Hi selleck.

I'll try to answer your questions in turn:

1) Probably - it is normal to be threatened with legal action early in the process but is usually just a means to push people into making an offer.
2) They could raise a legal action but my guess is it is unlikely as long as some other arrangement is made. If they did raise an action it would normally take several weeks/a couple of months before they would be in a position to take further recovery action.
3) I am absolutely certain that this is normally what happens, as long as a reasonable offer is made.

I understand your frustrations, selleck and wouldn't disagree with you.

Hi selleck,

Lloyds TSB accept informal payment plans as do all the other major UK banks and and credit card companies. I think that there is a tacit understanding within these organisations that they played a part in the situation that has happened and on a corporate level they genuinely want to be seen to be helping.

Despite this the client experience of this situation, dealing with debt collection agents on the phone and by letter, can be very very different from the "corporate vision" of helping people to get back on their financial feet.

Lloyds TSB in particular can be a bit slow about this process and trying to deal directly with their branch staff on this type of issue is more or less impossible.

They have a defined collections process which may involve you being contacted by their in-house solicitors Sechiari Clark and Mitchell. Dont be unduly concerned in the first instance of this happens as it does not necessarily mean that they are about to start a legal action. SCM staff have the autonomy to accept informal payment plans as well.

Again, many thanks for your quick replies, folks. As in a previous topic, I'll let everyone know how she gets on because it'll be nice to let others know. She plans to call them tomorrow since it is a bank holiday today.

After managing to pay off one account over the past 12 months, my partner has received another 2 letters (one from the bank and one from a DC Agency) within 48 hours of each other saying much the same as my first post above about the other one. She owes £1200 on this one.
Now the letter from the DC Agency is in my partner's name ONLY (the bank's was to both of us even though I'm in a TD for the last year).
My partner's only income is Incapacity Benefit AND she is 6 months pregnant with our first child which means even more outgoings.
So what is the best way to approach this?
She is considering going through a PPI claim for 2 loans she took out some years ago which we paid off a couple of years later with a loan from another company.
(She was (in my opinion) mis-sold PPI as she had a Pre-existing Condition which later made her give up her work and when we tried to apply for the insurance to help us pay her monthly payments she got refused because of the PEC. The PPI wasn't explained to her properly...)
Do we mention this to the DCA saying we'd rather await the outcome of the claim or just make a small monthly payment plan with them?

Hi Selleck

Its good news that your partner has managed to settle the one account.

I would suggest setting up a payment plan for this account and if you do get a refund on the PPI claim then maybe your partner could settle the account in full or offer Lloyds a partial settlement.

Were the Loans also with Lloyds?

Thanks for your quick reply, TDA! Yes, Lloyd's TSB.
Now I'm filling the form in for her but there's a question asking "if someone is complaining on her behalf ie relative, solicitor."
Would it be okay to complain on her behalf as she is pregnant and I don't want her going through any stress? It asks for the relationship - are Fiances acceptable?

Also could I negotiate on her behalf with the DC Agency - again the stress of dealing with them would not be good for her. Or would they force me in some way to help pay her debt knowing that I live with her and have a job? Is it better she talk to them?

The DC agency would probably deal with you as long as they have your fiances authority to do so, she can give authority in writing but you could ask them if she can give her authority over the phone?

I am no expert on PPI Selleck, but if you are helping her i see no harm in telling them on the form, or maybe she can phone and ask them 🙂

Okay, TDA. That all sounds good. Thanks for your help - it's appreciated.

Okay, now I'VE got a similar letter today as the one my partner got a couple of days ago. I was under the impression that once I entered a Trust Deed, I would be taken off the account and it would be my partner's only.
Do I ignore this?

Hi selleck.

I guess you could ignore it or ask your Trustee to contact them and request that such contact ceases.

Has anybody ever experienced problems with their bank when setting up a standing order for their trustee? I received a standing order mandate to complete which mentions the words 'Trust Deed' on two occasions. I'd prefer not to send this to my bank manager for obvious reasons but have been told that this is normal procedure. Does the back manager actually see/read these forms?

Hi SkintAlly.

I might be wrong, but I think branches normally just send these off to their processing centres who I doubt are much interested in who the payment is to. Perhaps one of our members that works in a bank could confirm?

If it's a standing order you don't need to use their form at all. All you need to do is to instruct your bank to set up the standing order. Use the information on the form that they've given you (their bank account, sort code, reference number) and just rewrite it as a letter or memo to the bank. Or better still phone them with the information. Even better still, do it online if you use internet banking - won't take a minute to do!

Trust deed assistant is right, the standing order mandate invariably goes to a processing centre and there should be no rpoblem whatsoever. However, if you would prefer then there is no reason you can't follow uncleben's sound advice. I'd recommend his rice too.