# Unsecured personal loan



## Falsers (17 Nov 2010)

Hi, just looking for some advice, I have an unsecured personal loan and due to illness then unemployment have been unable to meet my monthly commitments. An agreement was put in place whereby I would pay a sum each month that covered the interest. I have been meeting this payment each month. However, yesterday I received a letter from the bank stating I owe them x amount in arrears and if its not paid in full the loan will be passed to the debt collection agents seeking full payment. 
Firstly, I didn't get the agreement in writing, just verbally. I have tried to contact the agent I was dealing with but so far haven't received a call back. 
Secondly, if it passes to their debt collection agent what happens then? I simply don't have the amount of the loan to write them a cheque. SO what can they do? 

Thanks for any feedback/info


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## so-crates (19 Nov 2010)

Have you had any written communication with your lender? If that verbal agreement was not recorded anywhere then they would have no knowledge of it. 

Debt collection agencies in Ireland, from what has been said in other threads I have linked a few below), do not have any legal power.
http://www.askaboutmoney.com/showthread.php?t=143285
http://www.askaboutmoney.com/showthread.php?t=87179

I think you need to sit down and discuss this formally with your lender. Bring in all evidence of income and necessary expenditure and if you have any evidence of your "verbal agreement" bring that too. If you don't try and document it yourself setting out who you talked to, when you talked with them and what was discussed and agreed.

Other than that I would advise you get in contact with MABS. Start by following their self-help guide.


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## HarrisonM (27 Nov 2010)

Well, the situation is rather complicated, I must admit. However, the way out always exists. I think you should follow the advice written by so-crates. It's definitely wise, I think.


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## rescue16 (28 Nov 2010)

*Cant take what you dont have !!*

Listen its simple its a matter off telling them at the moment i am finding things hard and this is all you can afford offer them the amount you can afford and just make sure you keep up with payments with your mortage and if you have a car loan as these are both secured loans. They might try and bring you to court well leave them a judge will proberly tell you to pay them 50 euro a month or something like that and then he will give out too the bank for waisting his time with such a stupid case.


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