Erudio Debt Collection Company Harassment of Former SLC customers

[pearandbanana]

Hi All

As some will know, those of us who borrowed money from the Student Loans Company have had our debts transferred to a debt collection company called Erudio, a subsidiary of Arrow Global.

I took out student loans in the 1990s and have not paid them back because first, I spent many years after my degree gaining a master's degree and a doctorate, and therefore earned nothing, and then after a series of very poorly paid jobs in the British public sector (universities) I moved overseas and became a stay at home Dad. In the past it has been a simple case of deferral every year, on the grounds I do not meet the threshold for repayment. For now, I am comfortable with this arrangement.

However, things with Erudio have not started well. First, they didn't send me a deferral letter, only a demand for money. For this reason we couldn't defer in time. Second, when we did send a deferral letter it was ignored and we got another threat. We are sending one more signed deferral notice to them, and if that is ignored I will refer the matter to Zachary Lewy, the owner of the debt collection company Arrow Global, of which which Erudio is a subsidiary, as I say. I will also write to my MP, who is the Prime Minister.

The reason I am writing on here, however, is that I have been alarmed by the behaviour of Erudio, which I believe constitutes harassment and intimidation:

1. They are threatening to refer people who defer their loans to credit reference agencies. The sharing of financial data in this way is obviously unethical, but may be legal and within the T&C of the contracts, however, I feel their using this as an instrument of intimidation on specific customers constitutes harassment. I defer so I feel this is relevant to me, although they have not made this threat to me yet.

2. They are demanding I reinstate a direct debit. The issue I have is that I was forced to cancel the DD after the previous company started taking money unlawfully by claiming I had not deferred when I had. I cancelled this DD after telephone consultation with the previous company many years ago, and this therefore constitutes a verbal contract. I will not be reinstating any DD and will close down my UK accounts if necessary. I do not live in the UK, by the way.

3. They are threatening some people with termination of the automatic debt-cancelling clause after they reach a certain age. This outrage obviously speaks for itself.

So in addition to these (threatening reference to CRAs, demanding direct debits when they have no right under the T&Cs to access the accounts, the age cancellation) I thought it might be useful if we could start a coherent list of examples of intimidation, harassment, or any other unlawful acts, so we can build a strong case against them. It might be useful in the future. Also, are they behaving lawfully? I can hardly believe the law allows some of the things they are doing.

I add here that it seems to me that I never signed, and would never sign an agreement with a debt collection agency, so I am rightly angered this is who I have forced to deal with now.

Thanks all - I have made a similar post on Mumsnet as well, in the hope of reaching a wide range of people. Hope this is OK.

Finally, does anyone know if there are copies of the original contracts of the SLC from the late 1990s online? I can't find mine (moved house nine times since then) and I would like to review the original T&C.

Many thanks and kind regards to all

[Nibbler]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

Agreements.

http://www.slc.co.uk/freedom-of-info...sclosures.aspx

May 2014

Request reference: 76-14
Date of response: 06/05/2014
Request: Copy of the conditions associated with student loans taken between 1995 and 1998 (under the Education (Student Loans) Act 1990)
Response: Download our response


Pre-1998 agreement
Post-1998 agreement

[pearandbanana]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

Agreements.

http://www.slc.co.uk/freedom-of-info...sclosures.aspx

I'm very grateful, Nibbler. Thank you.

[PAWS]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

Hello Pearandbanana!
This may not be relevant but I thought I would post a copy of an email I sent to David Cameron with the subject title SHAME, SHAME SHAME!
Arrow global and all its 'off shoots' are the scum of the earth. I find it deplorable that the government are bleating on about 'clamping down' on some lenders while endorsing organisations that are far worse.


Dear Sir

I have just read the following in This is Money PUBLISHED:22:02, 29 March 2014

Business is booming for debt collectors snapping up overstretched borrowers for as little 10p in the pound Government bodies are also likely to sell more debt in years to come. Last November the Government sold a swathe of student loans with a face value of £900 million for £160 million to Erudio, a company backed by stock market-listed debt collector Arrow Global

You sold government debts to a company that repeatedly breaks lending regulations, ignores OFT guidelines and feeds on misery. Shame on you.
Bad debtors are not bad people. Not all have racked up debtsby buying Gucci Handbags and mobile phones. Some have had to use their creditcards or get loans for emergencies such as boiler repairs or children’sclothing. Even when they avoid the so called loan sharks and go to high street lenders they are treated like criminals the moment they cannot meet repayments. The loan is sold on to companies such as Arrow who are as bad, if not worse thansome of the sharks. They take action that actually prevents the debtor from improving their situation. There are many cases and literally stacks of information available to prove that debtors are being treated unfairly by what you consider to be the more reputable organisations and I can certainly back up everything I write here with hard evidence and specific cases. You are endorsing a company that is literally pushing people over the edge. How are we to get companies like Arrow global to act in a legal and moral way when you are giving them such a vote of support? Just remember that every one of those debtors who you are ‘blanket judging’ and casting down into a pit of horror and despair is a voter.

[PAWS]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

Just a quick addition to what I said earlier and apologies if you already know this stuff!
These vultures bought the student loans for an average of 5.5 pence in the pound. Arrow Global and any of their subsidiaries will use every trick in the book to frighten people into paying. They have absolutely no regard for OFT guidelines or the consumer credit act. :mad2:
Have a look at Emma Lunn’s article in the Guardian onTuesday 20^th May 2014 Student loan firm Erudio under fire following government sell-off
Also you may find the following interesting: whatdotheyknow.Com Due diligence for the purchase of the 1990s student loans book.
Sorry, can’t post links yet!

