STATUED barred debts

Its-A-New-Age-Thing

Hi first time visiting "this thread" though it seems a reasonably appropriate place to querie this matter,

in a nut shell im being pursued for a 13 year old debt which hasnt been acknowledged in 13 years or had any monies paid towards it in 13 years (im well aware its statuet barred etc)

whats concerning me, is a potential default can one be placed on my credit file for this even though i cant be taken to court or pursued for it searching online ive came across the following quotes from reputable sources, these people without advertising there sites have posted in the region of 20 thousand posts each since 2005,

quote 1:

"Once a debt becomes SB it then remains SB whatever then transpires, and as it is SB it has passed it's 6 year 'use by' date and therefore cannot be placed upon your CRF as an adverse entry, regardless of how many times DCA's want to play pass the hot potato with it"

quote 2:

"I'm sorry but the last people I would take advice from on this issue is NDL cos they are wrong, check with the OFT a debt OVER 6 years old cannot & should not be registered with a CRA"

thoughts please as this site is becoming somewhat of a second home to me id value the opinions of peeps on here as i know saving the "trolls" were all pretty much a smart bunch

basically if a default is placed on my file can i go ballistic at the DCA knowing i am legally in the right etc?

thanks in advance

bottleofred

Hi,

They can't place a default on your credit file after this period of time and if they tried it, you could "go ballistic".

Its-A-New-Age-Thing

bottleofred wrote: »

Hi,

They can't place a default on your credit file after this period of time and if they tried it, you could "go ballistic".

forgot to mention a default has NEVER been registered for this debt at ANY TIME, its a DWP social fund loan from when i was 18 etc im now 31,

many thanks

NorthernLas

It would have helped if you had mentioned what the debt was for.

Although, DWP cannot recover through the courts, they can deduct from benefits.

See:
Benefit Overpayments & Social Fund Loans

The Department of Work & Pensions (DWP) has 6 years to take action through the courts to recover benefit overpayments and social fund loans. This time starts running from the date of the final decision made on the overpayment and from when the social fund loan was due to be paid. But the DWP are still allowed to make deductions from your benefit for a debt over 6 years old as they don’t need to go to court to do this. This applies to overpayments of benefits such as income support, job seekers allowance, pension credit, housing benefit, council tax benefit and paying back social fund loans.


From: http://www.insolvencyhelpline.co.uk/debt_factsheets/liability_for_debts_and_the_limitation_act.php#11

Its-A-New-Age-Thing

NorthernLas wrote: »

It would have helped if you had mentioned what the debt was for.

Although, DWP cannot recover through the courts, they can deduct from benefits.

See:
Benefit Overpayments & Social Fund Loans

The Department of Work & Pensions (DWP) has 6 years to take action through the courts to recover benefit overpayments and social fund loans. This time starts running from the date of the final decision made on the overpayment and from when the social fund loan was due to be paid. But the DWP are still allowed to make deductions from your benefit for a debt over 6 years old as they don’t need to go to court to do this. This applies to overpayments of benefits such as income support, job seekers allowance, pension credit, housing benefit, council tax benefit and paying back social fund loans.


From: http://www.insolvencyhelpline.co.uk/debt_factsheets/liability_for_debts_and_the_limitation_act.php#11

yes i know this i highlighted it in my letter, stating that because of the above quote i suggest its statuet barred, im not really bothered if they deduct monies from me when im unemployed as the last time that applied was 13 years ago, and i have 2 jobs, its just becoming a source of debate on a site i help advice people on relating to matters such as bankruptcy ivas and so forth, in addition to that quote i also quoted the PROVE it one. that wasnt my question whatsoever it was concerning there ability to register a 13 year old default etc, nothing else concerns me regarding this debt or the debt collection agencie its been passed to and ill deal with them accordingly. infact heres the letter i sent off so u know how ive dealt with it so far of my own accord etc:

Dear Sir/Madam

I do not acknowledge any debt to you or any other company or organisation that you claim to be representing

You have contacted me regarding the account with the above reference number, which you claim is owed by myself. I know nothing of this debt as such I invite you to PROVE it exists, providing evidentiary support of your claim, nothing less than OFFICIAL DOCUMENTATION bearing my signature and acknowledgement being ACCEPTABLE.
According to the guidelines set by the Office of Fair Trading and CUPTR (Consumer Protection from Unfair Trading Regulations) 2008:

• It is unfair for debt collectors to demand for payments from an individual when they are uncertain about the debtor/debtors.
• It is unfair to track third parties for payments when they are not legally liable.
• It is unfair not to freeze collection activity during the investigation period of a queried or disputed debt.

