# Avant card - going into Default



## netz (20 Aug 2013)

Hi - any help appreciated. 

History - had 2 MBNA credit cards - 1 @ 10,000 and 1 @ 12,000. Entered into pay plan 2 years ago paying 356 per month (196 + 160)- successfully got total debt down to around 12,000. We can no longer afford to keep up with agreed plan as husband is out of work, - so we cut payments to 55 + 45 per month. Total weekly household income is now social welfare @ 334 plus 280 childrens allowence per month. Account now going into arrears. Constant phone calls and letters from Avant card, telling us they will take us to court or sell to a debt collector or short settle. Short settlement is out of the question, as we have no income other then social welfare and are paying reduced mortgage. Questions I have are as follows:
1. Are they really likely to take us to court or is this a threat?
2. If debt is sold to debt collection, I know the debt will register as default for 5 years with ICB - will debt collector also be named on ICB? until we clear debt with them - which will take 10 years at the rate we have been paying.
3. Will debt collection accept the current €100 a month?
4. Can debt collector take us to court too, if we cant pay what they want?

Any advice appreciated


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## Time (20 Aug 2013)

They are very slow to take anyone to court, I knows of a case of a person owing 5K+, paid nothing for over 4 years and nowt has happened.

The ironic thing with the ICB it is actually better to default and never pay another penny as the debt would be wiped from the ICB after 5 years. If you enter into a deal to pay x a month the debt stays there for 5 years after it is cleared. 

They would be fools not to accept €100 a month.

The debt collector can only take you to court if they buy the debt and have the paperwork to prove it.


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## wmpdd3 (20 Aug 2013)

I am in the same boat, I have entered into 3 different agreements and now I need to enter into another. I over estimated how much I could pay the first time and then has a change in circumstances. 

Is there anywhere you can search to find if someone has been taken to court over a debt or is it completely private. 

I have only heard of business people being taken to court over their debts and an attachment being put on their house / inheritance / future earnings etc,

I have never heard of a consumer getting taken to court.


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## Time (20 Aug 2013)

Banks take private persons to court all the time. They get instalment orders etc.

Avant/MBNA would not be big into court, but the big 4 banks here keep the courts busy enough.

Read my key post on dealing with debt in court.


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## newdawn (21 Aug 2013)

*Avant card*

This is very much on my mind too. I went into an agreement to pay off a fixed amount each month. I knew at the time it was too high but I had some card arrears and they seemed anxious to get it all settled. They didn't entertain a lower amount as they said it would exceed some 5yr maximum for repayment. I kept it going for about six months but as soon as an unexpected event turned up, I ran into trouble. Its just sailing too close to the bone with the higher amount of 200 pm. Have kept  paying the full amount recently but have been late last two months. Bottom line, I need to renegotiate a lower figure. From the other posts here , it seems you guys have done this before. 

My questions are: will they want me to fill out that expenses form again? So tedious and forget what amounts I allocated for this and that last time. Secondly, is it best to write in advance of next payment and say I need to send less and I have no choice. Or will I send a cheque for the lower amount and act like its a done deal?  How big a deal is this going to be ?  Will they just refuse me....and if they do how will I act? Stop paying or continue paying the lesser amount? What's likely to be the reaction??I'd welcome your thoughts based on your experiences.


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## wmpdd3 (23 Aug 2013)

In my opinion:

I got the 'we can not go past 5 years etc' I asked where it says that in the consumer credit act, I was told it is just their policy. 

The second time they just would not agree to the lower amount, I wrote by registered post and told them what I was doing and just continued paying. A few months later I had to call to get my balance and they said I was under an arrangement for the new amount. Then avant took over and I got charged interest and the whole lot kicked off again. Loads of calls and letters saying they are taking legal action etc. 

Every time they send a letter of intent to terminate. I call them and get them to state the balance and that I am paying. I have print outs of every time that I pay them.

Also I have an excel sheet with my financial statement on it, 1 A4 page, it just takes a few mins to fill in the details, PM if you want a blank copy. 

I also record all calls that I make or receive from them. 
Best of luck with them.


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## newdawn (23 Aug 2013)

Thanks for your advice wmpdd3, so based on what you say a registered letter, rather than a call, is the best way to let them know I can't continue with previous arrangement?

This letter to terminate you mention...is this a threat to sell the debt, essentially? If they did that, would it make the whole thing messier?


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## Time (23 Aug 2013)

Not really, just means you start all over again dealing with different people.


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## RichInSpirit (23 Aug 2013)

*Have had no contact from MBNA for nearly a year*

I hung up the phone on a very nice MBNA guy nearly a year ago and I've had absolutely no communications with them since good bad or indifferent.

I'm hoping they have forgotten about me ?


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## Time (23 Aug 2013)

They have only this week started trawling through their lists of old cases again. Sales of Tesco sim cards are expected to rise over the coming weeks as people dump old numbers.


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## newdawn (27 Aug 2013)

*Best approach to avant*

I am about to let Avant know I cant continue with the payment scheme set up with MBNA. To be fair, I did tell MBNA it was too high but no joy. 

My question is how best to break the news to Avant. Is this something that should be declared - 'I cant afford to pay this anymore' or requested 'would you accept a lower payment'?  Any thoughts welcome.


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## wmpdd3 (27 Aug 2013)

Do a new financial statement with all your incoming and outgoings, with supporting documentation. 

Write your letter detailing your new offer and how you reached this figure. 

Tell them when you will make your first payment and how. 

Make sure that your payments are in proportion to your unsecured debts, dont pay your credit union 50% of your pot even though you only owe then 10% of your debt.

And at last count I have 14 'notice of termination and intention to sell' in my now extended MBNA folder!


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