What to do about partners old debts?

Clare_king

Hi everyone,
I'm sure this question must have come up on here before, but I've searched and can't find anything - I will contact one of the 'good' agencies listed under where to go for help and advice, but I wanted to post my question on here because I really trust this site - thanks in advance for your help.

My problem:
My partner has debts from approx 6 years ago, mainly credit cards that got sold on. He is not being contacted by the agencies (think they lost track of him for a bit!) but now he is working and registered on the electoral role, and we would like to apply for a mortgage. My credit history is clean, but I don't know if it is a good idea to contact the old debts with a view to paying them off (we could do this, although only at the amount they state at present, could they increase them?) but I am concerned it will actually make him less appealing to a lender if we re-visit the loans - ie, show up as recent activity, or perhaps even the loan companies may say he owes more now due to interest, which is fair enough, but I'm just concerned about being able to borrow to get a mortgage!

Please if anyone can offer any advice I will be really grateful. Having always been a very careful person when it comes to money, I'm feeling out of my depth here...

By the way, my partner hasn't just left it to me to sort this out, it's just that out of the two of us I feel more qualified to do it (told you I needed help! :rotfl:)

thanks,
c

Fergie76

If they are over 6 years old and no payments have been made in that time they will be statue-barred. In which case don't acknowledge them or the clock starts again.

If they are less than 6 years old, send them a CCA request, which you can find elsewhere on this site, as if they can't provide the appropriate paperwork, these debts will not be enforceable.

If they do supply appropriate documentation, then you (he) will need to tackle these debts.

Someone no doubt will be along shortly to provide more in depth advice.

Clare_king

thanks Fergie76

Your advice has really helped - so quick too! thank you.

c

gizmo111

Get a copy of his credit report and see what is outstanding on there.

Clare_king

thanks Gizmo111 - we have looked at it before, and the debt was on there - we're just about to look at it again though.

thanks,
c

GeorgeUK

First Question - are you in Scotland or England?
Second Question - Can you expand on approx 6 years ago?

The reason i ask the above is so you can check to see if the debts are statute barred. If no payment has been made towards a debt for 6 years (5 in Scotland) and you have not acknowledged the debt in writing in that time, then the debt may be statute barred. He should also probably check to see if he's had a CCJ registered against him.

If it is close to being statute barred, he may be better waiting a little until it that has passed. If he checks his credit file, he should be able to see when the account defaulted, but that also means it may be flagged up to any creditor watching his file. If 6 years have passed - the debt shouldn't appear on his credit file as it will have 'fallen off'. This means that any debt that is statute barred should not have any bearing on his credit rating (if 6 years ago).

Clare_king

thanks GeorgeUK,

Unfortunately we're not sure whether the 6 years has passed or not. That is good advice not to check the file though. I think we must be very close to the 6 years as I am surprised now he is back on the electoral role he hasn't been contacted.

It's really crazy because before I looked into this situation, we were all geared up to pay off the old debts, thinking this would give us a clean slate. Now it seems this would cause more harm than good to his credit score we are of course now considering just forgetting them. As someone who has always acted responsibly with money (although I understand situations can arise where getting into debt is unavoidable, and count myself very lucky) I am bemused by how little incentive there now is for us to pay off these debts, even though we rightfully owe them, and would be happy to do so!

thanks so much for your help - it always amazes me on this site how knowledgeable and helpful everyone is. I have to admit I can't often help people with their money questions, but I'm so glad you are all here to help!

c

Rainbow_Liberty

Go over onto the Unenforceability thread.

Before you do ANYTHING though send off to all three credit reference agencies to see exactly what is being held on him and where. It could be that some don't even show up anymore and of the one's that do maybe some might be unenforceable.

The details for the reference agencies are all included in "never-in-doubt" posts. He is a great help and should always be obeyed.

Clare_king

thanks Rainbow Liberty,

You;ve given me excellent advice, thank you,

c

DVardysShadow

Fergie76 wrote: »

If they are over 6 years old and no payments have been made in that time they will be statue-barred. In which case don't acknowledge them or the clock starts again.

If they are less than 6 years old, send them a CCA request, which you can find elsewhere on this site, as if they can't provide the appropriate paperwork, these debts will not be enforceable.

To be strictly accurate, the clock does not start again if you acknowledge a debt after 6 years, but it is best not to go there!

Clare_king

thank you, you've been really helpful - I'm surprised at the 6 year rule, but if our best option is to ignore them, then that's what we'll do!

c