Scotland - Cabot Debt Chasing Advice

[echat11]

The first thing to do is check if the document is fully compliant -

https://lawzone.legal/when-is-a-cred...20Credit%20Act.

https://www.handbook.fca.org.uk/hand...ate=2016-03-07

Update once you've checked.

[coolhandct]

The first thing to do is check if the document is fully compliant -

https://lawzone.legal/when-is-a-cred...20Credit%20Act.

https://www.handbook.fca.org.uk/hand...ate=2016-03-07

Update once you've checked.

Hi

Ive checked and it looks fine. It is an actual photocopy and is headed "Fixed Sum Loan Agreement regulated by the CCA 1974. It has my signature and even shows info provided when I applied such as occupation, dob, tenancy, employment, bank details etc

[echat11]

Wait for loan the CCA information on loan 2.

Then fill in the income and expenditure form, these are non priority debts.So say you are left with £50 each month after expenditure, work out pro rata for each loan. Clearly loan 3 gets the biggest contribution. Give yourself a bit of 'head room', don't commit to paying more then you can afford each month. If the matter ever went to Court, the Court will only ask you to pay what you can afford.

https://nedcab.cabmoney.org.uk/

I know your in Scotland - here's the UK CAB, templates at the bottom of the page.
Add your personal circumstances, i.e. health, work, dependants etc

https://www.citizensadvice.org.uk/de...ay-your-debts/

Update when you get a response.

[coolhandct]

Wait for loan the CCA information on loan 2.

Then fill in the income and expenditure form, these are non priority debts.So say you are left with £50 each month after expenditure, work out pro rata for each loan. Clearly loan 3 gets the biggest contribution. Give yourself a bit of 'head room', don't commit to paying more then you can afford each month. If the matter ever went to Court, the Court will only ask you to pay what you can afford.

https://nedcab.cabmoney.org.uk/

I know your in Scotland - here's the UK CAB, templates at the bottom of the page.
Add your personal circumstances, i.e. health, work, dependants etc

https://www.citizensadvice.org.uk/de...ay-your-debts/

Update when you get a response.

Hi

Thanks again for reply.

Its probably worthwhile giving a little more context.

As mentioned we took out a mortgage in Aug 23 for 12 years and were on a 5 year fixed rate.

Despite the money I owe in view of the time these debts occurred all have dropped from my credit file except one which was defaulted late i.e. Nov 20.

This meant we had to get the mortgage via a sub prime lender Kensington. In view of that and our ages the mortgage payment is high each month but affordable.

The one default I have is due to drop off in Nov 26.

Our plan was that at that time depending on what the interest rates are sitting at was to get on to a lower fixed rate as my credit would be clean in terms of credit file.

For that to happen I obviously dont want any of these loans 1, 2 or 3 impacting my credit.

As they cant be redefaulted this could only happen if they take me to court etc.

As such ideally I was hoping they may accept a lower pay off but in short to medium term may be happy with me paying instalments.

If I can get to that point then depending on what has happened with the debts I may look at that time to some kind of official debt plan which Im aware would go on my credit record but by that time I will be on a better mortgage deal.

At all costs if possible i want to stop court action.

I am a little worried therefore waiting for loan 2 CCA as they are already threatening court action on loan 3 if I dont reply.

I do have some leeway with what I can pay across the 3 loans.

I hope that makes sense.

[echat11]

Fill in the I & E form, you will then know how much you can afford to pay each month. Say you can offer £100 in total for all 3 debts each month, start with an off of £70, so you can still offer £100 if they reject the £70. Remember you I & E must be reflective.

You can send the following letter with the I & E.

https://www.citizensadvice.org.uk/de...itor---letter/

[coolhandct]

Fill in the I & E form, you will then know how much you can afford to pay each month. Say you can offer £100 in total for all 3 debts each month, start with an off of £70, so you can still offer £100 if they reject the £70. Remember you I & E must be reflective.

You can send the following letter with the I & E.

https://www.citizensadvice.org.uk/de...itor---letter/

Hi

I received the following letter from Nolans on Friday.

As you can see they have rejected lump sum offer....no suprise.

They have also rejected offer of £25 per month in view of amount outstanding approx £12500k unless its with the security of a Decree & Inhibition.

They advise they would consider a higher monthly offer without this.

So at present 1 loan - £6653 paying £25 per month for one year just now.

2nd loan as per this letter.

3rd loan - I questioned the validity of paperwork provided and they refer to this in attached letter saying awaiting info.

Im assuming the Decree & Inhibition is essentially a charge on property preventing sale, I assume this would show on credit file and would also be notified to mortgage lender.

If that is correct based on what Ive already informed you I want to avoid this at all costs until I have a chance to potentially renegotiate mortgage at end of 2026 when if all remains as is the final default would drop from credit file leaving me clean credit and chance to get on better mortgage terms.

If that is achieved then afterwards assuming all 3 loans are still being pursued I can consider other options.

For now my own thoughts are to write back increasing monthly offer to £50 per month without the Decree etc.

As this is double the amount Im paying for the loan slightly more than half the value Im hopeful this should be accepted.

