Help Please! Re: Taking Proceedings / Valid Counter Claim

[angry cat]

Hi !

 

I would appreciate some help / advice that relates to taking proceedings agaist a bank. The amount disputed is over 5K-

 

My quandery is that although I have grounds to take legal action, it could be risky and of course, if I lose my case it could involve me in having to pay costs, plus I would have closed the gate on the issue! The other option is to wait for the bank to sue me, as I have a valid counter claim.

 

However, recently the Bank has threatened to sell the debt on to a Debt Collection Agency and if that occured, what would my position be?

Could I still sue the bank after the debt has been sold? and of course, if the DCA eventually decided to come after me for the money, how would I stand with my counter claim which would obviously be a counter claim against the bank and not the DCA.

 

I am sure that someone will have the answer but to me the issue is quite a conundrum!

 

Thanks

angry cat

[Guest Lueeze]

The gorunds to take legal action...by this are you reffering to the punitive charges or something else?

 

It is very unlikely the bank will sue you, thus you may be waiting a long time to get that counter claim in!

 

How much is the claim?

 

Lou x

[alanfromderby]

If your claim is over £5,000 it is true to say that you should you lose in court then you would be liable to some charges - but in "fast track" I believe it is limited to £750.

 

There are risks in any legal action - however, be assurred that we have people who have already succeeded with claims between £8,000 and £10,000. The unlawful charges are just as unlawful if you are claiming £10,000, as they are if you are claiming £20!

 

In many respects it doesn't matter if they pass it on to a DCA - but it is unlikely that they will take any legal action for quite a while (if at all). If you want to get your charges back then you need to take charge of the situation.

[angry cat]

Hi-

Thanks for your prompt replies!

 

No, this issue is not related to punitive charges and it would not be a county court matter.

 

What I am trying to ascertain is-

 

I could pursue a bank about a debt that they say I owe, but I am obviously in dispute with them. If I go to court basically saying "I do not owe the money" I could fail and would have not chance or pursuing them again about the issue, plus I could incur costs. However, if I wait for them to come after me, I might have a better chance because I have a valid counter claim and of course this way I would not be reponsible for the charges.

 

The issue that is concerning me is, the bank has threatened to sell the debt to a DCA and I do not know how I would stand if this occured?

i.e. If a DCA has purchased the debt, how would that affect me suing the bank and/or my counter claim. Could I still sue the bank, even after the debt has been sold to a third party - How could I sue them if they do not own the debt anymore and what happens to my counter claim.

 

I don't think that I am stupid? but I find this quite puzzling.

 

After all, if the Debt Collection Agency purchases a debt it must take on the reponsibilities & liabilities.

 

Does anyone know? Help Please

 

Thanks

angry cat

[Guest Lueeze]

HMMMm!

 

I dont know either! Sorry you had to repeat yourself twice, just like you said its a conundrum!

 

Maybe someone else could shed some light on this?

 

Lou x

[angry cat]

Hi Lueeze & Alanfromderby-

 

Sorry because of the high amount disputed I was under the impression that the alleged debt would not be handled by the County Court, I have since discovered that I was wrong!

 

This is a long standing dispute of nearly three years and I been making token payments to the bank. The issue is not about punitive charges-

My concern at the moment is that the bank has suggested selling the debt on to a DCA and I need to know how I stand, if the debt is sold on.

 

Surely is a DCA buys the debt, it will be the DCA who will ultimately sue me-

However, I have a valid counter claim against the bank, but if the DCA eventually sues me than how will I ba able to bring about my counter claim against the bank.

 

Hopefully someone will kindly assist me with some advice?

 

thanks

angry cat

[alanfromderby]

Ah, I see.

 

Okay, when the DCA start chasing you for the debt you should contact them and state that the debt is in dispute. My understanding is that debts cannot be sold on if there is a dispute still to be resolved. Certainly it is against the Banking Code to take action where a debt is disputed.

 

However, it concerns me that you are not taking any action to directly seek a resolution to the "dispute" - and it is possible that the bank could assume that the matter is resolved.

 

Unfortunately, without knowing details it is impossible to give a definitive answer.

[angry cat]

Thank You Alanfromderby for that advice!!

 

I am at present playing a kind of 'cat & mouse' game-

 

My dispute has been well doumented with the bank and as stated, for some time now I have been making token payments-

 

It is only recently, that I received a communication prompted by a review that the bank has made the threat of selling the debt on to a DCA. It may well be that this has occured via an over zealous member of their collections department. However, I take the communication very seriously and the banks letter prompted my question to the Bank Action Group.

 

 

angry cat

[Janet-M]

This seems to be going around in circles

People here can't give you advice unless you are more clear about your debt.There are many types of debts so you must be specific or we are unable to help.

[andrew1]

You also have to be certain the debt is being 'sold' to a DCA. Are you sure it is being sold or are they just threatening to pass it to a debt collection agency? Not all debts are automatically sold, its usually bad debts and aged debt. If the debt is sold you have to be advised it's being sold or has been bought. This usually happens after the event not during a dispute.

[angry cat]

Hello-

 

I had no intention of 'going around in circles' or causing any confusion !

 

My question was about the legal position that must evolve if a debt is sold-on to a Debt Collection Agency?

 

Thanks

 

angry cat

[Guest Lueeze]

Can you not be specific for us? We will try to help the best we can!

 

Lou x

[BankFodder]

You are playing cat and mouse but I think that you are doing this withthe forum mods as well.

It is just not possible to respond to cryptic messages in a forum environment.

 

A genberal answer to your question is that when the debt is sold, then it is not sold with the obligations.

 

This means that if you have a claim against the bank then you will still be able to make your claim against the bank.

If the DCA sues you then you will be able to defend that you will be able set-off your claim against the bank against the claim made by the DCA but any counterclaim which you might have for sums in excess ofthe amount climed by the DCS will have to be pursued against the bank.

 

If you would like to be less Angry and more Cat, it would be easier to deal with your queries.

[Guest Lueeze]

BF I have had a PM from Angry cat! I have tried to PM dave to help with this, can I come through you instead?

 

Lou x

[angry cat]

Thank You.

 

angry cat

[angry cat]

This topic was closed on 09 March 2019.

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