IVA finished - Creditor still harassing...

[Pspence72]

I finished my IVA in August 2011 and received my certificate of completion shortly afterwards. In January i started receiving letters from a debt collection agency called Arrow Global Limited, they stated they acquired a debt from Lombard (Intelligent Finance) and that i owed them £20000. I had a loan with Intelligent Finance and this was included in the IVA. I have forwarded the letters to Debt Free Direct and didnt hear anything back from them, i assumed they were dealing with it. I have just received a letter from a solicitor representing the debt collection agency stating that if i dont pay them they will start legal proceedings. I got in touch with Debt Free Direct who stated that they no longer represent me, is this the case? I feel like they got a considerable fee to represent me and that they should still represent me in any legacy problems that come from the IVA? They have suggested that i send the certificate of completion to the debt collection agency but i am worried that this will not suffice and they will keep on giving me hassle. What should i do and what can i do if i keep getting hassle. Also, the debt collection agency have added the debt to my credit report as a new debt which has damaged my score. Can i also note that this loan was taken out on 27/07/2004 and was defaulted on 22/06/2006. Is there not a 6 year period where they can hassle you on this stuff?

[Niobe]

Hello,

Not good but you can rest safe in the knowledge that they can't do anything to you.

Send a copy of your completion letter to Arrow Global and tell them to stop harrassing you as you owe them nothing.

Personally speaking I'd tell them to get on with it - they'd look totally stupid if they took it to court, it would cost them a lot and you could also claim damages.

[artemischild]

Hay

once your IVa is closed and your certificate has been issues the agreement between you and the IP is effectively over. You then have a responsibility around who you inform, credit file etc etc but not to worry all of these are easily sorted.

If your debt was included in the IVA it is now done and dusted no matter what rubbish they will try and feed you.

Simply send a covering letter explaining how the debt was included, who your IVA was with, when it ended etc and a copy of your certificate (Copy not original!!!).

Failing that as Harpic says, let them try and take you to court, they would soon realise they will be out of pocket and drop the case!

Most of all please stop worrying, your safe, they cannot touch you

In regards to sorting out your credit file, head over to this areas of this website http://www.iva.co.uk/forum/forum.asp?FORUM_ID=183 of loads of information about CRA's, how to have defaults removed, how to complain but best of all template letter for you to use courtesy of The Matrix!

Hope this helps
Arty

[artemischild]

http://www.iva.co.uk/forum/topic.asp?TOPIC_ID=31963 fifth post down [:D]

[Niobe]

I'd absolutely love one to take me to court!!

[Kelly O]

This sometimes happen when a debt is sold on to a debt collection agency and is very frustating!

Send a copy of that letter they should sort it out for you

Let us know how you get on

[Michael Peoples]

You could also contact Lombard and advise them that you are holding them respponsible and will be making a complaint to the Ombudsman. They effectively sold a debt to a third party and something has gone wrong with the information provided but ultimately you borrowed from them so you will hold them responsible.

[kazzafunk]

Hi - as the others have said above, you are totally covered. Please don't worry.

Depends on your view but I would be saying: Bring it on! Imagine turning up in court with your evidence then slapping a claim in for wasting your time.

[KF62]

On the point Kelly O made regarding debts being sold, is that actually ethical? You enter into an arrangement with the courts to allow you to pay back, as best possible and yet your creditors are happy enough to take a lesser fee from an agency who's only interest is to make profit, is that right?

I had Max Recovery buy some of my debts, they're owned by Bear Sterns who in turn are owned by one of Wall sStreets largest Banking firms, must be good money in it!

[Pspence72]

Thanks for all the replies guys, good advice and have lowered my fears, for now anyway. Its weird because Arrow Global said that they acquired the debt from Lombard in January 2012, how can that be? If the IVA ended in August 2011. Surely as part of the IVA they dont have a right to sell the debt on? and to sell the debt on once the IVA is complete?

[KF62]

Maybe its just Lombard. I had a loan with them years ago and about 2 years after the loan had been paid they started demanding money from me, threatened legal action. After a few phone calls and letter they finally went away.

[Declan at DebtFreeDirect]

Hi Pspence
I too have to advise that sending a copy of your certificate of completion to the debt collection agency and remind them that this is (a) legally binding certificate demonstrating that you have successfully completed your IVA and (b) you no longer have any right or remit to chase for any further payments.

Thanks

[trionon]

what I don't understand is why they are chasing the debt anyway, isn't it supposed to be statute barred after 6 years?

[Pspence72]

Yeah, that was my other question. How could they add it to my credit report? Is the 6 years from the default date? The default date was 22/06/06. or is it from the date you took out the loan which was 27/07/04. Should this be removed from my credit report on 23/06/12 regardless?

[Niobe]

It should be but some companies do send things out, especially if the debts have been sold on.

If it is over six years old then you should tell them to get lost.