what do i do next??

confusedprincess

post deleted

GeorgeUK

Have you been making payments towards this loan?
Has it been passed to a DCA?
Have you checked your credit file recently?

If you don't get a CCJ, then this should not affect your credit rating 6 years after the agreement was broken - the date of the default. (Or within 6 months)

You can make an offer, but check that the debt is not statute barred (no payments or acknowledgement of the debt for 6 years (5 in Scotland)). If you do make an offer, you need to be very careful of the wording. A Full and final settlement will mean the end of the debt - a partial or short settlement may leave the reaminder of the debt outstanding. You need to make sure that you will not be liable for the remainder and that this is agreed in writing before any payment is made.

katsu

George's advice is good. I would start by getting your credit file from the 3 companies - call credit, experian and equifax I think and if they don't show the debt it may be worth paying £8 to check the registry trust to see if they have a CCJ against you.

When you know if the debt is or isn't statute barred, and whether or not you have a CCJ then you will be in a stronger position for the negotiation on settlement.

property.advert

If they do not have a CCJ then presuming no contact, it is time barred. If they have a CCJ and that CCJ was from more than 6 years ago, then I believe that is also time barred but they would have the option of returning to court and doing something (those with exact knowledge please step in here). I believe it is understood that judges are rather unwilling to start the clock running again but you need better help than mine on this.

By all means get your credit files and the information from the registry trust. At the moment, I would not even acknowledge the letters.

Out of interest, why are they sniffing around now ? Did you just disappear for 10 years ? It seems strange if they knew where you lived and yet only now came sniffing ? Please elaborate.

confusedprincess

The debt has been passed to a debt collection agency for a number of years.
I have not made any payments on this debt for around the past 4 years.
I have not checked my credit file. By doing so what will i acheive??
What does 'statute barred' mean?

confusedprincess

property.advert- perhaps they have caught up with me because i did move in and out with friends and am only now settled at a fixed adress. i dont know if i have a CCJ. what does 'time barred' mean?

property.advert

So you have been paying this for 6 years and stopped 4 years ago ?

Can you please post up when this loan was taken out, who from, when you paid, when you stopped etc. all the details really because the times and dates are important.

confusedprincess

I'd been paying it off for first couple of years. then stopped for say two. then did a repayment plan of 20 quid a month for another couple of years. no payments in last 4 or 5 years tho.

GeorgeUK

Statute barred - if you have not made a payment towards the debt or acknowledged it in writing during that time, the debt will still exist but will not be enforcable. Even through the courts - your defence woudl be that under the Limitations Act 1980 the debt has not been onforced for 6 years and is therefore time barred.

If the debt is with a DCA and is not SB, then you may be able to make a reduced full and final settlement offer.

By checking your credit file, you could see when the default was put on your file and therefore when it would be likely to fall off the file (after 6 years).

You can search your credit file free at experian (if you cancel within 30 days).

There are template letters on the board if you do decide to make a reduced F&F offer.

Edit: Definately worth trying to find out when you last made a payment towards the debt. If it is almost 6 years since you made the payment, you may be able to hold out a little longer until it is statute barred if it is not already.

property.advert

If she has paid in the last 4 or 5 years then it is not time barred and she will have to pay, though she needs her credit files and registry to check for CCJ as CCJ could now be older than 6 years.

It may have fallen off your credit file by now. You may be able to do a full and final settlement but I think the fact that you have acknowledged this in the last 6 years means that you are going to have to either disappear again or pay something.

confusedprincess

So my next step would be to check my credit file?
What will it tell me?