6 Years Passed - Default Disappeared - Still Paying Lender?

Andyjohns

Hi all,

Happy New Year!

This is my first post so take it easy on my.

My wife had to give up work several years ago for health reasons and we went into default with a few creditors.

We check our credit files regularly with all the major credit reference agencies (Equifax, Experian and CallCredit). We have been paying a nominal amount each month for years with a creditor as we can't afford anymore. We technically defaulted on the credit agreement over 6 years ago and the debt is no longer on my wife's credit file with any of the agencies.

My question is, is there a legal limit to how long we have to keep paying the nominal amount. It's been over 6 years in default and no longer on our credit file so just wondering if we can stop paying it. We have asked to get it written off on a few occassions but the company it is with always refuse.

Any advice would be useful.

Thanks

AndyJ

Willing2Learn

Hi AndyJ and welcome to the forum

If it were me, I would send off a CCA request to your creditor. This will mean your creditor will have to provide a copy of your original agreement and will help determine if the debt is enforceable or not.

If your creditor can provide you with the correct paperwork then the debt would be enforceable. If they cannot provide you with a copy of the agreement, then the debt would be unenforceable and you can stop paying.

Exodi

Hi Andy,

There have been a lot of similar threads to this lately. To clear up the confusion, just because the default no longer appears on your credit file, doesn't mean you magically no longer owe the money?

There is no legal limit to how long you can make payments to a nominal account but if you were to stop, depending on the value of the amount outstanding, the debtor would still be entitled to pursue the amount through the various enforcement methods (passing to debt collection agencies or the courts for application of a CCJ which would go back on your credit file).

Have you checked there is an existing valid credit agreement? If so, keep paying, you still owe the money as you agreed.

[Deleted User]

No you still need to pay it.

Just because the default is gone from your file doesn't mean you can stop - the debt is still enforceable and will be for 6 years from the date the last payment was made to it.

There is no legal limit - long story short; you still owe the money so should still be paying it.

That said, you could contact them and make an offer of full and final settlement.

Willing2Learn

!!! wrote: »

...you could contact them and make an offer of full and final settlement.

But before you make any F&F offers, send off your CCA requests first!

Andyjohns

Thanks I have never heard of a CCA request before. I will look up what it means and see if there is a template I can use. Also, it was mentioned whether I know if there is an existing valid credit agreement in place. I have the orginal credit agreement so I am assuming there is, unless there is something I am missing. Is there a way it could have become invalid over the years?

Thanks everyone for your help.

[Deleted User]

If you have a credit agreement then thats that answered then.

And again no it’s not invalidated