Being chased for an overdraft from 2006

chz86

For the past few months I have been chased by a company called ARROW GLOBAL in relation to an overdraft they said was from 2002. I was in contact with LLOYDS TSB and they could not find any details of this account.

Arrow global have now come back to me with bank statements saying the debt was from 2006. The debt came about due to snowballing bank charges. The account was closed in 2006 with an overdraft of £400

Would i still be liable to pay this, due to the account being over drafted by bank charge on top of bank charge. And the fact it has been over 6 years. Could i reclaim the bank charges i.e the bank pay themselves for this debt they have created.

Thanks for reading.

blt

Double check with the CAB and others on here but I *think* that as long as you do not acknowledge the debt by replying to them (at all), you do not pay because the debt is over 6 years old. I'm sure I remember reading somewhere that you cannot acknowledge it in anyway. I'm sure someone else will be along soon to help some more.

stclair

chz86 wrote: »

For the past few months I have been chased by a company called ARROW GLOBAL in relation to an overdraft they said was from 2002. I was in contact with LLOYDS TSB and they could not find any details of this account.

Arrow global have now come back to me with bank statements saying the debt was from 2006. The debt came about due to snowballing bank charges. The account was closed in 2006 with an overdraft of £400

Would i still be liable to pay this, due to the account being over drafted by bank charge on top of bank charge. And the fact it has been over 6 years. Could i reclaim the bank charges i.e the bank pay themselves for this debt they have created.

Thanks for reading.

If the debt is from 2006 and you have not acknowledged it then the debt would be statue barred now.

stclair

You could send them this letter:

Statute Barred Letter (England only)

Dear Sirs,

Re: Statute Barred Account - Numbered - XXXXXXXXXXXXXXXX

You have contacted me regarding the account with the above reference number, which you claim is owed by myself.

I would point out that under the Limitation Act 1980 Section 5 "an action founded on simple contract shall not be brought after the expiration of six years from the date on which the cause of action accrued".

I would also point out that the OFT say under their Debt Collection Guidance on statute barred debt that "it is unfair to pursue the debt if the debtor has heard nothing from the creditor during the relevant limitation period".

The last acknowledgement to this debt was made over six years ago and no further acknowledgement or payment has been made since that time. Unless you can provide evidence of payment or written contact from me in the relevant period under Section 5 of the Limitation Act, I suggest that you are no longer able to take any action against me to recover the alleged amount claimed.

The OFT Debt Collection Guidance states further that "continuing to press for payment after a debtor has stated that they will not be paying a debt because it is statue barred could amount to harassment contrary to section 40 (1) of the Administration of Justice Act 1970".

I await your written confirmation that no further contact will be made concerning the above account and confirmation that this matter is now closed.

I look forward to your reply.

Yours faithfully

Sign digitally

DevCoder

It will possibly be statute barred, but the debt remains (just playing devils advocate)

This means a debt agency can pursue all means up to the point of court to try and retrieve this debt, commonly this debt is then resold on and the hassle starts all over again.

Just to point out that despite it being statute barred you probably wont hear the last of it, harassment also takes effort on your part to prove and this will only last until the debt is resold.

happy_bunny_2

Just a case of every time someone asks you to pay it, send the SB letter, then if they ask you to pay again, report them to the OFT.

On the other hand, they might accept £40 in full and final settlement once you send SB letter. Save anyone else bothering you about it. Obviously get it in writing first.