Cabot financial & CCR

risteard7 · 21-10-2020 7:37pm #1

Hi, I had a Loan dating back to 2008 with Ulster bank when I had just turned 20. The recession was just starting to bite. I was young & foolish, not caring or thinking of the future consequences. Thank god I'm happy now and am employed in the public sector.

I've had letters from Cabot through the years, very sporadically. There might even be a 2 year gap between letters. They were very difficult & rude to deal with.

So 12 years later I checked my icb report & it came back clean. I applied for a 3,000 loan with PTSB and was approved no problem. I applied for a overdraft yesterday on my account as I'd read reports about the CCR and I was refused as the loan showed up on my report!

I was shocked. I was hoping for a mortgage with my partner in the next few years but now that's completely destroyed, I cant even get a new car. I'm strongly thinking about telling her to just go and meet someone new & dont let me hold her back with life.

I'm so annoyed & upset over it! Yes it's my own fault & I was foolish but after 12 years I thought ok just start fresh with a good outlook & mindset. Has anybody any experience? PTSB said Cabot registered the loan with the CCR in 2018! 10 years later

Euphoriasean · 21-10-2020 7:43pm

risteard7 wrote: »

Hi, I had a Loan dating back to 2008 with Ulster bank when I had just turned 20. The recession was just starting to bite. I was young & foolish, not caring or thinking of the future consequences. Thank god I'm happy now and am employed in the public sector.

I've had letters from Cabot through the years, very sporadically. There might even be a 2 year gap between letters. They were very difficult & rude to deal with.

So 12 years later I checked my icb report & it came back clean. I applied for a 3,000 loan with PTSB and was approved no problem. I applied for a overdraft yesterday on my account as I'd read reports about the CCR and I was refused as the loan showed up on my report!

I was shocked. I was hoping for a mortgage with my partner in the next few years but now that's completely destroyed, I cant even get a new car. I'm strongly thinking about telling her to just go and meet someone new & dont let me hold her back with life.

I'm so annoyed & upset over it! Yes it's my own fault & I was foolish but after 12 years I thought ok just start fresh with a good outlook & mindset. Has anybody any experience? PTSB said Cabot registered the loan with the CCR in 2018! 10 years later

Pay it off and in 5 years you'll have a clean profile. Looks like they never wrote off the loan and will remain active until you clear it. Only registered in 2018 when cabot started reporting to the CCR.

risteard7 · 21-10-2020 7:51pm

Euphoriasean wrote: »

Pay it off and in 5 years you'll have a clean profile. Looks like they never wrote off the loan and will remain active until you clear it. Only registered in 2018 when cabot started reporting to the CCR.

I'll be to old for a mortgage then. It's really life just turned upside down. It's just devastating having to explain this to my partner but I've nobody to blame but myself

Jim2007 · 22-10-2020 2:16am

risteard7 wrote: »

They were very difficult & rude to deal with.

You have their money and they are trying to get it back.... what do expect?

I'm strongly thinking about telling her to just go and meet someone new & dont let me hold her back with life.

Well if you’d prefer to do that rather than sort out your financial affairs, perhaps it’s for the best...

PTSB said Cabot registered the loan with the CCR in 2018! 10 years later

I can’t find the reference right not but I seem to recall that institutions are now required to report all unsettled debt.

You need to sort this out or as you have discovered it will hold you back. Could you offer them an acceptable one off payment to settle the debt? Or a payment plan?

Jim2007 · 22-10-2020 2:24am

risteard7 wrote: »

I'll be to old for a mortgage then. It's really life just turned upside down. It's just devastating having to explain this to my partner but I've nobody to blame but myself

You’re in your early thirties with very solid employment, I find it very hard to believe you cannot get a handle on this if you are determined to do it.

There will be embarrassment and pain but surely your partner and relationship must be worth fighting for...

Mrs OBumble · 22-10-2020 8:18am

It's better that your partner finds out about your attitude to financial problems (close your eyes and hope for magic) sooner rather than later.

Contact Cabot and arrange to settle the debt.

risteard7 · 22-10-2020 9:37am

Jim2007 wrote: »

You’re in your early thirties with very solid employment, I find it very hard to believe you cannot get a handle on this if you are determined to do it.

There will be embarrassment and pain but surely your partner and relationship must be worth fighting for...

Thank you for the positive reply,

risteard7 · 22-10-2020 9:39am

Mrs OBumble wrote: »

It's better that your partner finds out about your attitude to financial problems (close your eyes and hope for magic) sooner rather than later.

