Time a debt is shown on record

[kev100]

Hi,

 

Just a quick couple questions

 

1, how long is a debt kept/shown on credit agencies records, is it kept for life or does it get removed after a certain time and the slate wiped clean

 

2, if a debt is sold to a debt agency, does the debt then show as a new debt from the time that the agency buys the debt, in effect renewing the time the debt shows on the credit reference agencies records

 

I have some debts going back 8 years or more and have been living out of the UK for all that time with no contact with debt agencies or the original companies the debts were from and just arrived back to the UK and wondered where I stand as I am going to have to start getting things like phones, renting a house etc and wondered how that will now effect me after all this time.

 

Thanks in advance for your answers

 

Kevin

[markstone]

Debts should be kept on your credit file for 6 years from the date of the default. If Debts are on your file are older than 6 years and have not automaticly droped off, then you should contact the credit refference agency who should have them removed for you. The fun and games start, as in my case at the moment, when debt collection agencys change the date of the default forward, or add more than one default for the same debt, this is not allowed, and this is what I am fighting just now.

[kev100]

Hi Mark,

 

Thanks for the info,

 

yes I saw somebody's post where this happened (maybe was you) and why I asked the question.

 

I suspect the debt agencies are doing this to try and track people who have gone of the radar for 6+ years, so they have to then get in touch to either found out why the debt has been added again with a new date .. they can then find out where you live and then start with the hassle and preassure to try get you to pay them, i would like to check my credit refence but unsure to do it or not.

 

Please let me know how you get on and the outcome

 

cheers

 

Kevin

[kev100]

Just another question, you mention that the debt is there for 6 years, does it still show when a company does a credit check ?.. or does the debt actually dissappear from the record and does not show up at all ?

[markstone]

Hi Kev, the debt should not show on your credit file at all after 6 years from the default start date. A debt that is older than 6 years, and you have had no contact with the company is called statute barred (6 years in England and 5 years in Scotland ) Debt collection agencys do carry out searches on your file from time to time, but you have got nothing to worry about if the debt is older than 6 years ( and you have been out of the country, so no contact with them ) If they do try and contact you, then just fire off the statute barred letter to them ( found in CAG library ) . I had a debt of £8345 from Marlin Finance that was older than 6 years, they sent me a nasty letter last week, so I just sent them the statute barred letter to them , and lo and behold, I just got a letter from them this morning apologising, and addmitting the debt was indeed statute barred , and that the account is now closed. If you show them you know the law and your rights, they tend to back down. Will let you know how I get on with my other ongoing case!

[kev100]

Cheers Mark .. thanks for the info. And good luck with the other case

[markstone]

No probs Kev, I am by no means an expert in these matters, I am just passing on info I have gleened from this forum by people who have been very helpfull to me and generouse in sharing thier knowlage. I allways thought one you had a bad credit score, there was nothing you could do about it, but this forum is teaching me there are things that can be done ( not allways succesfull ) but it means that you are back in control of your own file, and at the end of the day, anything is worth a shot, if it works, then you have won one!

[BRIGADIER2JCS]

One must take care to seperate the Default Date and its' six year life, as the default date is often up to 5 months after the cause of action ie '' the date a payment was due and not made after which no further payment or written acknowledgment was ever made. So a debt may be statute barred but will still show as a default until the 6 years expire.

 

Conversely, just because a default has been removed (paid or not) from CRA files it does not automatically mean that it is statute barred.

[markstone]

It can get so confusing! ( I am sure Debt Collection Agencys play on the fact that not many of us know our rights ) The Brigadier deffinatley knows his stuff, and I would listen to his advice rather than mine Kev!

Edited January 10, 2013 by markstone

[kev100]

Hi Brigadier

 

So just to clarify a little,

 

If I had no contact and not made a payment for 8 years, this is 2 years over the statute barred time, but there may be another period of time from when the company that gave the original loan (for example) would have logged the default, so the period could be 6 years + that extra time it took from the company to log the default ?, is there a maximum or minimum time that I can assume I will be safe, as I would like to check to see whats on my credit history but afraid if my name and new address gets logged on the system I will have some DCA's starting to harrass me again ...

 

Thanks for all the info

[BRIGADIER2JCS]

Yes check creit files, the debt will not be there and no further entry can be made.

Once the ''statute barred'' letter has been sent and received again no further pursuit of the debt, legal action can take place so in my opinion based on the facts in place here this is long dead and deeply buried.

 

There is quite simply nothing to report on or to chase.

[kev100]

I salute you Brigadier