Help???

bambooman552

I wonder if you can help me.

My wife had financial difficulties about 14 years ago, and defaulted on loan and store cards.

No payments were made due to financial hardship.

Since that date she hasn't worked and we moved address 13 years ago.

She still receives sporadic letters (once every 6 months approx) from different debt collection agencies,

however no-one has attended our address or telephoned her.

She is now looking to seek work or become self employed, but is concerned that a credit check will dig

up her past and cause difficulties.

Can you advise me on the best way forward?

[Deleted User]

Do any of the accounts appear on her three files?  If they all defaulted more than 6 years ago, they won't show, unless a CCJ was obtained for any in the last 6 years.

MovingForwards

Follow the above first.
If the answer is no she can send them all a letter refuting their requests as they are statute barred.
@sourcrates will be able to provide a link for the letter and you may want to ask him to move this thread to the debt free wannabe board where the members assist without judgement.

sourcrates

Hi,

Please Google "Limitation Act 1980" any simple contract debt not paid or acknowledged in writing for any period of 6 years, or for 6 years since date of default, will be statute barred under the above act.

Defaulted debts will drop off your credit file after a period of 6 years regardless of what you do, or where you are in the UK.

What does this mean in practice ?

In England & Wales, the creditor cannot take you to court to force you to pay, they can ask you to pay, they can still contact you about payment, but cannot use the courts to enforce their rights.

In Scotland, the debt is extinguished after 5 years, it no longer exists, and it is is illegal for the creditor to chase payment or take money towards this debt.

What can I do now ?

National Debtline provide a good template letter to send to creditors in England & Wales, it can be found here -

https://www.nationaldebtline.org/sample-letters/time-has-run-out-recover-debt-ew/

If you live in Scotland, please refer to the National Debtline (Scotland) website.

elsien

What jobs is she looking for?
 I’ve never been asked for a credit check for any of my roles. If she’s not in financial services or somewhere that needs a security clearance it’s unlikely to be an issue. 

sourcrates

MovingForwards said:

Follow the above first.
If the answer is no she can send them all a letter refuting their requests as they are statute barred.
@sourcrates will be able to provide a link for the letter and you may want to ask him to move this thread to the debt free wannabe board where the members assist without judgement.

Moved to DFW.