Contact Cabot and arrange to settle the debt.

I have a really good attitude to financial problems now but at 19 years of age, unfortunately I didn't.

Batgurl · 22-10-2020 10:06am

You’re 31. I know plenty of 35 year olds going for their first mortgage as they spent their 20’s travelling or abroad.

You’ll have 5 years to save a bigger deposit. You can use that to get a shorter term mortgage.

Pay what you owe, focus on saving your deposit and apply for a mortgage in 5 years time when your record it clear.

risteard7 · 22-10-2020 10:13am

Batgurl wrote: »

You’re 31. I know plenty of 35 year olds going for their first mortgage as they spent their 20’s travelling or abroad.

You’ll have 5 years to save a bigger deposit. You can use that to get a shorter term mortgage.

Pay what you owe, focus on saving your deposit and apply for a mortgage in 5 years time when your record it clear.

Thank you, I definitely will & hopefully things work out for me. I shouldn't have listened to people saying Cabot were only scaremongering and they bought the debt hoping to extract as much money as possible with no powers and the debt would be written off.

It's a lesson learned for sure. Do the 5 years only start from the moment it's paid off?

Jim2007 · 22-10-2020 11:49am

risteard7 wrote: »

the debt would be written off.

This is about the most misunderstood term in fiance for the general public. Just because a bank or any other company for that matter write off a debt, it does not mean that it will not be enforced. It just means the company has decided to no longer keep it in their financial statements, that is all. Usually such debts are factored and if they get anything out of it, it will be written back into the accounts later.

Unless you are a discharged bankrupt or have written confirmation that a debt will not be enforced, you can not rely on it going away.

risteard7 · 22-10-2020 12:04pm

Thank you for the reply Jim. Should I pay it through a solicitor as im told never to deal with Cabot directly?

Jim2007 · 22-10-2020 1:59pm

risteard7 wrote: »

Thank you for the reply Jim. Should I pay it through a solicitor as im told never to deal with Cabot directly?

I would suggest you start by clearing your mind of all you have heard about Cabot and every other agency for that matter - an awful lot of it is just nonsense and indeed some of it very bad advice.

To start with, you need to be clear about the situation you are dealing with, is it a simple case of you having taken out a loan and somewhere along the way you stopped paying or were their other issues and legal actions involved?

Next is do you have a clear indication of how much is outstanding at this stage? A recent statement perhaps?

And the other thing to determine is how you plan to pay it off. Can you make a single payment or will you need to agree a payment plan with them?

Once you have a plan in mind, you can decide if you need a solicitor or not. If it is a simple case of just paying off the debt then you probably don't need a solicitor.

Euphoriasean · 22-10-2020 2:35pm

risteard7 wrote: »

I'll be to old for a mortgage then. It's really life just turned upside down. It's just devastating having to explain this to my partner but I've nobody to blame but myself

As other have said you still have still have plenty of time for a mortgage. While its not within your current plan and may seem it has turned your life upside down it important to keep some perspective. You are obviousy in employment, in a good relationship and have no major health concerns that you have mentioned, all the rest can be worked out. Easier said than done but its always worth checking yourself and knowing that there are loads of people that would love to be in your position. I'd hazard a guess that your partner would be pretty upset to hear you talking of ending a relationship,instead ye'll work it out together. First step is to talk to your partner and then engage Cabot re settlement.

vandriver · 22-10-2020 2:41pm

If you don't pay it off,Cabot will religiously report it to the CCR every month for the rest of your life.
It's about the only tactic they have on possibly statute barred debt.

landofthetree · 22-10-2020 2:42pm

risteard7 wrote: »

Hi, I had a Loan dating back to 2008 with Ulster bank when I had just turned 20. The recession was just starting to bite. I was young & foolish, not caring or thinking of the future consequences. Thank god I'm happy now and am employed in the public sector.

I've had letters from Cabot through the years, very sporadically. There might even be a 2 year gap between letters. They were very difficult & rude to deal with.

So 12 years later I checked my icb report & it came back clean. I applied for a 3,000 loan with PTSB and was approved no problem. I applied for a overdraft yesterday on my account as I'd read reports about the CCR and I was refused as the loan showed up on my report!

I was shocked. I was hoping for a mortgage with my partner in the next few years but now that's completely destroyed, I cant even get a new car. I'm strongly thinking about telling her to just go and meet someone new & dont let me hold her back with life.

