have an old baclays loan which was sold to hoist - Possible mistake on statute barring of debt

[Jack111]

Hi all 

 

I have an old baclays loan which was sold to hoist in jan 2014.   I have made no contact with either until this year.  As I sar request to barclays and sent a statute barred letter to hoist. 

the sar revealed no default notice nor a any assignment of debt although hoist were owners on my credit file which has now dropped off

 

now I I have come across another thread that seems to be written by a solicitor  which seems to state the cause of action for loans in particular are different to the normal six year rule.  It states that for a loan, the cause of action is the last payment due at the end of the term of the loan unless the original creditor wants to end the contract early with a default notice.  
 

is this correct?  Have I messed up as my term was 5 years.  
Iv read a lot about limitations act including on here and I’ve never seen this discussed before

 

thanks 

[AndyOrch]

https://www.lexisnexis.co.uk/blog/docs/default-source/loan-ranger-documents/JIBFL_2017_Vol32_Issue2_Feb_pp75-79.pdf

[Jack111]

thanks Andy but I seem to have got lost in the legal jargon.   Can you possibly explain it further. 
 

also this seems to be talking about a secured loan.    Mine is NOT a secured loan

 

Is it statute barred or will I have to wait 11 odd years since last payment 

 

thanks 

[AndyOrch]

I thought the article covered all types of fixed loans so apologies.

 

Fixed loans are still covered by the 6 years limitation (England and Wales) pursuant to the Statute Limitations Act.

A creditor can default/ terminate a fixed loan at any time if the agreement has been breached.

 

Sorry if this is not helpful but your post is not clear on what you are actually querying 

[Jack111]

What I’m querying is that I thought I was statute barred due to six year rule. But my Sar to original creditor reveals that no default notice exists on file although it was sold off to hoist.  I’m led to believe a default notice needs to be issued in order for termination of account and cause of action to start.  
 

on another site a solicitors firm. Joanna Connolly solicitors, replied to a similar questions with the following 

“As this was a loan, the date of last payment DUE at the loan term end can also be the start of the statute clock, unless the agreement has been terminated early as above. I don't know the details of this particular loan, but, as an example, a 10 year loan, taken out in 2010, would not become statute barred before 2026, unless terminated early by the creditor.”

 

[AndyOrch]

Okay thanks I'm with you.

 

So firstly just because a SAR does not reveal the issuance of a DN ,internal accounts that you are not privy to would reveal details of the termination and assignment.....after all assignment of debt is 99.9% of defaulted bad/terminated debts and assignment of live accounts are as rare a chickens teeth. 

 

Do you really think a DCA on issuing a court claim would state that a DN was never issued by the Original creditor ? If they did their claim would be unenforceable because of the requirement to issue a DN pursuant to sec 87(1) to enable that enforcement.

 

Your debt is statute barred and Im afraid the website you refer to I wouldn't give much credence to.....26 years 

[Jack111]

Ahh Thank you   I gave them credence because it seems to be a solicitor making this claims and I’m a layman

 

i was thinking  it’s possible as per what the solicitor stated that they don’t need to issue a DN and instead rely on the last date of the term of contract  as cause of action.  
 

another expert poster on this forum seems to indicate something similar although he doesn’t seem to be online since 2019. he stated if no DN Is ever issued then technically the account is still live and so a lack of DN can be rectified.   
 

I will try hunt out his thread

 

The following was posted by Donkey B 

 

“So they can legitimately place a default on your credit file. If they want to terminate the account or take enforcement action, then they need to issue a DN. If they cannot show the OC issued a DN, and try to take legal action without one being issued, that is a total defence (but may only be a temporary one).”

 

and 

 

“Remember that all the issues they have failed with so far are easy for them to correct. They can still issue a default notice as, technically, the account may not have been terminated.

 

 

[AndyOrch]

Also whilst your at it try to find a topic were the original creditor (Barclaycard) issued the court claim and not a DCA. 

 

As long as there has been a period of 6 years without payment/acknowledgment the debt is statute barred fixed or running credit. Yes fixed loans will contain a term that on default the full balance will become payable...but then again that requires a default notice.

 

In the event that the claimant cannot prove a DN was ever issued or required or the account was terminated then its impossible to determine the cause of action and I'm sure a Judge would not let a debt run to infinity.

 

 

.

 

 

[Jack111]

Thankypu.   So as long as a lack of a DN can’t ever be easily rectified as Donkey B has suggested ( above) then I am good 

 

Thankypu for your help Andy. 

[AndyOrch]

Your good anyway if its over 6 years since payment/acknowledgment...BC cant even provide copy agreements let alone Default Notices.

[Jack111]

The Sar did reveal a cca agreement more than 8 years after the fact…. . Thank you kindly for your valuable time Andy.  

[dx100uk]

its SB .

 

end off!

 

dx

[Jack111]

Thanks.  

 

Just an update.  Just received an email back from dca confirming statute barred.   Thanks again for your advise

[AndyOrch]

  

Quote

on another site a solicitors firm. solicitors, replied to a similar questions with the following 

“As this was a loan, the date of last payment DUE at the loan term end can also be the start of the statute clock, unless the agreement has been terminated early as above. I don't know the details of this particular loan, but, as an example, a 10 year loan, taken out in 2010, would not become statute barred before 2026, unless terminated early by the creditor.”

 

[Jack111]

. Well I had no choice but to take what they said onboard and question it as they  are the supposed experts and I’m just learning about all this

 

Just another quick question if I may.   Now that they have accepted the statute of limitations are they allowed to sell it on to other dca s.    Should I be expecting others to contact me? 

[dx100uk]

nope

 

did you use our SB letter than ref'd CONC rules?

 

[Jack111]

I didn’t.   I used the template from National debtline. Not sure what the conc rules are

[dx100uk]

just type in the box

i've amended all you post

there is no need to keep hitting quote

we know what we've said, just makes the whole thread twice as long as makes it a nightmare to find your reply on a small screen.

 

if someone is stupid enough to buy a statute barred debt . thats their problem.

forget about or

or get reading up here using our search.

 

NO DCA has ANY legal powers whatsoever on ANY debt no matter what it's Type

and they are NOT and can NEVER  be BAILIFFS. even if a debt has been to court..

If everyone stopped blindly paying DCA's Tomorrow, their industry would collapse overnight... 

 

[Jack111]

Oh ok. Apologies.   And great work you guys do here.  I’ve learnt a lot from you guys.