WILL I BE PASSED TO A DEBT COLLECTOR?

[onlypassion]

Hi, I have yet another question! I am right at the start of applying for an iva (not even received my proposal yet although ip has all me details.) I am on a DMP with all my creditors at present so am up to date for the time being with the 1 exception EGG. I am yet to come to an agreement witht them and had a default notice issued in Dec which I believe gave me 28 days to bring my account up to date. I am about £1k in arrears so cant to this. I owe them a total of about £18k. They are threatening me with passing my case to a debt collection agency to recover the full amount outstanding. Now I am wondering what the chances of this are. I have no valuable possessions etc so it is impossible for them to recover £18k from me! Do you think they will actually do this and refer be to a debt collection agency. I am terrified of this happening, my husband works away and I am at home on my own with a 6 month baby and 4 year old son and just couldn't cope with this happening. Any advice would be great.

I would also just like to say how fantastic I think the support provided on this forum is. I brings much reassurance and hope when you come on here and makes things bearable. Without this site I would be completely out of my mind with worry but you guys have really been a rock for me since joining just over a week ago. Thanks to you all.

[MelanieGiles]

Hi onlypassion

Thank you for the kind words about the site. We also think it is a great forum, and although it is early days I think that we are all benefitting (me included - I'm picking up loads of good info)from sharing our experiences.

Turning to your proposed IVA. Be very careful of Egg. I have recently had rejecting votes from Egg, which in my client's case did not really matter as we were able to outvote them. When we asked what their reasons for rejection were, we were told that they have a new policy of rejecting all IVA's where their customers are up to date with payments - ie if you are paying under a DMP regularly, this could give them grounds for rejection. We think that is mad, as they are not taking any account of other debts a client obviously has.

Far from me to criticise anyone for actually paying their debts, but I have to report these experiences so you might want to think twice about commencing payments. Take your own IP's advices on this point.

Don't worry about debt collection firms. I find most of them quite tame, and generally helpful if they are kept informed of your circumstances.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
View my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[gizmo]

Hi Melanie!
Am flapping now because of Egg in anticipation of Monday as I paid the DMP to them until November then stopped it. 5 days to go and got myself in a right old state again!! But then again it wouldn't be me if I wasn't!!

[onlypassion]

Thanks for that Melanie. I was going to try and borrow funds from a family member for now but it looks like that may not be a good idea. Can you just tell me, if they were to pass my case to a debt collector and then the IVA was not approved, what would my options be? Could I set up a payment plan with the debt collection agency? How on earth could I repay the debt? Also when you say debt collection agencies are quite tame as long as I keep them up to date on circumstances, does that mean they wont actually send someone to my door? This is my biggest fear of the whole thing, I think I would just break down if that happened and I know my son would become extremely distressed by such an occurence. Hope it doesn't sound like an interrigation by the way Melanie it's just your advise really offers me reassurance.

thanks in advance
Andrea

[freelili]

Hi Onlypassion

You sound so stressed, debt collecting agencies rarely call on debtors they only write, they may threaten all kinds of things to get you to pay something and it usually works because you are so scared. They actually have very little power though Only court baliffs have the right of entry and it takes time to do this, the courts would give you a chance to make reasonable payments that you can afford to make. If anyone does call you would simply tell them to go away and they will, do not let them in. If you have no assests you could consider bankruptcy, I know that this sounds scary but it really is not that bad. Please try to relax, everyone on here will help you through this.

My thoughts are with you

LILY

[MelanieGiles]

Gizmo - do not flap. Egg have already said yes to your proposals!

Onlypassion - Lily is correct. Debt collection companies rarely do home visits, this is just said to frighten you. And as the case has only just being referred to a debt collection company, and your proposals will be prepared shortly, you have little to worry about on that front.

