Statue Barred Question?

Declan1992

Hi,

I recently received a letter from CRS about a payday loan debt from March 2013.

I made no payments on the debt and my last contact was 13 April 2013.

After contacting the PDL company, they never issued a default on the account. Now am I correct in thinking the debt is now statue barred?

Can they continue to report this to a CRA as an ongoing debt even though it’s over 6 years. I’m aware at this point they can’t issue a default, am I correct in assuming that?

Do I basically just tell them to take a running jump as it’s not enforceable now and it should come off my report?

Willing2Learn

What does the letter you received from CRS say?

If the account has not been defaulted, has not been acknowledged since 2013, and no repayments had been paid on the account since April 2013, then I believe the account would be statute barred. The account would still due for payment though.


If it were me, depending on what the CRS letter said, I would respond with a statute barred letter...

Use the appropriate letter from the Statute Barred thread linked below:
https://forums.moneysavingexpert.com/discussion/6027755/statute-barred-debts-and-the-limitation-act

Declan1992

The letter is just your bog standard threat that they are going to now persue legal action and apply for a CCJ rather than there normal DCA letters.

But if the debt is statue barred. I am not liable to make a payment am I not? Well let me rephrase that. They can’t force me to make a payment on a debt they can’t enforce in a court or apply for a default for?

Willing2Learn

You are correct. Once an account is Statute Barred it becomes unenforceable, though it is still due. It cannot be enforced through a court.

Just send them the letter from post #2 in the thread I linked earlier.

Declan1992

Thanks for your help.

So they can still report it to a CRA then?

Willing2Learn

I believe the account should have been automatically removed from your credit files, six years from the date of your last repayment.

Declan1992

Thanks ,

Upon speaking with the PDL company, they are under the impression they can still report it as unpaid to CRA however they agree it is statue barred

Ben8282

You have really achieved something if the PDL company have agreed it is statute barred. So you can safely ignore the DCA and bin their correspondence.
Regarding the credit report, I am confused as to how this loan is actually being reported if not defaulted. What is the status of the account? What is being reported each month?

Declan1992

A balance of £734 on an original loan of £240. Last reported January 2016.

I’ll contact the DCA tomorrow and tell them the good news

Ben8282

Declan1992 wrote: »

A balance of £734 on an original loan of £240. Last reported January 2016.

I’ll contact the DCA tomorrow and tell them the good news

Yes but what is the STATUS of the loan? active ..closed .. default ... ?

No don't contact them. Just bin and ignore all further correspondence.

Declan1992

Sorry, it’s showing closed now.

Well I would of thought I’d be better of informing them the debt is statue barred and I won’t be making payment on the debt and they can consider the matter closed and refrain from making any further correspondence