6 weeks till statute barred status

chrischillin36

Apologies that I've signed up to post this however can anyone advise on what I should do with regards to the attached letter. 

I've just come off the phone with one of the debt charity's and they've said that  theoretically a new company can take over the debt and the 6 years can start again??  


I have been waiting for this to drop off my account  not sure whether it will now, there is currently no legal action impending however I feel that these will try and push through for a ccj before 15th January, because why wouldn't they.  

EssexHebridean

I suspect they'd struggle with that timeline, to be honest. 

Can you clarify - this debt is current showing on your file with a default date of January 2016, is that correct? (one year later if you are in Scotland). 

chrischillin36

My report is saying 28th January 2016 

EssexHebridean

OK - the default date is the default date as far as I am aware - it being sold on wouldn't change that, and if it WAS sold, and they tried to apply a new default to the same debt, you could certainly challenge that and get it removed.  If it were to go to a CCJ then that would obviously appear with its own date.

I think the main relevant question is around when you last acknowledged the debt? Was it prior to that default date, or have you been in correspondence with them/made payments to it in the meantime? 

chrischillin36

Being honest, this debt has never been acknowledged. In actual fact I am unsure as to how the payday loan was approved in the first place. My credit score at that time was in double digits!! 84-96 if I remember. 

EssexHebridean

Probably because the lender won't ever have seen your "credit score" and for whatever reason there was nothing in your history that flagged anything up. Payday lenders did have notoriously low standards, in fairness. 

My gut feeling on this one is to sit tight and do nothing and wait and see what happens next, allowing for how close it's likely to be to statute barred. Hopefully Sourcrates, fatbelly or one of the others more clued up on that area will be along in a bit to give their expertise. 

Suseka97

With a default date of 28th January, they have more than 6 weeks in which to escalate this to a 'letter before action', but it would still give you the opportunity to avoid a CCJ - assuming they would move on this quickly after your 14day deadline.

I wonder if a 'prove-it' letter would be the next course of action - but hopefully @sourcrates or @fatbelly will be able to offer some thoughts.

fatbelly

It's only the issue of a court claim that stops the clock, and before that they have to send a pre-action protocol letter giving you 30 days to reply.

I would send a prove-it letter and hope they finish early for Christmas. If they do send a pre-action protocol letter we can show you how to respond.

The advice that 'a new company can take over the debt and the 6 years can start again' is complete rubbish, and shows the state of debt advice today. Who was it?

Edit : just noticed they gave you 14 days to respond at this stage - aim to get the prove -it to them just before 9 Dec

chrischillin36

hi,  it was Debt advice foundation.  I questioned what he was telling me.  I don't think he was impressed as he was quite short at the end of the conversation. 


So presumably If I don't respond to the letter in the next 9 days (I think they've short dated it on purpose) then there is a possibility that they could then start the proceedings. My maths is out as it's around 9 weeks till cut off. 

sourcrates

When was your last payment, obviously before the date of default, possibly months before, so it will be statute barred now if that is the case.

The limitation period runs from either cause of action event, the last payment date, written acknowledgement or date of default, whichever is the latter.

chrischillin36

It was a payday loan that I never paid back. 20.08.15 I took it out. I believe payment would have been due 30 days later. The original creditor shows as settled because they sold it to SSL capital. Unfortunately start date is 15.01.16 and default 28.01.16 for SSL . (edited to remove personal information).