Advice for a freind re visit from Newlyns

[michellemouse]

Hi all,
This is my first post so apologies if I miss anything out.

I am trying to help a freind (actually genuinely, not the old it's not for me story). She had a council tax bill for somewhere in the region of £4000. She had set up a payment plan with the council to pay it but for whatever reason, didn't keep up with the payments. Last week she had a letter through the door from Newlyn which is a 'Control of goods' letter. She didn't ring them until today when I reminded her to. The contact centre said that they were not dealing with the account anymore and she would need to ring the enforcement officer direct. She did this but the EO was very rude to her. My freind explained to the EO she was in a bad place financially and that she could only offer £10 a week. The EO said this wasn't good enough and that she wanted £190 a week. My freind tried to explain that her husband only earns minimum wage and that would be almost as much a month as he takes home. The EO wasn't interested and said thats the only payment she can take. My friend phoned me and asked my advice on what she should do. I told her that she shouldn't have let it get to this place anyway but that she should ring back and hope to appeal to the EOs better nature. She called the EO back and she was a bit nicer this time saying that the least she could accept was £170 a month. The EO stated the if she wanted to make smaller payments she could pay what she wanted but Newlyns would still chase for the debt. I've advised my freind to make a payment however big or small this Friday when she gets her money to show willing and also contact citizens advice in the morning. She's really worried about Newlyns coming in and taking her goods as she has small kids in the house and doesn't want them seeing this.
Can anyone give me any advice on setting up a reasonable payment plan with Newlyn?

Thasks in advance

[josephbloggs]

Re: Advice for a freind re visit from Newlyns

newlyns just want the money paid plain and simple. they will have a set figure to work off re: length of arrangement from the local authority.
it sounds like the EA she spoke to is a first call EA, if nothing is sorted it will be likely passed to self employed bailiffs who will not accept anything less than the full balance.
removal of goods is unlikely. household goods will generally at auction fetch between 10-15% of their actual retail value at public auction.
a vehicle approx 25%
therefore the EA would need to take control of £40,000 worth of your friends goods to ensure full payment.
the amount outstanding suggests at least 4 years of unpaid tax.
It could be a case that given how long it has gone on for that newlyn are a second tier company for the authority and previous companies have been unsuccessful in collecting the debt. in the event they are also unsuccessful the council may consider further action (committal proceedings or bankruptcy or a charging order)

as this is a council tax debt. newlyn can not force entry, they can only enter if invited or if they open or walk through a door or usual means of entry.

i guarantee the cab will give their standard (useless) advice. they will ask for a hold to assess your friends financial situation - which will be denied by newlyn. they will advise not to let the bailiff in. they will probably try and get the council to interfere as well.

in summary any payment arrangement is purely discretionary - but newlyn will have a length of time to work off, which would likely only be altered by the council themselves.

[Milo]

Re: Advice for a freind re visit from Newlyns

newlyns just want the money paid plain and simple. they will have a set figure to work off re: length of arrangement from the local authority.

it sounds like the EA she spoke to is a first call EA, if nothing is sorted it will be likely passed to self employed bailiffs who will not accept anything less than the full balance.

removal of goods is unlikely. household goods will generally at auction fetch between 10-15% of their actual retail value at public auction.
a vehicle approx 25%
therefore the EA would need to take control of £40,000 worth of your friends goods to ensure full payment.
the amount outstanding suggests at least 4 years of unpaid tax.
It could be a case that given how long it has gone on for that newlyn are a second tier company for the authority and previous companies have been unsuccessful in collecting the debt. in the event they are also unsuccessful the council may consider further action (committal proceedings or bankruptcy or a charging order)

as this is a council tax debt. newlyn can not force entry, they can only enter if invited or if they open or walk through a door or usual means of entry.

i guarantee the cab will give their standard (useless) advice. they will ask for a hold to assess your friends financial situation - which will be denied by newlyn. they will advise not to let the bailiff in. they will probably try and get the council to interfere as well.

in summary any payment arrangement is purely discretionary - but newlyn will have a length of time to work off, which would likely only be altered by the council themselves.

Excellent response JB.

What I would add is that given the size of the debt it is almost certain that Newlyn will not be willing to accept a nominal amount of £10 per week and for this reason, it is vital that a letter is sent to Newlyn outlining the families circumstances and including an Income & Expenditure. If the families have any motor vehicles then these are at serious risk of being taken.

[wales01man]

Re: Advice for a freind re visit from Newlyns

About time these EAs see sense if the OP family income is miniumum wage there is no way they can pay £190 a week

[Milo]

Re: Advice for a freind re visit from Newlyns

About time these EAs see sense if the OP family income is miniumum wage there is no way they can pay £190 a week

It is for this very reason that debtors really should engage with the enforcement company at the Compliance stage and to provide a simple Income & Expenditure with proof of benefits to demonstrate that payments of £190 pew week are simply impossible.

If Newlyn review the financial situation and then respond by refusing to accept a sensible and affordable payment arrangement then that is the time to make a formal complaint to the council. Not before.

[Milo]

Re: Advice for a freind re visit from Newlyns

She's really worried about Newlyns coming in and taking her goods as she has small kids in the house and doesn't want them seeing this.

Can anyone give me any advice on setting up a reasonable payment plan with Newlyn? Thanks in advance

Michelle,

I have a website about bailiffs (which do not advertise on forums and certainly don't need to) and every day....without fail...the top page that is read is the one entitled:

"What can a Bailiff Take from my Home" (always followed by the one's about Liability Orders, Magistrate Court and TV Licensing, Statutory Declarations and Attachment of Earnings).

This is clear indication that the public believe that if a bailiff comes into the house he will probably empty the property (not so) and secondly, that they have to let the bailiff into the house (not so either).

Firstly, a bailiff may only enter the property by invitation (or in the rare event that a debtor left the door open).

Secondly, if a bailiff did come into the property the regulations provide that there is really not a lot of household items that can be taken. The official statutory list of exempt items is below:



Items or equipment (for example, tools, books, telephones, computer equipment and vehicles) which are necessary for use personally by the debtor in the debtor’s employment, business, trade, profession, study or education, except that in any case the aggregate value of the items or equipment to which this exemption is applied shall not exceed £1,350;


Clothes, beds, bedding, furniture, household equipment, items and provisions as are reasonably required to satisfy the basic domestic needs of the debtor and every member of the debtor’s household


Cooker or microwave, fridge, washing machine, dining table and dining chairs to seat the debtor and every member of the debtor’s household.


Land line telephone, or a mobile phone


Sufficient lighting and heating facilities


Medical equipment and items needed for the care of a child or elderly person.


Safety and security equipment, eg. burglar alarms, locks and CCTV system


Domestic pets and guide dogs


Any vehicle displaying a valid disabled person’s badge, British Medical Association badge or other health emergency badge.