Really basic question about statute barred debt

[nonymouse]

Hi there

I have a couple of debts which are coming up for being statute barred (as it will be 6 years from the date of default at the end of May). After this point, I assume they should no longer appear on any credit reference agency files? How long should it take for them to drop off, and what do I do if they don't drop off or if they reappear?

Many thanks

[silverfox1961]

Hi

After 6 years the entry will just go "poof" and it will be as if it never was there.

 

If it does reappear, you can take action against the entry maker.

 

If they do not drop off, contact the CRA(s)

[nonymouse]

Thanks for claryfying so quickly! I shall listen out for my CRA files going 'poof' on May 28th then!

[Bazooka Boo]

The date of default could be up to six months 'after' the cause of action, so in reality the day 'after' you failed to make payment on an account is when the SB clock starts ticking.

[nonymouse]

Ah, I was working on 6 years from the date of default. So in theory the debts could be statute barred already? To be fair I haven't had any collection activity from DCAs for a while so maybe that's why.

[Bazooka Boo]

Yes they could well be, the date of default drops off your file 6 years after it has been entered on their.

[Spacedancer]

I've got a quick question if someone is willing to help?

 

When I was younger I had a credit card, subsequently defaulted on it because I changed my bank and didn't change the direct debit (accidentally I hasten to add) but then went abroad for a year so wasn't actually aware I had defaulted until I got home. I've never paid anything since the default, or 8 months before that in fact. This was in 2005 and the default was removed from my credit report in 2011. I haven't heard anything from any DCA's for a long time but am suddenly getting quite a few letters from various DCA's (different names but same company from what I can see) chasing me for this debt.

 

Granted, I spent the money and never paid it back. That's wrong and I'm not proud of it. However there were circumstances why I never paid (in a nutshell they refused to remove the default even if I settled the debt, including interest and charges, which I was willing to do. As they wouldn't remove it I saw little point in paying out 4k so didn't). I've never made a payment since the default date and never acknowledged this debt nor had any form of contact with DCA's (I just ignored them, they had their chance to get the money as far as I'm concerned).

 

Can these DCA's still enforce the debt? Should I send them the statute barred letter? Should I just keep ignoring them and hope they go away?

 

Any adivce much appreciated. Thanks!

[silverfox1961]

Hi

Until you tell them that you won't be providing their pocket money, they will continue to chase you therefore yes, send the SB letter

[Spacedancer]

Thank you very much for such a quick response. I'll do exactly that.

[brokebutnotbeatn]

If you tried to negotiate removeal of the default then that would have been after you returned from abroad so in 2006 so it may not yet by SB'd if you ack'd the debt at that point which you would have to have done to negotiate about settling it?

[Spacedancer]

Sorry my last post wasn't that clear. I was aware of the default 4 months after it appeared on my credit file, so that would have been August 2005.

[brokebutnotbeatn]

OK. So truely statute bared.

[Spacedancer]

Excellent. Got another letter this morning actually, yet another Final Demand before further action. Statue Barred latter on its way back!

[Bazooka Boo]

Computer printed pish!

[Bang!]

Out of curiosity - is a DCA threatening court action on an SB debt not attempting to obtain money by deception?

[Bazooka Boo]

Only if they KNOW it is SB, don't forget, DCA's are given no info on any of the debts they buy up in portfolios of debts, hence why they can send out puerile template letters all saying the same thing, it would be for the debtor to correct them on their laughable begging letter and to set the record straight, THEN if muppet A flogs it onto muppet B without informing them of the history of the debt, you would have some recourse against both companies, IMO.

[BRIGADIER2JCS]

No, Until the debtor has informed the creditor/dca that the debt

is statute barred and they will not be paying the debt is open to

action, the defence would absolute.

 

This is why it is essential to check CRA files regularly most weeks

I have see at least on claim issued for what after checking turns

out to be SB.

 

The problem arises because of the method of selling debt with the

very minimum of detail.

[Bang!]

thanks guys

 

It's difficult to believe a DCA pays the same for a debt that has been multi lettered/avoided for over 5/6 years, as one that has had no previous contact and is in its infancy.

 

I suspected debts would fall in value with time/previous unfruitful contact/present credit standing/asset value of debtor.

 

So it they are pretty much flat rate, how many p in the £ do DCAs pay for debts?

[May Fly]

how many p in the £ do DCAs pay for debts?

 

I did hear last year, the figure was 8-17p in the pound, and for SB, about 3p/£

 

Can't say if those figures are correct, but don't imagine they're that far out

[BRIGADIER2JCS]

The debt purchasers are aquiring debt in bulk,

there will be accounts varying in status, age

and enforceability.