Please Help!! Confused about Statute Barred etc

needtosave1977

Hello all you wonderful people!

Apologies in advance for boring you sensless but I really appreciate any advice you may have.

(concise overview of facts)
Back in 1998/99 i had a credit card that i defaulted on (at university, head in sand, didn't keep any records, hoped it would all go away etc). More than six years went flying by without me acknowledging/making a payment on said debt.....until a company by the name of Mackenzie Hall got in contact in Oct/Nov last year. They were very rude, aggresive and basically wanted paying ASAP.

This was before I knew about the Statute of Limitations and the work of the wonderful people on MSE, so, rather stupidly I borrowed some money from my parents to put about £900 as a deposit (£5,250 was the balance) and agreed to pay £75 a month. Subsequent to that I found out about Statute Barred etc.

I rang the CCCS, CAB, Legal Aid Helpline and a free legal advice line (through work - anonymous though!) who all advised that once a debt is statute barred it remains statute barred forever....full stop, and the fact i made payments afterwards is irrelevant. So, on 19th April this year I sent a standard Statute Barred letter.

Heard nothing for 5/6 weeks until yesterday i get a phone call from M/H saying the fact i made a payment, even after the 6 year period means the debt is no longer statute barred and they will issue proceedings against me for recovery!!

Obviously this is quite worrying and I have written to them asking to not call me and only correspond in writing. Incidently I have also asked for a copy of my CCA as at no point have they provided that.

So I suppose my question to all the learned debt geniuses is how much do I have to worry????

Thanks again for all your help

GeorgeUK

The debt is not enforcable. You are not required to pay it and if they took you to court, all you would need to do is notify the court that the debt is statute barred.

They are just trying it on.

Have a read of this thread. It explain a bit about both sstatute barred and what you should do if CCA is not provided.
http://forums.moneysavingexpert.com/showthread.html?t=578486
You may also note that Weller got back money paid to DCA's, but i'm not sure that was based on any legal details - they probably just wanted her to stop harassing them.

10past6

needtosave1977 wrote: »

So my question is how much do I have to worry????

None

Send them this letter by RECORDED DELIVERY

Your address

Date

Creditor / DCA's address

Dear Sir/Madam

Ac/Ref No XXXXXXXXXXXXXXX

You have contacted us regarding the account with the above reference number, which you claim is owed by ourselves.

We would point out that under the Limitation Act 1980 Section 5 “an action founded on simple contract shall not be brought after the expiration of six years from the date on which the cause of action accrued.”

We would also point out that the OFT say under their Debt Collection Guidance on statute barred debt that “it is unfair to pursue the debt if the debtor has heard nothing from the creditor during the relevant limitation period”.

The OFT Debt Collection Guidance states further that “continuing to press for payment after a debtor has stated that they will not be paying a debt because it is statute barred could amount to harassment contrary to section 40 (1) of the Administration of Justice Act 1970”.

I refuse to negoitate with you any further, WITHOUT YOU TAKING LEAVE OF THE COURT.

We await your written confirmation that this matter is now closed and that no further contact will be made concerning the above account after that last letter.

We look forward to your reply.

Yours faithfully

ONLY INITIAL – NEVER SIGN

needtosave1977

Thank you so much for taking the time to comment. The letter I was intending to send was this:

I write further to my letter dated 19th April 2008, which you are yet to respond to. After obtaining legal advice from the CAB, CCCS and the Legal Aid Helpline I still feel correct in stating that the above debt is Statute Barred. May I also request that all further contact be in writing

With reference to the above account number, I would be grateful if you would send me a true signed copy of the original credit agreement.

I understand that under the Consumer Credit Act 1974 (Sections 77−79), I am entitled to receive a copy of my credit agreement on request. I enclose a payment of £1.00 which represents the fee payable under the Consumer Credit Act.

I understand a copy of my credit agreement should be supplied within 12 working days. The time limits, which are laid down in the Consumer Credit (Prescribed Periods for Giving Information) Regulations 1983 are clear. You must supply an executed credit agreement within 12 working days of a proper CCA request. If you fail to comply with a legitimate request the account enters a default situation and if you fail to comply after a further 30 days you commit an offence

As you will know, under the Consumer Credit Act 1974, a judge is not permitted to make any enforcement order unless the creditor can provide a true signed copy of the original credit agreement. This means that unless you can produce such an agreement, this alleged debt is not enforceable in law.

I look forward to hearing from you.

Yours faithfully

Is there anything you would change or add to that??

Once again many thanks for all your time

10past6

needtosave1977 wrote: »

Is there anything you would change or add to that??

TBH, imo, I wouldn't bother referring to the CCA, the debt is covered by this:

The Limitation Act 1980 Section 5 “an action founded on simple contract shall not be brought after the expiration of six years from the date on which the cause of action accrued.”

If they produced a CCA, you would still be referring to tha above quote.

If you send them you're letter remember to enter, WITHOUT THEM TAKING LEAVE OF THE COURT

GeorgeUK

I would send the letter from 10past6 rather than the one you propose to send. No payment is required with that one and it wouldn't matter if they produced a copy of the CCA or not.

Edit: Not sure if it may be worth mentioning that any monies you paid to them will be reclaimed unless they can prove that you owed the debt, but as i said earlier, there probably isn't anything you can do about that.