Philips and Cohen requesting money from deceased parent?

[np90]

Morning, wondering if someone could please help.*

So we've been receiving letters from Phillips and Cohen for the past couple of months. My dad passed away end of 2018. We've now received letters stating he owed over 13 grand!! To lombard now rbs, I know he had a loan in 2000, but me and my mum thought was all settled and had no idea about this...*

There was no letters or anything in regards to that for years, and we had no idea it existed!*

He was on and off work with poor health mid 2000, but went back after a period of time, there's no way something like this my dad would have been tucking under the carpet for well over ten years at least!*

So as you can imagine is a complete shock, he didn't leave a lot of money but that has all gone to my mum to help her out, I am the executor of the estate and have nothing of his in my name, his assets were way below the threshold so the house has now gone straight to my mum,*

Also noted is they don't have anyone's names, they only put the executor of the estate, not mine or my mums name..*

I haven't replied at all to their letters but they have sent another one saying response requested...**

If anyone could please advise that would be great thanks*






*

[MIKE770]

Amethyst*

[des8]

How was the house owned : as joint tenants or tenants in common?

Was the money your father left in a joint account with your mother or in his sole name?
If in his name only*do you know the source of the funds? Could it be eg state pension or pension credit for both of them?

I don't suppose you placed a deceased's estate notice in the Gazette?

[np90]

fairly sure it was tenants in common - we had a probate etc done cause there was no will in place, and cause the estate was below threshold all has now gone to my mum.

the money left was solely in his account - and it was from a private pension he had cashed out a few years earlier. That money because it was below the threshold as well was withdrawn by the bank straight to my mum.

The thing is after all this time id have thought if they wanted to pursue a debt they would have when he was alive?! Not now after all these years and especially now hes dead...

We didnt post anything in the paper, however what we did do is send out PPI letters to various products over the years. Lombard/ RBS was one of them so assuming it has arisen from that from where it was dead and buried...

Thanks

[des8]

How much money (approx) was left in your father's account?
Is there any indication in your father's account that he was paying off this alleged loan?
If it exists it could well be statute barred if it has not been acknowledged in the past 6 years.

Tagging Amethyst for advice

[Amethyst]

I'd write back as executor and formally inform them of your dads passing, say that you have no evidence of any debt being owed to Lombard, can they provide a copy of the agreement and a full breakdown /list of transactions as you believe if there were any debt it would be time barred under the limitations act.*

Did anything happen with the PPI claim ?*

*

[np90]

Bit of a delay as been a crazy year so far! but we havent received another letter from them since earlier this year...

however what we have now received is a ppi letter from Lombard about 12grands worth? please see attached,

I was obviously quite excited however after reading through the fineprint and doing some research online - it seems these banks are a bunch of sneaky **********

I was speaking to someone else who had a look and said theoretically the debt isnt enforceable as its over 6years old, and im guessing if i accept the banks offer of ppi i will be acknowledging this debt im assuming?

thanks

*

[np90]

Afternoon all,

So weve received a cheque through in regards to the ppi claim and now a legal team have sent a letter to send the money over... But if someone could please advise if its worth the risk?

Outstanding debt was £13k and ppi payment is aroudn £13k or just below whats owed

Im assuming the debt was stature barred all these years, but im reading up that the bank will essentially use the ppi paid to offset the debt on the account? Could someone please confirm or if im okay to deposit the money..

Dont want to create more issues and stress due to the temptation!

[des8]

Have they actually proved there is an outstanding debt as per post 6?

It is possible that your father had paid the debt off as suggested in your posts 1 & 4 and there is nothing outstanding.

[np90]

So we have received letters from Philip and Cohen which have now stopped in regards to the debt, and i made a ppi claim to various banks etc and got a cheque through...

And im sure the debt probably hasnt been paid off as he was on/off work for a while

[ostell]

Deposit the money in an account but do not spend it

[des8]

So if you agree the debt exists.
The Limitation Act altho' making it unenforceable in court against the debtor doesn't extinguish the debt,

There may be an argument that the estate is a separate legal entity to the deceased and that limitation clock is reset and so sec 21 of the Limitation Act would apply.
If that is the case (and I am not saying it is!) and the creditor is not paid, the creditor could pursue the administrator through the courts.

On the other hand if the creditor is paid and the argument above is incorrect, the beneficiaries could pursue the administrators for the shortage in their legacies.

As executor you have some personal liabilities here, which are not time limited!
You haven't protected yourself by posting a notice in the gazette, and you seem uncertain as to how the house was owned.
I don't suppose you took out executor's liability policy/

Suggest you obtain professional advice

[np90]

So the house etc has all been paid off, and was as tenants in common but thats all in my mums name now, philips and cohen have stopped and gave up with the letters,

but the ppi claim is basically the amount owed, im assuming the time limit woudnt apply to me as the debt woudl have been statute barred right?...

It cant reset after the death of the signatory who took out the loan and pass to the executor can it?

[des8]

So the house etc has all been paid off, and was as tenants in common but thats all in my mums name now, philips and cohen have stopped and gave up with the letters,

but the ppi claim is basically the amount owed, im assuming the time limit woudnt apply to me as the debt woudl have been statute barred right?...

It cant reset after the death of the signatory who took out the loan and pass to the executor can it?

The debt is statute barred, but not extinguished.
There is conflicting information about a personal representative's obligation to pay a debt which might be time barred under the Limitation Act 1980.
No one seems certain

As you have received the PPI cheque the bank have not used it to offset the outstanding debt.
From that you could assume they sold it to P&C for pennies.
Whether or not P&C would try and enforce a debt which has been statute barred is probably unlikely, although they will intermittently chase it.
As Ostell suggested, pay the cheque in but don't let your mother (the beneficiary?) spend the proceeds until you are sure they won't come after it!

[np90]

Considering the age of the debt, im assuming there woudnt be any interest owed on it would it? Like it woudnt have accrued additional debt in the form of thousands to then subsequently repay?

Would it be a case of the recipient needs to bite / bank the money then the case reopens and the bank can then chase or demand payment?