Statute barred debts and the Limitation Acts

MS_Dolphin

Hi,

Not posted for a while - as mildly paranoid about DCA's watching - but remained an avid follower.

To briefly tell my story, prior to my LBM I had a fist full of credit cards and unsecured debts of over £50k. The reasons why I guess are for another time. I felt terrible and didn't have a clue where to start and got a lot of help, largely from this site. The process was initially horrendous and I couldn't see a way out. I had literally hundreds of letters, phone calls at all hours and several knocks on the door.

Gradually though things improved and the debt reduced through one by one making settlements with creditors.

I'm now at a point several years later where I owe under £10k. I have defaults - settled and unsettled - but no CCJ's and have some questions.

Firstly, what is the likelihood of credit card companies just seeing that I'm getting close to 6 years and then starting court proceedings? I know not all are well organised but it seems a logical thing to do.

Secondly, I believe I'm right in saying that the default date is not linked to the date at which a debt becomes statute barred? If so will the default drop off of the credit report even if not settled?

Lastly, how do I work out the 6 year date? Reading this thread I believe this is known as the 'cause of action'. I know the date of my last payments but don't think it is that simple. Do creditors/court use a specific method to identify the S.B. date or are they all different and if so, how would I find out the dates for my creditors?

Not as brief as intended, but wanted to say to those who despair, it does get better with time. Also wanted to say thanks to those here who have helped me personally and countless others get through our issues with debt.

fatbelly

MS_Dolphin wrote: »

Firstly, what is the likelihood of credit card companies just seeing that I'm getting close to 6 years and then starting court proceedings? I know not all are well organised but it seems a logical thing to do. Yes, in a way it seems logical but it costs money so they would have to be sure they were able to recoup their outlay in a reasonable time. If you are already paying, then SB probably isn't an issue and if you're not, then how are they going to know how to enforce a ccj if they got one?

Secondly, I believe I'm right in saying that the default date is not linked to the date at which a debt becomes statute barred? If so will the default drop off of the credit report even if not settled? Yes, the entry drops off 6 years after settlement or default, whichever occurs sooner.

Lastly, how do I work out the 6 year date? Reading this thread I believe this is known as the 'cause of action'. I know the date of my last payments but don't think it is that simple. Do creditors/court use a specific method to identify the S.B. date or are they all different and if so, how would I find out the dates for my creditors? If you carried on making payments without a 6-year gap, then it would be the date you stopped making those payments. The cause of action is when the original breach occurred. Subsequent payments just extend this

Not as brief as intended, but wanted to say to those who despair, it does get better with time. Also wanted to say thanks to those here who have helped me personally and countless others get through our issues with debt.

Hope that helps!

markaz

Hello

If a CCJ was awarded 3 years ago even though the debt should have been statute at the time can a DCA enforce the CCJ for payments. The DCA has not been in touch since the CCJ was awarded as I was living abroad during this time. I'm now back in the UK at a different address and a letter has arrived asking for payments to be made.

Thanks

National_Debtline

Hi Markaz

markaz wrote: »

Hello

If a CCJ was awarded 3 years ago even though the debt should have been statute at the time can a DCA enforce the CCJ for payments. The DCA has not been in touch since the CCJ was awarded as I was living abroad during this time. I'm now back in the UK at a different address and a letter has arrived asking for payments to be made.

Thanks

As things stand, YES the DCA can enforce the CCJ as it was not defended at the time it was issued. The courts themselves will not query or investigate the age of the debt so the onus would be on you, the defendant - and in this instance you were out of the country so could not do this.

You may be able to apply for a "setting aside" of the CCJ, on the basis that you would have had grounds to defend the claim had it reached you. I refer you to our "set aside" fact sheet for further information:

http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=12_how_to_set_aside_a_judgment_in_the_county_court

Regards

Dennis @NDL

reilly_2

Hi

I received a letter in October this year from the Northern Ireland Housing Exec re an alleged overpayment of rent back in 2006 (I was the landlord - I dont hold the records for this time any longer and therefore do not acknowledge this debt). I replied using one of the template letters, pointing out that the debt was statute barred, etc. I received a reply from the NIHE stating that I was correct in that the debt was statute barred and, therefore, could not be recovered through the court but that under "Social Security Contributions and Benefits (Nothern Ireland) Act 1992 and Housing Benefit Regulations (Northern Ireland) 2006, Regulations 96 and 97, the overpayment is recoverable from you as landlord. We are therefore obliged to recover it". The letter ends by stating that if I do not make arrangements to pay they will consider further action, meaning referral to a Debt Collection Agency.

I suppose my two questions are - 1) can a statute barred debt be placed into the hands of a debt collection agency by the Housing Executive?
2) What should I do next?

