UK Debt back to haunt me

R

rxp

Guest
In my student days in the UK I had a credit card. I left England to start a new job in Ireland and I left a debt of 6000stg and have not looked back since. However, a company in the UK has now taken over the debt. They are currently chasing me to pay up. I'm in two minds to pay up. No student should have access to this amount. They had been pestering my mother, so I rang them. They now have my number but not my address, but a least my mother is being left alone. I’m not in a position to pay that amount of money

Do they have any jurisdiction in Ireland?

What's the worst thing that can happen?

How do I know if this company is legitimate?



Any advice would be grateful.
 
Yo should have withheld your number. I advise you to change your number asap.
They won't be able to enforce the debt here. So I would advise against any further contact with them.

Post the name of said company and the name of the original bank involved and we can check them out for you.
 
Hi

Nothing personal, but as I see it ... you borrowed the money, you should have repaid it. No excuses about a student should not have been given this level of credit etc. If they granted you the credit, they trusted you & you need to honour that trust. Even if you could not have repaid the funds at the time ... sounds like you could repay it now, so why don't you ?

If you borrow money, you should always pay it back.

If I were you & unhappy with the collection agency, I'd first approach the lender itself & offer to repay in full. They may take it & subsequently call off the collection agent.

Regards

G>
http://www.rpoints.com/newbie
 
bond-007 said:
I just knew a goodie goodie would reply saying "payback the money". [...] It's his choice, he came here for advice and advice he shall get not a sermon form the aam elite.
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Hi Bond - You don't get to set the rules about what will/won't be posted. Feel free to post your opinion, but don't feel free to ridicule others with terminology like 'goodie goodie'. From our ;
please keep your comments civil. Attack an opinion by all means, but please don't attack the person expressing the opinion.
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My own opinion is that he needs to pay back the debt. Blaming the bank for giving access to that level of debt is passing the buck.
 
Pay it back because it is the right thing to do and now you can afford to; pay it back and show that you can learn from your mistakes as a student; pay it back because it might come back to haunt you again in the future when you least expect it with serious consequences. Pay it back and move on!
 
bond-007 said:
Retracted, please accept my apology.
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No panic. Note that I've seen in the past that you have valuable first-hand experience on these matters, and I'd encourage you to continue to post on these matters. And of course, your opinions are welcome too.
 
However, if he pays it back now it will stay on his credit listing for another 6 years, but hid credit record will also show that he has satisfied the default. I cannot understand if he pays it back the money owed why it is not deleted from his credit record but no it stays for another 6 years sentence.

 
royrogers said:
I cannot understand if he pays it back the money owed why it is not deleted from his credit record but no it stays for another 6 years sentence.
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The financial institutions must believe, probably with good reason, that past behaviour is an indicator of future behaviour and find this useful for calculating the associated risk.
 
There are a host of reasons why people get into financial difficulties i.e. accidents, ill health, loss of employment through no fault of their own such as being made redundant. If financial institutions were to take this into account then they would not lend money at all. However, they will lend money on the bases that it will be paid with very handsome interests. Therefore if a poor unfortunate person should be unlucky enough to lose his/her job, or experience ill health or have an accident then they should not be punished further when they have made payments after a period of time when circumstances change for them.

The default should not stay on their file for further six years sentences when the debt has been satisfied, perhaps you would like them to go to jail as well???



 
these companies settle for 10% of the headline amount after a time. They probably bought it for 2%. Sob story them about being on the dole or longterm sick. they will take £600 in full and final settlement and thats the end of it

another way of getting rid of them is change your number to an australian prepaid mobile number sim if you ask someone over there to get one and activate it and you personalise voicemail and they will give up
 
royrogers said:
perhaps you would like them to go to jail as well???
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No. The lenders have rights too however. When a borrower defaults on a loan for whatever reason the lenders have a legitimate right to not wipe the record immediately so that they can price the greater risk into higher interest rates.
This way in theory the rest of us pay lower interest rates.
 
They should wipe out the debt when it paid not before hand. Before some lenders give out loans there is a hefty insurance taken out by the borrow and indeed some lender will not give a loan unless this is taken out and what whopping deals that is for them.

http://news.bbc.co.uk/1/hi/business/4238014.stm

I do not understand your bit about the rest of us paying lower interest rates as the rate is determined by EU and not individually banks in Ireland.

Banks do not lose out they are just plain greedy and as said before are money machines and they have machine type of people working for them!

http://news.bbc.co.uk/1/hi/business/4244242.stm


http://news.bbc.co.uk/1/hi/business/4238014.stm
 
royrogers said:
I do not understand your bit about the rest of us paying lower interest rates as the rate is determined by EU and not individually banks in Ireland.
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The ECB (not the EU) sets the base rate for economies within the EU. This base rate may have little or nothing to do with the rates that banks actually charge customers. They are free to charge customers whatever rate they want (as long as it is in accordance with regulations etc.). One factor in determining what rate they will charge is their cost base, of which bad debts are a component, as this is a cost that has to be covered like anything else. High cost base implies higher interest rates.
 
HI Roy

Credit cards in Ireland charge up to 20%, which is 18% above the ECB base rate.

Of course, 50% of credit card holders pay no interest, because they settle their bill in full every month.

Brendan
 
royrogers said:
What are regulations then surely they cannot charge say 15% about the base rate?
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As long as they are in compliance with the Consumer Credit Act, yes.

If you charge more than 23%, then you have to register as a [broken link removed]
 
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