Ok this is not really a post I wanted to make,but I do feel as though I need to share my experience for anyone it might help in the future.Just over a year ago I was involved in a car accident were my insurance was cancelled,I think its fair to say im a thick skinned individual as most out their will automatically judge me for having no insurance and defend the immoral practice of the faceless companies who value profit before morals.
I Have recently come into some good karma and managed to get an insurance policy reinstated so thankfully I will not have to deal with the MIB now(attempt here by the younger me to talk this into existance, unfortunately the decision was reversed and I might have to deal with MIB, I`m ok with that though),but I sympathizes with some of those who do.Through the research I did I managed find out all the likely outcomes so I could prepare.
Anyways here`s what I came up with: You will be asked if you are willing to co operate with the MIB procedure,this is a choice for you,I personally would as it can keep the final cost down,however I would only agree this is principal I would not have singhned a form.
Skipping ahead to the later stages,you have not had you insurance reinstated etc, most debts become statute barred afer 6 years so if the MIB have not got a ruling to exempt the debt you could argue that you don`t have to pay it off.Check this before making an offer to pay.
The MIB will usually want to agree terms of repayment out of court,ask for all the proof of the debt you have a right to ask for this.If the fees are extortionate that have been added on ask for a reduction,you have not agreed to pay for cetain 3rd party fees and solicitors expenses.
If you have been send a large bill dont panic,or if you are expecting one again dont panic,it often takes years for these bills to be chased so you have time to make a plan.If you have been sent a bill one way to settle the matter would be to get on the phone to them and try to agree a monthly repayment plan.However I recommend beatmydebt.com and look up an IVA,this might be able to help you.
Another way of settling the debt would be using a full and final offer,I have herd of people paying off debts of 30k by offering just 2k soI would personally start off with a low offer of around well less than 10% of what you allegedly owe,as its unlikely they will accept a first offer.
Another method I would have likely tried is sending a full and final offer cheque and a promissory note worth the same,a promissory note is basically your own cheque .To find out more I recommend you got goodf.forumnotion.com.
If you are expecting a MIB bill I would personally keep your credit rating clear,a personal loan would be a decent option here to be honest their far easier not to pay back if you are in a bad situation.
If you cannot or don`t want to agree re-payment with the MIB here is what they will likely try do,first of all they will try to get a CCJ,again beatmydebt.com is a good place to look if your being threatened with one.Or if you are not too fussed about one it might be just as easy to accept it at affordable terms.
Now if you own a home on a mortgage,they may try and put a charge on your property,these last 12 years,which usually involve you paying a monthly amount to reduce the stake they have,again if you are ok with this thats fine,however an IVA might stop a charging order again refer to beatmydebt.com for info on that.
Its very rare that the MIB will try bankrupt people however its perhaps possible if you refuse point blank to co operate,which I would only say is an OK game to play i you have no assets.
A few other things that might happen if a company calls you trying to get payment from you chances are the MIB have sold the debt,which I have herd happens allot,if this happens then strictly by law the debt is payed.Their is a 3 letter method on goodf.forumnotion that will explain to you how to put third parties into tasteit agreements.
If their is a chance that a charge will be placed on your property here are some ways you might be able to prevent it.First of all put your property in a joint name if its not already in one,please research this further but by the letter of the law a charge should not be put on a jointly owned property.
Another option would be simply to put the property in someone else name until things have blown over,or if you own the property with no mortgage,take it off the land registry.Another option which most don`t know about is a voluntary charge which you could ask a friend to agree to put on your property,and also you can quite easily these days by an off the shelf company ,you ca set you up using a fromations company,it will cost around £100 upfront plus a monthly fee of £15,you can put a voluntary charge on your property using that companies name.
If you want the situation sorted quickly I would personally suggest a full and final off,and send in a promissary note but don`t say what it is they will know what it is,but will unlikely want to admit it.Anyways take care and if anyone would like to contact me about this feel free.
Take care peace.