Opus energy & Abbott DCA: best way to pay avoiding excessive charges?

[TVJonesClassic]

Having been through a very difficult few years I'm catching up with debts. I just received a demand from Abbott Debt Recovery warning of "our client's intention to instigate legal proceedings" for a bill for £1200 to which they have added, "the following estimated costs incurred by our client are to be added to your account and payable in full. Legal fees up to £595, Administration and interest £150."

I intend to pay the original bill in installments and could pay directly to Opus online. It might be relevant that a few months ago Opus offered me a full & final settlement of £900, but I'm only just now able to start repayments.

I intend to write to Abbott to ask for a breakdown of charges. This "estimated" and "intention to proceed" doesn't tally with "costs incurred" so I need to know if this is an advance fee demand (fraud.)

Does anyone have any other advice? Thanks.

[TVJonesClassic]

Re: Opus energy & Abbott DCA: best way to pay avoiding excessive charges?

I just rang Abbott before sending any letter, and they were quite reasonable. The letter was just threats, there is no legal activity or any extra charges being added at this stage. Their system is that they attempt to recover a debt on a repayment plan within 8 weeks, but will offer longer if proof of income and an income/expenditure form is supplied. And they did offer a full & final option.

So nothing much to see here, move along folks.

[FlamingParrot]

Re: Opus energy & Abbott DCA: best way to pay avoiding excessive charges?

I just rang Abbott before sending any letter, and they were quite reasonable. The letter was just threats, there is no legal activity or any extra charges being added at this stage. Their system is that they attempt to recover a debt on a repayment plan within 8 weeks, butwill offer longer if proof of income and an income/expenditure form is supplied. And they did offer a full & final option.

So nothing much to see here, move along folks.

You may want us to move along but I have a couple of comments on the above. It's always best to communicate in writing with DCAs, they can say whatever they want over the phone, then deny having said it.

If you do go for the full and final, there is a process you should follow, otherwise there's nothing stopping them from chasing you for the rest or selling it on to another DCA later on. It happened to me! http://www.legalbeagles.info/forums/showthread.php?41122-Aktiv-Kapital-chasing-old-outstanding-balance-after-settlement-(

To do a F&F, you need to get them to confirm acceptance of your offer IN WRITING, before making any payments. Ideally, the payment you make should be via a third party cheque.

Below is a letter to be sent if you wish to make such an offer.

Dear Sirs

Account Reference: XXXXXXXX

I write with reference to previous communication regarding an outstanding balance on the above mentioned account and wish to make an offer to resolve that will suitably please both parties.

I can confirm that I am unable to offer to pay the money which I owe in full, however I am able to raise £xx and wish to offer this as an ex-gratia payment in full and final settlement of the account. This offer is made on the clear understanding that, if accepted, neither you nor any associate company will take any other action to enforce or pursue this debt in any way whatsoever and that I will be released from any liability with no reference or future ability to quote or use Penny v Cole [Pinnel 1602] in trying to recoup any written off balance. I also request that, if accepted, you will mark any entry on a credit reference agency file relating to the above account as "satisfied" in full.

Payment can be made within 28 days of receiving your written agreement of this offer and confirmed preferred method of payment. Please write back and confirm if you're interested in my offer then I'll come back to you with more formal terms.

I look forward to your response.

Yours faithfully,

[TVJonesClassic]

Re: Opus energy & Abbott DCA: best way to pay avoiding excessive charges?

Wow, thanks for the warning FP, and the letter. Sorry to hear you got that kind of bother. I see that was June, what did you decide?

[FlamingParrot]

Re: Opus energy & Abbott DCA: best way to pay avoiding excessive charges?

Wow, thanks for the warning FP, and the letter. Sorry to hear you got that kind of bother. I see that was June, what did you decide?

Given the small amounts they are arguing about, as well as how close this must be to SBd, I decided to ignore their letters, and have not received any more.

Normally I wouldn't suggest ignoring them, but when you consider the cost of issuing a claim, I very much doubt they'd bother for that amount. However, the lesson was learned: never deal with DCAs over the phone, certainly never, ever agree an F&F settlement over the phone, or without the proper paper trail to make it as watertight as possible. Just look at this: http://www.legalbeagles.info/forums/...856#post406856 :mad2: :mad2: :mad2: