Unpaid loans

xclarebearx

When i was younger my bank offered me a 10k loan and i took it, this was with HSBC in 2001.
Then in 2003 i had a tesco loan for 6k.

I defaulted on the tesco about 6 months after as i lost my job, ive never paid them since.

I carried on paying the hsbc loan and in 2006 i extended this and they gave me more. I have also defaulted on this and not paid them since 2006.

As i have moved address ive not heard from them for years.

Last i heard from them, 2006
HSBC said i owe them around 9k.
tesco sold the debt on, last heard 2007 and said i owe 6100, but they will accept 3k.

Whats the status on this and what can i do about it?
Am i better off going bankrupt, if i start paying them back now, will i have a default 6 years after ive even repaid it?

I need to sort something out otherwise my credit file will be wrecked for the rest of my life.

I repay all my bills now ontime.

thankyou

izools

Your file won't be damaged for the rest of your life but it will be damaged for the next few years. Frankly, it should be. You didn't pay up and you deserve to have other creditors be able to see that.

Once an account has defaulted, it is removed from your credit file six years form the original default date, whether or not there is an outstanding balance.

So your most recent default is from 2006? Which means there will be no record of it in 2012. Also the debt will be statute barred six years from the time you last spoke with the creditor, so if there has been no communication since 2006, and their continues to be none until 2012, you won't have any legal obligation to pay from that six year date, unless the debt has turned / turns into a CCJ - the papers may be filed at your previous address - in which case they can chase you up until year dot.

Continue paying on time, don't be so stupid again, and in a couple of years time creditors may start to take you more seriously.

Simples