Thanks very much in advance for any help and also for all the useful information and advice on this thread.

fatbelly

I think you need to run this past a Northern Ireland specialist like

http://www.stepchange.org/DebtadviceinNorthernIreland.aspx#

or one in this list:

http://www.nationaldebtline.co.uk/northern-ireland.php

as NI law and practice can be subtly different from England/Wales. However, any DCA would still have to operate within OFT guidance which says that a DCA must cease debt collection activity if a debtor states that they will not be paying a debt because it is statute barred.

As the Housing Exec have already admitted that this is statute barred, I don't see that they have anywhere to go with this and they should be persuaded to drop it ... unless those regs give them other methods of enforcement, and that's beyond my knowledge.

MRDOLLAR

# 1 MRDOLLAR Yesterday, 8:15 PM
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Capquest Debt with Statue Barred Hell, Please please Help!
Hi Guys,
Im back yet again and Capquest still are continuing persisting to call.
I am not talking to them i only communicate via post!
They are making me stressed and ill they are really pressurizing myself.

As you may have seen from my previous posts i am having great difficulty with this debt company this has been on going for many years.

On my Credit file the debt does NOT now show it previously showed as last default date was 14 Sept 2007. This led me to believe the debt was stat barred.
So i wrote to Capquest and basically told them the debt is statued barred.
They then wrote to me " we can confirm our records show a payment was made to this account on 12 may 2008"

I then wrote back this template letter :

http://forums.moneysavingexpert.com/...69&postcount=8

Capquest then sent me there so called proof of payment statement screen along with letter:
http://i941.photobucket.com/albums/a...estNov2013.jpg
http://i941.photobucket.com/albums/a.../statement.jpg

I have just received my Barclays bank statements which i have requested as Capquest have "claimed" this debt is not statue barred so i wanted to investigate Unfortunately it DOES show that i have made payments on
01/10/08 £250.00 (First Direct Debit)
09/01/09 £20.00 CCP i assume this Credit card payment via over Phone?
23/03/09 £62.00 CCP " "

I Cant find any records of any payment on 12 May 2008 which they claimed in a previous letter or 04/09/08 £150.00 as on statement which they claim was a card payment.

Another Strange concern is i recieved a letter dated 8th July 2008 from Halifax stating that my account has been sold to Capquest.

I recieved a letter on 20th September 2013 from Capquest saying a payment was made on 12th May 2008 i have no record of this!

If you look at bottom of letter 08/07/08 Halifax amount outstanding on your account as at 12 May 2008 was £2670.00 - Capquest claim a payment has been made on 12 May 2008 yet on there computer statement screen printout on 04/07/08 its same value £2670.00 this is not a payment!!!

http://i941.photobucket.com/albums/a...november13.jpg

http://i941.photobucket.com/albums/a...november13.jpg

Really hoping someone can ease or help my sleepless nights and help me draw up a letter thats very much legal to help my case.

I understand i have made a direct debit payment and x2 phone payments back in 2008 i dont honestly remember phone payments or setting up direct debit!

It looks like they have me but i am very much concerned with there misleading information and claims!!
Does this look likely that i will have to pay if so how much or shall i wait another year! i dont want any ccjs or anything along those lines.
Should i ask for a settlement figure and what amount shall i pay#?

As you can see im very confused angry in fact all emotions.
if someone can help i would be very grateful.

many thanks in advance

reilly_2

Thanks very much for the reply fatbelly. I spoke to the CAB yesterday and they share the same viewpoint and suggested that I inform the NIHE that any further contact originating from them in relation to this unacknowledged debt could be deemed harassment, as per OFT guidelines.

Thanks again.

Lackofmoney

Hi..

Can you please confirm... How does one PROVE that the debt, any debt, is Statute Barred.. ?
Surely there has to be proof somewhere ..

I was under the impression that if the debtor even spoke with the company in question, discussed the debt and acknowledged the debt but perhaps said, ie, I know I owe it but have no money, etched etc, then the 6 year clock starts again , from the date of that discussion... Is that not so ?

Where would I get PROOF of the above.. ? I'm not saying I don't believe anyone...but if one is going to go down the routed of defending oneself by stating , the debt is statute barred, then you would need a legal reference..

Thank you..

I'd just apologise if this has been covered. I have been doing a lot of reading but just wanted to be clear... Also, same as in the case of ccj's..?

I assume the same wouldn't apply in the case of a company that puts a charge on your property ..? How long do they last .
?

Thank you very much.

Lackofmoney

I didn't subscribe to replies... How does one do that at this stage? Thank you.
( I will manually check for now )