Restons Solicitors Credit Card Debt Pre Action Protocol

[coming up for air]

Hello. I'd appreciate any advice you can give as to how to manage my situation.

I have an old Lloyds Credit Card Debt amounting to £8,000 (card originally taken out in 1998, last payment made in 2015) Debt was passed on to Arrow, who have now instructed Restons to seek payment.
Ideally I would like to make a small monthly repayment in order to stop court action but wondered if there was a monthly figure I would need to offer to make acceptance of this offer more likely? I can really honestly only afford a maximum of £50 per month. I have no assets and very limited disposable income. I'm reluctant to send them the fully completed financial statement as I'd rather they didn't know my employers details (Ironically I work in financial services so it could potentially cause a problem with my job - but I'm guessing if they do take me to court I'd have to disclose all this anyway?). I don't have funds to make any offer of a lump sum settlement currently, but would you know if I do make an agreement for a small monthly payment will that mean I wont have the option to try and negotiate a reduced settlement at a later date? Sadly a very close family member is currently terminally ill and I'm due a modest sum of money on their passing which I could use to clear some of the total debt within the next few months.

I'm in such turmoil with everything going on with my relative I just can't seem to make a clear decision as to how to manage this; - whether to try and stall them with requests for further info, phone them and try and make an offer (but don't want to get in to a row with them about the financial statement) or continue sticking my head in the sand and hoping it all goes away for a while. I have to respond buy the 5th Feb so I've left it very late I'm afraid.

Any info you can give as to a likely response from Restons, or some definitive advice as to what to do next would be greatly appreciated.

Thanks in adance.

[jaguarsuk]

The solicitors trying to collect information in case it goes to court and they win to be able to get an attachment of earnings order.

If you want to come to an agreement with them write to both the Creditor and the solicitor with the same letter.

Inform them that you do not wish top disclose some of the details they have asked of you, however you do want to repay the debt and what your offer is. Let them know that this is a very difficult time for you and about the situation with your relative (you don't have to go in to a lot of details).

I wouldn't mention a potential inheritance as you don't want to over promise on something and can deal with that when the time arises.

[MIKE770]

A judge if necessary will ask defendant their occupation and with whom! to include income information, which in any cases defendant should have info of expenditure / income when ever they are in court, but only produce on instructions of a judge not some 2nd rate for hire solicitor

[warwick65]

Before you do anything, has a court claim been issued?

I f one has you MUST NOT write to the creditor or their solicitor making an offer of payment unless the letter is headed correctly and worded correctly, otherwise they may just stick that in front of a judge as an admission.

If I were you, I would be sending a S78 Request to Arrow Global to see if they actually have the agreement - there may be a chance they can't come up with the goods.

[jaguarsuk]

Before you do anything, has a court claim been issued?

I f one has you MUST NOT write to the creditor or their solicitor making an offer of payment unless the letter is headed correctly and worded correctly, otherwise they may just stick that in front of a judge as an admission.

If I were you, I would be sending a S78 Request to Arrow Global to see if they actually have the agreement - there may be a chance they can't come up with the goods.

I read it as they have received a letter before action, but having re-read it I'm not sure now.

The income and expenditure sounds like the Debt PAP forms.

[coming up for air]

Before you do anything, has a court claim been issued?

I f one has you MUST NOT write to the creditor or their solicitor making an offer of payment unless the letter is headed correctly and worded correctly, otherwise they may just stick that in front of a judge as an admission.

If I were you, I would be sending a S78 Request to Arrow Global to see if they actually have the agreement - there may be a chance they can't come up with the goods.

Thanks, no, no court claim issued yet. The letter gave me 30 days to reply (to 5th Feb), and if I didn't reply they have been instructed to start court proceedings. Enclosed within their letter was an income and expenditure form (which I haven't sent back) and also a Reply Form. I have today sent the Reply Form back (by registered post) and just ticked box C "I don't know whether I owe the Debt". I have also ticked Box I "I need more document or information" and have requested a copy of the written contract, a full statement of account, and a copy of the notice of assignment. As I understand it, this will at least buy me a little more time and also negates the requirement to send a completed income/expenditure statement at this time. Should I also at this stage be sending a S78 Request to Arrow?
Within the guidance notes enclosed from Restons they state that they don't need to produce a copy of the original agreement and they can proceed with a reconstituted template. They also say they don't even have to provide this. I don't own a house and have no assets so I can't see they would benefit from taking me to court over accepting a monthly payment but I guess it doesn't work like that!
Thanks for your help.

[coming up for air]

I read it as they have received a letter before action, but having re-read it I'm not sure now.

The income and expenditure sounds like the Debt PAP forms.

