Letter after 10 years

JungleFaceJake

I have just received a letter from Debt Managers Ltd, about a debt from 8 years ago, on a card defaulted on 8 years ago.

It was from a time when I was a student and suffering from severe depression, I had little memory of it, and was surprised to receive this letter.

I have been running away from debts and other things since 1999, and have lived in 13 different houses in that time.

I really cannot afford to pay, and don't even know how they obtained my details.

Any advice from anyone would be great.

savingmummy

You need to contact them and ask for a `letter of proof`. If they send proof you will need to arrange repayments that are affordable.

I`m not 100% sure but after a certain time of no contact im sure debt can be written off - someone may clarify this process!

There is no point running away from debt they will always catch up with you. Do you have other debts too?
Good luck!

Welshdebtor

Have you either heard from them or paid anything towards the Debt in the last 6 years?

Welshdebtor

If no answer no, then do not pay, sit back and wait for somebody to send a link or template to the form you need which means it is too late for them to try and collect it

annberlin

Jake,
As I understand it if a debt is outstanding after 5 years in England and 6 in Scotland and no instalments were made then it could not legally be pursued.However, some debt collecting companies buy these debts for a fraction of the outstanding amount and hope they will get lucky by scaring some people into paying up.I am sure someone more knowledge than me will come along shortly. In the meantime do not pay a penny and do not admit to debt. Good luck

Welshdebtor

IHTM28384 - Law relating to debts: statute-barred debts

If a lender allows time to pass without receiving any payment an action for recovery may become barred.

Under the Limitations Act 1980 the time limits are

• in simple contracts, 6 years
• in contracts under seal, 12 years.

If the debtor acknowledges the debt in writing or makes a part payment within the original limitation period, then the time limits start to run again from the date of acknowledgement or the date of payment.

Even though the lender may be barred from pursuing recovery, a debtor may decide to pay the debt after the expiry of the time limits. Because of this you should allow a debt which is otherwise statute-barred if the personal representatives pay the debt and you receive evidence that the payment has been made.

The above instructions do not apply to debts in Scotland. Under Scottish law, if a lender allows time to pass without receiving any payment an action for recovery may become barred under the Prescription and Limitation (Scotland) Act 1973. (For details of this Act see Gloag and Henderson 10th edition at Chapter 15.). These debts are completely extinguished and cannot be enforced. Once the prescriptive period expires the debt cannot be allowed as a deduction.

niccatw

Hey Junglefacejake

I'm not sure - although I'm sure some-one more knowledgable than me will be along shortly - but from what I've read on the forum, given the time-scales involved, your debt may be unenforceable. I think this means you can still be asked to pay it as it is your debt, but that they cannot force you to pay it, so you can politely say no thank you. See if you can look into that a bit more. Sorry I'm not able to advise more confidently!

niccatw

Ooops, many crossed posts! You'd had no replies when I began my reply - but I must type slow... enough for 6 wiser people than me to give you fuller answers

Welshdebtor

LOL look in the templates section for letters to do with statute barred debts, or wait until somebody posts one here.

JungleFaceJake

The answer is definitely no. I have had no contact from them in 7 years at least.so you think there may be a way around it? I don't want to run away from debts, but I have been scared to find out about them in case I was forced to pay all at once. I have other outstanding debts from that time and I'm really scared that they will all hit me at once.



I was not in a good state of mind at the time and I struggle with things as it is now, so as much as I know I shouldn't run, I am trying to address other problems, such as mental state, before anything.

Welshdebtor

As my small section from the law states, due to the fact it is over 6 years ago it is barred. This would also apply to any other debts from that period. As long as you do not pay now (even a bit) and wait and wait for somebody to post that template then you will be fine.