Hello all,

Friend of mine asked if I can check something for him.

Is his debt written off after 6 years? For example letter had arrived today from DCA and debt last payment he made was on 01 Jan 2012. That when he made last payment. Does DCA 'reset's almost 6 years period of time?

Thank you!

The debts are never written off. Six years simply means that the owner of the debt is no longer able to sue them in the County Court. However, they can continue to sell the debt on to harass you and to try other enforcement action.

However, under the new CONC rules if you inform them that the debt is statute barred they are then in theory prevented from taking any further action. In practice they often continue. If your friend has a statue by debt then he should write to whoever is chasing him and put them on notice that they are statute barred and that to continue to chase them would amount to a statutory breach under the FCA CONC regulations

Thank you BankFodder, so he shall wait few more weeks and in Jan 2018 send them a letter? He mentioned that default date was around Jan 2012.

default date wont be the start of the SB date. SB date for most ( not all) debts starts from the last payment to the debt or last written acknowledgement that the debt was yours.

Thank you will forward message and on behalf of my mate small donation was made by me

An update that last payment was in June 2011*

default date wont be the start of the SB date. SB date for most ( not all) debts starts from the last payment to the debt or last written acknowledgement that the debt was yours.

not quite.

The six years runs from the date of the last failed payment. The six years runs from the date of the breach which would be the date that a payment was due but was not made. Alternatively, if there is a subsequent acknowledgement of the debt then the six years runs from the date of the last acknowledgement – as has been suggested above

our SB letter is in the debt collection section of the library

thank you all, over the weekend we worked this out from credit file.

2011 July was last succesfull payment

Then:

2011 August: Either the payment due wasn't made for 1 months, or the account is 1 months in arrears.

2011 September: Either the payment due wasn't made for 2 months, or the account is 2 months in arrears.

2011 October: Either the payment due wasn't made for 3 months, or the account is 3 months in arrears.

2011 November: Either the payment due wasn't made for 4 months, or the account is 4 months in arrears.

2011 December: Either the payment due wasn't made for 5 months, or the account is 5 months in arrears.

2012 January: Either the payment due wasn't made for 6 months, or the account is 6 months in arrears.

2012 February: The status of the account is unknown.

2013 March: A notice of default has been served - this usually arises from non-payment

Then it goes all to 2017 Dec as Default.

so on a monthly cycle the date something becomes SB will be 6 years after the date of the failed or missed payement.

Under a credit agreement you become in breach of that generally a month later

so if last payment was bofore july 2011 the breach occurs on the date in sept 2011 and it is SB in sept 2017.

What a lot of banks and companies are now doing is stretching the SB clock by not registering a default by claiming they are still in discussion over a repayment plan, trying to help you etc,

ie claiming the account is still active in some way.

Once they are got to 5 years of playin this game

they place a default notice because if they continue longer the SB clock automatically applies anyway so all they are doing is producing a false paper trail.

This is merely to punish you rather than a genuine attempt to make an arrangement and as such a complaint can be made about the false reporting on your credit files.

great thanks, will let him know and ask him to send a letter off to Lowels

Lowell was so quick and here is what their response was:

Good afternoon,

Thank you for your email and for providing those security details for us. I have now confirmed this email address on to your account:

The Limitation Act and your account

We’ve noted your comments, however, your account is not statute barred under the Limitation Act 1980. This is because the full balance became due after you defaulted on the original agreement. According to Oakam Ltd, the Default Date was 1st January 2012 and the debt remains enforceable for 6 years after this date.

However, in light of the impending statute barred status on this account, I have submitted this account for a review. Once the review has been completed, we will contact you.

If I can be of any further assistance in this matter then please do not hesitate to contact me.

___________________________

I will ask my friend to forward what they say and I guess next step will be question to them when last payment was made for this account. Surely as per my info it was June or July 2011

should never use email!!

SB does NOT run from defaulted date!!

dx

Theyre trying to bluff you big time. I would report that email to the regulators.

should never use email!!

 

SB does NOT run from defaulted date!!

 

dx

sorry, on letter itself was email address and friend thought he can also use this from of communication.. well lesson learned..

YES, many helpful people from this forum also confirmed this information

Theyre trying to bluff you big time. I would report that email to the regulators.

OK I will help him to write letter via recorded letter and post to FOB

post 8 send it by royal mail

then ignore them

unless he gets a letter of claim

or

a court claimform.

I very much doubt it!!

dx

now that they have an email address to continue to harass you for ever.

As they admit they have added this to the file so even if they had wrong details about the debtor it now becomes you because they have created a trail that says it is and provided so called security details they didnt ever have before.

sorry, on letter itself was email address and friend thought he can also use this from of communication.. well lesson learned..

 

YES, many helpful people from this forum also confirmed this information

hi ericsbrother

so consequences can be that thy will still issue CCJ for my friend? sorry im lost here now

no post 17

thanks dx100uk

Lowells so replied to email and I have a copy of their response:

Good morning,

Please be aware that the statute barred timescale commences from the most recent of the following events: the default date, the date of the last payment or the date of any judgement on the account. As the default date for this account is 1st January 2012 then the account is not statute barred.

As previously advised, your account is under review and we will be in contact again in due course.

Lowell agent

Wrong

I'd be reporting them to the FCA

thanks dx100uk, I guess Lowell is an expert in legislation

" last payment he made was on 01 Jan 2012 "

" As the default date for this account is 1st January 2012 "

Well 1 of you is wrong....you cant have a last payment and default date as the same date ?

Andy

" last payment he made was on 01 Jan 2012 "

 

" As the default date for this account is 1st January 2012 "

 

Well 1 of you is wrong....you cant have a last payment and default date as the same date ?

 

 

Andy

Hi Andy,

2011 July was last payment

2012 Jan default date was recorded