Overdraft Default Notice Legal Action now threatened.

[smurray139]

I am a 22 year old student who has finished university with a £513 overdraft. Without this overdraft I would have been unable to complete my studies and three years of work would have been finished without obtaining my degree.

 

I had went into the bank speaking to the students advisor who told me straight that the bank would not extend the overdraft past the expiry date as I had been late with a few direct debit payments. Since then I have been sent letters demanding immediate payment.

 

Today I received a letter dated the 10th June 2011, saying I had to pay the full amount by the 14th or they would take action, against either a surety (don't think I have one?) or take me to court, details passed onto a debt collection agency etc. The letter was sent under the Consumer Credit Act 1974.

 

Can anyone give me advice or help me? This is causing depression and fear. Since university I have been finding it hard to gain full employment. I am on Jobseekers until 2 months time when I have a work placement arranged which is paid employment. There is absolutely no way I could lodge that amount by tomorrow, or even within the next two months as I have live off £53 a week and pay £15 a week housekeeping.

 

Please help,

 

Thanks

[Crocdoc]

It will almost certainly be sent to a Debt Collector, they will most certainly not take you to court for this amount, once it reaches this stage apply for token payments of £1.00 per month with a review once you take up employment.

 

DON'T TAKE ANY CRAP FROM THE DEBT COLLECTOR IF THEY CALL YOU, EVERYTHING IN WRITING.

[smurray139]

Ok, basically I had a £500 overdraft after university and fell into hard financial times. It has not been paid and has been outstanding for 3 years.

 

I have previously went into the bank to discuss this and twice they promised someone would contact me to discuss the matter, but nobody ever did.

 

2 weeks ago a debt collector called whilst I was at work. Today I received a letter demanding full payment by Monday 18th or legal proceedings will be commenced, this letter was sent by genuine solicitors. It said I would then have to pay ALL legal costs + the amount.

 

The thing is I am in a part time job which pays very little, at most a week its £120, when expenses are taken out I have enough to get to work the following week and that's about it. I'm helping my mother pay her mortgage.

 

Will I be liable to pay these legal costs when I earn very little? How would this work out?

 

Many thanks,

 

One other thing the letter tells me to contact someone at DCSI LTD to discuss payment or proposals for payment before the 18th. I am assuming this is the debt collector, but I have never ever heard of them, nor spoken to anyone from there

Edited March 13, 2013 by smurray139

[AndyOrch]

Thread merged /title amended & moved to Debt Collection

[smurray139]

Ok, I am considering ringing the debt collector today. Can anyone give me any tips on how to approach this? How much should I offer to pay each week? Would £5 suffice?

[AndyOrch]

I think I would be requesting some documentation firstly to ensure they have the legal right to collect.Has the debt been assigned or are the third party chasers acting for the original creditor?

Who is the Creditor? How much of the debt contains penalty charges and interest?

 

All the points to consider before making any offer to settle.

 

Regards

 

Andy