Debt from 8 years ago

murtle1981 · 12 December 2016 at 5:13PM

Hello,
A few years ago I found some really useful info on here regarding a debt letter that dropped through my door 7 years after I thought I'd paid it off. If my memory serves me correctly I'm sure the company I owed gave me a reduced payment which I cleared. They then contacted me 7 years later to ask for the rest!
I posted a thread on here asking for help and someone told me about Section bla bla of the something or other act 1980 odd or something which states that you haven't got to pay a penny if you haven't paid them anything for over 5 or 6 years.
My friend has had the same problem recently. I was telling her about this but I can't for the life of me remember what it was called!
I know it worked for me, I told the company about this section odd of the whatever act and they wrote to me saying my debt had been written off😊
Can anyone shed a light on this for me please? My memory is crap x

National_Debtline · 12 December 2016 at 5:18PM

Hi

It sounds like you’re thinking of the Limitation Act. In England and Wales if you haven’t paid, acknowledged a debt in writing or received a court judgement on most debts for 6 years or more they become statute barred. That means they’re unenforceable in court, and collection should cease if you inform the creditor.

This factsheet explains the law:
www.nationaldebtline.org/EW/factsheets/Pages/time-limits-for-recovering-debts/statute-barred-debt.aspx

Your friend can send this sample letter to the creditor/debt collectors:
www.nationaldebtline.org/EW/sampleletters/Pages/Time-has-run-out-to-recover-the-debt-%28sole-name%29.aspx

James
@natdebtline

sourcrates · 12 December 2016 at 5:21PM

Hi,

I think your referring to the Limitations act 1980.

Basically any consumer debt that has not been paid, or acknowledged in writing, for any period of 6 years (5 years in Scotland) or more, will most likely be statute barred.

The only exception is if any legal action has been taken, as that overrides the Limitations act.

The debt still exists, it does not go away, all it means is that the creditor loses the right to chase the debtor through the courts, so they cant make you pay it, in other words.

Edit : cross posted with James.

Debt from 8 years ago

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