge. (I know, I'm kicking myself too!)

 

Fast forward to 2 weeks ago, and I'm fine, found this site, got my Credit Report,

sent Moorcroft packing, put in a claim for £3000+ of PPI, and then started to fume about Lowells and my previous bank!

 

The bank sold the debt to Lowells on 7th August 2012

Lowells first letter was dated 23rd August 2012(along with the bank's Letter of Introduction - which wasn't on true bank letterhead,

but was obviously printed on an inkjet printer due to the bleeding and the fact that the QR code couldn't be read).

 

I believe the debt should have become statute barred on the 25th August 2012 as the last date any money was paid into the account was 24th August 2006

- although the date of default on my Credit Report was 24th May 2007 (which is when the bank officially closed the account).

 

Lo and behold, today, on checking my Credit Report, the bank's default has been removed, AND so has Lowells entry - this has put my score up to 969!!!

 

Armed with what I now know, what are my options regarding Lowells?

[renegadeimp]

If the debt is SB'd and they are harassing you, send them the SB letter. Be warned, they will try and claim you made a payment anywhere from £1 to £100 around March - November 2007.

[Dave66]

So even though I've been making payments to Lowells, I can now tell them to stick it? Luckily, I can prove that no payment was made between those dates - and I now know - thanks to the amazing advice and support here - that the onus is on THEM to prove it was

[renegadeimp]

You may have been making payments, but at any time during the life of the account.debt, was there a clear 6 year gap where you didnt pay anything or acknowledge the debt in writing?

 

Have you also requested a CCA from lowells to check if they even have the necessary paperwork to enforce the debt ( lowells rarely have the correct paperwork).

 

 

If there was a six year clear gap, then the payments you are making now is basically a free gift to them.

[Dave66]

You may have been making payments, but at any time during the life of the account.debt, was there a clear 6 year gap where you didnt pay anything or acknowledge the debt in writing?

The last payment that I made into the account was actually on 25 Aug 2006 - there were plenty of DDs flying in and out after that date until they finally stopped those in Jan 2007. There has been no verbal or written contact to them since that date.

Have you also requested a CCA from lowells to check if they even have the necessary paperwork to enforce the debt ( lowells rarely have the correct paperwork).

The account was opened way back in 1986, that was the last time I signed anything to do with my account - other than loans, which were separate accounts altogether (and for which I'm about claim PPI). I initially asked for a copy of the CCA with my SAR, but of course they didn't have it. I was also told on another website before I found this one, that as the entire debt (more than £1000) apart from £100 authorised overdraft is bank charges, a CCA is virtually pointless in this case. (?)

 

If there was a six year clear gap, then the payments you are making now is basically a free gift to them.

Thought so. So is there a way to claim any payments back, or do I just have to swallow it up and congratulate myself on how dumb I've been? LOL

[renegadeimp]

Ahh gotcha. I dont think a CCA applies to overdrafts, but its clear theyre trying to bluff you into paying.

 

6 years with no written acknowledgement from yourself OR payment to paying off the debt = statute barred. Send the SB letter and have a good laugh at their expense.

Edited May 25, 2013 by renegadeimp

[Dave66]

.....^ years with no written acknowledgement from yourself OR payment to paying off the debt = statute barred. Send the SB letter and have a good laugh at their expense.

That's great - letter going first thing Monday! Unfortunately, it's already cost me - and I've probably covered the amount they bought it from Lloyds for. Oh well. Thanks so much for the advice. Now, on to another thread for my PPI.

[dx100uk]

there is no no harm in demanding your moneyback

you've paid 'in mistake'

they are DUTY BOUND to carryout PROPER investigations into the LEGALITY of the debt.

 

they obv haven't, they blindly fleeced you.

 

THEIR MISTAKE

NO YOURS

 

write them a stiff letter, nothing to lose, everything to be gained!!

 

you have the sar details

post the relevant statement copy pages too them too

 

dx

 

dx

[citizenB]

I doubt you will get any money you paid after the SB date, returned to you.

 

Is it a lot ?

[Dave66]

^ It's around £300.

 

That said, I'm tweaking the SB letter at the moment pointing out what the OFT say about pursuing statute barred debts,

and pointing out that as far I'm concerned they're guilty of deception by intimating that they had every right to pursue the debt including sending agents to the house and Court action.

 

As I was suffering from anxiety and depression (and my doctor can prove it - as can my Psychiatric Counsellor)

I was in a vulnerable position when I agreed the repayment amount.

 

The wording 'may' is every bit as intimidating as 'will' when you're mentally unwell.

 

We'll see what they say - nothing ventured, nothing gained.

 

Of course, I still have the option of going to the FOS - if I can be inclined, but it's probably just a case of suck it up and accept it!

[Dave66]

Is this okay? I'd really appreciate a fresh pair of eyes (and brain) and viewpoint.

Dear Sir/Madam

 

Acc/Ref No ***********

 

I have recently discovered that the debt associated with the above reference number, is actually statute barred.

 

I would point out that under the Limitation Act 1980 Section 5 “an action founded on simple contract shall not be brought after the expiration of six years from the date on which the cause of action accrued.”

 

I would also point out that the OFT say under their Debt Collection Guidance on statute barred debt that “it is unfair to pursue the debt if the debtor has heard nothing from the creditor during the relevant limitation period”.

 

The last payment to the original creditor of the above debt was made over six years ago and no further acknowledgement or payment was made during that time period. Unless you can provide evidence of payment or written contact from me in the relevant period (*****dates removed******) under Section 5 of the Limitation Act, I suggest that you are no longer able to take any court action against me to recover the amount associated with the above claim number.

