bank and debt collector problem

I have a friend who emailed me this. Its not my area of expertise being bank charges/renting somewhere.....

"I had this Lloyds TSB account which I stopped using 7 years ago with £0 balance (so I owed them nothing). I should have closed the account but I needed it for a while whilst I changed over at the time to the equally evil HSBC. So I then didn't close it down (which I should have done but I forgot about it).

"Anyway last month I had a letter from a debt collection agency saying that I owed them £155, and the debt had been passed on from Lloyds. So I phoned them and said "you'll have to try harder than that sonny jim - where is your evidence'? So they put it on hold to get some. They came back with Lloyds bank statements saying that a derict debit of £25 went out in 2010, and continued every month until my overdraft ran out (which was only £60) and then they charged me £100 for going over my overdraft limit and then passed it on to the debt ****ers. Well I certainly did not authorise this direct debit (I have not used the account in over 7 years), so this is clearly a case of identity fraud.

"I know that I should have closed the account or at least updated my address etc. so they could contact me about it, but I did not authorise this spending. I'm going to phone them again tonight to try and sort this **** out, but I'm worried that I might not be able to get it sorted.

"The other ****er about it, is that I will be moving into a nice flat. But today I've got to sign the disclaimer and it says 'Do you have any dodgy credit history'? Well for years I did, but for the last 5 years I've been totally clean, but now just as I'm moving in I get this **** from Lloyds. So I really need it sorting as you can imagine.

"Do you think I should mention it on the disclaimer, or should I not as this would be an admission of guilt, and as I am not guilty of this because it's fraud, why should I have to mention it?"

[Celestine]

Re: bank and debt collector problem

Personally I wouldn't say a damn thing!

Have Lloyds defaulted you? Have you checked your CRA for any information on this debt.

Lloyds have previous for this type of operation. They did it to me when I CLOSED my current account. 10 months later I get DCA letters demanding £180 for a DD/SO that went through and caused charges. When I went into the branch they said.
"Oh you didnt close your current account"
"Didn't I?"
"No, you closed your Savings Account"
"What savings account?"
" The one we opened as a courtesy to you but never told you about"
"Ahh that one! Thanks. Now close my ******* Current Account and stick your charges where they belong"



I love LLoyds

[The Debt Star]

Re: bank and debt collector problem

Thanks Cel. I'll pass it on, cheers.

[teaboy2]

Re: bank and debt collector problem

From 7 years ago!!

Well simply remind the sumbag debt collecter that the limitations act makes it clear that such debt would be statuted barred after 6 years without any payment or acknowlegdement towards the debt. Then remind them of the OFT guidelines that they are in breach of by trying to collect on such debt and tell them to go sit and swiffle - But before that tell them anyfurther communication from them regarding this matter will be deemed as not only harassment in breach of the protection from harassment act 1997 but also false representation under the fraud act 2006 which carries a more serious criminal punishment.

Also don't worry about credit rating as any default would drop of your file 6 years from the date the default was isssued which should have been at the time of the debt, IF the debt collector has place a default on your file and it is still there, then it is libellous and you should contact the credit reference agency to dispute it and issue a letter before action to the debt collector threatening to sue them for libel if it is not removed along with all notes they may have placed on your credit file in connection to this statuted barred account.