Scared by Solicitors advice!

myotai

Hi all,

Went to see a solicitor yesterday as I have ad a Claim Form sent for a loan that I am defending as I consider it to be Statue Barred.

The only evidence sent to me by the DCA is a set of statements that (ironically) catagorrically show that the last action I had on that account was over 6 yeas ago. Speciafically June 2008, so even if the cause of action was a month after that its still statute barred (so far as I understand the law re this). Also the last payment I made on said account was a part of an 'arrangement' so doesn't this mean that the Cause of Action start at the inception of the 'arrangement'?

However, the solicitor initially put my mind at rest re the above and agreed. Then after I had stated that i would have to defend this myself as I would be unable to find the £5000 that he was suggesting they would charge me his attitude changed - albeit subtley.

He seemed to say that if the DCA were witholding some evidence and they won the case they may well as for a forced sale on my home!!! I am utterly horrified at the prospect of this as I have two children at home one is only 1 year old. I honestly thought that worst cae scenario would be a charge order...not a forced sale. There isn't even that much equity in the home. Certainly not to cover the 20k debt in question. He also started telling me that baliffs may well call and remove some of our possessions....what, two tvs and a laptop??? Hardly dents the debt.

Can anyone offer some clarity re what the likelyhood is of these horrible scenarios being a reality?

Thanks in advance!

Mr Very Worried!

FireWyrm

myotai wrote: »

Went to see a solicitor yesterday as I have ad a Claim Form sent for a loan that I am defending as I consider it to be Statue Barred.

Why do you need a solicitor for this? Is this a secured loan or an unsecured one?

myotai wrote: »

The only evidence sent to me by the DCA is a set of statements that (ironically) catagorrically show that the last action I had on that account was over 6 yeas ago. Speciafically June 2008, so even if the cause of action was a month after that its still statute barred (so far as I understand the law re this).

You understand correctly.

myotai wrote: »

However, the solicitor initially put my mind at rest re the above and agreed. Then after I had stated that i would have to defend this myself as I would be unable to find the £5000 that he was suggesting they would charge me his attitude changed - albeit subtley.

Uh huh.,...

myotai wrote: »

He seemed to say that if the DCA were witholding some evidence and they won the case they may well as for a forced sale on my home!!!

Balls.

What he is referring to is a charging order which MAY be brought to bear if they could show that you owe the money. No way in hell could they force the sale of your home and make a mother and two children homeless and destitute....aint gonna happen.

You have evidence that the last payment you made was in 2008. There is no more defense necessary. It is statute barred and even if it wasnt, the worst that could happen is a CCJ which you would vigorously defend.

The solicitor is trying to frighten you into paying £5000 for a service you could do yourself and dont need him for. Walk away. You dont want to do business with this shyster.

myotai wrote: »

I am utterly horrified at the prospect of this as I have two children at home one is only 1 year old. I honestly thought that worst cae scenario would be a charge order...not a forced sale.

Wouldnt happen.

myotai wrote: »

There isn't even that much equity in the home. Certainly not to cover the 20k debt in question. He also started telling me that baliffs may well call and remove some of our possessions....what, two tvs and a laptop??? Hardly dents the debt.

Again...unlikely even if you owed the money. If you DID owe the money, this might happen, but you just pay token payments, tell the bailiffs to shove off and tell the court you are paying what you can afford. It very much depends on what type of debt this is. If it is a secured loan or mortgage, then a charging order is possible. However, you say that the last action was 6 years ago...that is statute barred no matter which way you slice it (unless it's a mortgage which is different).

Tixy

Sounds very unlikely.

Most likely from what you have posted is that the debt is indeed statute barred (that is assuming you haven't acknowledged the debt since the last payment). btw no, the cause of action cannot be before the last payment you made

Do you own your property in your sole name? is the debt in your sole name?
A charging order may be a possibility, but a forced sale is not going to happen. Absolutely miniscule chance. Courts do not force the sale of an owner occupied residential property that is a family home with children.

Also very unlikely that a court would allow bailiffs to be used as a method on enforcement for a £20k personal debt.

Strictly speaking the worse case scenario could be for the creditor to petition for your bankruptcy, but that is also unlikely, as by the sounds of it they would not be likely to recover the debt by doing so if there is insufficient equity currently. I wouldn't worry about that option either but included for completeness.

National_Debtline

Hi myotai

I am deeply concerned by the "advice" you received from this solicitor. I think you need to act as if you had never had a conversation with him at all.

I would like to think that you could deal with this matter now without any requirement for paid-for legal advice. Defences based on the Statute of Limitations tend to be fairly black and white affairs - a debt is either statute barred or it isn't. There isn't really much scope for different interpretations.

Regards

Dennis
Twitter: @natdebtline

myotai

Thanks all for our reassurance!

To answer your questions:

Its was a personal un-secured loan.

I sought the advice of a solicitor on the advice of the National Debtline I am afraid - I now owe the solicitors £200

FireWyrm

myotai wrote: »

Its was a personal un-secured loan.

Then it is statute barred, there is little room for interpretation and there is zero chance of a forced sale. Your solicitor is at best incompetent and at worst, out right venal. You dont need his advice to do what you can do yourself.

myotai

Will call DCA tomorrow

fatbelly

You're still going to need to respond to the claim (within 28 days)

You may now need this factsheet

https://www.nationaldebtline.org/EW/factsheets/Pages/20%20EW%20County%20court%20-%20replying%20to%20a%20claim%20form/Default.aspx

myotai

Don't really understand this?

Now I have sent AOS and said I will defend can I not wait to see their evidence efore deciding to withdraw my defence?

Or, should I just bite the bullet now and admit that I am liable and make an offer to make nominal monthly payments?

Thanks...

nottoolate

beware that a lot of debt collector make up fake payments in statute barred cases. judges often believe them over you.

can ask for disclosure u think? templates on consumeractiogroup legalbeagles or ccl?

myotai

General consensus fromn National Debtline is to bite the bullet and ask the court to cancel my 'defense' and to admit liability.

I really don't know what to do now!

I thought I could see what the DCA had in terms of evidence before going to a hearing. According to National Debtline this is incorrect.

Should I just call the DCA and state that i was genuinely under the impression that it was statute barred up until this afternoon and would not like to make an offer of monthly payments?