 

The OFT Debt Collection Guidance states further that “continuing to press for payment after a debtor has stated that they will not be paying a debt because it is statute barred could amount to harassment contrary to section 40 (1) of the Administration of Justice Act 1970”.

 

I await your written confirmation that this matter is now closed and that no further contact will be made in pursuing the above debt.

 

In addition, I believe you have further breached the OFT Debt Collection Guidelines by “stating or implying that debtors may be the subject of court action for the sum of the statute barred debt when it is known, or reasonably ought to be known, that the relevant limitation period has expired” and “...seeking to recover the debt would effectively be relying on the debtor not knowing the relevant legal provisions.”

 

In your letter of ****** you specifically said that “further action...including legal action” may be taken against me, and on the ****** you specifically said that the further action “may include Court action”.

 

Furthermore, the OFT considers that “businesses pursuing debtors for the repayment of debts without taking reasonable steps to verify the accuracy and adequacy of relevant data” may constitute unfair or improper practices. Had the data been checked, it would reveal that the last payment contact (and therefore the true default date) with the creditor was on *******, and not on ***** which is the date that LloydsTSB provided you with.

 

Finally, the OFT states that “Where businesses seek to recover a debt that they know, or reasonably ought to know, is extinguished, we would be very likely to consider this an unfair or improper practice which calls fitness to hold a consumer credit licence into question.”

 

In summary, I believe that by not checking the accuracy of the information provided to you, and the subsequent disregard of the above OFT Debt Collection guidelines, you have, partly through reliance of my ignorance of the legal rights afforded me, deceived me into paying monies to you for which you had no legal basis to receive. I am therefore requesting that the amount of £***** is repaid to me forwith. Failure to do so, will result in my taking my grievance to both the OFT and the Financial Ombudsman Service

 

I look forward to receiving your confirmation letter that no further contact will be made in pursuing the above debt, and that the appropriate funds have been returned to my bank account.

[BRIGADIER2JCS]

I would add the 'safety' phrase I do not acknowledge any debt to Lowell.

 

This is also interesting in that I have been seeing a number of entries by Lowell being removed without the debtor making any contact.

Had me wondering if they have been checking on default dates and SB dates.

 

There has been some reaction lately to the OFT Guidance 2003/2012, in regard to the sale of SB debt without informing the debt purchaser of the status of the debt, perhaps there has been some regulatory action.

[Dave66]

Good idea to add the 'I do not acknowledge' - just in case!

 

What deadline would be appropriate? I want to put 10 days - because that's the timeline between Lowell Portfolio initially contacting me, to when the letter from Lowell Financial arrived telling me that Portfolio had passed it to the debt collection branch of the Lowell family! I'm sure that 10 days is just as reasonable before I take further action.....

[dx100uk]

its a complaint they will say they have 8 weeks.

 

dx

[Dave66]

Oh well, I'll let them have their 8 weeks then.

[BRIGADIER2JCS]

Oh well, I'll let them have their 8 weeks then.

Yes there is a tendency to treat all complaints this way.

 

I add on this at the end of letters like this. ''As this matter has been drawn out I would expect Lowell to deal with this matter promptly and reason ably

[Dave66]

"I trust that the Lowell Group will want to deal with this matter promptly and bring it to a satisfactory conclusion within 8 weeks from the receipt of this letter in order to prevent my having to take my grievance to both the OFT and the Financial Ombudsman Service for further consideration."

 

 

[BRIGADIER2JCS]

"I trust that the Lowell Group will want to deal with this matter promptly and bring it to a satisfactory conclusion within 8 weeks from the receipt of this letter in order to prevent my having to take my grievance to both the OFT and the Financial Ombudsman Service for further consideration."

 

 

 

Yep!!

[Dave66]

Okay, their 8 weeks is up and although I've had a letter saying they're investigating my complaints, there has been no further communication. Do I give them a couple more days, contact them (I'm thinking a phone call) or just write to the OFT and FOS?

[BRIGADIER2JCS]

Okay, their 8 weeks is up and although I've had a letter saying they're investigating my complaints, there has been no further communication. Do I give them a couple more days, contact them (I'm thinking a phone call) or just write to the OFT and FOS?

 

Yes give them until next Monday the write a reminder letter informing them that you are now making a complaint to the regulators.

[Dave66]

Thank-you. I will do just that!

[Dave66]

So I contacted them by phone for a 'as the 8 weeks is up, how are you progressing with my complaint' chat.

 

Initially they queried my date - until I pointed out that I had signatory proof that they received my first letter on 4th June, therefore they DIDN'T have until the 14th August to settle, the deadline had passed! It transpires that the date of my SECOND letter had been entered as the start date, and not the date they received my first letter! Again, the guy was extremely polite about the whole matter.

 

Anyway, this morning I received a letter to say that as "an impasse has been reached... I will close this account in full and final settlement of this matter..."

 

Their main quibble is the 'default' date as they are sticking firmly with the date that Lloyds closed the account and issued the default notice.

 

Although there was a final cash withdrawal on my part at the end of August 2006,

they are insisting that as Direct Debits were bouncing in and out of the account I was therefore acknowledging the account as mine.

(don't know if that's how it works or not, considering that DDs are automatic and not physical transactions or attempted transactions by me in person).

 

So I guess it's a result of sorts - good to have it ended, just a shame I wasn't able to get any money back.

[Rayn2036]

Result.