Tesco Loan Default - Advise on Options

[Williamsonr3]

Good Afternoon,

 

Firstly I appreciate everything you guys do on here,

I'm a first time poster and would appreciate any advise you can give me

- I'll give as much detail below in relation to my situation

however if you have any questions let me know;

 

So, at the moment I have a defaulted loan outstanding with Tesco Finance to the amount of - £ 8,900.

I defaulted from the loan in October 2013

and haven't been in contact with Tesco Finance since.

 

In January 2013 I moved to Australia to complete a two year working VISA,

at the time I had enough money in my UK account to cover my repayments

with the intention to transfer funds back to the UK when my UK money ran out.

 

 

I contacted Tesco Finance from Oz around February 2013 to update my address (when I got a fixed abode in Oz)

- however after that it went a bit pear shaped.

I ran into financial complications due to a health issue in Oz which I had to cover myself meaning I couldn't repay the loan,

 

 

I contacted Tesco to advise them of this in June 2013

- however after over 1.5hrs on the phone they wouldn't allow me access to my account

as the aforementioned gentleman who updated my address entered it incorrectly (house number and zip code).

 

 

They asked me to fax over proof of address which at the time was impossible,

and hence a stalemate ensued (wouldn't accept email, I tried).

 

I returned to the UK in December 2014,

financially I am now working full time,

renting privately and have a bad credit recovery credit card

however not in a position to repay currently due to other commitments.

 

 

Its been over two years since the default and I'm at a point now where I'm afraid to contact Tesco Finance in case it kicks things off again.

 

My question is;

is it naive to think Tesco Finance has just stopped pursuing (i.e should a DCA have been in touch by now?)

and will the fact that the account is still registered to my (incorrect) Oz address affect anything else on my credit account?

 

Also what would people say are my options? - Once again thanks for your help and time.

[neil6534]

has court proceedings started or a ccj isued?

[Williamsonr3]

Nope - I have heard nothing from them or a debt collection agency since the issue of the default notice.

[Guest]

they might still be sending correspondence to Oz?

[neil6534]

have you checked your credit file to see when the default date was set?

 

 

personally I wouldn't do anything until they start chasing you again.

 

 

..if you admit and try and set up a repayment plan you'll be paying this off for years.

 

 

...if eventually they start chasing you then you may be able to avoid a ccj by making a repayment agreement for a substantially reduced amount

[Williamsonr3]

Ford - I have a friend in Oz still living at the address, he has Facebook messaged me when any mail has came through and so far nothing at their end. On my Equinox file the default was set at Oct 2013. I was thinking that as well neil6534, however does anyone know the chances of them passing it too a DCA?

[Guest]

Ford - I have a friend in Oz still living at the address, he has Facebook messaged me when any mail has came through and so far nothing at their end. On my Equinox file the default was set at Oct 2013. I was thinking that as well neil6534, however does anyone know the chances of them passing it too a DCA?

 

ok, that discounts that then.

they'll prob start chasing it at some point, either them (via a dca) or sold on to a dca.

when did the loan term end?

[neil6534]

not that i am suggesting that you contact them but if you want to get this sorted sooner rather than later

then you may be able to get a reduced settlement offer and repayment plan directly with them.

 

 

But....how much was the original loan for and how much in default and late payment fees have been added

because whatever course of action you decide it would be worth trying to get these removed

[Williamsonr3]

The original loan amount was for £ 14,440 and started 11/2011 and it was a 60 month loan so is due up in 11/2016.

 

 

Ahh well this is also an interesting point

the letter sent to me from Tesco Finance from memory is only a default notice

and gives no indication of late payment fees (don't have it to hand to double check though).

 

I presume the will be more inclined to pursue an outstanding debt after the minimum term (60months) are up?

Or is that incorrect?

 

 

- thanks for your advise neil6534, this is an option to consider.

[neil6534]

i'd just like to say this is my opinion.

...there are others on here that know the law a lot lot better..

...but i do have experience dealing with personal debt so that is where my advice comes from...

