Statute Barred advice

swordfighter

Hey All,

I wondered whether anyone can advise me on the statute barred law.

A number of years ago I took out a loan with Lloyds bank but got into financial trouble being a student and over spending. I have a balance of about £2200 which defaulted Jul 2008. The last payment I made was in Feb 2004.

When does this loan become statute barred, is it 6 years from the point last time I paid or when they marked the account as defaulted?

On my credit file it has 6, 6, 6, 6 etc from Feb 04 till Jul 08.

I am not trying to run away from this debt but am currently paying back others and worried that they will try for bankruptcy. They haven't contacted me at all since then.

Thank you

Anihilator

If they take legal action against you such as a CCJ it wont become statute barred. I think you can rest assured that it won't become barred.

fermi

It is 6 years (5 in Scotland) from the last payment or acknowledgement of the debt by yourself in writing. Default date is irrelevant.

http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=25_liability_for_debts_and_the_limitation_act

Anihilator wrote: »

If they take legal action against you such as a CCJ it wont become statute barred. I think you can rest assured that it won't become barred.

It may seem daft, but we see on a daily basis on the DFW board debts where the creditor or subsequent debt collector does not go for a CCJ within the six years.

A whole range of debt collection businesses make a large chunk of their money by chasing such debts in the hope that the debtor does not realise the legal position.

Presumably original credior thinks it is often cheaper on cost/benefit to flog the debt onto another debt collector (and then another) and get something for it, rather than fork out cash to take it to court to then maybe still get none of it back?

nameless121

Probably not the best advice, but I would not respond to any letters or phone calls about the loan until March 2010. Then it will be status barred. But if you make a payment or even acknowledge the debt then you will probably end up having to pay it off.

swordfighter

Thanks for the info.

It is difficult to remember when I last made a payment, I think it was towards the end of 2003 but my credit file only shows 6 months late on July 2004 - no previous marks. The debt is listed as defaulted they haven't pursued a CCJ yet.

I have been sent a letter from Ruthbridge a few days ago stating that they are collecting on behalf of Direct Legal & Collections. If I don't pay in full in the next 7 days they will pursue legal action.

Is there anyway to check if this has surpassed the 6 year mark or do I just wait for a CCJ claim form to come through and then send the statute barred letter?

Other threads mention that Ruthbridge tend to deal with statute barred accounts?

The statute barred would give me time to sort the rest of my finances out.

Cheers

MrsTinks

You can request details of the debt and last payment etc - make sure you make NO admission of being liable for the debt - I am guessing you don't have access to your account from that time to check when your last payment went out?

swordfighter

MrsTine, I don't have access to the account. I am worried about taking the risk in asking only to start the clock again. I am probably 95% sure its 6 years.

swordfighter

Update on this. I had another letter from Ruthbridge stating that they would accept 50% of the amount to settle - so long as I do before Jan 1st.

Does anyone know if they would still do a payment plan on this? I'd more than love to settle if I had the spare cash!!! Again, I am nervous about asking them else they'll harass.

Thanks

woody01

swordfighter wrote: »

Update on this. I had another letter from Ruthbridge stating that they would accept 50% of the amount to settle - so long as I do before Jan 1st.

Does anyone know if they would still do a payment plan on this? I'd more than love to settle if I had the spare cash!!! Again, I am nervous about asking them else they'll harass.

Thanks

If they are offering a 50% settlement then tell them to RAM IT UP THEIR HARRIS!
They are getting desperate for the cash as it looks like it is now SB hence the offer.

leveller2911

My advice is a bit cutting edge and some may laugh it off but try : Paying the !!!!!!!g money back.......You borrowed it, you wasted it ,theyve offered you a deal for 50% so quit while your ahead and pay up.

Or are you a gambling addict who just can't stop always thinking the winning hand is your next one....???

Joker IMO....... This is NOT what this site is about......

Anihilator

leveller2911 wrote: »

My advice is a bit cutting edge and some may laugh it off but try : Paying the !!!!!!!g money back.......You borrowed it, you wasted it ,theyve offered you a deal for 50% so quit while your ahead and pay up.

Or are you a gambling addict who just can't stop always thinking the winning hand is your next one....???

Joker IMO....... This is NOT what this site is about......

Sadly it now is. A site where the dregs of society come for advice on how to escape their liabilities and cause as much hassle for everyone else in the process.

This website used to be a money saving site, now its a site since the bank charge battle commenced were the bottom feeders of society come for advice on how to commit borderline fraud often.