Popping back up on the grid

Snowyleopard

Hi all, I'm looking for a bit of advice. In 2006 I had my house repossessed and was in a fair amount of debt. I owed around 3k on an unsecured loan and around 1.5k on a credit card, plus there was an 18k shortfall from the sale of the house. With some smaller bills the total amount owed would of been around 25k. I'm not proud of it but I basically just did a runner and buried my head in the sand. I house shared and the only things I updated my addresses for was my current account (which was also my mortgage provider) and my healthcare. I've never been contacted about any of these debts since late 2006 and never from my new addresses. I am about to finally rent a place of my own and will obviously be putting my name on utilities, council tax etc. Basically popping up on the grid after nearly 7 years. I've heard rumours of a six year debt write off? From what I've read online seems to be an urban legend. If anyone can confirm this? I'm fully expecting a total shafting as soon as I move in. Do I just wait and see what drops through the letterbox? Do I just make arrangements to pay anything that comes through? To be honest I can't even remember who I owed what to. It's a total mess.

Tixy

Hi and welcome

The unsecured debts could be statute barred.

A debt becomes statute barred if there is a period of 6years where you do not pay towards the debt and do not write to admit you owe the money in writing and only if they don't take court action against you in that time scale.

When a debt is statute barred you are not legally required to pay and the creditor cannot then obtain a CCJ against you (at least not if you defend against it).

So before you agreed to pay anyone back it would be worth finding out if they have obtained a CCJ, if not its likely statute barred. If anyone does write chasing debts then come on here for advice.

The mortgage shortfall won't be statute barred. If they come chasing you then it would be best to get professional debt advice (freee from one of the debt advice charities).

PS if you are in Scotland the rules are different - its 5 years for unsecured debts.

Snowyleopard

Thanks for the reply, it looks like it'll just be a waiting game and see what drops through the letterbox dealing with one thing at a time.

mon1o

Dont take my word for it, there are people more knowledgeable than me on here but I think if you have not been contacted about a debt nor acknowledged a debt after a 6 year timeframe the debt becomes statute barred and you can refuse to pay it on that basis if you are approached but I have no idea what this entails since ive never done it. I have seen people on here have done it in the past.

mon1o

sorry - double post with Tixy xx