Help with old debt

Welsh_and_broke

Hi to all
I am new to this site and is desperate for some advice.
2004 I stupidly took out loans and credit cards from Lloyds tsb bank.
I was very good paid my monthly bills never missed a payment. Until I had to stop.work due to being sexually assaulted and my world fell apart. I did Contact bank as I had ppi . Only to be told I am.not getting help and I got myself into debt I should pay it. That day I tried to take my own life.
I focused on trying to grow on with my.life and truthfully ignored the bank and the debt.
I am still battling with depression and seeking help till this day.
I had the letters from cabot debts from.bank saying I owe so far 12 k.
I have not heard anything since 2007. Tbh I knew this day would come. I broke down and just wanted to bury head further into the sand.
I. Contacted a debt free company and the woman I spoke to stayed on phone all day trying to calm.me down and said options I got is bankruptcy that's one road I cannot face. Told her I need to.sort out a way to pay them off. Options giving is iva or dmp.
I did.contact cabot and in fairness the woman was amazing and said if I payed a pound a month they would take it. But put account on hold for.a month.
At present my money is gone as soon as I have it. I have a car on very high interesteem as I have bad credit. That finally finishes Jan 2016 so.I be able to pay that the creditors.
After writing my outgoings we are left with 63.00 at present.
but as.the years go on certain things will be paid off and more money will go onto my debt.
NeEd advice if it's better to.write to cabot than involve debt help ppl.
What do I write and would my creditors be prepared to let me.pay off my.debt over 5 years.
I just need advice cos I have no idea what to do.

Thanks for reading

fatbelly

If you need to contact debt help companies then make sure that it's one that does not charge a fee - so National Debtline, Stepchange or Payplan.

I presume that they explored whether any of your debts had a six-year period (5 in Scotland) when you didn't pay them. If so, they are statute barred and cannot be enforced. You can wave goodbye to them. Your statement that 'I have not heard anything since 2007' sounds like that is true. I am not sure why there was any further discussion on debt options.

fermi

If statute barred then template letters to send here --> https://forums.moneysavingexpert.com/discussion/2606811

Welsh_and_broke

The company I contacted clear start said that if it was status Barr then they still can chase me for the debt.
letter I had was a letter from Lloyds bank saying my debt been passed onto cabot. As of 26.03.2025 But the cabot letter was included with the letter
I have registered on experian and as the debt is in my old marriage name it's not showing. I am waiting for a form.from them to add on my surname to check my credit .
its my debt so I do need to sort it
thank u for your reply

fatbelly

Clear Start are a commercial company who want to sell you a product that will make them money. They can not be trusted to give you advice in your best interest. Stop talking to them.

Your debts are statute barred and under FCA rules you can now insist that the collectors cease pursuing the debts.

Your letters are here:

https://forums.moneysavingexpert.com/discussion/2606811

fermi

Yes, clear start are lying to you.

Financial Conduct Authority rule is very clear on this.

CONC 7.15.8 R (rule) "A firm must not continue to demand payment from a customer after the customer has stated that he will not be paying the debt because it is statute barred."

So if it's statute barred, you tell them that by letter and the collector is then obliged to bu**er off.

owlet

Do contact Stepchange or National Debtline. They are free. Cancel whatever you have agreed with Clear Start. There is no need to pay.

Get your statute barred letters off first. Then if you want to share, you can do a statement of affairs & post it here & people can help you look at options.

You are not in an impossible place with this, keep your chin up.

sourcrates

Agree with the other comments that you should not be talking to a commercial debt management company about this.
The fact is, your debts are most likely statute barred, meaning the creditors cant obtain a county court judgement against you, so basically there's nothing they can do to you.


Debt management companies exist to make money, not to give you the best advice.


People cant be chased for debt forever, there is a law called the "limitations act 1980", in the case of unsecured credit debts, this gives a creditor 6 years (England & wales) in which to pursue and reclaim a debt, if they do not do so, then the time for collecting on that debt has run out, and you do not have to pay it.


It will still exist, its just that court action cannot be taken against you, so in layman's terms, there is nothing else they can do to you, and you are relieved of any liability.


If anyone tells you any different, they are either ignorant of the law, or they are lying to you.

National_Debtline

Hi

There is some really good advice from everyone in this thread. It’s certainly worth giving us a call on 0808 808 4000, as has been suggested.

James
@natdebtline

Welsh_and_broke

Thank you all for replying. My head is all mashed up. I am not sleeping cos it's on my mind.
Clear start stated that they dont take any fees from me but from the creditors which I don't understand.

I will contact national debt line just be prepared I am an emotional wreck

sourcrates

Welsh_and_broke wrote: »

Thank you all for replying. My head is all mashed up. I am not sleeping cos it's on my mind.
Clear start stated that they dont take any fees from me but from the creditors which I don't understand.

I will contact national debt line just be prepared I am an emotional wreck

Ok, you need to understand there is nothing to worry about here,

These debts will be statute barred, you just respond with a letter stating this, and that should be the end of the matter, once a debt is statute barred, nothing can change that status.

If what you say is true, you will not have to pay, do you understand this ?