Moorecroft

MrsNMD

Hi All,

Years ago I got into debt on a credit card with Lloyds TSb and made a agreement and had a CCJ, this was about 9 years ago and have had no contact with Lloyds since though their solictor, I moved got married and changed banks and haven't paid anything for 6 years and it appears moorecroft have bought the debt, last time I paid it was about £900 I owed, moorecroft are asking for £4400, can I send a staute barred letter and a letter stopping them harrsing me as they sent me a nasty letter which i got yesterday saying they were sending someone to my house, there is no CCJ and this has been removed from my credit file so this is not court related now as it has been so long, these people seem like bullies who buy old debts and try to scare people into paying for them

InsideInsurance

The fact its statute barred doesnt mean the money isnt still owed, just stops them going to court to collect it.

If you believe it is statute barred then use one of the many template letters advising them of this.

MrsNMD

So if it is will they leave me alone then it's been years since I had any dealing with this, and can companies buy old debts and try and get them? It seems quite an uncouth practice

Quentin

A debt never "dies" - as advised all that the 6 years is about is taking legal action to recover it.


They will know it's an "old" debt. But nothing to stop them pursuing you for it, they just can't use the courts.

fermi

If there was a CCJ it can't be statute barred in that legal sense.

But it may still be unenforceable under the other different rules of the court.

See this post quote.

https://forums.moneysavingexpert.com/discussion/comment/66318338#Comment_66318338

National_Debtline wrote: »

Hello there,

The general rule with the courts is that six years is sufficient time for a judgment creditor to enforce their judgment. It is only likely to be the case that enforcement would be allowed if they have frequently tried to enforce the judgment over the years without any luck. Allowing enforcement beyond the six years is very much the exception rather than the rule.

Two cases where permission to enforce on these grounds were refused are:
Duer v Frazer [2001] 1 All ER 249
Patel v Singh [2002] EWCA Civ 1938

Leave was granted in The Society of Lloyds v Longtin as the claimant had tried to enforce over the years.

There is also discussion within Patel v Singh that outlines that leave could be granted if the defendant has a significant improvement in their financial circumstances after the six years is over.

In reality, it is incredibly uncommon for a DCA to try and enforce a very old debt. Whether or not this happens in your case remains to be seen - though I would be very, very surprised if it happens. I cannot give you a definitive guarantee, however, DCAs can be a very unpredictable bunch at times.

Very best wishes,

David @ National Debtline.

fermi

Saying that, Moroncroft may not even know there was a CCJ, so could be worth sending the statute barred letter anyway to see how they reply.

Or give National Debtline a call freephone on 0808 808 4000 to see what their debt advisers think.

InsideInsurance

MrsNMD wrote: »

So if it is will they leave me alone then it's been years since I had any dealing with this, and can companies buy old debts and try and get them? It seems quite an uncouth practice

Not necessarily, the debt still exists they just cant go as far as court nor do anything that could be considered harassment or illegal threats etc. It is perfectly legitimate for them to make reasonable contact and reasonable attempts to recover the debt.

With this type of debt and others where court action isnt possible debt collectors typically buy the debt and so any money they manage to recover is theirs. Many years ago before the CCA changed a company I worked for gave credit that was non-compliant to the CCA so unenforceable in court but 99% of people paid anyway without any threats/ debt collection etc. Of the remaining percent it was sold to debt collectors at around 5p per £1 of debt, so for a £1,000 debt they'd only pay £5 for it to us and if they managed to get the full £1,000 then they've made £995 on it but if they get nothing they'd have lost £5 + their operating costs in attempting to get it.

There is nothing uncouth about it, its a legitimate business proposition and they just need to ensure they arent paying too much for the debt. From the creditors perspective its better to get 5% of the debt repaid and have no additional operational costs than nothing

redux

dresdendave wrote: »

Playing devil's advocate, some people might consider borrowing money and not paying it back an uncouth practice.

As might be selling people insurance against change of circumstance altering their ability to pay, then telling them that they cannot claim as the policy was not valid for them.

But that's a whole range of other subjects, as we know.

MrsNMD

dresdendave wrote: »

Playing devil's advocate, some people might consider borrowing money and not paying it back an uncouth practice.

And some people get into debt as a student, I have no issue with paying LLoyds back as I have moved and always paid everyone I ever owed back but not some nasty company that add thousands and bully. I actually contacted Lloyds solicitors 7 times to ask for details to be sent so I could repay the last of what I owed and they never sent a thing or called me back, these people have bought a old debt and added 3 and a half K on it and not read very good things about them.

have the whole background before you go making comments thank you

MrsNMD

I've checked it wasn't a CCJ, it was one late payment that Lloyds solicitor got the court to chase me for which I did pay.
And I certainly have advised my stepdaughter it's so easy being at uni and young when people throw money at you, I have not had a credit card since and would never again and have repaired my credit rating.

fermi

Courts themselves do not chase people for missed payments on a consumer credit debt unless there is already a CCJ in place, and even then only via certified court bailiffs. Even a solicitor cannot make them do so.

So either

- a CCJ did happen, which still exists, even if it is no longer on the credit files as over 6 years ago. They drop off after 6 years, paid or not, but still continue to exist.

- Or a CCJ application may have been threatened, via a solicitor or not, but never actually happened or progressed to the stage of a CCJ being awarded.

As said, may be worth calling National Debtline to talk through with an advisor what the actual situation might be. Usually much easier to get to the bottom of slightly confused situation like this if you speak to an actual advisor one-on-one.