Debt written off can debt collector demand money

Maio

I would appreciate some advice in respect to a default.

A default against my name was recently removed, as the 6 year period had passed. My question is whether or not a debt collector can still chase me for the money?

A bit of background, I have a payment plan with this debt collector, over the years the debt has changed hands numerous times. I recently wrote to this debt agency informing them that the default has now been removed by Lloyds. They wrote and informed me that Lloyds want the full balance in full asap, although, the debt was written off. I don't know where I stand and whether I am entitled to continue to pay this debt agency and finally, can this debt agency also file a default against my name?

Any advice would be greatly appreciated.

Thanks in advance.

Hannah_10

Are you perhaps confusing the default being removed with the debt being written off because they are not the same thing at all...

A default notice is basically a note on your file to say you failled to pay something when you should have. After 6 years it automatically stops being on your file. If you think of your credit reference as a shelf on a wall, you can only push so many books onto one end before they fall off the other. Well the shelf that is your credit reference only holds six years worth of stuff, after 6 years it just falls off.

However, within the last 6 years you have been making payments so all that information is still there, in the files that haven't fallen off the shelf. That information includes your ballance, which is hopefully now a lot smaller than it once was, but it's still on the shelf, it's still on your credit reference and unless you have something in writing to say the original lender has written the debt off then you still owe it. The existance of default notices is a seperate issue to the existance of a debt.

So yes they can default you again if you fail to keep up your repayments as agreed, and then again that will stay on the 6-year shelf until it falls off. And like I said, unless you have something different (not about default notices) to say you don't owe it- you still do, sorry.

There might be one glimmer of hope, when was this debt taken out? Any chance it was taken out before April 2007?

Maio

Thank you for your response Hannah, much appreciated!

I honestly do not know whether it was written off, I shall check this with the lender. The loan was taken out 2002, does this mean anything?

Thanks in advance.

Hannah_10

Means it's got about a 70%-90% chance of being unenforcible.

What uneneforcible means in it's simplest form that you don't have to pay it back, it can't appear on your credit files, they can't chase you for it, you can't get taken to court for it. (In effect- you don't owe it).

The banks were cheating practically everyone for 30 years, signing people up to dodgy illegal agreements, in some cases not even getting a signature! The courts fianlly kicked the lenders bottoms in 2007 and after that lenders had to stop trying to con anyone and everyone and play fair. The courts said, if the credit agreements didn't comply with the laws that have been around since the 70's and the banks all knew about, then hard luck to the banks and serve them right for being so devious!

There is everything you ever needed to know about unenforcibility including flow charts to work out where you stand and template letters on the link below. It's a weeks worth of reading in all honesty, but it's worth it.

https://forums.moneysavingexpert.com/discussion/2532927

Maio

Great, thank you so much!