I'm so annoyed & upset over it! Yes it's my own fault & I was foolish but after 12 years I thought ok just start fresh with a good outlook & mindset. Has anybody any experience? PTSB said Cabot registered the loan with the CCR in 2018! 10 years later

So they gave you a loan but refused an overdraft?

vandriver · 22-10-2020 2:56pm

Cabot didn't report to the ICB,so there would have been a period after the debt was written off but before Cabot started reporting to the CCR when his ICB would have been clean.

risteard7 · 22-10-2020 3:29pm

Euphoriasean wrote: »

As other have said you still have still have plenty of time for a mortgage. While its not within your current plan and may seem it has turned your life upside down it important to keep some perspective. You are obviousy in employment, in a good relationship and have no major health concerns that you have mentioned, all the rest can be worked out. Easier said than done but its always worth checking yourself and knowing that there are loads of people that would love to be in your position. I'd hazard a guess that your partner would be pretty upset to hear you talking of ending a relationship,instead ye'll work it out together. First step is to talk to your partner and then engage Cabot re settlement.

Thank you very much, yes she is a Teacher & I'm employed with the HSE. I just dont want to hold her life back because of a reckless mistake I made. But absolutely I'll face up to it & contact Cabot.

risteard7 · 22-10-2020 3:31pm

landofthetree wrote: »

So they gave you a loan but refused an overdraft?

Yes they gave me a 3000 loan back in 2017. I never missed a payment. My ICB record is fine but since the CCR was established it's showing on that.

risteard7 · 22-10-2020 3:49pm

Sorry folks just one last question, if I clear it in full can Cabot request to have it removed from the CCR or is it there for 5 years regardless?

vandriver · 22-10-2020 5:39pm

It's 5 years.
But,if it's paid off and marked as settled,you can approach a broker in a couple of years for him to put your case to prospective lenders.

Jim2007 · 22-10-2020 6:24pm

vandriver wrote: »

If you don't pay it off,Cabot will religiously report it to the CCR every month for the rest of your life.
It's about the only tactic they have on possibly statute barred debt.

From my reading of the relevant legislation, as a regulated body they are obliged to report all unsettled debt, regardless of whether it is collectable or not.

vandriver · 22-10-2020 6:30pm

Jim2007 wrote: »

From my reading of the relevant legislation, as a regulated body they are obliged to report all unsettled debt, regardless of whether it is collectable or not.

Do Cabot ever write off anything I wonder?

Jim2007 · 22-10-2020 6:42pm

vandriver wrote: »

It's 5 years.
But,if it's paid off and marked as settled,you can approach a broker in a couple of years for him to put your case to prospective lenders.

I'm sure about that, this is not ICB report. Five days after the end of the month should be reported as settled by the lender.

And once a loan has been settled only two years of history should be shown.

risteard7 · 22-10-2020 6:45pm

Thanks for all the replies & help folks, it helps to put the mind at ease somewhat. I really appreciate it. I hope every works out now

vandriver · 22-10-2020 7:25pm

Jim2007 wrote: »

I'm sure about that, this is not ICB report. Five days after the end of the month should be reported as settled by the lender.

And once a loan has been settled only two years of history should be shown.

The Central Bank in their wisdom choose to penalise you for possibly an eighth of your productive years.

Jim2007 · 22-10-2020 8:41pm

vandriver wrote: »

The Central Bank in their wisdom choose to penalise you for possibly an eighth of your productive years.

Rubbish, this is an EU directive applicable all over the EU.

Jim2007 · 22-10-2020 8:52pm

vandriver wrote: »

Do Cabot ever write off anything I wonder?

Of course they do, all financial institutions do. But read my previous comments on this - it does not matter, they are still required to report the unsettled debt and will be required to do so until such time as it is settled. Which of course would be never if they write it off and the borrower can't or won't pay it off.

vandriver · 22-10-2020 8:52pm

Jim2007 wrote: »

Rubbish, this is an EU directive applicable all over the EU.

I'm not doubting you,but do you know which EU directive this is?

Water2626262 · 24-10-2020 12:04am

Stop panicking for one thing. It’s not the end of the world. Talk to Cabot and see what your options are. No harm asking will they amend your CCR if you pay the remaining balance off.

