Question about an old 2005 debt / Statute Barred Maybe?

deancallaway

Hi Guys,

I've been reading loads on here about old debts etc. and I have this year been really trying to get my credit file in order (which I am having great success in).

One possible concern I have though, I financed a car on 20/07/2005 with Black Horse, the car ended up getting written off with no insurance pay out in 2006. Since then I have moved abroad, then back to the UK, different addresses etc. and I have noticed that the debt was placed with Lowell and after making contact with them, I realised that it was then passed to BW Legal Solicitors.

The last payment made on the account was 20/04/2007 and BW Legal served me with a Stat Demand in February 2014. I have since been in contact with BW and I have agreed to pay them £10 per week. (£19,000 debt in total).

My question is, could this debt be classed as Statute Barred and if so, how do I go about actioning this and would it be removed from my credit file?

The Date of Default showing on credit file is 05/05/2010 which I dont believe is correct, or if it is I dont understand what its that date?

Any advice would be brilliant.

Thanks You

Tixy

Hi and welcome

The date of default is incorrect.
The very latest the default should have been would have been the earliest of date it was first passed to the first debt collector or 6 months from when you first ceased payments.

I don't believe a statutory demand would prevent a debt becoming statute barred, as I don't think it would be classed as commencement of court action - however I would recommend calling national debtline (or similar) for their advice on this.

National_Debtline

Hi Dean

The statutory demand that BW issued in Feb 2014 does not count as court action for the purposes of the Limitations Act. Only if/when a creditor issues a bankruptcy petition do their actions become classed as "legal proceedings" in this context.

It seems therefore that the debt could very well have become statute barred by the time you agreed repayments with BW earlier this year. Once you inform a creditor that you believe their debt is statute barred, the onus will be on them to refute this by producing appropriate evidence.

Dennis
@natdebtline

Thrugelmir

deancallaway wrote: »

the car ended up getting written off with no insurance pay out in 2006.

Didn't you insure the vehicle properly?

PaulW922

Thrugelmir wrote: »

Didn't you insure the vehicle properly?

That's helpful.

deancallaway

Hi Guys, thank you for all the replies.

I've spoken with both BW Legal and Lowell today. Lowell maintain that the default date was placed on by Blackhorse on the 5th/May/2010 and they bought the debt in 2011. The guy on the phone said there is no way this is Stat Barred because of the date Blackhorse put on, is this correct?

Just to confirm, Last payment on this account was made in April 2007, and the first possible contact I had with anyone was BW Legal in Feb 2014. I seem to be banging my head against a brick wall here, I'm happy to continue paying the £10 per week (will take me 39 years to repay it) but i would really like my credit file updating

rizla_king

deancallaway wrote: »

The guy on the phone said there is no way this is Stat Barred because of the date Blackhorse put on, is this correct?

No. Lowells are bare faced liars, especially on the phone.

deancallaway

Ok could someone please advise me what to do with this now?

happy_bunny_2

Complain, in writing to Lowell that the default date is wrong and you require it correcting. Send by proof of posting.

State that if they refuse, you will refer to the FOS.

As for paying them, if you are sure its statute barred then you could stop and fight any action they take on that basis.

deancallaway

happy_bunny wrote: »

Complain, in writing to Lowell that the default date is wrong and you require it correcting. Send by proof of posting.

State that if they refuse, you will refer to the FOS.

As for paying them, if you are sure its statute barred then you could stop and fight any action they take on that basis.

Thats the thing though, i'm not actually sure on anything......

Anyone else have any advice they could give?

happy_bunny_2

From what you have said, that default date is wrong.

Never believe a debt collector...

Complain, then if they refuse let the FOS decide. You lose nothing...