Steaming Mad - effing EON

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Discussion

irocfan

Original Poster:

40,153 posts

189 months

Friday 21st November 2014
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So a few weeks back I had a letter from Buchanan Clark & Wells for my sins. No mention of what they wanted but could I contact them... looked up who/what they are (debt collectors) and since I know I've got nothing outstanding and they're not advising what they want I think "hmmmm, scam" and that's it.

Fast forward a couple of weeks today I open another letter from them this time advising that EON have sold them my 'debt' going back to mid 2012 WTF I moved out in Nov 2012 and settled my account then... so I call EON for clarification on what is happening. Turns out I had paid them some monies in feb 2012 and they'd returned it to me (missed this on my statement) but since I'd cleared everything up upon selling my house I assumed everything was good (especially as they told me everything was good)... until now. They couldn't tell me why they didn't chase me for the debt at any point nor could they advise me why the first time I hear of this debt a 'final notice' from BC&W. Furthermore they can't take payment from me as they've 'sold' the debt

In monetary terms I'm not particularly fussed (if I actually owe it I owe it so fair enough) as it's £155 +£20 'fine'(which does stick in the craw a lot) it's just the whole principle of not being advised there is a debt and then farming this debt out and charging me for the privilege with no advice nothing - I even had my mail forward for a year after leaving so that nothing could be missed yet these cockwombles still fked up on this. Now have to double check my statements over that period and see what's gone in and out - a right pain in the arse and a real waste of my time thanks to an incompetent company curse

Rude-boy

22,227 posts

232 months

Friday 21st November 2014
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Depending on how much trouble you wish to create I would be taking this further with EON. They might say that they can't stop the other mob now that they have sold on their debt but they can produce copies of the letters that they will have sent to you, etc. If they can't then personally I would be paying up with the other lot and seeking recovery of the fine element from EON and also a contribution towards my time and effort in clearing up their fk up.

As said I suppose it depends on how much time and effort you want to put in. I'd likely pay up and push on as it sounds you will as it's just not worth it. On the other hand if I were between jobs and fancied a game...

JustinP1

13,330 posts

229 months

Friday 21st November 2014
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I've been here, and bought the t-shirt.

If you dispute the debt, then the 'sale' of the debt is not valid, and there is no debt to have been bought. It gets bounced back to EON eventually. Or, more likely a second company a few months later, then a third a few months after that.

However, they know they have a poor rate of return on these. The company has bought these for maybe 10 to 20 pence in the pound, or is working on a commission structure.

So, if you keep bouncing things around, they get nothing. However, they *will* be open to offers to settle the debt immediately.

You can get your own back here. Don't bother chasing EON for a £20 fee after you've paid these monkeys. If the debt is £150 plus these costs, they'll probably snap your hand off if you offered them £120 in full and final settlement. If you feel like it, pay them £155 if that sounds right.

PurpleMoonlight

22,362 posts

156 months

Friday 21st November 2014
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The debt purchaser cannot charge you a 'fine'. All they can do is levy charges and interest applicable under the original contract.

I agree that they will likely have purchased the debt for 10p in the £1, or even less. If you offer them the basic debt owed they will likely bite your hand off.

I disagree that the debt will get bounced back to E.ON if you dispute it. The purchaser may just obtain proof of debt from E.ON or may drop the whole thing as it's become to costly. No guarantee of which.

Check your credit record too.

calibrax

4,788 posts

210 months

Friday 21st November 2014
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PurpleMoonlight said:
The debt purchaser cannot charge you a 'fine'. All they can do is levy charges and interest applicable under the original contract.
IANAL but I believe they can only collect the amount of debt sold to them. As the contract was not with them, they cannot charge you interest.

BertBert

18,954 posts

210 months

Friday 21st November 2014
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Also how can EON contractually refuse your payment to them? The fact that they have "sold the debt" does not affect the contract you have with them.
Bert

PurpleMoonlight

22,362 posts

156 months

Friday 21st November 2014
quotequote all
BertBert said:
Also how can EON contractually refuse your payment to them? The fact that they have "sold the debt" does not affect the contract you have with them.
Bert
Yes it does.

The OP no longer owes E.ON anything. He owes the purchaser.

