How long can debt be enforced for?

Rose80

Hi there,

wondered if anyone could give me some advice.

I was in quite a bit of debt about 8 years ago approx. after having to stop work due to illness. I couldn't afford repayments so after getting a number of defaults, I paid off all but one with partial settlements. One company would not agree to this so the debt sat there, has been transferred to various collection agencies and I have paid £1 a month since then.

I would like to know after all this time what means the company that are now pursuing the debt are able to use to try to get the money from me, would I be able to get new defaults or worse? My credit file is better now after the old defaults are gone, but I am still not working so unable to afford to pay off this debt. The collection company seem to be getting heavy handed again. I'd also like to know if I am obligated to give them an income & expenditure sheet?

Any advice would be great, thanks

CKhalvashi

6 years from the date of last payment.

Depending on the amount, it may not be worth them chasing.

CK

Rose80

Thanks CK. Since I have been making the token payments they can still enforce it then. It's a large amount, £3700 so I would imagine they are still keen to get it back. Does this mean that if I didn't pay my £1 they would be able to put on new defaults etc?

CKhalvashi

Rose80 wrote: »

Thanks CK. Since I have been making the token payments they can still enforce it then. It's a large amount, £3700 so I would imagine they are still keen to get it back. Does this mean that if I didn't pay my £1 they would be able to put on new defaults etc?

If it's already defaulted, no they can't, as a debt can only default once.

If they were to take it to court, they probably would obtain a CCJ against you, so bear this in mind.

CK

spacey2012

What you could do is start the process to see if they hold the paper work required to collect the debt.
FERMI is known as the board guru and has templates you can use to make them cough up the required documents and lot have turned out not to have them, despite collecting the debt.

Stewart_78

Yes, you should do a 'CCA request' to establish whether they have an enforceable credit agreement. If they don't, and they probably don't if it's an old debt, it means they can't enforce the debt through the courts. As it's a pre 2007 debt, they need everything to be in order to chase you for it. You still owe it but all they can really do is hope you pay it and keep on at you. What sort of debt was it as this may make a difference?

iolanthe07

Since £1 a month on a £3,700 debt would take more than 300 years to pay off, even without interest, you can see where the lender is coming from! Could you perhaps offer them something a little more realistic? Perhaps a full and final offer of, say, half the amount owed would be acceptable for them to wrap it up.

Rose80

Thanks very much everyone for the advice I really appreciate it.

I definitely intend to do as you have advised and check they have everything they need to legally go after me for the money.

Stewart the credit was originally with Egg credit card.

iolanthe07, the token payment was as they suggested, looks like their way of making sure the debt stayed enforceable. I may try to get some money together to make an offer but I can't afford half unfortunately.

Stewart_78

I don't think Egg have a great reputation of having proper enforceable credit agreements.

Rose80

Fingers crossed! Thanks Stewart I will get a letter written to them.

spacey2012

If they have the paper work, they will serve it straight up like a hot pie.
If they become obtrusive and make excuses and threats you know they don't.