I'm currently working my way through old accounts and such like and closing down where applicable those I don't use but have not yet been classed as dormant.

One of those accounts was a savings account with a well known retailer, almost 20 years I've had it, they periodically send me a statement, amount saved was under £40.

I also had a cc with the same company, it went tits up around the same time as most other ones and it ended up in default,

I wrote to them as I did all of my creditors, stated how it was and that I'd be making token payments and then came consumeractiongroup and I went from debtor with no hope to an alleged debtor that became empowered,

I dealt with my alleged debts and helped others around me do the same..the cc debt mentioned here simply faded,

I did for a time receive letters from dca's re the debt but I chose to ignore them as they ignored my plight in the first place.

In any case, the cc debt mentioned has been stat barred for some time, maybe 6 years of stat barred, I know the debt doesn't vanish, so it's out there somewhere.

My point (ok it took awhile)

when I was closing the aforementioned savings account down they asked me if I wanted the money paid into an account they had on file for me, the account is still live so I agreed for them to do this. (all by phone)....

However after the call I was putting paperwork to bed and came across a letter from the original creditor (well known supermarket) where they said at the point of default that they would collect any money they could from any other accounts I may have with them (my savings account possibly?) they never did, but I chose to leave the account alone just in case they went calling on it (for the small amount in it I shouldnt have bothered)

So, had this been picked up on when I called them to close the savings account down,

could they have diverted the amount saved and paid it towards the now long gone account stat barre CC account?

and if they had done that would this then have reset the stat barred account?

and all because of me not thinking?

I should say that they did close/pay the money into the other not related account so the transaction is done and dusted....BUT...could it have gone so terribly wrong for me if they'd paid it off the original CC?

as far as I'm aware they never assigned the debt to any collection agency,

I did have some bottom feeding dca's trying to collect but they were simply ignored.

wish you'd name names!!

I will guess this is RBS

and the card was/is a Tesco credit card

which at the time was financed by RBS.

so yes they can offset.

statute barring in E&W simply means that enforcement of any court judgement cannot be done.

so owners of your debts don't bother.

however the debt still exists , and if still owned by the OC, then they can offset.

… and to make it clear, the statute bar does not reset itself.

if they are daft enough to pay you that money then they cant ask for it back but as said, they can use it to offset the other account without your permission if that was allowed in the original agreement.

Thanks for the further clarification re the stat barred, I wasn't sure.

Now thats cleared up, the credit card was with Sainsburys Bank, the Savings account was with Sainbsurys.

The DCA that attempted to collect was Robinson Way.

so as post 2 RBS I guessed right

so as post 2 RBS I guessed right

You can have 1 point for rbs (assumuing it's them that underwrote Sainsburys Credit Card but 0 for Tesco.....

Still 1 point from 2 isn't bad, 'every little helps' right?

doh what made me put Tesco...

meant to be Sainsbury's

they were financed by RBS before they had their own bank later when the rules were relaxed.