[wales01man]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

letter to Cameron waste of a stamp?
Do people expect the government to write off student loans?
Anyone being harassed by Erudio or any other debt collectors have the right to complain whether it will do any good who knows.
If any one has a Student loan that they have not repaid just like any debtor can and will be pursued for the debt especially if the DCA knows the debtor has assets or money its the way it works.
I hate DCAs and the likes as much as any one but if they operate within the rules no problem those operating outside need bringing to task. until the rules/Laws are changed we are stuck with an imperfect system.
Sorry to say no government will change things

[PAWS]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

Good Morning wales01man!
Er, I sent an email not a letter and student loans are not the same as ordinary consumer credit arrangements and should not be pursued in the same way.
No one should roll over and give up fighting for what they believe is right no matter how much the odds are stacked against them. I am a realist and I know that many people do need a reality check and good sound honest advice but things do change. We don’t have to go back to William Wilberforce or even Rosa Parkes. Remember Doreen Lawrence. I will keep banging at the door until someone opens it. Yea, I may be banging my head against that door but I have a hard head and it sure makes a lot of noise!
Too many people are committing suicide because they cannot face another postal delivery. Too many people are breaking down when the phone rings. A few people are sticking their heads above the parapet and shouting ‘no more’.
OK, in your opinion I may be wasting my time and energy but I will keep on and if nothing else it will sharpen up my typing skills and sort out my bingo wings!:tinysmile_twink_t2:

[wales01man]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

Good luck /I just feel its wasted until the laws and rules change DCAs will carry on as usual .
Doreen Lawrence lost a son in a Criminal act chasing a Debt that is most likely legit is not the same ,as for being suicidal in debt I have been there with help and support I pulled through from having money and assets I have come to have very little .
I have sympathy with those in debt but they can get help same as every one with problems I will gladly support any petition that tries to control the debt industry but until you or others can get the support of millions things will stay as is.

[Nibbler]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

PAWS

See: http://blog.moneysavingexpert.com/20...student-loans/

Collecting outstanding debt that must be paid in full now by DCAs is one thing, but Erudio are bullying and taking money from people who are fully entitled to defer their loans by law.

They are using scummy debt collection tactics on people who are perfectly entitled to not be paying their loans yet.

[wales01man]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

Good luck /I just feel its wasted until the laws and rules change DCAs will carry on as usual .
Doreen Lawrence lost a son in a Criminal act chasing a Debt that is most likely legit is not the same ,as for being suicidal in debt I have been there with help and support I pulled through from having money and assets I have come to have very little .
I have sympathy with those in debt but they can get help same as every one with problems I will gladly support any petition that tries to control the debt industry but until you or others can get the support of millions things will stay as is.

[PAWS]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

Thanks Nibbler, I was just reading that article on moneysaving expert. Very relevant.
Wales01man; I mentioned Doreen Lawrence as an example of what one determined person can achieve.

[FlamingParrot]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

letter to Cameron waste of a stamp?
Do people expect the government to write off student loans?

The problem with student loans is that they can't be included in bankruptcy or any other form of insolvency such as an IVA or a DRO. :rant: :rant: :rant:

I can see the point with magistrates fines being excluded since they are punishment for criminal offences rather than debt as such, but there's no way to escape student loans, not even via insolvency.

[wales01man]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

Why should they be written off?
I borrowed money for a Business Government did not write them off >as we all know Students by the Nature of being Educated and getting a Degree should be able to earn higher Salaries than those without why not write all debts off which we can prove add to our abilities to earn money and pay taxes.

[FlamingParrot]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

Why should they be written off?

Because most other debts are at least partly 'written off' when you opt for an insolvency solution.

I borrowed money for a Business Government did not write them off >as we all know Students by the Nature of being Educated and getting a Degree should be able to earn higher Salaries than those without

That's merely in THEORY. In reality, it's far from true. I can quote endless examples:

• Years ago I used to work in a department where there some people who'd left school at 16 doing the same job as others who had degrees, because the job paid more than they would have got if they were working in a relevant occupation.
• One of them people who left school at 16, her mum also did the same and had her at 17, yet despite being a teen mum, years later she went on to secure a well-paid management position. :grin:
• A friend of mine who is also a fellow beagle has a degree, yet he was also working in that place and has been struggling to find work since 2008. :tinysmile_cry_t:
• Another friend of mine barely finished high school, yet he got a job that paid £45k/year in 2002, aged just 22! :eek2:
• Someone else I know has no formal qualifications, yet went on to become a successful journalist. :clap2:

[PAWS]

Re: Erudio Debt Collection Company Harassment of Former SLC customers

Let’s not get carried away by the whole argument of ‘why should the students get away with it.’
All this student debt is the result of the government getting rid of proper student grants. Students used to get a grant to go on to further education. This allowed people from less privileged backgrounds to become solicitors, doctors etc. I strongly object to the fact that this system will result in only the ‘upper crust’ few being able to go onto higher education.
I could not have completed my education without a partial grant. A friend of mine is one of the best and most respected doctors I know who has helped many, many people; she could not have afforded to go to college if it had not been for the grants system. A chap I know could not have studied medicine. He is now a surgeon. Three years ago he performed what is being hailed as miracle surgery on a young girl who no one thought would ever be able to walk again. My nephew could not have afforded to study psychology. He has been awarded for his work with people contemplating suicide and their friends and families. I have no doubt he has saved lives.
Education is a right and not a privilege. Students should not have to pay or get in debt in the first place. They are studying so that we will have someone to defend us, ease our depression and keep our bodies in good order.