1st credit chasing a paid off debt

[Bettie Page]

Hello, I'm hoping for some advice please!

I had a credit card with Halifax, which was paid via a DMP with CCCS / Stepchange. When I took out the DMP, Halifax stopped access to my online account and I stopped receiving paper statements.

As far as I knew, this card was paid off by my DMP in September 2012.

In January, I received a letter from 1st Credit saying they had bought an outstanding debt from this Halifax card. The amount of this debt was the same as the original debt that Stepchange took over. I spoke with 1st Credit who knew very little about the actual debt, only that it was the Halifax card.

I've tried speaking to Halifax about this and they've told me they don't have any record of the debt. Stepchange have also spoken with them, and they say they don't have record of it either as their systems only go back 12 months (and the debt was paid off in 2012).

After looking online to see what the best course of action was, and speaking to Stepchange, I sent a 'Prove it' letter to 1st Credit, alongside a copy of all statements from Stepchange. This was sent on 4th March. 1st Credit came back to me to say they've put the account on hold while they investigated this. I asked for an update at the start of April and they said it was still being looked into.

My query now, is what to do next? 1st Credit aren't in a hurry to clarify anything, Halifax haven't been able to give me any information and now this debt is on my credit record as a default. It's hanging over me and stressing me out!

Is there a time limit that 1st Credit have to respond by?? Is there anything I can do to speed this process up?

Thanks in advance for any help or advice

[nemesis45]

Re: 1st credit chasing a paid off debt

Hi welcome to LB,

Can you supply some dates for the events as accurately as possible?
Stepchange should keep records for 6 years, it cannot handle other peoples money and have no record of their dealings after 12 months. To my mind this alone needs a formal complaint.
So far your dealings with Halifax and Step Change seem to me to be very wrong!

Do not rely on anything 1st Credit says on the telephone!! Keep all contact in writing.

So I suggest a Subject Access Request to Halifax to get all the data they hold on you and the account, if this was subject to a DMP in 2012 once again Halifax has to keep records for 6 years after an account is closed.

A SAR has a £10 Statutory Fee, ( Cheque or Postal Order Endorsed " For Statutory Fee Only". Halifax has 40 days to comply.

To keep this on a formal basis also send a CCA Request to Cabot for a copy of the agreement and current statement of the account.
A £ 1 statutory fee is payable and Cabot has 12 + 2 Working days to comply.
If Cabot cannot provide an agreement within the time scale the debt cannot be enforced in court until the agreement is found.

Best advice keep everything in writing Cabot is well known just to issue a court claim when a debt is disputed.
Templates are in the forum library for both requests.
nem

[Bettie Page]

Re: 1st credit chasing a paid off debt

Sorry, I'm not sure I follow what you're saying or if maybe I wasn't clear in my original post...

Stepchange have all my records and have sent statements to both me and Halifax. All my dealings so far have been in writing, nothing has been dealt with over the phone.

Who / what is Cabot? Do you mean 1st Credit?

[Bettie Page]

Re: 1st credit chasing a paid off debt

The timelines so far have been:

2008
I took out a DMP, which included the Halifax card balance of £2800

September 2012
Halifax card paid off via DMP

January 2015
- Letter received from 1st Credit stating that I owed £2800.
- Spoke to 1st Credit who knew little else about the debt, except that it came from Halifax.
- Spoke to Stepchange who contacted Halifax on my behalf. Halifax claimed to have no record of my account.

February 2015
- Ongoing conversations with 1st Credit, Stepchange and Halifax! Stepchange provided full statements which were sent to Halifax and 1st credit

March 2015
- Sent 'prove it' letter to 1st Credit on 4th March. They advised they'd put the account on hold while they investigated

Should I send the SAR letter to Halifax, then once I have that back forward the info to 1st Credit to close the account?

I also feel like I should raise a formal complaint against Halifax anyway for selling on a non-existent debt and then failing to help.

This is really stressing me out!