Keep your account clean and keep saving. As you say the banks provided you with loans previously, shows some good track record there. When you go for a mortgage just explain everything. Your both public sector workers which is less risk for the bank. You will have to get the debt sorted prior to applying for a mortgage though.

Nonoperational · 24-10-2020 6:55am

Steady on and get it sorted. If your relationship falls apart over something like this then that may be a different matter. Everyone makes mistakes, in the scheme of things this should be well sortable.

risteard7 · 29-10-2020 2:25pm

I'm going to pay it Next Friday so hopefully they'll take it off the CCR but I'd say I'm doomed for 5 years regardless. I'll post up anyway just incase anybody might be interested. Thanks

Water2626262 · 29-10-2020 5:54pm

risteard7 wrote: »

I'm going to pay it Next Friday so hopefully they'll take it off the CCR but I'd say I'm doomed for 5 years regardless. I'll post up anyway just incase anybody might be interested. Thanks

Did you ask will they remove it? Don’t hand over the full whack until you’ve had a discussion with them. They bought the loan at a discount so you’d want some benefit out of it

How much is owed ballpark? C 5k? 10k?

Jim2007 · 29-10-2020 7:11pm

Water2626262 wrote: »

Did you ask will they remove it? Don’t hand over the full whack until you’ve had a discussion with them. They bought the loan at a discount so you’d want some benefit out of it

How much is owed ballpark? C 5k? 10k?

The lender is complying with the law is required and will remove it as set out by law.

Now the OP has enough problem to deal with, without giving useless advice.

risteard7 · 29-10-2020 7:57pm

Jim2007 wrote: »

The lender is complying with the law is required and will remove it as set out by law.

Now the OP has enough problem to deal with, without giving useless advice.

Oh that's good to know, I wasn't sure it was Law for them to remove it once paid?

Water2626262 · 29-10-2020 10:20pm

risteard7 wrote: »

Oh that's good to know, I wasn't sure it was Law for them to remove it once paid?

He means in five years from when you’ve cleared the balance. So November 2025. Make sure to ask Cabot can they do something. Credit institutions amend credit records all the time. No harm in asking.

bizzieebee · 31-10-2020 1:39am

Looks like we are in similar positions, my husbands car was returned in 2008 when he lost his Job and I was on maternity leave, we never heard anymore from the lender we assumed it had been sold on and moneys taken.

We have a home, loans etc and then Cabot put it on the CCR in 2018 marked as writen off. Our credit is excellent apart for this one time when life got hard and we had to prioritise our mortgage.

We understand exactly how your feeling, it's like being sucker punched, we where just about to go for a new mortgage and this has really put a spanner in the works, what's worse is if the lender or cabbot had ever come to us over the years to let us know this was here we would have cleared it.

Regardless of the reasons everyone in life has fallen or will fall on difficult times, but destroying people's name suddenly after 12+ years is excessive.

Speak to your partner I hope you find a resolution like we will do ourselves. Please let us know how you get on with Cabbot as we have never had dealings with them, as I said we had no communication from anyone regarding any type of balance.

risteard7 · 31-10-2020 9:27pm

Yeah I'm in the same boat unfortunately. Mine is 13 years old, it's from 2007. Cabot decided to put mine up in 2018 too. Yes I take full responsibility but I genuinely might not hear from them for years and I took the wrong advice too. Good luck with it

Mrs OBumble · 31-10-2020 10:25pm

risteard7 wrote: »

. Cabot decided to put mine up in 2018 too. Yes I take full responsibility but I genuinely might not hear from them for years and I took the wrong advice too. Good luck with it

Cabot didn't decide.

The government decided that all debts have to be recorded.

L1011 · 31-10-2020 10:29pm

vandriver wrote: »

Cabot didn't report to the ICB,so there would have been a period after the debt was written off but before Cabot started reporting to the CCR when his ICB would have been clean.

Cabot were not a member of the ICB.

bizzieebee · 31-10-2020 10:59pm

Can anyone on here clarify or shead any light on the below regarding Cabot and the CCR.

If the loan is written off will it be removed after the 5 years have passed?

If the loan is cleared will it then be marked as closed and take a further 5 years to come off the CCR report?

vandriver · 31-10-2020 11:27pm

bizzieebee wrote: »

Can anyone on here clarify or shead any light on the below regarding Cabot and the CCR.

If the loan is written off will it be removed after the 5 years have passed?

If the loan is cleared will it then be marked as closed and take a further 5 years to come off the CCR report?

