Solicitors Interest...

[zoid]

Ok so i got in a large mess a few years back and had approx 13K of debt (personal loans/cc that got out of hand) combined into one debt with the banks solicitor. Court order ruled I had to pay back €500 per month which i have been doing since last august. Got a letter from the sol today saying their client wanted to discuss settlement as even though id been paying off €500 per month there was "interest" accruing fast on the debt! Where did this interest come from? It was never mentionned on statements i asked for on the make up of the debt last year...Do I have a right to know what this interest is and why wasnt i told about it before? Also are they likely to consider a settlement for less then the total outstanding to get rid of me?

god how i hate paying that 500 a month I will never get a loan for anything other then a house again!

 

[woods]

You were not told about the interest then because it was not there then.
This is the interest building up since the court case and which will continue to build up in to the future.

 

[ClubMan]

The title of your thread seems misleading. The solicitor is not charging interest - their client is.

Got a letter from the sol today saying their client wanted to discuss settlement as even though id been paying off €500 per month there was "interest" accruing fast on the debt! Where did this interest come from?

Unless you have a 0% loan then you are probably going to be charged interest otherwise the lender is losing money!

It was never mentionned on statements i asked for on the make up of the debt last year...Do I have a right to know what this interest is

I would expect so.

Also are they likely to consider a settlement for less then the total outstanding to get rid of me?

Maybe. Have you sought advice on this - e.g. from your own solicitor or MABS etc.?

I will never get a loan for anything other then a house again!

You might even have problems getting that as long as this issue remains on your ICB file (usually for 5 years after final settlement).

Post crossed with woods' post.

 

[woods]

god how i hate paying that 500 a month !

It is your debt.
I am sure that none of us LOVE paying our debts but it is one of those things that we have to do because that is the way life is and because we have had the benefit of what ever it was caused the debt in the first place.

 

[mf1]

Courts Act interest at 8% per annum accrues automatically on a Judgment debt from date of judgment to payment.

mf

 

[zoid]

Courts Act interest at 8% per annum accrues automatically on a Judgment debt from date of judgment to payment.

mf

Feck. Okay gunna try get legal advice monday, havnt tried MABs before but seems a good time. Thanks for replies, not looking for pity yeah i know its my own fault its just nice to vent!