What can I do, if anything? (Shared Debt)

Gamefreak501

Gamefreak501

Gamefreak501

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Joined
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Bedfordshire
Hello everyone,

I haven't posted on here for a while because I have had loads of real life problems, losing various jobs I had and only now just securing my new job with the time constraints that come with this.

My query is regarding a business account I opened some years ago with a former friend.

I funded this account myself with a loan I took out and I worked tirelessly to fix up my Triumph Spitfire, hold down a job and run the business - especially making the web site work with the bank system and advertise the business.

The business account was in both our names. However, my former business partner/friend ended up using the account for his own means - flights to America to see his internet girlfriend etc.

Eventually, the business account was overdrawn by him and I didn't realise this until I was phoned out of the blue about a debt that had reached over £800. I rang up my former business partner and shouted my mouth off in the hope it got through.

Soon enough, I started receiving letters from a Debt company and passed these onto my business partner. I didn't receive any further communications from the debt company until a few months ago when the debt was still at £1100 or so.

So I paid into it around £80 and asked my business partner if he could start paying it off himself. He agreed; but to this day he hasn't paid anything towards this and I've been paying the company £5 a month but feel that my former business partner should be getting chased, not just me and I shouldn't be the only one paying it.

I've resigned to the fact that even if I go to the FSA or a Financial Ombudsmen; or a small claims Court they won't help.

It wouldn't bother me too much, but when I think about the debt that I didn't accrue, I get really angry and ****** off. I want to beat the **** out of my former business partner, but that will be assualt/gbh/abh and make me a criminal or he'll probably do something to my car, which I rely on to get to work every day.

I have spoken to his parents on numerous occasions who both feel he should be paying it, but he doesn't stick by his word and I really wish something terrible would happen to him. He clearly has taken advantage of my kind nature.

I suppose the real question is what can I do. I personally think I'm stuck with this and I'll have to simply pay the debt off myself and be done with it. Lesson learned and all that - although principally; I should not have to do this.

Any help or advise would be appreciated.
 
Have you tried speaking to the debt company, they might be willing to chase the other guy if you can provide proof that a substantial amount of money on a business account was for his personal stuff (like the flights etc), although I'm not sure I'd hold out much hope...

As it was a joint account, not sure why they're only nagging you, they should surely be going after both, but I guess if one person doesn't care...

Really not sure what you can do, might just have to pay it off and never even acknowledge the **** again...
 
"I've resigned to the fact that even if I go to the FSA or a Financial Ombudsmen; or a small claims Court they won't help."
i would be seeking advice from someone, there must be some way to get the money back form him! i presume the account is now closed?
 
CAB
Citizens advice, it is free, and the will certainly be able to advise you directly on this issue.
You will have a local office, look them up todya, they might even have someone who can talk to you over the phone, when you go bring all your information with you, so you have it all to hand.
 
Time to contemplate legal action; if he took the money out of a business account for personal action then that may be fraud.
 
Your next problem is explaining to the tax man why the company money has been spent on personal stuff.

As someone said its Fraud and I would suggest you tell him that you are going to the police. He will probably just pay up as its not really enough money for him to want to get into trouble over.
 
My friend had this problem on a personal loan account with his ex-woman. She refused to pay and didn't care of the consequences. So basically if it went to court, they would both get a CCJ but only he cleared the debt in the end.

Can citizens advice offer any help?
 
Why are the debt company only after you if the account is in both your names?

I'd report him for fraud, that should get his backside in gear.
 
If you are jointly and severally liable for the debt (which I believe you will be with a joint account) then the creditor can come after whoever they please for repayment of the full debt.

However, should you end up paying off the entirety of the debt then you would have an action against your former business partner for his share. You may also have a right of action for a larger contribution if you can prove that he withdrew the funds for his own personal use.

I presume you didn't have a company set up - if you did then there are separate company law offences that your business partner may have committed.
 
You need to see someone legally qualified to answer your questions on this. It all depends on the terms of the account, and how exactly liability was set up between you both.

As someone has already said in most cases if the account/debt is in multiple names you are usually all liable and the collection company can go after any/one/all of the names if they think they can get money.
 
Get some 'hired' help to break a bone in his body for each day he does not repay the debt. By the time they get to his knee caps your account will be back inthe black !!!
 
Cheers for the help and advice everyone.

It does make me feel better though - as if it's not all doom and gloom!

I know that my former business partner has all the paperwork about the debt (so he says) as he agreed to look after it (rubbish really) and sort it out. I suppose without these, I don't have a case.

Unfortunately, the account (which has been closed for a while so some debt collection company can buy the balance for chicken feed) is in both our names.

Which does mean we're both jointly liable. With a lot of saving, I could clear the debt, but I would still feel very hard done by in doing so.

Perhaps, the next course of action is to see the CAB with the paperwork (I'm sure I can get the paperwork from his parents, as I'm not really talking with my former business partner for good reason) to see what they say and if that's not successful, seek the counsel of the FSA or the Financial Ombudsman). I do wonder how far the law/fraud groups can go without me providing any proof of the debt.

I'll need to get proof of the debits somehow in order for the case to carry any weight and even though I keep asking the debt collection company to phone up my business partner, they don't seem to be getting through and he keeps managing to fob them off.

I suppose they'll just continue to chase me as I'm being honest (and pathetic enough) to carry on paying back this debt.

I'll keep you updated with my progress.

Cheers again
 
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If he has been using your joint business account for personal reasons, you need to get him charged with fraud.

Only you can declare his use of the account illegal, to everyone else, its simply a debt.

Tell him you have no alternative but to put this in the hands of the police, and maybe he will wake up and smell the coffee?
 
Tell him to stick it where the sun will shine.

At the copacabana!

Her name was Lola, she was a showgirl
With yellow feathers in her hair and a dress cut down to there
She would merengue and do the cha-cha
And while she tried to be a star, Tony always tended bar
Across a crowded floor, they worked from 8 till 4
They were young and they had each other
Who could ask for more?

At the Copa (CO!), Copacabana (Copacabana)
The hottest spot north of Havana (here)
At the Copa (CO!), Copacabana
Music and passion were always the fashion
At the Copa....they fell in love

(Copa Copacabana)

His name was Rico, he wore a diamond
He was escorted to his chair, he saw Lola dancin' there
And when she finished, he called her over
But Rico went a bit too far, Tony sailed across the bar
And then the punches flew and chairs were smashed in two
There was blood and a single gun shot
But just who shot who?

At the Copa (CO!), Copacabana (Copacabana)
The hottest spot north of Havana (here)
At the Copa (CO!), Copacabana
Music and passion were always the fashion
At the Copa....she lost her love

(Copa. . Copacabana)
(Copa Copacabana) (Copacabana, ahh ahh ahh ahh)
(Ahh ahh ahh ahh Copa Copacabana)
(Talking Havana have a banana)
(Music and passion...always the fash--shun)

Her name is Lola, she was a showgirl
But that was 30 years ago, when they used to have a show
Now it's a disco, but not for Lola
Still in the dress she used to wear, faded feathers in her hair
She sits there so refined, and drinks herself half-blind
She lost her youth and she lost her Tony
Now she's lost her mind!

At the Copa (CO!), Copacabana (Copacabana)
The hottest spot north of Havana (here)
At the Copa (CO!), Copacabana
Music and passion were always the fashion
At the Copa....don't fall in love

(Copa) don't fall in love
Copacabana
Copacabana

Okay, I'm going to bed...
 
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