In June 2024, I received a letter from a company called MDP Limited (Not a real name) saying that they bought the debt from the bank and that I should direct future payments to them. I wrote back to MDP Limited saying that I would ignore their instructions since the bank did not inform me about the sale of my debt. I thought it was wrong for me to act on third-party instructions who were themselves a beneficiary of the transaction.
MDP Limited did not respond to my letter but instead, a couple of months later, I received a letter from the bank’s solicitors saying they (the solicitor) no longer represented the bank and that they were now representing MDP Limited. The solicitors went on to say that I should continue servicing the loan through them (the solicitors) as before, but for the account of MDP Limited. I thought this was rather strange.
On reflection, I am now very confused about all this;
- Is it not a requirement for a bank to inform their customer when a debt has been sold to someone else?
- Further, was the bank not obliged to tell me about the change in solicitor when this happened?
- The situation is further complicated by the fact that the shareholders and directors of MDP Limited (about 6 in total) are the same ones in the solicitor’s firm. I checked this out with the Registrar of Companies. Is this normal? Are there no ethical rules for solicitors regarding conflict of interest?
I don’t know what to do. Where can I get help on a matter like this?
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