Debt Transfer to a Debt Agency - Mortgage Age Discrimination

[Noah]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

When you talk about sale not being allowed in law have you been looking at other so called debt web sites that claim to be able to get you out of debt for free?

Most , if not all , debts have a clause in the agreements where they can assign your debt to anyone they like at any time and there is nothing you can do about it I am afraid however if you have an arrangement with creditor A who then sells your debt to creditor B they must maintain that arrangement

As for the rest i am afraid I do not know

[Amethyst]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

I was paying £300 per month and only about £80 was going to my debts - the original plan was for £150 to go to my debts - I complained about this as it meant £220 was being paid against the Compass fee. Their response was that their terms state that the fee is added to the debt amount and any surplus from the monthly token payments goes against their fee. Accordingly, the fee of £9000 (!!!!) was still outstanding over £5000 after 2 years. Not satisfactory but there was little I could do about it.

.

Bloody hell. That's pretty bad even by the most expensive DMP provider standards - about 70% of your payments ? - see http://lbcompare.co.uk/find-debt-management-companies for others.

£300 a month over 2 years = £7200

£80 a month going to debts = £1920

Fees paid - £5280 ( £220 monthly)

and they said they had £5000 outstanding after those two years?

your overall debt was what £80k ? so their fee was something like 15% to be paid over the first 2 years? Don't suppose you have a copy of their terms do you ?

[Debt Camel]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

Well I am guessing here, but I suspect they were one of the DMP firms that were going in for the definitely dodgy practice of making token payments to lenders and saving up the rest in the hope of making low full&final offers.

The problem with what sounds like a great wheeze is that some creditors see from the income & expenditure what game is being played and promptly refuse to freeze interest.

[Wingco]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

Hi Noah
You are right - I have read elsewhere that you can challenge the transfer. My understanding, backed by the CCA template letter, is that all you are doing by seeking the CCA paperwork is preventing the DCA from taking you to court or demanding full repayment. Is my thought correct?
Many thanks for unravelling that particular point - I was aware that certain other sites were overly optimistic about the value of the CCA and that it would wipe out the debt! I now know that is not true., but thanks for the clarification.
But it does seem that some DCAs leave you alone if you send the CCA letter implying that they will not seek repayment although the debt remains for a further 6 years before becoming Statute Barred. I'm not going down that route. I'm just hoping to get some low Full & Final Settlement offers once they realise I know what I'm talking about (for a change).
I often wonder if the DCAs read our CCAs and think, "Oh no. Not another Legal Beagles person" ('person' might be a stronger word than 'person')

[wales01man]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

Where is the evidence you can stop the transfer of a debt to another?

[Amethyst]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

I agree with your approach Wingco - sending a CCA request, giving them 14 days to find it (then it becomes unenforceable UNTIL they find it - but unenforceable doesn't mean they won't bring court action, just that they shouldn't be awarded a judgment ) - and then making a nice low offer - saves them the bother of having to find the agreement and gets cashflow in.

[Wingco]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

Their initial calculation of my DMP debt was £90K and they charge 10%. But it took a long time (3 months) for certain lenders to agree to the DMP (GE Money were one of the toughest - bless them) . Accordingly, for the first 3 months, even less was paid to my debt. Eventually, the £80 was the stable amount and I never got a satisfactory answer as to why so much was being taken to fund their fee rather than my debt. Perhaps I now know why!
Even then, the total debt that it appeared they were placing in the DMP was £87K.
I don't feel obliged to pay off in full as a number of my creditors took credit card balance transfers at 0% for at least 6 months or more normally a year with standard variable rates to follow. In reality, the SVRs rapidly escalated to over 30% and it was impossible to fund the minimum payments as my business income reduced. As someone said, MBNA in particular were notorious for whacking massive interest rates on cc transfers after a few months. Capital One did the same; I know they are perfectly entitled to do that but it does stick in my throat and seems unethical. So if I can obtain some reasonable FFS figures, I'll be happy.

[Wingco]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

Thanks Amethyst. My fear is that if I stop payments they will file a default credit report which would adversely affect my mortgage extension case in August 2017. Can they file if they can't produce the paperwork?
I'm about to go VIP as I'm getting great assistance from your site. Much appreciated.

[Wingco]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

Well I am guessing here, but I suspect they were one of the DMP firms that were going in for the definitely dodgy practice of making token payments to lenders and saving up the rest in the hope of making low full&final offers.

The problem with what sounds like a great wheeze is that some creditors see from the income & expenditure what game is being played and promptly refuse to freeze interest.