Red Devil

13,055 posts

207 months

Friday 21st November 2014
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irocfan said:
Turns out I had paid them some monies in feb 2012 and they'd returned it to me (missed this on my statement)...
This is the bit I don't get. It's very unusual for a utility to do this without a reason. It begs so many questions. Why did they return it? Was it an error on their part? Had you been billed incorrectly? If they refunded direct to your bank account that suggests you were paying by DD. Was that the case? If not, how did they have the relevant details? Payment by DD is a frequent source of problems as the payments never settle the amount billed, so there is never a zero balance at any point during the life of the account. It's only when you switch or move that things crystallise. In the latter case most people are too busy to do a thorough check that the utility company haven't censored up.

irocfan said:
They couldn't tell me why they didn't chase me for the debt at any point nor could they advise me why the first time I hear of this debt a 'final notice' from BC&W. Furthermore they can't take payment from me as they've 'sold' the debt
That doesn't surprise me at all. If they can't substantiate the alleged debt then what have they sold to the DCA? A fiction. A bum steer.
IANAL but in that case I suggest the DCA is very unlikely to be able to collect it.

irocfan said:
Now have to double check my statements over that period and see what's gone in and out - a right pain in the arse and a real waste of my time thanks to an incompetent company curse
Forthwith dispute the debt in writing with the DCA. This should put a freeze on any further action giving you time to look into the matter.
https://www.nationaldebtline.org/EW/sampleletters/... - furthermore a DCA must hold a Consumer Credit Licence. If this one continues to pursue you they are in breach and you should complain to the FCA.

The very first question you need to ask yourself is, if EON refunded money into your account why wasn't this reflected in the next/final bill? Something isn't right here.

Utility companies are notorious for censored ups, especially billing problems.
http://www.telegraph.co.uk/finance/personalfinance...

You should probably be grateful you weren't with this shower of scensorede.
http://www.thisismoney.co.uk/money/bills/article-2...
http://www.bbc.co.uk/news/business-27374580
https://www.ofgem.gov.uk/publications-and-updates/...

MrPicky

1,233 posts

266 months

Saturday 22nd November 2014
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If a DCA can purchase a debt then why can't the OP sell he's debt to someone i.e. if you give me a fiver then I will accept responsibility for your debt and will refuse to pay anyone?

BertBert

18,954 posts

210 months

Saturday 22nd November 2014
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PurpleMoonlight said:
Yes it does.

The OP no longer owes E.ON anything. He owes the purchaser.
How does that happen? What changed the contractual relationship between the OP and Eon? They clearly can't change the contract unilaterally.

Perhaps it's in their Ts&Cs? Or is there statute that facilitates it?

Bert

andygo

6,786 posts

254 months

Saturday 22nd November 2014
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It seems a big issue with these huge utility companies.

My son moved abroad at the start of the year. He moved out of his apartment, gave the final readings, paid everything up to date.

To date he has received 4 letters from his ex power provider, having ignored all correspondence as he knows he had paid in full.

1/. You owe us £80

2/. You owe us £80, going to tell debt collecters

3/. You still owe us £80 debt company have been informed.

4/. Here is your cheque for £508 in final settlement of your account.

He banked the cheque.

Go figure.

Short Grain

2,743 posts

219 months

Saturday 22nd November 2014
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Put a link to this thread on EON Facebook / Twitter account, see how soon they sort it!
I would expect Very, Very Quickly!!

Plus, when it's disputed, it reverts back to EON, debt collector has to refer back to them by law don't they?

Or am I missing something and this is a P*sstake?




PurpleMoonlight

22,362 posts

156 months

Saturday 22nd November 2014
quotequote all
Short Grain said:
Plus, when it's disputed, it reverts back to EON, debt collector has to refer back to them by law don't they?
The purchaser will refer back to E.ON for proof of debt yes, but the debt itself, assuming it exists, remains with the purchaser.

Fozziebear

1,840 posts

139 months

Sunday 23rd November 2014
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E-ON should have visited the property on 3 occasions leaving 3 letters explaining the situation with a contact number for the agent. If the property was empty or had new residents they would have noted it on their FDR system. I'd ask for copies of these visit logs to show they were carried out, which if it's out of the East Midland area I really doubt occurred. I would also contact the head of debt control in writing, should be in their new offices in Nottingham town centre.

MagneticMeerkat

1,763 posts

204 months

Monday 24th November 2014
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BertBert said:
PurpleMoonlight said:
Yes it does.

The OP no longer owes E.ON anything. He owes the purchaser.
How does that happen? What changed the contractual relationship between the OP and Eon? They clearly can't change the contract unilaterally.

Perhaps it's in their Ts&Cs? Or is there statute that facilitates it?

Bert
I hope Bert realises the entire financial system revolves around the sale of debt instruments! However perhaps they're wrong and he's right? Better get over to the bond markets and tell them it's all a huge mistake.

masermartin

1,629 posts

176 months

Monday 24th November 2014
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It's more interesting when they sell debts that are still being serviced (i.e. Student Loans). SLC sold my student loan to another company and, along with it, they magically managed to set up a completely new Direct Debit from my Bank Account, to a completely new legal entity, with no input or agreement from me.

BertBert

18,954 posts

210 months

Monday 24th November 2014
quotequote all
MagneticMeerkat said:
I hope Bert realises the entire financial system revolves around the sale of debt instruments! However perhaps they're wrong and he's right? Better get over to the bond markets and tell them it's all a huge mistake.
What really, a debt market, no st, I had no idea. I am intrigued however what mechanism steps in to change the original contractual arrangement?
Bert