Lowell Solicitors - CCJ

[jlf44]

I have recently received a County Court claim form for a Shop Direct account (Very). I failed to keep up with the extortionate monthly repayments after missing the deadline for paying off an item interest free, and the interest snowballed.

Lowell bought the debt and registered a default against me last year, and are now pursuing a CCJ. I panicked and rang Lowell 2 days ago to see what my options were for avoiding a CCJ (as I have a mortgage and don’t want to lose my house when it’s time to remortgage due to having a CCJ on my credit file). I was told that my only option is to pay the debt in full within 6 months, by monthly instalments.

Last summer I offered a partial repayment of £750 out of £2900 they were chasing from me, as this was what I felt I owed Very for the items I had purchased before the ridiculous interest rates stepped in. Lowell agreed this over the phone and said they were updating my account with this information so that I could make the payment online, however when I tried to pay online I could only pay the full amount and the agreement wasn’t mentioned anywhere. It’s no excuse but I was on maternity leave at the time and was struggling to cover bills etc on statutory pay, so I buried my head over the Lowell debt.

Lowell now claim the total I need to repay (over 5 monthly instalments) is almost £5000, including £290 interest, £130 solicitor fees and additional court fees. I don’t know where this amount has come from, as on my credit file the default is registered as £2900.

Do I have any chance at all of defending my case? If my only choice is to settle the debt, is there any way I can get the amount reduced to the amount shown on my credit file, or even to the £750 I offered to pay back last year to partially satisfy the default?

Any help would be really appreciated as I feel on the edge of a nervous breakdown, I’m so desperate for this to not have any effect on my home. For once my baby isn’t the one causing me sleepless nights!

[charitynjw]

Hi

Where do you live? (E/W/S/NI)

When did you receive the court claim? (Form N1?).

Have you acknowledged it with the court?

[jlf44]

I live in the north.

Received the court claim almost 2 weeks ago, when I rang Lowell the other day they had me complete the affordability questions over the phone and said I didn’t need to acknowledge the claim form as they’d done that bit for me?

[charitynjw]

Arrhhhggg!

No, you need to do so yourself, or risk a default judgment/CCJ etc.

What is the date of issue on the N1?

[Amethyst]

Any idea how the debt rose from £2900 to £5000 ? Normally once it's with Lowell it stays as is - have they maybe added another debt to it ?

( acknowledge the claim ASAP )

[jlf44]

I’ve just double checked the claim and it’s dated 13th Feb, I didn’t receive it until the 19th so thought I might still be in time!!!! Is it worth me sending a late acknowledgement or is all hope lost?

Amethyst, I have no idea where the extra money has come from. No other relevant debts to be added, and no notification of the fee changing. They’ve put almost £5k on the claim form and on the letter they sent me after I received the claim, but the default is still £2900.

[charitynjw]

Have all your negotiations with Lowell been via the 'phone?
Have you acknowledged the alleged debt in writing?
As Amethyst says, acknowledge pdq (You still have time, but be quick.)

[jlf44]

Yes via the phone, I’m realising now what a mistake that was. I’m guessing I’ve fallen into one of their bullying traps!

[charitynjw]

Actually that could be a saving grace.
Legally, acknowledgement of a debt must be in writing for it to count (Limitation Act 1980).

So crack on with sorting out the court stuff.

We can then help you to sort out how to seek to protect your legal position (What letters to write, & to whom.)

[jlf44]

Ok I sent the acknowledgment on Friday. Have had a sickness bug making its way round the household this weekend so I’m just able to get back on here.

I have no idea about the process of a county court claim, what will actually happen next? And what is the worst case scenario, if we get to court and the judge finds in Lowell’s favour will I just be given a CCJ there and then with no way out?

I’m so stressed out about what this will mean for my family when our mortgage term is up!! I’m barley keeping my head above water at the minute after going back to work part time and losing half my income.

[charitynjw]

Yes via the phone, I’m realising now what a mistake that was. I’m guessing I’ve fallen into one of their bullying traps!

Nope.
As already stated above , phone stuff doesn't count.

[charitynjw]

Ok I sent the acknowledgment on Friday. Have had a sickness bug making its way round the household this weekend so I’m just able to get back on here.

I have no idea about the process of a county court claim, what will actually happen next?
You send in your defence within 33 days of the court claim issue date.
The court sends them a copy & may direct them to reply (usually within 28 days.)
The case will be allocated to your local court for the hearing.
You will receive a DQ (Directions Questionnaire - a simple form to fill out.)
You will be given the opportunity to go to mediation. (Out of court negotiation.)

And what is the worst case scenario, if we get to court and the judge finds in Lowell’s favour will I just be given a CCJ there and then with no way out?
While that could be the case, there are lots of ways to avoid this. (ie, google 'Tomlin Order')

I’m so stressed out about what this will mean for my family when our mortgage term is up!! I’m barley keeping my head above water at the minute after going back to work part time and losing half my income.

Try not to worry.
Were here to help.
Have a read through our suggested steps to deal with this.
https://legalbeagles.info/library/gu...y-court-claim/

Any questions, just post up on here.