Disregarding or ignoring claims of debts that have been disputed or settled and continual unjustified demands for payments result in psychological harassment and can be subject to prosecution.

Furthermore, any attempts to organize a door step visit will not be tolerated, as under the rules set by the Office of Fair Trading (OFT) , you can only visit me at my home if I wish to make an appointment and I have no such wishes. Any visit’s made at my property will be deemed as trespassing and action will be taken including police attendance if necessary.

Furthermore I would point out that under the Limitation Act 1980 Section 5 "an action founded on simple contract shall not be brought after the expiration of six years from the date on which the cause of action accrued." Regarding Scottish law under The Prescription and Limitation (Scotland) Act 1973 Part1 Section 6 the obligation of paying the debt shall be considered to be extinguished if there were no acknowledgement on that particular debt made within 5 years. Bearing in mind the last time I received any benefits was over a DECADE ago as such this debt is basically statute barred TWICE OVER if indeed it even exists at all.

I would also point out that the OFT say under their debt collection Guidance on statute barred debt that "it is unfair to pursue the debt if the debtor has heard nothing from the creditor during the relevant limitation period".

As I have never acknowledged this debt, unless you can provide evidence of payment or written contact from me in the relevant period under Section 5 of the Limitation Act, I suggest that you are no longer able to take any court action against me to recover the alleged amount claimed.
I would also point out that under Debt Collection Guidelines concerning DWP overpayments the following legislation applies:
(please turn over to page 2 of 3)



On the National Debt Line it states:

Benefit Overpayments & Social Fund Loans

The Department of Work & Pensions (DWP) has 6 years to take action through the courts to recover benefit overpayments and social fund loans. This time starts running from the date of the final decision made on the overpayment and from when the social fund loan was due to be paid. But the DWP are still allowed to make deductions from your benefit for a debt over 6 years old as they don’t need to go to court to do this. This applies to overpayments of benefits such as income support, job seekers allowance, pension credit, housing benefit, council tax benefit and paying back social fund loans.

In view of the above it would seem that the Limitation Act does in fact apply to DWP debts and overpayments. Bearing this in mind due to time that has elapsed this debt if it even can be proven to exist is statute barred and as such I will not be paying anything to your company.

The OFT Debt Collection Guidance states further that "continuing to press for payment after a debtor has stated that they will not be paying a debt because it is statue barred could amount to harassment contrary to section 40 (1) of the Administration of Justice Act 1970".

I await your written confirmation that no further contact will be made concerning the above account and confirmation that this matter is now closed. A copy of this letter and its sent/received date will be retained by myself in addition to the signature of the colleague working for your company who signed for this recorded delivery, thereby acknowledging its receipt ,a service I am sure you are aware being provided by royal mail. Furthermore if you continue to waste my time with threats and harassment which have no legal standing. I will pass your details onto my local councils trading standards department and you can deal with them. I will also file an official complaint with OFCOM and the OFT providing them will full copies of what has been SENT to you and RECEIVED by you.


As I feel your department must be unaware of current legislation and law practices I have compiled the following overview of the law, which you may wish to redistribute to your staff members so that they are “adequately trained”

What are the debt collection harassment regulations in UK and Scotland?

Creditors cannot harass you to recover debts in UK as well as in Scotland. In UK it is a criminal offence as stated under section 40 of the Administration of Justice Act 1970. The Office of Fair Trading and Trade Associations in UK also have published guidance of activities for creditors to ensure fair debt collection. In Scotland also creditors cannot harass debtors as stated under Protection from Harassment Act 1997

What is a court barred debt?

