Lowell (CohenCramer) Notice of Pending Legal Action (Statute Barred Debt)

GothicStirling

Following my post a couple of weeks ago, I have now been sent this letter from Lowell's solicitors for a debt I believe became statute barred in October. Can anyone help with how to fill out the Reply Form?

Section 1

1) I agree I owe the debt.
2) I owe some of the debt, but not all of it.
3) I don't know whether I owe the debt.
4) I dispute the debt.

Section 2

How will you pay?

Section 3

Do You Intend to get, or are you already getting debt advice?

Section 4

What Documents Are You Sending With This Form?

1) I have provided documents.
2) I need more documents or information.

Financial Statement

There is no evidence of when the last paymnet was received by Provident (my belief is October 2011 just before I moved house), and have not made any contact since. All they've stated is that they've acquired the debt on the 29/08/14.

Thanks.

Arleen

When did they start action? Because what matter is when they have started the track for legal proceedings, not the date now, and october/november 2017 is quite possible, and would likely not be statute barred yet.

Anyway, your answer is 3 and explain that you think that debt is statute barred. It will then be up to them to prove any payments made, and that it's not the case. I assume that if it's found to not be barred, you are willing to pay up? That will be your best move then and will save you on court costs.

GothicStirling

Lowell haven't started proceedings yet, the letter states "it is their intention to issue proceedings against you". It is a pre-action letter.

What I need to know is should I request proof that I have made contact/payment within the last 6 years. If I lost the action Of course I would pay up, but it would be a low monthly installments. If Statute Barred I would like the time to save some money to make a reduced full and final settlement later in the year.

fatbelly

It's the new-style pre-action protocol letter, brought in on 1 Oct.

Pleased to see Lowell are using it.

Debt Camel has a guide to the new PAP here

https://debtcamel.co.uk/letter-before-claim-ccj/

Her advice is

If you are sure a debt is statute barred – perhaps you have already taken debt advice – you could tick Box D and state this. But otherwise tick Box C for more information and ask for a full Statement of Account and the written agreement for the debt.

Important: if there is any chance at all that your debt is close to being statute barred, you must NOT tick Box A and be careful on the Reply Form to refer to “the alleged debt” not “the debt”. Otherwise you may be acknowledging the debt.

GothicStirling

Thanks. I'll definitely ask for that information. Should I be sending them a financial statement if I'm challenging the debt?

sourcrates

GothicStirling wrote: »

. If Statute Barred I would like the time to save some money to make a reduced full and final settlement later in the year.

If, it’s statute barred, you do not have to pay it.

Statute barred is the end game, not an avenue to further negotiations.

Especially if it’s the subject of legal action, and is subsequently proved to be statute barred, you should regard that as the end of the matter, don’t even think about paying it at a later date.

fatbelly

From your other thread I can't be 100% sure this is statute barred so the longer you can drag this out before they start a court claim the stronger your SB defence will be

...so tick Box C for more information and ask for a full Statement of Account and the written agreement for the debt.

sorry, 'the alleged debt'

GothicStirling

I may have the Provident payment book in the loft. I will have a look, just in case.

fatbelly

It's always good to have evidence.

Bear in mind there should also have been a signed contract saying when payments were to be made and what the procedure was if you missed one.

If you tick box C and request it they should dig out a copy.

Anthorn

GothicStirling wrote: »

Following my post a couple of weeks ago, I have now been sent this letter from Lowell's solicitors for a debt I believe became statute barred in October. Can anyone help with how to fill out the Reply Form?

Section 1

1) I agree I owe the debt.
2) I owe some of the debt, but not all of it.
3) I don't know whether I owe the debt.
4) I dispute the debt.

Section 2

How will you pay?

Section 3

Do You Intend to get, or are you already getting debt advice?

Section 4

What Documents Are You Sending With This Form?

1) I have provided documents.
2) I need more documents or information.

Financial Statement

There is no evidence of when the last paymnet was received by Provident (my belief is October 2011 just before I moved house), and have not made any contact since. All they've stated is that they've acquired the debt on the 29/08/14.

Thanks.

If you reply in writing and particularly if you admit the debt in writing the debt is not statute barred or no longer statute barred. So basically don't fill out the form. It's a particular ploy of debt collectors to get state barred debts admitted so that the debt can then be enforced.

Here is an information page from National Debtline. Try their template letter to inform Lowell that the debt is statute barred.
https://www.nationaldebtline.org/EW/factsheets/Pages/time-limits-for-recovering-debts/statute-barred-debt.aspx

However if you changed your address and did not inform the creditor it could be argued that the debt cannot be statute barred because the creditor could not contact you to arrange collection or otherwise enforce the debt.

fatbelly

Anthorn wrote: »

If you reply in writing and particularly if you admit the debt in writing the debt is not statute barred or no longer statute barred. So basically don't fill out the form. It's a particular ploy of debt collectors to get state barred debts admitted so that the debt can then be enforced.

Here is an information page from National Debtline. Try their template letter to inform Lowell that the debt is statute barred.
https://www.nationaldebtline.org/EW/factsheets/Pages/time-limits-for-recovering-debts/statute-barred-debt.aspx

However if you changed your address and did not inform the creditor it could be argued that the debt cannot be statute barred because the creditor could not contact you to arrange collection or otherwise enforce the debt.

A debt is statute barred if there is a six year period when it is not acknowledged by payment or in writing.

Once statute barred it cannot be unbarred.

When a claim is issued, the clock stops ticking.

The point where the clock initially starts ticking is called the 'cause of action' and it is often this that gets debated at court.

In the OP's case that point is maybe just 6 years ago and there has been no acknowledgement since.

If the OP does not respond to the PAP letter, court action can be started in 30 days. If they respond as I indicated (not acknowledging the debt), the creditor must first respond and provide the items requested, which will slow them down and give more chance of there being that 6-year gap. They must wait for either 30 days after the form is received or 30 days after supplying the articles requested.

It is best to reply by 'signed for' delivery. At this stage you do not complete the statement of means form as that in itself could be taken as acknowledgement,

This is National Debtline's take on it

https://www.nationaldebtline.org/EW/factsheets/Pages/pre-action-protocol-for-debt/county-court-protocol.aspx