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what soes statute barred mean ?? is this debt of mine classed as this
kurjam
Posts: 1,342 Forumite
i have just received a letter from debt managers ltd, claiming i owe £171.81 from marshall ward, i have just found out the debt relates back to 2000 - 2002 ??
do i have to pay this, the lady was trying to presure me to pay, i told her i do not have a penny to my name, as i am not going to pay if i do not legally have to.....
is statue barred to do with a debt being over 6 years old or something ??
if i am to write to them can some one tell me where i can get a template letter from to write to them...
thank you
do i have to pay this, the lady was trying to presure me to pay, i told her i do not have a penny to my name, as i am not going to pay if i do not legally have to.....
is statue barred to do with a debt being over 6 years old or something ??
if i am to write to them can some one tell me where i can get a template letter from to write to them...
thank you
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Comments
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Hi again kurjam
if you have not paid anything towards this debt or acknowledged it in writing, then it is statute barred.
Do you have any idea when you last paid? Does it show up on your credit record?If you've have not made a mistake, you've made nothing0 -
last payment would have been january 2002... shall i write to the d collectors... does this mean i do not have to pay this debt... and where would i stand if it goes to court0
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last payment januuary 2002 means that ift became statute barred in February 2008 if you are in Egland and wales, a year earlier in Scotland. The only query would be if a CCJ existed, which I doubt for this sort of sum. Even then they would need court permission to pursue the debt.
So you do not have to pay. Legally the debt still exists but the law and the courts have long held that a creditor who does not pursue a debt effectively for that period has lost the right to pursue it.
If they were stupid enough to try and take it to court, and I suspect even their legal advisors would suggest they do not bother, then your defence would be that the debt is statute barred. The case would be thrown out of court.
Will find the NDL Limitiations link and you can send them the letter at the end. And say ta ta to them.
Of course they wanted you to pay immeditaly; becuase the debt still exists, if you cough up before you know the law, you have not recourse to any remedy and they have your money.If you've have not made a mistake, you've made nothing0 -
Statute Barred debts.
A debt will be "Statute Barred" if there has been no acknowledgement of the debt by you making a payment or in writing within the relevant limitation period.
If you are in England/Wales then the limitation period is 6 years and you should read:
Link: Factsheet | Liability for Debts and the Limitation Act (England/Wales)
If you feel the debt is "Statute Barred", then there is a letter to write at the end of each factsheet.
England/Wales.1 High Street,
Newtown,
Kent
R21 4RH
Date
The Loan Company
Company House,
Church Street,
Newtown,
Kent,
R1 7HG
I do not acknowledge any debt to you or any other company or organisation that you claim to be representing.
Dear Sir/Madam
Account No:
You have contacted me/us regarding the account with the above reference number, which you claim is owed by myself/ourselves.
I/we would point out that under the Limitation Act 1980 Section 5 "an action founded on simple contract shall not be brought after the expiration of six years from the date on which the cause of action accrued".
I/we would also point out that the OFT say under their Debt Collection Guidance on statute barred debt that "it is unfair to pursue the debt if the debtor has heard nothing from the creditor during the relevant limitation period".
The last correspondence/payment/acknowledgement or payment of this debt was made over six years ago and no further acknowledgement or payment has been made since that time. Unless you can provide evidence of payment or written contact from me/us in the relevant period under Section 5 of the Limitation Act, I/we suggest that you are no longer able to take any court action against me/us to recover the alleged amount claimed.
The OFT Debt Collection Guidance states further that "continuing to press for payment after a debtor has stated that they will not be paying a debt because it is statute barred could amount to harassment contrary to section 40 (1) of the Administration of Justice Act 1970".
I/we await your written confirmation that no further contact will be made concerning the above account and confirmation that this matter is now closed.
I/we look forward to your reply.
Yours faithfully
Mrs A N OtherFree/impartial debt advice: National Debtline | StepChange Debt Charity | Find your local CAB
IVA & fee charging DMP companies: Profits from misery, motivated ONLY by greed0 -
Thanks fermi - was just heading off to find that.If you've have not made a mistake, you've made nothing0
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Thanks fermi - was just heading off to find that.
I noticed. But you were busy on another thread and I had that to hand, so I thought I may as well post.
Free/impartial debt advice: National Debtline | StepChange Debt Charity | Find your local CAB
IVA & fee charging DMP companies: Profits from misery, motivated ONLY by greed0 -
Actually I was at lunch but forgot to log-off. Doing loads of databases and they take ages to load - so I can put up a quick answer while they load.If you've have not made a mistake, you've made nothing0
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Not wishing to hijack the OP's thread, but can any of you clever people tell me if this applies only to private consumers, or is it the same for businesses ?
We are a very small business that used to own several subsidiaries which were sold in 2002. We received a debt agency letter yesterday relating to energy supplied at one of our sites in 2001 and which they claim has £14,000 still outstanding.
Would this come under the same time barring legislation or is it different for companies ?
Many thanks0 -
cornerstone13 wrote: »We are a very small business that used to own several subsidiaries which were sold in 2002. We received a debt agency letter yesterday relating to energy supplied at one of our sites in 2001 and which they claim has £14,000 still outstanding.
I would presume so since section 5 of the Limitatons Act 1980 simply specifies that it applies to "an action founded on simple contract".
I was you I would give Business Debtline - (Website: Business Debtline) Telephone: 0800 197 6026 a call to double check.
They are the business arm of National Debtline who wrote the factsheet linked to above.Free/impartial debt advice: National Debtline | StepChange Debt Charity | Find your local CAB
IVA & fee charging DMP companies: Profits from misery, motivated ONLY by greed0 -
thanks everyone, letter just written off to post it today, will keep you updated on any response0
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