I do have some flexibility in what I can offer for the 3 loans albeit with some adjustment to lifestyle.

The hope is that I can either tide things along and hope they may offer me a reduced lump sum settlement or until end 2026.

As always your advice would be greatly appreciated.

[echat11]

Hi

I received the following letter from Nolans on Friday.

As you can see they have rejected lump sum offer....no suprise.

They have also rejected offer of £25 per month in view of amount outstanding approx £12500k unless its with the security of a Decree & Inhibition.

They advise they would consider a higher monthly offer without this.

So at present 1 loan - £6653 paying £25 per month for one year just now.

2nd loan as per this letter.

3rd loan - I questioned the validity of paperwork provided and they refer to this in attached letter saying awaiting info.

Im assuming the Decree & Inhibition is essentially a charge on property preventing sale, I assume this would show on credit file and would also be notified to mortgage lender.

If that is correct based on what Ive already informed you I want to avoid this at all costs until I have a chance to potentially renegotiate mortgage at end of 2026 when if all remains as is the final default would drop from credit file leaving me clean credit and chance to get on better mortgage terms.

If that is achieved then afterwards assuming all 3 loans are still being pursued I can consider other options.

For now my own thoughts are to write back increasing monthly offer to £50 per month without the Decree etc.

As this is double the amount Im paying for the loan slightly more than half the value Im hopeful this should be accepted.

I do have some flexibility in what I can offer for the 3 loans albeit with some adjustment to lifestyle.

The hope is that I can either tide things along and hope they may offer me a reduced lump sum settlement or until end 2026.

As always your advice would be greatly appreciated.

Offer the higher amount (increasing monthly offer to £50 per month without the Decree etc)

All the debts need to tie into your I & E, they know this, you need to show this, but you need to afford all the daily essentials i.e. food etc.

[coolhandct]

Offer the higher amount (increasing monthly offer to £50 per month without the Decree etc)

All the debts need to tie into your I & E, they know this, you need to show this, but you need to afford all the daily essentials i.e. food etc.

Thank you

I will send letter offering £50 and see what happens.

This may be a bit of a daft question but in regards to the I&E.

Stuff like a cinema subscription or broadband or BT TV. Would they view that as something I shouldnt have, likewise things like getting a takeaway or eating out....whilst its listed under housekeeping total rather than individually mentioned, again would they view this as simply something we shouldnt be doing i.e. as I owe this money I should effectively be working then staying in all the time with no perks as such.

On the other hand when trying to work out housekeeping etc food, toiletries this can vary greatly each month.......one week or month I may need more or may need new clothes etc.

[echat11]

Thank you

I will send letter offering £50 and see what happens.

This may be a bit of a daft question but in regards to the I&E.

Stuff like a cinema subscription or broadband or BT TV. Would they view that as something I shouldnt have, likewise things like getting a takeaway or eating out....whilst its listed under housekeeping total rather than individually mentioned, again would they view this as simply something we shouldnt be doing i.e. as I owe this money I should effectively be working then staying in all the time with no perks as such.

On the other hand when trying to work out housekeeping etc food, toiletries this can vary greatly each month.......one week or month I may need more or may need new clothes etc.

Example - If you have subscriptions to Netflix, Prime and 10 other subscriptions, then that would get them 'rattled'. If you got a couple, you can justify what you have against any perception they have, you can say they are needed for your mental health, has 'mindfulness' programmes etc. So justify the things which might seem as a 'luxury' but you have to have them for your 'welfare'.

[coolhandct]

Example - If you have subscriptions to Netflix, Prime and 10 other subscriptions, then that would get them 'rattled'. If you got a couple, you can justify what you have against any perception they have, you can say they are needed for your mental health, has 'mindfulness' programmes etc. So justify the things which might seem as a 'luxury' but you have to have them for your 'welfare'.

Hi

Probably another daft question but in your experience in dealing with Nolans (Cabot) or providing guidance to individuals like myself is there a lump sum offer in terms of % total debt that they are more inclined to accept.

Also can the amount they paid to purchase the debt vary greatly?

I had heard that they may only actually pay 10-20% of the sum outstanding to purchase a debt.

[echat11]

Hi

Probably another daft question but in your experience in dealing with Nolans (Cabot) or providing guidance to individuals like myself is there a lump sum offer in terms of % total debt that they are more inclined to accept.

Also can the amount they paid to purchase the debt vary greatly?

I had heard that they may only actually pay 10-20% of the sum outstanding to purchase a debt.

I think you need to keep to a one 'strategy', offer increasing amounts of F & F Offers to settle the account / s will only embolden them to ask for more and more. Once you've got the mortgage out of the way, then you can tackle things 'head on'.

[coolhandct]

Hi

Received letter in response to my increased offer of £50 with no decree and inhibition.

They have basically said in view of sums due whilst they would be willing to accept installments and installment offer would require security of Decree and Inhibition and as long as offer was adhered to would be no requirement to enforce other than putting inhibition in place. There is also a bit saying if I wanted to make an offer to repay the sums in full they would not proceed with court action.

Can you advise what implications this may have on my credit file and also potentially with mortgage company.

Also is there anything else you can advise in order to prevent this.