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  • FIRST POST
    • trevorkays
    • By trevorkays 4th Mar 18, 8:40 PM
    • 5Posts
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    trevorkays
    Where do I stans
    • #1
    • 4th Mar 18, 8:40 PM
    Where do I stans 4th Mar 18 at 8:40 PM
    Hi all

    Looking some advice, I wrote to one of the agencies to say my default was statute barred and they wrote back to me. I'm not too sure what to do. It was an old Halifax acc I had. A relative deposited money into the closed/defaulted acc (30) and they claim it was payment.

    The information they sent is below:-
    For an account to be statute barred, no acknowledgement should be made to the account by written acknowledgment or payments within the last 6 year period.

    The last payment was made to Halifax for 30.00 on 2 January 2016, this payment is considered the last acknowledgement and the limitations date is extended from this date. As the owner of the account this payment was forwarded on to us. I note that you also made regular payments to Halifax and the last payment made to them was on 15 May 2013. I can confirm therefore the account is not statute barred.
    As the account is not statute barred we reserve the right to collect on it and contact you with request to repay the outstanding balance.
    Am I snookered?
Page 1
    • trevorkays
    • By trevorkays 4th Mar 18, 8:42 PM
    • 5 Posts
    • 0 Thanks
    trevorkays
    • #2
    • 4th Mar 18, 8:42 PM
    • #2
    • 4th Mar 18, 8:42 PM
    I forgot to mention default is from June 2011.
    • BorisThomson
    • By BorisThomson 4th Mar 18, 8:51 PM
    • 1,586 Posts
    • 3,426 Thanks
    BorisThomson
    • #3
    • 4th Mar 18, 8:51 PM
    • #3
    • 4th Mar 18, 8:51 PM
    You're not snookered, you're being given the opportunity to repay what you owe. Call Halifax and make an arrangement to pay, they'll accept payments over a period of time if you cannot settle the debt at once.
    • trevorkays
    • By trevorkays 4th Mar 18, 8:53 PM
    • 5 Posts
    • 0 Thanks
    trevorkays
    • #4
    • 4th Mar 18, 8:53 PM
    • #4
    • 4th Mar 18, 8:53 PM
    The default is with Cabot so can I still contact Halifax.
    • nic_c
    • By nic_c 4th Mar 18, 8:56 PM
    • 1,525 Posts
    • 835 Thanks
    nic_c
    • #5
    • 4th Mar 18, 8:56 PM
    • #5
    • 4th Mar 18, 8:56 PM
    Irrespective of the 2016 payment, they say you made payments until 2013, so its not statute barred
    • SnowTiger
    • By SnowTiger 4th Mar 18, 11:40 PM
    • 3,301 Posts
    • 2,273 Thanks
    SnowTiger
    • #6
    • 4th Mar 18, 11:40 PM
    • #6
    • 4th Mar 18, 11:40 PM
    Hi all

    Looking some advice, I wrote to one of the agencies to say my default was statute barred and they wrote back to me. I'm not too sure what to do. It was an old Halifax acc I had. A relative deposited money into the closed/defaulted acc (30) and they claim it was payment.

    The information they sent is below:-
    For an account to be statute barred, no acknowledgement should be made to the account by written acknowledgment or payments within the last 6 year period.

    The last payment was made to Halifax for 30.00 on 2 January 2016, this payment is considered the last acknowledgement and the limitations date is extended from this date. As the owner of the account this payment was forwarded on to us. I note that you also made regular payments to Halifax and the last payment made to them was on 15 May 2013. I can confirm therefore the account is not statute barred.
    As the account is not statute barred we reserve the right to collect on it and contact you with request to repay the outstanding balance.
    Am I snookered?
    Originally posted by trevorkays
    I'm sure someone will correct me if I'm wrong: aren't defaulted accounts removed from credit files six years after the default, irrespective of whether payments were made during that period or not?

