5 Years After 'Settlement' - Debt Collectors?

Millz

I'm posting this on behalf of my partner who got contacted by a debt collection agency yesterday.

5 years ago she took out a loan to pay for an operation, but a few days after receiving the money the NHS agreed to perform the operation, so she went to the branch of the company Welcome Finance and asked how much she owed, and paid the money straight off using a bankers draft.

She's now been contacted by a debt collection agency saying there was a nominal fee outstanding, but has accumulated late fee's plus interest, and the balance is now at just under £2000.

My question is, surely this isn't allowed? A debt collection agency should have been contacted within 6 months or a year if it wasn't being paid, are they just trying to fleece my partner for money waiting this long to get more out of her?

Where do we go from here? Shall we just pay the money or who should we contact/turn to, to dispute it?

Any help would be appreciated, and ASAP as they're after the money as I type this.

nottoolate

post on the debt board

http://forums.moneysavingexpert.com/forumdisplay.php?f=76

malkyh

Has your partner got a final statement showing the loan as settled in full?

Millz

Thanks - I've posted in there too.

*Edit* - No - She has no documentation at all regarding it as it was over 5 years ago (and she's a bit useless with documents to be fair).

Millz

Shamless bump, desperate for advice on what to do. Tempted to just pay the loan off for her (even though I can't really afford it myself) just to get them off her back.