Written off by who?If Cabot own the debt,then why would they write it off?

bizzieebee · 31-10-2020 11:45pm

vandriver wrote: »

Written off by who?If Cabot own the debt,then why would they write it off?

It is showing as written off with a 2018 date on it.

Jim2007 · 01-11-2020 12:08am

bizzieebee wrote: »

Can anyone on here clarify or shead any light on the below regarding Cabot and the CCR.

If the loan is written off will it be removed after the 5 years have passed?

If the loan is cleared will it then be marked as closed and take a further 5 years to come off the CCR report?

First and foremost you need to understand the a write off is simply an accounting decision by the lender to no longer consider it as a good debt and make provision in their accounts for the loss.

This in no way prevents them from continuing to try to enforce collection, factor the debt, nor release them from the obligation to continue to report it on a monthly basis. They are even required to report debt that is statute barred.

From the FAQ on the website, it appears that a credit agreement will continue to appear on the report for a period of five years or, and this I think is the bit causing the problem, until the agreement is concluded. After concluding the agreement, the payment history will continue to be reported for a further two years.

Unfortunately there seems to have been very little interest in the topic and so far I have not found a quality article about it in the media.

Jim2007 · 01-11-2020 12:13am

risteard7 wrote: »

Yeah I'm in the same boat unfortunately. Mine is 13 years old, it's from 2007. Cabot decided to put mine up in 2018 too. Yes I take full responsibility but I genuinely might not hear from them for years and I took the wrong advice too. Good luck with it

Cabot do not get to decide what to report, it is prescribed by law. The fact that the have chosen not to continue to attempt to collect it does not absolve theM of the obligation to continue to report it.

risteard7 · 01-11-2020 1:57am

Once cleared the 5 year wait is a problem but there's nothing I can do unfortunately. But the law is the law. The only grievance I have with Cabot is it appeared almost 13 years later.

RachelsCousin · 01-11-2020 9:03am

Jim2007 wrote: »

From the FAQ on the website, it appears that a credit agreement will continue to appear on the report for a period of five years or, and this I think is the bit causing the problem, until the agreement is concluded. After concluding the agreement, the payment history will continue to be reported for a further two years.

It's longer than that. Once an agreement is concluded it will actually remain for 5 years, but only the final 2 years of the loan will be visible, until that information is 5 years old.

The FAQ explains it:
"For example, if you pay off a loan in January 2020, the lender will see information back to January 2018. They will continue to see this information until Jan 2023, when the oldest information (i.e. the information as at January 2018) begins to delete on a monthly basis. The entire record will have been deleted by January 2025."

bizzieebee · 01-11-2020 11:44am

RachelsCousin wrote: »

It's longer than that. Once an agreement is concluded it will actually remain for 5 years, but only the final 2 years of the loan will be visible, until that information is 5 years old.

The FAQ explains it:
"For example, if you pay off a loan in January 2020, the lender will see information back to January 2018. They will continue to see this information until Jan 2023, when the oldest information (i.e. the information as at January 2018) begins to delete on a monthly basis. The entire record will have been deleted by January 2025."

So would it then be a better option to arrange a monthly repayment to pay over 2 years before clearing the balance so that the loan can be seen to have had payments off it month on month for those 2 years?

As opposed to just clearing this straight away.

RachelsCousin · 01-11-2020 11:48am

bizzieebee wrote: »

So would it then be a better option to arrange a monthly repayment to pay over 2 years before clearing the balance so that the loan can be seen to have had payments off it month on month for those 2 years?

As opposed to just clearing this straight away.

It could be in some cases. But it will show who the debt is with, so if it's a debt collector it'll be obvious enough that there were issues.

risteard7 · 01-11-2020 12:02pm

I'm due to upgrade my car next year but the garage wont give me a new car now when they run the new credit check. I never missed a payment since I started the plan in 2015. It will be awkward explaining things!

I'll be talking to Cabot next week so I'll know what they say then

bizzieebee · 01-11-2020 12:18pm

risteard7 wrote: »

I'm due to upgrade my car next year but the garage wont give me a new car now when they run the new credit check. I never missed a payment since I started the plan in 2015. It will be awkward explaining things!

I'll be talking to Cabot next week so I'll know what they say then

Could you let me know how they are to deal with?

We where just about to apply for a mortgage. Even if after all these years we could clear the balance and it be removed from the CCR straight away as the debt is so old it would be something.

Cabot financial & CCR

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