1st Credit Question

[hopefulone]

Hi,

I've recieved a letter this morning from 1st credit entitled Bankruptcy Proceedings Being Considered. The letter states they are considering a statutory demand under the insolvency act 1986 as they're unaware of any legally valid reason for non payment or of a reasonable offer being made. The letter relates to a credit card debt with OPUS (previously citibank) of £2,583.66.

Firstly I should state that I fully intend to pay this debt off. I was on a DMP with the CCCS until I seperated with my spouse last year and all of our debt was included on the DMP both joint and individual. When we seperated the DMP was cancelled and I have been negotiating creditor by creditor to try to freeze interest and agree payment plans etc. Financial commitments are rent, child maintenance, debts, utilities etc as my wife remained in the marital home and I moved out. My wife has taken up another DMP with the CCCS but I wanted to do this myself as although the CCCS are reputable I felt they are never going to be as committed to get interest frozen etc as I would be when it's my debt!

Prior to finding this forum I took a call on Saturday from a lady from 1st credit. I explained the circumstances and made an offer to pay of £60 per month. she advised I was in the bankruptcy cycle? and that they could only accept £108 per month over 24 months. I was then asked whether I had any equity in my home etc and she advised she would have to speak to her boss and come back to me this week. I've not heard anything yet.

Following the call and after finding this forum and reading up on 1st credit I sent the following email

Further to our telephone conversation this morning, can I ask that any discussions relating to monthly payments, bankruptcy (which was mentioned by yourselves) are put in writing. I am also seeking advice from the CAB on this matter.

Through personal distress and financial hardship I am endeavouring to settle the outstanding monies owed to my creditors. I reiterate the offer made today of £60 per month. I cannot increase that offer without upsetting arrangements with my other creditors whom I am also trying to deal with on a fair basis. In addition to this can I add that less than £60 a month was accepted by OPUS when I was in an debt management plan with the CCCS. My financial circumstances have worsened since then following the breakdown of my marriage and subsequent seperation.

I look forward to hearing from you in due course and I appreciate your understanding on this matter

I've not recieved any response to this or acknowledgement of receipt and I'm not sure where to go with it next. I have a feeling they will follow up on saturdays conversation with a telephone call and ignore my requests to put things in writing so my feeling is I should send them a letter? Should I send a letter and make a payment of £60 to back up my intention to pay?

Help please?

[teaboy2]

Re: 1st Credit Question

Send 1st credit a cca request if they don't respond to it in 12(+2) days, they will be in default of your request and no longer entitled to enforce the debt. As a DCA they will have to get the credit agreement from the creditor and as the original creditor was Citibank it will have to have Citibanks logo on it, anything else would make it invalid, and i doubt OPUS have a copy of the originally credit agreement either.

Heres a Template for your CCA request.

Your Address

Date

Dear Sir/Madam

Re:− Account/Reference Number 4563210025897412

This letter is a formal request pursuant to s.77/78 of the Consumer Credit Act 1974. I require you to provide me with a true copy of the credit agreement relating to the above account, together with any other documentation the Act requires you to provide.

I expect you to comply fully and properly with this request, within the statutory time limit. You are reminded that should you fail to comply with my request, the provisions of s.77(6) will apply.

(DELETE THIS BELOW IF YOU ARE SENDING THE LETTER TO THE ORIGNAL CREDITOR AS OPPOSED TO A debt collection AGENCY)
If it is your view that you are not the creditor, s.175 of the CCA 1974 applies in the case of a simple assignment, and places a duty upon you to pass this request to the creditor. In the case of an absolute assignment, you are a creditor as defined by s.189. If you contend that you purchased the rights but not the duties of any agreement, you are reminded that s.189 of the Act is clear that an assignment is of both rights and duties.

Your attention is drawn to ss.5(2), 3(b),6 and 7 of the Consumer Protection From Unfair Trading Regulations 2008 (CPUTR).

I enclose a postal order in the sum of £1.00, which is the statutory fee. Note that these funds are not to be used for any other purpose.

If you are unable to comply fully and properly with this request, you should confirm this in writing at the earliest opportunity, and certainly within the statutory time limit for compliance, and return the fee.

As for your threat to begin Bankruptcy proceedings, i refer you to the OFT Debt Collection Guidelines referring to using Statutory Demands abusively to attempt to enforce a debt and in regards to refusing my previous offer of repayment of £60 per month. Such a refusal to accept my offer of repayment may be a breach of OFT Debt Collection Guidelines.

We look forward to hearing from you.

Yours faithfully

PRINT NAME DO NOT SIGN BY HAND

If you receive a satutory demand despite sending the above, let us know, and let us know if it was delivered by hand or by the postman in the mail. As they most now serve satutory demands by hand to be valid. Plus we will work on getting it set aside which will be easy if they do not respond to the above letter with a copy of your CCA agreement.

You should also consider sending them a subject access request too.