Your options if an IVA is rejected, are really bankruptcy or DMP.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
View my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[razamataz_]

Hi onlypassion,
I was told that Debt Collector letters are not worth the paper they are written on by a Community Law Centre Adviser-but never ever open the door to any strangers, keep locked all time. If you ever speak with anyone it is advisable from an upstairs window, but it's best if they do not know what you look like.If they did come to your door and put a letter through do not reply to it at all. Never open door to Bailiffs even with a chain on the door as if they got a foot in it could be classed as having set foot in and they could then have more powers. Always check windows and doors are secured and locked.

Tap into Google debt collectors powers, cos they are very little in reality tho' they can sell you on i think-it's designed to Harrass-pressurize-to see if you have money but don't want to pay, despite the laws on this they seem to not be bothered from my experiences -do take a look at clsdirect Community Legal Service Direct they have stuff on this type of thing.

[:x)]I quoted Harrassment a few times at end of my letters explaining circumstances and medical stuff and it has lessened phone calls.

NationalDebtLine have good information and are nice to speak with too and will send out booklets and copies of sample letters specific to your situation.

Hope this is helpful- [:x)]we can only change the things we can, and find the strength to accept that which we can't change- our home is our castle and we are supposed under Human Rights Act to be able to enjoy peaceful family life at home. You do not have to let anyone into your home if you don't want to, whether friend or foe.

Also if anyone lives in a Rural location a Car can be said to be a Basic necessity under Bailiffs Laws as I have a page copied from a book that CAB gave to me. They can't take what you aint got!

I had a letter from Debt Collection and it stated a Formal Notice, two in fact! Be careful letting anyone know you are vulnerable & alone.
This is a great site, so comforting and the Experts are so friendly.

Myvesta are ok to talk to as well. Research is best thing and take time to come to correct decision.
Take care
razamataz_

Hi, I have yet another question! I am right at the start of applying for an iva (not even received my proposal yet although ip has all me details.) I am on a DMP with all my creditors at present so am up to date for the time being with the 1 exception EGG. I am yet to come to an agreement witht them and had a default notice issued in Dec which I believe gave me 28 days to bring my account up to date. I am about £1k in arrears so cant to this. I owe them a total of about £18k. They are threatening me with passing my case to a debt collection agency to recover the full amount outstanding. Now I am wondering what the chances of this are. I have no valuable possessions etc so it is impossible for them to recover £18k from me! Do you think they will actually do this and refer be to a debt collection agency. I am terrified of this happening, my husband works away and I am at home on my own with a 6 month baby and 4 year old son and just couldn't cope with this happening. Any advice would be great.

I would also just like to say how fantastic I think the support provided on this forum is. I brings much reassurance and hope when you come on here and makes things bearable. Without this site I would be completely out of my mind with worry but you guys have really been a rock for me since joining just over a week ago. Thanks to you all.

[Dominic]

remember only court baliffs have the right of entry and only after a court authorizes it, no debt collection agency representative can just turn up and demand entry they do not have the power or right in law to do so.

[onlypassion]

Hi everyone,

Thanks for your kind words. I am serious I just panick, I just imagined EGG to pass my file off (which they have not even done as of yet) I then though I would get the odd letter and when I didn't pay as I cant pay a debt collector would be lurking somewhere one day waiting for me to come home then force their way in sticking stickers on all my items with their value then coming back the next day and taking the goods!! Sounds silly i know but this is honestly the way I thought it would work. I know better now though and feel so much more at ease. I certainly know my rights now and am no longer worried about some evil man just randomly turning up one day.

thanks gain
Andrea x

[Dominic]

throw cold water over them or would that be assault? not unless you were cleaning your windows and had an "accident"

[freelili]

dont feel silly

I had a 'baliff' call the other day saying he was going to take stuff, it was for council tax so I believed him but still asked him to go away 'cause I didnt owe it. i know that debt companies cannot just enter, what freaked me was the council tax thing as I know this is a legal debt. But after frantic calls to the council and much stress I realised that he had come in a car, which would not have held more than a couple of cushions. It is a scary time but read up on others posts and you will learn a lot. do not feel guilty about your debt, what is done is done and there are thousands of us, trying to do something about it.

Good luck with everything, hope you are feeling better.

LILY