 

 

.the thing you have to consider is how long you want this around your neck...

..do you try an sort it out now or wait until you either have a ccj or need to get it sorted before you get a ccj

- if you wait until this point then you'll have another 6 years of it appearing on your credit file after the debt has been satisfied

[Guest]

The original loan amount was for £ 14,440 and started 11/2011 and it was a 60 month loan so is due up in 11/2016. Ahh well this is also an interesting point the letter sent to me from Tesco Finance from memory is only a default notice and gives no indication of late payment fees (don't have it to hand to double check though).

 

I presume the will be more inclined to pursue an outstanding debt after the minimum term (60months) are up? Or is that incorrect? - .

 

 

correct.

did they ask for the full outstanding loan amount in the def notice, or just the arrears to its date.

[Williamsonr3]

I'm trying to look it out

 

 

currently however from my memory it was the full outstanding amount that was asked for.

 

Thanks for the advise neil6534,

 

 

I definitely don't want it to get to CCJ situations,

 

 

before a CCJ is actioned do you get an option from the court to come to an agreement with the creditor/DCA?

 

 

Excuse my ignorance but this is quite new to me haha

 

 

- or does the CCJ just come through and thats the end of it

[neil6534]

i would have thought that if a dca got hold of this they would pursue it eventually through the courts as its a healthy amount of dosh for them.

...saying that its also a healthy amount for tesco too

 

 

...so they may opt to pursue it themselves.

 

 

..at best if no one pursues you then it wouldn't be until december 2019 till it becomes statute barred

[neil6534]

Thanks for the advise neil6534, I definitely don't want it to get to CCJ situations, before a CCJ is actioned do you get an option from the court to come to an agreement with the creditor/DCA? Excuse my ignorance but this is quite new to me haha - or does the CCJ just come through and thats the end of it

 

not really

- once a court proceedings are started you then have to reply with a full list of in-comings and outgoings and a suggestion of what you can afford to repay

 

 

....more than likely a ccj will still be issued unless the dca or tesco do agree to an offer from you and withdraw their court proceedings.

 

 

..however if what you are saying is correct in that they havent sent you and correspondence until that point

then that will probably be frowned upon at court, however you've also failed to connect with them too so an even balance

[Guest]

I'm trying to look it out currently however from my memory it was the full outstanding amount that was asked for.

 

if thats the case,

then they cld start chasing the full amount anytime.

and, statute bar wld (shld) start to run from around then.

[Williamsonr3]

Agreed it is a pretty decent amount of money for both,

 

 

I think I was just being naive thinking 'its been two years,

surely they would have done something by now'

 

 

- the debt is in Scotland, would that not mean its 2018? Or has it changed.

[neil6534]

statute barred runs from the default date

[neil6534]

Agreed it is a pretty decent amount of money for both, I think I was just being naive thinking 'its been two years, surely they would have done something by now' - the debt is in Scotland, would that not mean its 2018? Or has it changed.

now that changes things a little...i believe the sb for scotland is 5 years

[neil6534]

you probably have to go to a Scottish court if it went that far to defend your case also

[Guest]

.i believe the sb for scotland is 5 years

yes, 5 yrs. then extinguished.

wld be lucky if they dont do anything in the next 3 yrs.

[neil6534]

yes, 5 yrs. then extinguished.

wld be lucky if they dont do anything in the next 3 yrs.

 

and happy

[dx100uk]

statute barred runs from the default date

 

 

no it does not

 

 

dx

[neil6534]

no it does not

 

 

dx

 

my sincere apologies

[Williamsonr3]

and happy

 

Exceptionally happy.... however its a 50/50 I would have to grow rather large man parts in order to go through with. I think the best option to go for is to contact them and have a chat, maybe I can redeem club card points for money off? haha

 

I just still think its strange they haven't been at my door for that amount of money.... Guys really appreciate your help so far!

[neil6534]

dx100uk you are all knowing and the force grows strong in you...whats your thoughts?