Default chasing

irsprint84

I have had a default of 4 1/2 years so not worried about waiting a year for it to come off.

Now the company I owed money to me never found me and put a default on my account but now they have with a letter so do I have to pay it or can I ignore it?

Sinhanada

My personal view is it is far better to pay the default.

Although the default will drop off after six years - if they have now found you and sent a letter, if you have acknowledged it then it will be another six years.

They may also send bailiffs round to your house and start debt collection proceedings against you.

My advice is to arrange a payment plan, and stick to it

irsprint84

The company has sold to another company now before I pay can I be flaky and say I don't recall this debt and ask for credit document to be sent to my address?

Tixy

You could start by sending a prove it letter asking them to prove you owe the debt. Letter when you know nothing about about the debt - AKA "Prove it" letter

They should send you proof of the debt and proof they (the debt collection agency) have a right to collect it.

If they do prove it and you don't pay then they could potentially take court action against you, if successful a CCJ would be on your file for a further 6 years (unless you pay in full within a month of the CCJ).

irsprint84

Sinhanada wrote: »

Although the default will drop off after six years - if they have now found you and sent a letter, if you have acknowledged it then it will be another six years.

I m worried by what you state here. I m a year and a half away from it falling of so if I pay it I will have to wait another 6 years for it to drop off? can't I just state no on of that name lives here?

Tixy

irsprint84 wrote: »

I m worried by what you state here. I m a year and a half away from it falling of so if I pay it I will have to wait another 6 years for it to drop off?

The default will definitely drop off 6years after the original date, whether paid, unpaid or partially paid at that point.

The only way it could affect your credit file after that point would be through successful court action being taken against you. That wouldn't put the default or account entry back on your file, but would show a CCJ on your file.

irsprint84 wrote: »

can't I just state no on of that name lives here?

I guess you could lie and say that. But one thing to consider is that if they don't have your current address there is always a possibility that if they did take court action against you then the letters would go to your last known address, and so you could end up with a CCJ without knowing about it. And only find out when you try to apply for credit somewhere and are declined, or when a bailiff tries to trace you and knocks at the door.