unpaid/uncollected credit card bill

stuartmo

This is my first post so hope this is the right place for it.

In Nov '07 I bought an engagement ring from a well known high street jewellers. It cost £700 (big spender!), I paid 10% (£70) up front and took up the instore interest free offer (a credit card with a 9 month interest free window) to pay the rest (9 further payments of £70). If I failed to complete any payment the interest payments went up to the original interest rate (not sure exactly but probably quite high).

I gave them my bank details and they were meant to automatically take the money each month.

After ~6 months I realised they hadn't taken any money. At the time I didn't have the money to pay off the last 6 payments (had only been checking that I wasn't going overdrawn so had no spare cash) so (stupidly) just kept quiet.

after a year or so they sent a letter asking for my bank details again. I phoned them up, gave them the details and received a new copy of the agreement in the post. Several months later I noticed they still hadn't taken any money. Again, I kept quiet.

It's now Jan 2010 and I have had no further contact with the credit card company. I have £630 sitting in a savings account and would pay the bill tomorrow if I knew that was all I'd have to pay. I have put off phoning them because I'm worried that will also demand the unpaid interest (would be a fair bit now).

The credit card agreement has a line saying it is my responsibility to make sure the bill gets paid...

can they still demand the money over 2 years later?

will I have to pay the interest?

will the non-payment appear on my credit rating? (i know I could check this myself)

any advice would be much appreciated.

thanks

never-in-doubt

They can demand the money for up to 6 years under the Limitation Act. So its up to you if you continue to hide for the next 4 years, but bear in mind i'd be checking my credit file if I were you - they could have defaulted you.

omen666

6yrs i believe

stuartmo

thanks for the reply.

what about the interest due? is there any way I can just pay original £630?

I admittedly haven't tried very hard to pay the balance but they have taken my account details twice and have failed to collect any money.

cheers

dzug1

You are bound by the original contract as far as interest goes

never-in-doubt

If you make an offer of say £630 to clear the account they may accept it, but that will acknowledge the debt meaning the statute barred date would be reset and would therefore be 6 years from that date.

Interest etc shouldn't bother you, if you're not paying it back so why worry about it?