[labman]

Re: 1st Credit Question

ist Crudit are known for their threats of bankruptcy. While obviously I cannot guarantee anything, I'd not be too worried about it. Follow Teaboy's advice and make some payments (only what you can comfortably afford) as your intention is to repay the debt anyway. If there is no CCA agreement, things begin to look somewhat different.

[messimoo]

Re: 1st Credit Question

I had a case discontinued by the courts last year by them then they decided to pass over to connaughts (also part of crud) , who posted by RM a stat demand to me I reminded them gently (lol) via E mail that it had already been thrown out of court and they slunk back under thier stones

[hopefulone]

Re: 1st Credit Question

Thanks so much for the response. Just for clarification do I make a payment of £60 to show intent to pay and send the CCA request or just send the CCA request?

[miliitant]

Re: 1st Credit Question

I had a case discontinued by the courts last year by them then they decided to pass over to connaughts (also part of crud) , who posted by RM a stat demand to me I reminded them gently (lol) via E mail that it had already been thrown out of court and they slunk back under thier stones

38.7

38.7 I TAKE IT, BET 1st crud loved you

[hopefulone]

Re: 1st Credit Question

Just to add something extra to the mix - on the back of the letter where it states the different payment methods in bold it says part payments will be accepted as a token gesture and will not effect the status of the account?

Should I pay a payment? and does the above suggest it wont affect the balance?

[teaboy2]

Re: 1st Credit Question

No wait till you receive a response from them to the CCA request. Instead of Paying £60 to them set up a post office account and pay it into their each month, until they accept your offer. If they accept your offer let us know and we will draw up a letter making it a binding aggreement to accept your monthly repayments (e.g. by accepting my payment of £60 you hereby agree to a monthly repayment of a maximum of £60 per month until the debt is repaid).

However if they do not supply you a copy of the original credit agreement. Well then its up to you if you pay them anything or not as paying it will not get rid of the default on your credit file, and if they are not entitled to enforce the debt, then why waste £60 a month when you will still have a default on your file which drops off after its been on your file for 6 years.

[hopefulone]

Re: 1st Credit Question

Thank you so much for your help. I'll get the postal order tomorrow and send by recorded delivery so it has to be signed for. I really really appreciate the helpful responses. I'm big enough and ugly enough to deal with these things but clarity is hard to find sometimes, especially when your not educated on what DCA's can and can't do.

I'll let you know if and when I recieve a response

[teaboy2]

Re: 1st Credit Question

Thank you so much for your help. I'll get the postal order tomorrow and send by recorded delivery so it has to be signed for. I really really appreciate the helpful responses. I'm big enough and ugly enough to deal with these things but clarity is hard to find sometimes, especially when your not educated on what DCA's can and can't do.

I'll let you know if and when I recieve a response

Your more than welcome Hopefulone

[hopefulone]

Re: 1st Credit Question

Hi,

I recieved the following letter yesterday from 1st credit, not sure whether I need to respond or whether to wait? I sent the previous letter exactly as you advised and this was the response. Can you let me know your thoughts - thanks

We refer to your recent communication requesting a copy of the relevant agreement

The document you have requested is retained by our client. We will therefore advise them of your request and arrange for the document to be sent to you as soon as possible.

Should your request also include the below documents, please be advised of the following

Deed of Assignment - we would refer you to Section 136 of the Law of Property Act 1925 which provides that the debtor is notified of the assignment of the debt in writing and not a copy of the deed itself.

Copy statements - there is a £10.00 charge for this information

On receipt of the copy agreement we would expect you to contact this office immediately to arrange settlement of the debt

Please call the office should you wish to discuss this matter

[teaboy2]

Re: 1st Credit Question

No need to respond to the letter they sent you there just acknowledging your request for the CCA. If they do not provide the CCA to you within 14 days + 2 days from the date you sent the request then they will be in default, and as such they can not enforce the debt via the courts. If they do provide the agreement, check to see if its actually yours or someone elses and let us know, if it is yours, post it up minus your details and we will check to see if it is enforceable or not. If it isn't yours then you should inform 1st credit of their breach of the data protection act 1998 and make a complaint to the information commissioners offices and the office of fair trading.

[hopefulone]

Re: 1st Credit Question

Ok, thank you. I sent the request by recorded delivery on the 10th May and it was signed for on the 11th May so is there deadline from the 10th or the 11th and is it working days or calendar days?

I really appreciate your help, thank you so much. All phone calls have ceased at present as well as the texts.

[teaboy2]

Re: 1st Credit Question

its from the date they received it and its calander days. I think its actually 12 days + 2 days postage and not 14 days, but give them 14 days anyway to be on the safe side then when the deadline passes send the a letter stating they are in default of your request under section 77/78 of the consumer credit act 1974, a such they are not entitled to enforce the alleged debt whilst they remain in default of your request. Enforcement includes making demands for payment as it would be unfair to demand payment when it is not known if the alleged debtor is legally liable whislt they remain in default of your request, but enforcement also includes court/legal action.

[hopefulone]

Re: 1st Credit Question

Hi, further to my previous posts its now been 18 calendar days and I've not recieved anything other than the letter stated on my last post. No copy of the credit agreement. What should I do next?