Sorry I probably wasn't very clear. I haven't been sent a claim form yet (as I understand it) The letter begins with" This Letter of Claim is sent pursuant to the Pre Action Protocol for Debt Claims" and states that if I do not pay the full balance within 30 days they are instructed to issue a Claim against me, although it also goes on to say I can offer a repayment by instalments which may be accepted by their client, but I must complete the Reply Form (which I have now done and requested further information regarding the debt, which I understands gives me a further grace period before they can issue the claim).

[jaguarsuk]

Should I also at this stage be sending a S78 Request to Arrow?

Within the guidance notes enclosed from Restons they state that they don't need to produce a copy of the original agreement and they can proceed with a reconstituted template. They also say they don't even have to provide this.

Yes, send a s78 request to arrow as if they don't have it the debt isn't enforceable. You'll need to pay a fee by postal order/cheque and should write clearly on it "STATUTORY FEE ONLY" so as they can't claim you have made a payment towards the debt. Take copies.

Restons are talking out of their backsides, if there's not a CCA the debt is unenforceable and they could not start proceedings against you.

[Diana M]

if there's not a CCA the debt is unenforceable and they could not start proceedings against you.

They can start proceedings without the credit agreement in their possession but they may not win unless that situation changes along the way.

Many debt purchasers/creditors issue legal proceedings in the hope that the Defendant will not defend them (87% of MCOL claims go to Default Judgments) or agree to pay out of fear of enforcement of a CCJ if they lose, or in the hope that they (Claimant) can produce the documents in due course. Litigation can be a slow process.

If a Defence is filed they will often let the claim become stayed while they attempt to source or reconstitute what they need. Claims are regularly left stayed for months/years which stops the debt from becoming Statute Barred.

They shouldn't do this but they do.

The Pre Action Protocol says they mustn't issue a claim before the 30 days expires but the only sanction for not complying is likely to be when it comes to costs if they lose.

Di

[jaguarsuk]

87% of MCOL claims go to Default Judgments

Di

That's a staggering amount

[coming up for air]

[QUOTE=jaguarsuk;n1388490]

Yes, send a s78 request to arrow as if they don't have it the debt isn't enforceable. You'll need to pay a fee by postal order/cheque and should write clearly on it "STATUTORY FEE ONLY" so as they can't claim you have made a payment towards the debt. Take copies.

Thanks Jaguarsuk. Is the S78 Request the same as a Subject Access Request?

[jaguarsuk]

[QUOTE=coming up for air;n1388508]

Yes, send a s78 request to arrow as if they don't have it the debt isn't enforceable. You'll need to pay a fee by postal order/cheque and should write clearly on it "STATUTORY FEE ONLY" so as they can't claim you have made a payment towards the debt. Take copies.

Thanks Jaguarsuk. Is the S78 Request the same as a Subject Access Request?

No. A guide here: here.

Sorry, should have provided the link initially.

[coming up for air]

They can start proceedings without the credit agreement in their possession but they may not win unless that situation changes along the way.

Many debt purchasers/creditors issue legal proceedings in the hope that the Defendant will not defend them (87% of MCOL claims go to Default Judgments) or agree to pay out of fear of enforcement of a CCJ if they lose, or in the hope that they (Claimant) can produce the documents in due course. Litigation can be a slow process.

If a Defence is filed they will often let the claim become stayed while they attempt to source or reconstitute what they need. Claims are regularly left stayed for months/years which stops the debt from becoming Statute Barred.

They shouldn't do this but they do.

The Pre Action Protocol says they mustn't issue a claim before the 30 days expires but the only sanction for not complying is likely to be when it comes to costs if they lose.

Di

Ah ok, so this might be a sort of fishing exercise on Reston's part - but not guaranteed to buy me any time let alone it all going away! I'm wondering about how they go about reconstituting a credit agreement - and what makes this either acceptable or unacceptable. Am I correct in thinking it doesn't have to show my original signature, but would have to show correct address/name/dates in order to be enforceable?
So I'm guessing they will probably issue a claim anyway as they don't have much to lose by giving it a go. Hmmm. Thanks for all this info. I'm learning a lot very quickly here and really appreciate your help.

[coming up for air]

Thanks so much. I'll take a look now.

Sorry, should have provided the link initially.[/QUOTE]

[warwick65]

You might want to send a SAR to Lloyds - that costs a tenner

If they do issue a claim you definitely do want to send a SAR

I would also think about getting some free initial legal advice - particularly if they issue a claim, it may be a very good investment if you can defeat the claim.

Remember I think it was Joanna C who explained a S78 is for information purposes only, lets hope they can not find the agreement