Starting a claim against creditor who has sold debt

[stark13]

Hi everyone, I want to bring a court claim against a creditor (short term loan company) for irresponsible lending. I already made a complaint directly to the original lender who didn't agree and then it was referred to the FOS who also didn't agree but I still want to pursue in court as I think they're wrong and can prove it in court.

The problem is the debt has been sold onto a debt collector who now hold the rights to the debt. So who do I bring the court claim against? The debt collector or the original lender? The debt collector is saying they were not involved in issuing the original loan so they are not the right party. However the loan on my credit file is now under the debt collectors name and have all rights to the debt so not sure who to issue this against?

Thanks in advance!

[echat11]

It would be the 'short term loan company', that is where the dispute originated. Where did the 'irresponsible lending' occur? - the 'short term loan company.

It might be an idea to wait for other members comments. Don't forget Pre - Action protocols stated in the CPR.

[des8]

"You claim a refund from the original lender, not the debt collector that has bought the debt. It was the original lender that did not check properly you could afford the loan, so they have to refund you"

quote from: .https://debtcamel.co.uk/payday-loan-refund-dmp/

[stark13]

But if I take it to court won't the original lender just say that they don't own the loan anymore?

[echat11]

But if I take it to court won't the original lender just say that they don't own the loan anymore?

They owned it when the 'irresponsible lending' took place. The current owner didn't carry out 'due diligence' on you, the 'original lender' did.

[stark13]

Thanks, sorry few more questions. The loans aren't fully paid off so can I submit the claim through MCOL or do I have to use another route? Basically I want them to refund the interest to the loan account so it reduces the balance and also remove the default as its unaffordable lending. What section of the Consumer credit act would I be relying on in the claim form/particulars?

[des8]

If you intend to bring a claim for professional negligence I suggest you first read the relevant CPR: https://www.justice.gov.uk/courts/pr...tocol/prot_neg

and if this is your first foray into the courts these links are worth reading:
https://www.judiciary.uk/publication...-civil-221013/
https://www.judiciary.uk/wp-content/...+web+FINAL.pdf

You can use MCOL

[stark13]

Thank You. I am moving house soon and I have already issued the claim at my old address. How do I change my address with the courts? The claim has already been served on the Defendant. Will this delay proceedings in any way?

[des8]

CPR6.24 Where the address for service of a party changes, that party must give notice in writing of the change as soon as it has taken place to the court and every other party

Can't find a form, so write letter.
Due to current court delays might be worth phoning them

[stark13]

Thank you!

[stark13]

Sorry another question please! The creditor is part of a financial group which has various brands. I have taken out credit products with 2 of these brands and want to make a legal claim against both. Can I do this in one claim and serve the claim on the parent company?

[des8]

If the "brands" are separate limited companies, each would need to be served individual claims.

If not, you may be able to serve on "the holding company trading as XYZ".
Will probably be complicated trying to make a single combined claim against two different subsidiaries

[stark13]

Hello everyone, me again! So where I'm at now... The defendant didn't respond on time so I filed for default judgement online, I got a message saying it could take up to 10 days for the judgement to be issued. Then before the judgement was issued the Defendant responded with their defence so the court cancelled the issue of judgement. Is the Defendant allowed to do this even though they missed the deadline? I called the helpline and the advisor said that as the Defendant responded before the judgement officially being issued that it was correct. I really don't understand what the point in the deadline is then!? They responded after that deadline and I filed for judgement prior to this. The 10 days is the court processing time. FYI I used OCMC, any help would be much appreciated!

[des8]

Hello everyone, me again! So where I'm at now... The defendant didn't respond on time so I filed for default judgement online, I got a message saying it could take up to 10 days for the judgement to be issued. Then before the judgement was issued the Defendant responded with their defence so the court cancelled the issue of judgement. Is the Defendant allowed to do this even though they missed the deadline? I called the helpline and the advisor said that as the Defendant responded before the judgement officially being issued that it was correct. I really don't understand what the point in the deadline is then!? They responded after that deadline and I filed for judgement prior to this. The 10 days is the court processing time. FYI I used OCMC, any help would be much appreciated!

Perfectly normal for defences filed late to be allowed.

[stark13]

Thank you, out of interest does the judgement in default form n225 have to be served on the Defendant?