Can you get CCJ or Default twice on the same account?

bery_451

I coudnt afford to pay my overdraft account in 2006.

so I got a default on it after 3 months.


i received a letter last week saying that i will get a default or a ccj if i dont pay up.

can they put a default or a ccj again on my credit file for the same account.

this is inconvinient because a default or ccj damage your credit record for another 6 years if you know what i mean.

please advise.

fermi

They can't (or at least shouldn't) register another default on the account. If they do you can complain and have it removed.

But they can go for a CCJ if they want. But more often than not it's just a threat to intimidate you.

If they are threatening a default and a CCJ if you already have a default, then it sounds like a standard automatically generated threatogram.

bery_451

whats a standard automatically generated threatogram?

fermi

bery_451 wrote: »

whats a standard automatically generated threatogram?

Sorry.

Just a standard letter that their staff/computer send out without much really thought about it.

The ones from debt collectors usually make vague threats about legal action that the probably don't have much intention of carrying out. They are designed to scare and worry you so you pay up quickly.

The one you got had obviously not been near anyone with a braincell, since it was threatening a default when you already had one.

bery_451

fermi wrote: »

Sorry.

Just a standard letter that their staff/computer send out without much really thought about it.

The ones from debt collectors usually make vague threats about legal action that the probably don't have much intention of carrying out. They are designed to scare and worry you so you pay up quickly.

The one you got had obviously not been near anyone with a braincell, since it was threatening a default when you already had one.

thanks,

so i can get a ccj anytime whenever they feel like it.

lets say in 6 years my credit rating is back to normal because the default is cleared, then suddenly its ruined by a ccj from a debt 6 or more years ago.

so i wait another 6 years for that ccj to be removed for my credit report to be good and suddenly i got another ccj from another debt 12 or more years ago that ruins my credit report for another 6 years.

so how does 1 build his/her credit history back to normal without guarantees?

bery_451

anyone with any info?

poorandindenial

A debt cannot be legally enforced in the courts if a company has not attempted to recover it for six years: Link
Edit: so they couldn't chase you through the courts for it after six years and couldn't get a ccj against you after 12 years of silence because a ccj is court imposed.

You may be able to stop the account going to CCJ if you can come to an agreement with your bank about a repayment plan that you then stick to.

To rebuild your credit rating you can (after all of this has cleared a bit) get a crud rate credit card and use it a small amount and repay in full each month so that you can demonstrate your credit worthyness and build your 'score' in the eyes of potential lenders.

bery_451

poorandindenial wrote: »

A debt cannot be legally enforced in the courts if a company has not attempted to recover it for six years: Link
Edit: so they couldn't chase you through the courts for it after six years and couldn't get a ccj against you after 12 years of silence because a ccj is court imposed.

You may be able to stop the account going to CCJ if you can come to an agreement with your bank about a repayment plan that you then stick to.

To rebuild your credit rating you can (after all of this has cleared a bit) get a crud rate credit card and use it a small amount and repay in full each month so that you can demonstrate your credit worthyness and build your 'score' in the eyes of potential lenders.

yes, what if the company try and made attempts to recover the debt within the 6 years from the default. does that mean they can put ccj after 6 years?

bery_451

is there a clear answer for this?

utterbar

bery_451 wrote: »

yes, what if the company try and made attempts to recover the debt within the 6 years from the default. does that mean they can put ccj after 6 years?

The 6 year limit is on them issuing court proceedings, not on other methods of collection. If they hassle you by letter/phone call/post before that it doesn't stop the clock as far as the limitation period is concerned.

So basically if they send you a threatening letter a week for 6 years they'd still be barred from court action after 6 years from the default (or more realistically 6 years from the date you'd had to remedy the default by).

fermi

The 6 year period runs from the last date that you acknowledged the debt in writing or by making a payment. The date of the default is irrelevant for the purposes of the Limitation Act 1980.

Link: Factsheet | Liability for Debts and the Limitation Act