Six Years?

ladybikeruk

Unfortunatly my partner has a few outstanding debts, we are trying to pay off what we can however I understand that if a debt is more than six years old then there is a possiblity that we may not have to make payments. Could anyone explain that 'rule' including what they actually take as the cut off point. (knowing my luck its more likely to be a myth!)

Thank you

chevalier

I think that you mean about a debt being statute barred. As far as I understand it if there has be NO communication between you and a creditor about a debt for 6 years or more, then they cannot enforce you paying it.

However any communication about a debt 'resets the clock' back to zero.

More knowledgeable people will be a long soon
chev

file_wizzard

The statute of limitations will only apply where the debtor has made no acknowledgement or payment of the debt in over 6 years.

However do you actually dispute the validity of any of the debts?

ladybikeruk

We are not disputing the validity of the debts, if we did then I would write asking to see a copy of the original credit agreement. My bone of contention is with a 'request' we received today from that wonderful agency Debt Management regarding my partners old Burtons card. Now he knows that he owed money on it and kinda burried his head in the sand (all before I knew him I hasten to add! lol) and didnt make payments to clear the outstanding amount back in 2001 (which must have been under £300 as that was the card limit) the debt is now £768 ! now I appreciate court costs, interest etc etc however I contest the more than doubling of a debt. My partner has agreed to pay back at £100 per month but I wrote a letter on his behlaf asking for a breakdown and contesting the amount, requesting that an agreement be made on a reduced amount and, subsequently, payment being made sooner.
This debt was within 6 years however I just wondered where we stood with any older ones (of which I am certain there are one or two lurking!) We will, if we are able, pay off what we can.

Sorry to rattle on... just its a bad bad Monday! lol

plumduff-2

As said above - if the debt has not been acknowledge or any payments made in 6 years, then the debt will be statute barred... ie - it is still owed but they cannot legally enforce it...

http://www.nationaldebtline.co.uk/england_wales/pdf/25_liability_for_debts_and_the_limitation_act.pdf

read the above from National Debtline..

My personal view - is that if the Limitationsa Act applies, sod them... they have had six years to chase for this money... and havent done so..

file_wizzard

any that are over 6 years without payment or acknowledgement will be barred, the Burton one will however been deemed to be "live" as an acknowledgement and offer to pay has been made.

file_wizzard

plumduff-2 wrote:

My personal view - is that if the Limitationsa Act applies, sod them... they have had six years to chase for this money... and havent done so..

Within reasonable limits I completely agree, however (and with no aspersions directly related to this case) we dont always know the full story.

i.e If the debtor has been readily traceable, on the electoral roll and using other forms of credit / utilities then I total agree that once the 6 years is up its basically tough luck for the creditor as athey have had more than due opportunity to locate the debtor

However if the debtor had moved out of the country or intentionally avoided detection by change of name, or not registering on electoral roll Ect then I don’t think that the limitations act should apply, nonetheless it does !

ladybikeruk

Thank you all for your responses, you have all been very helpful.

Just one more thing (sorry!) if you receive a letter saying you owe money and you believe it to relate to a debt over six years old that you've had no dealings with during that time, what happens if you phone the debt agency to enquire about the debt and they say that they have taken you to court etc etc, can we request to see documentation proving that they have attempted contact and the court ruling? and by doing so are we cancelling any right to the statute barred ruling? (The Burtons issue was within the last six years anyway so irrelevant) Should we state that we are in no way acknowledging the debt whenever we make contact be it in writting or over the phone?

(Very sorry to be a pain!)