    If so, perhaps the best option to avoid paying the debt would be to stay quiet until the sixth anniversary of the default date.

    You can argue whether a third party paying money in to your account is acknowledgement of the debt later if you have to.
    • sourcrates
    • By sourcrates 5th Mar 18, 9:09 AM
    • 14,356 Posts
    • 13,541 Thanks
    sourcrates
    • #7
    • 5th Mar 18, 9:09 AM
    • #7
    • 5th Mar 18, 9:09 AM
    I'm sure someone will correct me if I'm wrong: aren't defaulted accounts removed from credit files six years after the default, irrespective of whether payments were made during that period or not?

    If so, perhaps the best option to avoid paying the debt would be to stay quiet until the sixth anniversary of the default date.

    You can argue whether a third party paying money in to your account is acknowledgement of the debt later if you have to.
    Originally posted by SnowTiger
    The OP is still liable for the debt irrespective of whether it shows on his file or not.
    Last edited by sourcrates; 05-03-2018 at 10:34 AM.
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    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
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    • nic_c
    • By nic_c 5th Mar 18, 9:33 AM
    • 1,525 Posts
    • 835 Thanks
    nic_c
    • #8
    • 5th Mar 18, 9:33 AM
    • #8
    • 5th Mar 18, 9:33 AM
    I'm sure someone will correct me if I'm wrong: aren't defaulted accounts removed from credit files six years after the default, irrespective of whether payments were made during that period or not?

    If so, perhaps the best option to avoid paying the debt would be to stay quiet until the sixth anniversary of the default date.

    You can argue whether a third party paying money in to your account is acknowledgement of the debt later if you have to.
    Originally posted by SnowTiger
    Defaulted accounts are removed from credit files after six years, but the debt doesn't suddenly go away, a common misconception. Also keeping quiet doesn't mean the creditor won't take action and they could start legal proceedings before the time is up.
    The OP is focussing on the 2016 payment, but doesn't comment on whether the payments up until 2013 were made by them. They make the debt not statute barred, irrespective of the 2016 payment. A payment into an account is a payment, and may be seen as done "on behalf of the customer". Reading the OP first post saying it was "deposited" makes it sound like a cash payment, which would be hard to prove wasn't them.

    This debt is owed and the OP is in a good position now, but that may change. I assume the "statute barred" letter was sent because the DCA just started communicating again, possibly a prelude to legal action. It clearly isn't SB and one option now is to set a repayment plan that you can easily afford. Keep refusing to pay and they may start legal proceedings - you can make a payment offer then, it will be accepted under a Judgement by Admission (CCJ). You could obviously dispute the claim at the court, but you would need to seek legal advice as to whether this 2016 payment would be seen as resetting the statute of limitations. You would also need to address the 2013 payments assuming proceedings were started before they lapsed in 2019.

    The OP does not say whether they can afford to repay, or simply hoping to have got one over on the creditors by issuing a statute barred letter.
    • SnowTiger
    • By SnowTiger 5th Mar 18, 2:25 PM
    • 3,301 Posts
    • 2,273 Thanks
    SnowTiger
    • #9
    • 5th Mar 18, 2:25 PM
    • #9
    • 5th Mar 18, 2:25 PM
    The OP is still liable for the debt irrespective of whether it shows on his file or not.
    Originally posted by sourcrates
    Defaulted accounts are removed from credit files after six years, but the debt doesn't suddenly go away, a common misconception. Also keeping quiet doesn't mean the creditor won't take action and they could start legal proceedings before the time is up.
    Originally posted by nic_c
    I wasn't suggesting the debt no longer existed.

    However, in the real world, once a debt has dropped off CRA reports and become statute barred it's unlikely to have an affect on the person who defaulted.

    The OP is focussing on the 2016 payment, but doesn't comment on whether the payments up until 2013 were made by them. They make the debt not statute barred, irrespective of the 2016 payment. A payment into an account is a payment, and may be seen as done "on behalf of the customer".
    Originally posted by nic_c
    Would a judge view a single small payment made during a five year period as acknowledgement of the debt?

