Thank you for your question and welcome. My name is ***** ***** I will assist you. To answer your questions:
1. Was the original claim issued in court - did you sign any settlement agreement?
2. Verbal contract are valid in English law - if you have an exchange of promises of value and an intent to create legal relations, that is a contract regardless of whether it is written. The problem you will have is evidence it, it is your word against theirs;
3. Bringing the claim is their prerogative rightly or wrongly - if the claim is frivolous, without merit or without evidence, you could apply to have it struck out and they could risk being penalised in costs;
4. If you allow an open court to see WP correspondence and do it deliberately the court could penalise you in costs for wasting time - also the evidence would just be inadmissible. I would advise you redact it.
5. None - unless you bring a claim and this is some how relevant to the claim.
6. Can you confirm which protocol you are following? Or do you need advice on this?
I could review the bank ground correspondence, if you can post it to this link, but it may take a day or so.
Kind regards AJ