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Original poster

Default notices

32 replies

TeaAnd2Sugars · 13/02/2018 09:37

Can anyone tell me what happens if you ignore default notices from a debt collection agency? How long before they take further action (and what action do they take?)

They are DHs debts, he has no income and isn't entitled to benefits because I earn too much and we own a house (although not for much longer at this rate).

OP posts:
Original poster
TeaAnd2Sugars · 13/02/2018 09:39

To clarify I think the default notices are from the original lenders, who have now sold the debt on, it's the debt agencies that are requesting payment.

OP posts:
OldHag1 · 13/02/2018 10:31

They will take action. I suggest you pay a pound a week to each creditor and get some debt advice.

Original poster
TeaAnd2Sugars · 13/02/2018 16:47

What does take action mean? I've told DH to contact them, he is refusing.

OP posts:
WitchesHatRim · 13/02/2018 16:48

What does take action mean

Well they can take him to court and obtain a CCJ.

Has he been paying anything?

Original poster
TeaAnd2Sugars · 13/02/2018 16:49

No, nothing.

OP posts:
WitchesHatRim · 13/02/2018 16:51

He needs to stop burying his head in the sand as gard as it is. They do and will take action

Original poster
TeaAnd2Sugars · 13/02/2018 17:05

Shit. How long until they start chasing, what triggers it? I don't know why he's being so bullish about it. What happens if he contacts them, does he set the monthly repayment amount or do they?

OP posts:
Worldsworstcook · 13/02/2018 17:08

You can negotiate but get started quickly before court action is taken. Once one starts court action they start circling like vultures.

Original poster
TeaAnd2Sugars · 13/02/2018 17:12

Sorry one more question, you have all been very helpful. If it goes to court, would we be ordered to sell the house so they can get their money?

OP posts:
OldHag1 · 13/02/2018 18:31

Go the CAB for free advice.

I strongly urge you/him to pay £1 per month to each creditor as it shows willing.

If you/he do nothing then they will take you to court.

He sounds like my ex.

ShuttyTown · 13/02/2018 19:32

If they weren't secured loans then no they can't take your house

WhiteVixen · 13/02/2018 19:34

Tell him to contact Stepchange. They are a charity who help people with debt issues. They're free to use. They can help by contacting the people he owes money to and agreeing a payment plan. He can't just ignore it, they will take him to court.

Newscoliosismum · 13/02/2018 19:40

This reply has been deleted

Message withdrawn at poster's request.

MyBoysAndI · 13/02/2018 19:52

Really need to get it sorted. Balliffs can be horrible to deal with.

Zioanna · 13/02/2018 19:59

If they obtain a CCJ they could go on to apply for a charging order, securing the debt against his share of the equity.

Are the creditors aware of his current situation at all? They’re much more likely to take action if he refuses to engage with them. I’d recommend he contacts Stepchange as a starting point.

Original poster
TeaAnd2Sugars · 13/02/2018 20:00

Thanks for the replies. It's unsecured debt. We are both on the mortgage however (which is not in arrears). He just says that they won't do anything because it's not worth their while and he will repay it when he gets some money in.

OP posts:
ivykaty44 · 13/02/2018 20:10

But the court costs will be added, then the bailiff costs will be added - why pay those extra costs? Baliffs usually start at around £300 why waste £300, if the debt is so small just pay the debt rather than let it escalate as it’s him that will be paying all the extras

Zioanna · 13/02/2018 20:11

But how do they know it’s not worth their while? I’m assuming when he applied for credit he had an income? Has he informed them his circumstances have changed? If not, they may decide to proceed.

Was he a homeowner when he filled in the application? In which case, they know and may decide to apply for a CCJ and charging order in order to secure the debt.

If he doesn’t want to call, you can use Stepchange’s online tool which will provide template letters he can use to contact them. Ignoring the debt is the worst thing he can do.

OldHag1 · 13/02/2018 21:14

God he sounds so much like my ex it’s infuriating. But aside from that no matter how small the debt it will cause problems for him and you in the future your credit files are linked because you have a mortgage together.

Sign up for noddle - it’s a free credit report website. He can sign up too. Then you and he can see exactly how much is owed.

My ex was pigheaded about a debt the HRMC said he owed. He said he didn’t owe it so wouldn’t do anything about it. They hounded him, came knocking at the door and insisted he get in touch sooner rather than later. He was right he didn’t owe them any money but sitting around and doing nothing resolves absolutely nothing.

MyBoysAndI · 14/02/2018 07:14

He just says that they won't do anything because it's not worth their while and he will repay it when he gets some money in

That's a dreadful attitude. He has spent that money and now he needs to repay it, even just a small amount for now. Afterall when will he get "some money in"

I think you need to think about your future security with this man

Loonyluna16 · 14/02/2018 07:24

Op are you in Scotland or England... I had some debts a few years ago and did what your husband did and buried my head in the sand. I eventually got advice from the CAB in Scotland the laws are different and it is very difficult for them to take you to court and also bailiffs can't come round your door and take stuff as it's illegal up here. The cab got me into a debt arrangement scheme (das) which is through the government. You pay a set payment every month (I paid £250 as I still lived with my parents at the time) and they divide it out to the lenders and as it is a government scheme all the money you pay goes to the lenders as there is company's out there that do the same thing but take a cut of your payment so it takes longer to pay. During the time you are in this scheme it is illegal for any company to seek extra charges and take legal action against you. The debt costs get frozen and you pay back what you owe as of the day you start the scheme. I was 14 months and it was gone. It was such a relief!

Original poster
TeaAnd2Sugars · 14/02/2018 10:55

I'm in England. He should start getting an income from a business he has set up, over the coming months. I don't know if it will be regular or how much (depends on sales of course), but in the meantime we have a shortfall in household income, a load of his debt and a house to remortgage (no hope there then) so I am already stuffed financially. I can't afford to financially disassociate from him, and god knows how long it will take to clear his debts, but his credit rating will be screwed now anyway. So I'm just focused on 'damage limitation'.

OP posts:
WitchesHatRim · 14/02/2018 10:57

If he has defaults they will be on his credit record for 6 years

TheBakeryQueen · 14/02/2018 11:01

Damage limitation will be him making a payment arrangement with them that he can afford, now!

Loonyluna16 · 14/02/2018 11:01

@tea.. speak to CAB asap. They can help you with damage control. If your husband is even able to speak to the creditors if you can offer to pay them a £1 a month they cannot refuse it and then when he starts earning then increase the payment. He can give you permission to speak to them if you don't trust him to speak for himself. Hope it gets better soon Flowers

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