Court barred or Statute barred debts are those which cannot be recovered by creditors. The Limitation Act 1980 states that legal action can be taken if these debts are pursued. If you have debts that have not been recovered by your creditors in last 6 years or more, then it is deemed as statute barred debts

Can a debt collection agency pursue disputed debts?

Disputed debts are unapproved debts or more than 90 days old. As per the restrictions set by OFT, debt collectors cannot pursue disputed debts. It is illegal to threaten a debtor on this ground
(please turn over to page 3 of 3)

What are the debt collection harassment regulations in UK and Scotland?

Creditors cannot harass you to recover debts in UK as well as in Scotland. In UK it is a criminal offence as stated under section 40 of the Administration of Justice Act 1970. The Office of Fair Trading and Trade Associations in UK also have published guidance of activities for creditors to ensure fair debt collection. In Scotland also creditors cannot harass debtors as stated under Protection from Harassment Act 1997

What are the laws for preventing debt collection calls?

It is essential for debtors to maintain a diary of all the contact between the debt collectors and themselves. If they are calling you frequently, you need to report this to your local Trading Standards office with a diary of harassment. The Trading Standards office will take care of this matter and will issue a verbal warning or criminal prosecution against the debt collection agencies. Even the OFT can revoke their credit license

What is debt collection consumer protection?

Debt collection agencies are licensed under Consumer Credit Act 1974. This protects the interests of the consumers. OFT can take action against these debt collectors, if their operations are unfair. Even their credit license can be seized

How to deal with debts that have not been acknowledged?

You can write a letter to creditor that the debts haven’t been acknowledged since 6 years. Under section 5 of the Limitation Act 1980, creditor has no right to take any action against you. It is important that you mention about the OFT rules that deems it unfair to pursue statute barred debts. Nevertheless, if you are pestered, you can complain to OFT

How to prosecute a debt collection agency?

When you receive a call or a letter from a debt collector, write back to them for the original credit agreement. They are legally obliged to send you a copy. If they do not and still contact you, report this to OFT. The OFT will take strict action and ensure that you are not harassed. Often the debt collection agencies loose their credit license
How to lodge a complaint against a collection agency in the UK?

You can report your situation to your local Trading Standards Officer, The Office of Fair Trading and OFCOM. Well, OFT has a complaint form where you can lodge your complaint against debt collectors in UK. You can get in touch with OFT with your complaints and queries at:
Call: 08457 22 44 99
E-mail: [EMAIL="enquiries@oft.gsi/gov.uk"]enquiries@oft.gsi/gov.uk[/EMAIL]
Address: Enquiries Centre
Office of Fair Trading
London
EC4B 4AH
I look forward to your reply.

Yours faithfully
Mr.

Its-A-New-Age-Thing

Bumping up to see if theres any more opinions, on default status

HappyMJ

You won't get a default for not paying a social fund loan. It's a different style of debt to the usual credit cards and personal loans. As it's after 6 years they can't take you to court to register a CCJ but next time you are on benefits they "may" take some of your benefits to repay this old debt. Just ignore them. You owe the money. You'll always owe the money but you have no requirement to repay it until you want them to pay you some benefits then you'll have to repay it.

Its-A-New-Age-Thing

HappyMJ wrote: »

You won't get a default for not paying a social fund loan. It's a different style of debt to the usual credit cards and personal loans. As it's after 6 years they can't take you to court to register a CCJ but next time you are on benefits they "may" take some of your benefits to repay this old debt. Just ignore them. You owe the money. You'll always owe the money but you have no requirement to repay it until you want them to pay you some benefits then you'll have to repay it.

many thanks for that, means i can toy with them further if i need to

id just been advised from another reputable site, that they can add a default for it etc but id presumably be able to argue my way out of it and demand a properly executred consumer agreement, and the person that advised me actually runs the site so is quite knowledgeable etc in many areas, so its kinda like who do i believe etc, so wanted to try and get a widespread view on the matter thanks again for taking the time to reply and THANKS to the other posters aswell.