Statute Barred reply advice

paulballuk

Hi all,

Received a reply from a firm chasing me for an old debt, first one I've written to (finally taken my head out the sand!)

This is the reply I have received:-

We acknowledge that your accout is statue barred. However, this does not make the agreement void.

Whilst we are currently unable to take legal action to enforce the balance this does not affect the validity of the underlying debt; therefore as the debt still exists we are entitled to carry out any actions that do not amount to enforcing the agreement including the following:

• Demanding payment
• Charging interest
• Transferring the debt to a third party
• Registering the debt with a credit reference agency and issuing a default notice.

In respect of any claim that this debt is in 'dispute' we agree the Agreement is unenforceable in a court of law as explained above however the money lent to you has not been repaid to date. As neither of these facts are in dispute, we consider the matter resolved.

However, our client is willing to consider a significant reduction to the outstanding balance, in order to bring this matter to an early and amicable conclusion. We can consider any offer.

Anyone know what my options are other than starting to pay this back? Can they actually put a default notice on my file for something this old?

Appreciate any advice


Paul

justruth

I'll let someone with more knowledge and experience take over here but my understanding is that they are trying to pull a fast one. Get proper professional advice from one of the debt charities or CAB.

fermi

paulballuk wrote: »

Anyone know what my options are other than starting to pay this back? Can they actually put a default notice on my file for something this old?

No they can't. They are telling porkie pies there.

If any default already exists on your files, and has not dropped off yet, then they are allowed to update the status of that to show any balance still owed.

But they are not allowed to register any new defaults on your credit files that weren't there before, or change the dates on ones that are nearly up to make them stay longer.

If they do register anything new, then you can complain and have it removed.

Whether they are allowed to politely continue to ask for payment depends on the history of what has happened really.

See the sections on statute barred debt in this link.

https://forums.moneysavingexpert.com/discussion/3558031

In the end, for all practical purposes, there is nothing that they can do that should bother you.

- They cannot take (or at least succeed in) any legal action.
- They cannot further harm your credit files.

paulballuk wrote: »

Anyone know what my options are other than starting to pay this back?

So at this point you either pay them, tell them to naff off, or just ignore them.

The choice is entirely yours.

paulballuk

Thanks for the reply, trouble is I don't want constant letters saying they can do this and that if they can't so is there a letter or template to get them to stop bothering me or is it just going to go on until I eventually cave in?

The letters make me Ill so I don't want to ignore them but I also don't want to pay them if I don't have to.

I thought the idea of the OFT was to stop them doing this for statute barred debts?

oldhand

What a real mug I have been all these years,paying off my debts when I should have just ignored them and after 6 years im free.:think::think:

Curr946

paulballuk wrote: »

Thanks for the reply, trouble is I don't want constant letters saying they can do this and that if they can't so is there a letter or template to get them to stop bothering me or is it just going to go on until I eventually cave in?

The letters make me Ill so I don't want to ignore them but I also don't want to pay them if I don't have to.

I thought the idea of the OFT was to stop them doing this for statute barred debts?

Do not pay then a penny, if you start to pay them they can claim that the debit is no longer statute barred. IIRC that term i used when you have have not paid a payment in 6 years or longer.

Curr946

oldhand wrote: »

What a real mug I have been all these years,paying off my debts when I should have just ignored them and after 6 years im free.:think::think:

Or go bankrupt and start again after 1 year... doesn't make it fair, its just the law.

Simon7685

Take no notice of oldhand (post 5) each persons circumstances are different and it is not their place to judge you. Have a look at the link Fermi gave you and scroll down to post 12 on that thread, it deals with statute barred debt. It is quite clear that this company are trying to frighten you into agreeing to repay the debt. So if you feel that you want to repay it then that is fine but it is quite apparent that the law says you don't have to as it statute barred. They can't force you to repay or do anything to harm your credit report as fermi says.

I would write to them and quote the info in the link at them and advise them that if they continue to harrass you you will report them to the OFT.