Ppi claim on statute barred loan

1eyemark

Hi all, I wonder if you can help, from 98 I had a loan with natwest and I kept renewing it every 6-18 months everytime with ppi.
That was until 2005 when I changed jobs, got overdrawn and the bank said that I could either refinance the loan or they would default me on it and the a ccj, I told them I couldn't afford the repayments but the urged me to take it which I did and then was unable to pay so they got a ccj on me in 2006 which is now statute barred.
I have now done a ppi claim for the loans I payed to which they have offered over £20000 yes £20k, my only worry is that they will take this to cover the last loan, can they as I have not heard anything in over 6 years?
Thanks in advance
Mark

[Deleted User]

Yes, they can still off set. Whether they will or not isn't certain, though.

magpiecottage

I didn't think a debt could be statute barred if a CCJ had granted on it.

1eyemark

The ccj was granted in 2006 and I assume that it lasts for six years, and I havnt heard from the since it was granted, but it has never appeared on my credit file either.

fatbelly

Not statute barred as such. The Limitation Act gives a creditor 6 years (England/Wales) to commence court action from the 'cause of action'.

Once the six years has passed, court action cannot be commenced, or to be more precise there is a complete defence against it, and the debt is said to be 'statute barred'.

In your case they commenced a claim, and obtained a judgement against you, within the six years. The judgement stands, but drops off the register, after six years. It should have appeared on your credit file during that period and I don't know why it didn't.

If they want to enforce it, though, they will need the court's permission

1eyemark

So I guess it's 50/50 if I actually see the ppi payout?

dunstonh

Even if the debt is statute barred. That is only to prevent them using the courts to get money from you. It does not prevent them from using the money they come into by other means to set off the debt.

So I guess it's 50/50 if I actually see the ppi payout?

More likely 15% for and 85% against. Most lenders will take the redress against debts written off, defaulted or in arrears. However, some lenders administration leaves a little to be desired and they pay the money out without realising. You may get lucky. You shouldnt (either logically or morally) but you may.

1eyemark

well today i received 10 cheques totaling over £20000, so i guess i was lucky.

dunstonh

damned lucky. Certainly against the norm.

DevCoder

Well done, how about paying back some of your creditors?

[Deleted User]

krisdorey wrote: »

Well done, how about paying back some of your creditors?

Fat chance of that!