debt that's nearly 6 years old has been passed to another debt collector - help pls!

ruintooeasy

ok so i had an old credit card that was defaulted on Feb 2005 - Lowell Financial have been chasing it recently and regularly check my credit report (it's showing as 'updated' on my file Feb 2009 - not sure what this means). I am hoping to just leave it (as i have no made any payments in the last 5 years) and it should be removed(?), however this morning I have received a letter from Buchanan, Clark & Wells saying they have been instructed by Lowell. The letter threatens court action and Attachment of Earnings.

Advice please?

TIA

skint-student-nurse

I believe if you sit tight, and wait until feb,you can get the debt statute barred. I sure someone will be along to clarify.

Gordon_Hose

First of all you need to establish enforceability, to do this you'll need to request the signed agreement. Send them this letter: http://forums.moneysavingexpert.com/showpost.html?p=33791621&postcount=11 along with a £1 postal order

Gordon_Hose

arrontdep wrote: »

Sorry to inform you, if I am correct then they are entitled to recover the debt.

A company can attempt to recover any debt that they have against you at any time.

Legally a debt is classed as time barred after no contact has been made to you by the company in 6 years, you can't get out of that law by you not contacting them, it's if they have made no effort. Even when this happens they are not obliged to write off any debt. They are only not allowed to enforce the debt via private debt companies and baillifs and they cannot take it to court.

Unfortunately this doesn't look the case for you so they are entitled to try and recover that money.

A debt is statute barred if no payment has been made by you, or the debt hasn't been acknowledged in writing, by you, for the last 6 years.

Once a debt is statute barred the debt still exists, but they can not enforce it through the courts.

RAS

It is 5 years in Scotland.

fermi

arrontdep wrote: »

Legally a debt is classed as time barred after no contact has been made to you by the company in 6 years

Sorry. That is completely untrue.

The creditor can write to you every day for the entire 6 years, and it would STILL NOT prevent the debt becoming statute barred at the end of the 6 years.

The only 'contact' that can start the 6 years running again from scratch, preventing the debt becoming statute barred is either:

a) A payment made by the debtor (or by their legally appointed representative).

b) A signed acknowledgement made by the debtor (or by their legally appointed representative) in writing.

Nothing else counts.

ruintooeasy

ok well now i'm confused!

Gordon_Hose

ruintooeasy wrote: »

ok well now i'm confused!

About what?

fermi

ruintooeasy wrote: »

ok well now i'm confused!

Understandable reading through that.

What about exactly?

adamski426

I am helping my girlfriend sort her debts out after five years, if you talk to them direct you will be suprised how helpfull they are, one of my girlfriends was £1500 and she had ten days to pay it or it was going to court, i managed to talk to them and they accepted a payment of £20 and then £15 a month reviewed every 6 months. She was very surprised and thankfull.

ruintooeasy

Gordon_Hose wrote: »

About what?

about what i should do now. do i leave it until it's statute barred (if it is?) come Feb next year? Or should I make contact and start paying?

I've got one CCJ from 2005 that should be wiped next year so the last thing i want is a new one. I'm trying really hard to sort my credit out - really paying the price of being irresponsible years ago!