More as a matter of interest, what do people do? What are your thoughts?
Do you just accept correspondence and figures quoted by Debt Collection Agencies (DCA) or do you legally contest their right to collect the debt and interest applied?
Debt collection is now big business, more and more companies carrying out this work are springing up every week. Consumers are not always aware that they can contest the debt as well as the DCA’s right to collect it.
The procedure is a little confusing, but;
When you are contacted by a DCA, you are entitled to request a copy of the Consumer Credit Agreement that you would have signed for the debt under the Consumer Credit Act 1974.
The request for the Consumer Credit Agreement (CCA) can be as simple as:
I do not acknowledge the debt as referenced as xxxxx in your letter dated xx/xx/xxxx. Please find enclosed a cheque (or postal order) number xxxxxx for £1 in payment of the statutory fee; under no circumstances should this be put towards any alleged debt, if you are unable to supply the document requested then you should return this fee"
On receipt of a request for a CCA, the creditor/DCA must supply the CCA within 12 working days of your request; otherwise the original agreement is no longer enforceable unless the creditor/DCA obtains a Court Order.
If after 30 days, the creditor/DCA has still not supplied a copy of the original CCA, then they have committed an offence under the Consumer Credit Act, 1974.
The following outcomes could arise from the request for a copy of the CCA
1. Creditor/DCA provides true copy of signed CCA within 12 working days of your request = CCA is then enforceable.
2. Creditor/DCA provides true copy of CCA after 12 days, but within 42 days of your request = CCA can ONLY be enforced if creditor/DCA obtains a Court Order.
3. Creditor/DCA does NOT provide a true copy of signed CCA after 42 days then the CCA is no longer enforceable and the creditor/DCA has committed an offence under the terms of the Consumer Credit Act 1974.
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LEYBRIDGE LIMITED
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Specialising in adverse credit.
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