15yr Old account & debt found through credit check!!!

BP2014

:eek:

I recently checked my credit report. On there was a debt from an old bank account I thought had been shut 15 years ago. It turns out there was a transaction that went through after I stopped using the account (must have used the wrong card) for around £25

Since then around £2 to £3 a month has been applied in interest on the overdraft, and over the years has crept up to £250!

Do I have any recourse here? I understand this is my debt, but seems disproportionate to the value spent and I don't even have the bank details for this account any more. I am worried if I leave it, the charges will increase as the authorized overdraft on that account appears to be £300

The account was with Lloyds TSB, and I cannot find any email address to enter into correspondence with them on the matter either...

Any help/advice would be much appreciated

Thanks
Ben

anotheruser

Why would you want to email?
Banks rarely / never provide emails as every tom, dickie and harry will contact them - including the saltan of agrabar saying they need to pay some money into the bank.. temporarily.

TELEPHONE and see if they can trace the account and what they want to do about it.

However, unfortunately as YOU made the mistake of using the old card (why you even used it around the time of the account closing is beyond me!), then it is your debt and will probably have to be paid.

As always, let the forum know how you get on.

grumbler

BP2014 wrote: »

Do I have any recourse here?

This depends on what you want. Generally, any debt is unenforceable after 6 years of no communications.

I understand this is my debt, but seems disproportionate to the value spent

Disproportionate?
Ignoring charges, it takes just 16.6% APR to turn £25 to £250 after 15 years.

castle96

you never received any correspondence ??
Seems that as it your debt, incurred by you, you must either fess up and pay, or keep schtum.
If it's affecting your credit score (and if that is important, then it seems you have no choice ?

BP2014

Sorry Grumbler, I meant the amount of interest vs initial charge was so high, I get the rate is not unreasonable. I suppose I am hoping as I have been unaware of it they may reduce this through good will

No not had any correspondence Castle96 but I closed this account (or thought I had) and then moved home. Clearly any letters have not been forwarded on, although I did have a redirection on for 3 months

DCFC79

Contact them (whether letter or phone call) and see what they say.

planteria

castle96 wrote: »

you never received any correspondence ??
Seems that as it your debt, incurred by you, you must either fess up and pay, or keep schtum.
If it's affecting your credit score (and if that is important, then it seems you have no choice ?

Schtum sounds good to me. Unless it is affecting you..in which case, i would just go into a branch to sort it, starting by pointing out to them that they haven't contacted you, and that if they had, you would have sorted it before now, and looking to settle it for as little as possible.

BP2014

Thanks. I do want to sort it out as it is on my credit report, and once the interest tips it over £300 in the next couple of years then it may show as a default which of course I won't let happen. Drafting a letter to their team as we speak.... Thanks all

mgdavid

I don't understand; if this:

BP2014 wrote: »

....... I don't even have the bank details for this account any more. .........

then how do you know this?

BP2014 wrote: »

..........It turns out there was a transaction that went through after I stopped using the account (must have used the wrong card) for around £25.........

Archi_Bald

castle96 wrote: »

....or keep schtum.

planteria wrote: »

Schtum sounds good to me.

That sounds incredibly unwise. The interest will just continue to accrue, and sooner or later the bank will demand their money, probably with the help of a debt collection agency.

baldelectrician

The debt may be statute barred- if you have not made any payment in 6 years (5 in Scotland) and do not pay anything or acknowledge the debt then it may well be statute barred.