Compass were able to freeze interest and bank charges for which I'm eternally grateful. They also identified through their legal team some PPI I was unaware of which helped hugely.

Most of my DCAs have responded since March 3rd and seem to be content to continue as before. The only ones I've not heard from yet are Robinson Way and Sigma Red. They have now been sent CCA letters as have NCO Europe. I'll update after 12+2 has elapsed.

[Amethyst]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

Thanks Amethyst. My fear is that if I stop payments they will file a default credit report which would adversely affect my mortgage extension case in August 2017. Can they file if they can't produce the paperwork?
I'm about to go VIP as I'm getting great assistance from your site. Much appreciated.

Your credit file will likely already be screwed - have you checked it ?

And thank you, your support of the site is much appreciated xxx

[Amethyst]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

Compass were able to freeze interest and bank charges for which I'm eternally grateful. They also identified through their legal team some PPI I was unaware of which helped hugely.

Most of my DCAs have responded since March 3rd and seem to be content to continue as before. The only ones I've not heard from yet are Robinson Way and Sigma Red. They have now been sent CCA letters as have NCO Europe. I'll update after 12+2 has elapsed.

You know they identified PPI - did they make the claims on your behalf and what happened to the refunds ? was it actually taken off the debts ?

I think I might be inclined to ask for full statements of accounts from the lenders at the same time ( but under seperate cover) as your CCA requests. So you know exactly where you stand.

I'd also send a SAR under the DPA to the administrators of Compass and request full copies of all documentation relating to you including all transactions and communications with your creditors.

[Wingco]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

Your credit file will likely already be screwed - have you checked it ?

And thank you, your support of the site is much appreciated xxx

I check it through Noddle and one other monthly. There was only one adverse report and that will take the full 6 years to disappear. Nevertheless, my score is pretty poor but slowly climbing. My Building Society (Barclays - Woolwich) says it doesn't use credit reference agencies and only assesses affordability. That's why I'm cautious about their request that I sell both BTLs thereby losing £20+K gross income. I have, however, provisionally sold one already to the tenant.

My fear is that if any of the DCAs get too p$&*ed off, they will file - does the lack of enforcement still allow them to file? Reading the FCA website, it appears possible but I'm not sure I'm reading it right.

[Wingco]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

You know they identified PPI - did they make the claims on your behalf and what happened to the refunds ? was it actually taken off the debts ?

I think I might be inclined to ask for full statements of accounts from the lenders at the same time ( but under seperate cover) as your CCA requests. So you know exactly where you stand.

I'd also send a SAR under the DPA to the administrators of Compass and request full copies of all documentation relating to you including all transactions and communications with your creditors.

No, they made no claims on the refunds and I used them to reduce my mortgage debt.

Brilliant idea to seek all my correspondence from the Administrators. Been looking at their fees and they take 40% of the money/property raised from Compass. Okay when a company has few assets, but that could be an enormous sum if there were either a substantial commercial property or hundreds of clients funds. Thanks for that contribution.

I sent off my last CCA letter this afternoon - I'll go bankrupt from the postal costs at this rate for postal orders and recorded delivery letters - so any separate requests will be independent of the CCAs.

How do I find the SAR templates - I'm missing something on Legal Beagles?

[Amethyst]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

Nope not missing it, I have trouble myself, which I have no one to blame but myself.... really need to organise better ! lol.

http://legalbeagles.info/forums/show...ection-Act-%29 is the basics That's a £10 I'm afraid.

Your general request for account balances etc don't need to go recorded - just keep a posting receipt in case.

[Amethyst]

Re: Debt Transfer to a Debt Agency - Mortgage Age Discrimination

I check it through Noddle and one other monthly. There was only one adverse report and that will take the full 6 years to disappear. Nevertheless, my score is pretty poor but slowly climbing. My Building Society (Barclays - Woolwich) says it doesn't use credit reference agencies and only assesses affordability. That's why I'm cautious about their request that I sell both BTLs thereby losing £20+K gross income. I have, however, provisionally sold one already to the tenant.

My fear is that if any of the DCAs get too p$&*ed off, they will file - does the lack of enforcement still allow them to file? Reading the FCA website, it appears possible but I'm not sure I'm reading it right.

So, when you entered into the DMP (paying £80 a month to your creditors - spread over £80k worth of debts ) none of them defaulted you??? ( acually defaulted for breaching terms of agreement rather than report to cra) OR reported to the CRA's ?