Default Question - Timescale for Action

[scottybhoy]

Is there a set time where a Creditor has to take action after registering a default on your account?

 

The reason I ask, is that in a couple of years most of my defaults will be gone, therefore, if they are not on my credit file, then why should I continue to pay them?

 

Leave the moral obligation to the side for a moment

[fkofilee]

Depends etc, Debts have a limitation of 6 years in England and Wales, 5 in Scotland

[scottybhoy]

Therefore, as based in Scotland, there would be no further chasing that a Creditor could do towards the Debt passed the 5 year mark from the date of default?

[fkofilee]

Well in scotland after 5 years from the last payment date, the debt is extinguished and i believe cannot be chased further.,

Before we can really assist anymore, what are the debts, how much for etc?

[scottybhoy]

I have been paying the debts, therefore I don't believe that the Statute Barred counts as I have affectively "acknowledged them".

 

The Debts are Loans, some under 5K and some, sub £500. Have made a serious dent in my debts the last few years, just sick of not being able to move on.

 

Therefore, having been defaulted, to my knowledge the Debts will drop off my credit file in the next couple of years, therefore why should I continue to pay them, what possible benefit would I get other than satisfying my moral equilibrium, which, when Banks are involved, tends not to be a problem

[Coughdrop]

If you stop paying them, they can and will take legal action to get CCJ's which can then be enforced through the courts. That is something you may have overlooked by the sounds of things.

[dx100uk]

have you ever though of sending these people a CCA request?

 

 

just because a debt does not/has dropped off a cra file

does not make it SB'd nor that you should not pay it.

 

 

esp if you already have been paying it until recent .

 

 

CAREFUL investigations need doing

 

 

CCA request is the first step..

 

 

might be an idea to list your debts

and whom you pay?

 

 

dx

[BRIGADIER2JCS]

In Post 5 you say you have acknowledged the debts?

 

The OFT Guidance on Debt Collection states that 'a relevant acknowledgment is an unequivocal Written Acknowledgment that a liability subsists'.

 

Unequivocal is the key word, so can you say how you acknowledged the debts, bearing in mind that phone conversations do not have any impact.

 

Unfortunate any payment at at any time will restart the limitation period.

[Coughdrop]

In Post 5 you say you have acknowledged the debts?

 

The OFT Guidance on Debt Collection states that 'a relevant acknowledgment is an unequivocal Written Acknowledgment that a liability subsists'.

 

Unequivocal is the key word, so can you say how you acknowledged the debts, bearing in mind that phone conversations do not have any impact.

 

Unfortunate any payment at at any time will restart the limitation period.

 

To be honest Brig the above is of no importance, as the OP states quite clearly that he has been making regular payments. This action alone halts any SB clock immediately.

 

It is very easy, in any case, to acknowledge a debt in an unequivocal way. Simply referring to an alleged debt in a letter saying, eg, "I am writing with regarding to my debt to you ......" is a simple, unequivocal statement, and how many letters might start if one did not know better.

[scottybhoy]

Thanks for your replies.

 

The reason I ask is that after paying and dealing with my debts for a number of years , I can finally see the light at the end of the tunnel.

 

My credit file will be "clear" in 30 months! After which, there will be a couple of thousand left to pay. If I could have avoided paying it - I would, but based on the responses, you have helped to point me in the right direction.

 

Will continue to pay and try and reach full and final for a reduced rate.

 

All accounts I have/had, have been "written off", heavily discounted and all PPI and charges have been refunded, plus interest and compensation on some.

 

Will keep plugging away, not long to go now

 

Thanks folks.

[Coughdrop]

Good luck - the last thing you want when you get a glimpse of light after all your hard work is something to mess it up again. I hope it works out for you. Any problems, shout!

[scottybhoy]

@Coughdrop, that is why I thoughy it best to ask.

 

Repaying is now my best option. Anything adverse now would set me right back to square one! The most important thing for me is that I have no regrets whatsoever as to how I have handled it!