If it's secured on the house, yes, it's still enforceable.

Talk to them about a repayment plan.

AFAIK the 6 year (five in Scotland) statute barred rule does not apply to mortgages and second mortgages. I believe they are not statute barred until 12 years gave passed, so you may need to talk to them and see what they can offer, but take professional advice first.

Zx81 - OP says it was secured on the house, HOWEVER the property got repossessed and all proceeds were used to clear the outstanding mortgage and there was nothing else left to pay anything else.

Presumably the loan would somehow have been removed from the property when it was sold and therefore would have converted to an UNsecured loan at that point?

Don't know if this would apply and don't know the answer to the OP's question but the above might be an avenue worth pursueing, particularly as no acknowledgement or payment has been made for 10+ years?

Thanks for taking the time to read and respond - I appreciate it


After initially panicing and stressing I've realised that even IF it's enforceable - they cannot get blood from a stone... I have no idea how much they would "accept" as a payment plan but I'm not going to overstretch myself again for anyone or anything so they will have to take a low monthly amount and hopefully write some of it off (fingers crossed)

That's one approach. But do you own another property now? Or a car? TV? Sofa?


Those could (ultimately) be removed, but only if they take legal action which appears not to have happened yet.

Could be worth sending them the statute barred letter and see what they come back with.

Example here https://www.nationaldebtline.org/EW/sampleletters/Pages/Time-has-run-out-to-recover-the-debt-%28sole-name%29.aspx

The debt, although no longer secured, is enforceable for a period of 12 years since you last made payment to the debt, or acknowledged it in writing.

Also Welcome have gone bust, so they may not be in a position to provide any proof, which would be good for you.

What are your circumstances, are you a homeowner again, have assets of any kind ?

If you have no significant assets, and no hope of ever repaying it, as its a large sum of money, then Robinson way may take a commercial decision and decide not to pursue the matter.

Or, there are other avenues to explore.

How much was the original loan for, more or less than 25k ?

When was your last payment to the debt ?

No I'm not a homeowner anymore and I have no real assets so Robinson Way are going to really struggle to get the money back... If I had it then I would pay it but I don't?


The last payment was in 2008 (10 years ago)



I'll just have to wait and see what they come back with



What are the "other avenues" to explore?

Since Sourcrates - he knows these things better than I do - says it's 12 years for this type of loan and that Welcome have gone bust, try sending the proveit letter instead of or as well as the statute barred letter, available here https://forums.moneysavingexpert.com/showthread.php?t=2607247

Also answer his question about how much the loan was originally for - more or less than £25k?

If the loan was for less than 25k, it will of been covered by the consumer credit act and you can ask for a copy of your credit agreement, (CCA Request) failure to comply will result in an unenforceable debt.

If over 25k that will not apply.

I have recently been contacted by a company saying they are now responsible for my motor loan with welcome finance and that I should start paying them. £12800
When the said car was signed for I was married (20 years and together 27 years total ) and stupidly enough thought that things would be paid properly and we’d be together forever etc etc ..... this was more than 15-17 years ago.
I have been divorced a short time now and I am slowly getting a life as well as a credit score etc .... but now putting myself on the map as such is raking up the past that I had no control of.
( divorced him due to unreasonable controlling behaviour )
I had no idea that this was still an issue as it was so long ago and he told me that the car had been signed over to someone else then the car sold/taken back ?? So it was all sorted.
I could’ve had correspondence over the years moving between houses but I haven’t seen any !
I wouldn’t have had and definitely don’t now have any paperwork or remember any details of dates amounts etc etc .....
I know that he wouldn’t have made a payment for well over 10-11 years if not more but in 2014 that’s now showing up on my credit report it’s saying it was discharged in court.
I don’t what this means , if I’m liable still, if I contact them will this start it all off , if I can do the thing where’s there been no contact or payment before during or after the court decision ?? I’m just stuck as to what to do for the best and hate the fact this has now come up when I’m just starting to get my life back.
Can anyone help with advice please ?
Thanks

Hi

I need some advice re secured Welcome finance loan. My wife suffered a severe stroke last year and I am now her full time carer. As a result we had to sell our house as I can no longer work and our house couldn't be adapted. I had to do a quick sale on the house due to circumstances. As far as I knew all the secured loans were cleared as we had equity in the property. After I had moved it came to light that the welcome loan was not on the deeds and was not cleared. The debt is now with Prime credit and is £20k. Thry also believed the loan was secured but I have checked the land registry when we sold and is not listed.
I now live in rented housing Association property with no assets and no possibility of returning to work.
I am stressed and anxious regarding this debt and wondered what my options are

What happened to the £20,000 equity you thought you had to clear the loan off?

Hi, at the time the solicitors said that Welcome was included and that it would be cleared. They even sent a letter to prestige for a final figure but they did not respond. As I thought it was cleared and we had to refurbish and decorate the money went on that as well as clearing other debts I had due to knowing that we wouldn't have any income from employment

I should also point out at point of sale I was going to the hospital every day for 8 hours, which was a 75 mile round trip, looking after my son, and trying to clear the house as we have massively downsized. I was reliant on the solicitors covering everything and as the loan was supposedly secured I assumed, obviously incorrectly, that it was included in the settlement figure I had been given

I'm in the exact situation...secured Loan from 2004, property repossessed, no equity, recent letter received asking for 18k but no payment ever made since 2004. I'd be keen on your update.