    This debt is owed and the OP is in a good position now, but that may change. I assume the "statute barred" letter was sent because the DCA just started communicating again, possibly a prelude to legal action. It clearly isn't SB and one option now is to set a repayment plan that you can easily afford.
    Originally posted by nic_c
    OP has ignored the debt for five years. It's unlikely they can or want to pay it.

    Making a payment will reset the statute barred clock.
    • stehouk
    • By stehouk 5th Mar 18, 4:43 PM
    • 95 Posts
    • 34 Thanks
    stehouk
    you could move and stay off the electoral role, cut ties with previous addresses by not taking accounts with you, open a basic account, stay under the radar, ha ha ha

    just a bit of fun, but it does seem as thought they do want to avoid paying!
    Last edited by stehouk; 05-03-2018 at 4:48 PM.
    • trevorkays
    • By trevorkays 5th Mar 18, 5:28 PM
    • 5 Posts
    • 0 Thanks
    trevorkays
    To be entirely sure, if i make an offer to pay it off does it mean the statute barred option will be reset? I just am not too sure. I remember I did not make payments upto 2013 so i am not too sure if i should dispute this further, I defaulted late 2011. So im not sure where all these payments came from.
    • stehouk
    • By stehouk 5th Mar 18, 6:06 PM
    • 95 Posts
    • 34 Thanks
    stehouk
    if you acknowledge the debt is yours the statute barring starts from last contact as far as i know, so yes it resets to the date you speak to them if you make an offer, often you will be able to negotiate a discount if the debt has been sold on as they buy it at a discount themselves but try and get the original amount back.
    • PrettyKittyKat
    • By PrettyKittyKat 5th Mar 18, 6:16 PM
    • 444 Posts
    • 428 Thanks
    PrettyKittyKat
    You've already acknowledged the debt and reset the statue barred clock by writing to them about it presumably? Set up a small nominal payment so they no longer chase you and if it's not already dropped off your credit file check the default date is reported correctly then raise it still showing with the CRA.
    • Debt_suvivor
    • By Debt_suvivor 5th Mar 18, 6:21 PM
    • 32 Posts
    • 8 Thanks
    Debt_suvivor
    Default = mark on credit file for 6 years due to non payment.. once 6 years is up poof it!!!8217;s gone!
    Statute barred = cannot legally enforce debt. This goes from the default date, as long as there has been no acknowledgement of the account during that six years and also no legal action taken in that time they cannot enforce it... HOWEVER, if there is an acknowledgement during that 6 years eg payment then it resets the clock again.

    Once you have satisfied the outstanding balance that!!!8217;s it, they can!!!8217;t do anything. It!!!8217;s done!
    • stehouk
    • By stehouk 5th Mar 18, 6:24 PM
    • 95 Posts
    • 34 Thanks
    stehouk
    If they have your'e address they will chase you for it and i think you could end up with a ccj if you refuse to pay,
    • trevorkays
    • By trevorkays 6th Mar 18, 2:38 PM
    • 5 Posts
    • 0 Thanks
    trevorkays
    by initially writting to them to say its statute barred have i reset the clock? I suppose at this point i should try and negotiate some sort of repayment as long as it doesnt show up on my credit file. It doesnt actually show up on credit file as i defaulted as i initially though in late 2010/2011. Its bit confusing at the moment
    • nic_c
    • By nic_c 6th Mar 18, 8:22 PM
    • 1,525 Posts
    • 835 Thanks
    nic_c
    Once it becomes statute barred, it cannot become un-statute barred. Thus if a debt was statute barred, its still a debt just unenforceable. You could afterwards make payment, but if you stopped the debt would be still unenforceable - they could write to you on several occasions but you could write to them to inform its SB.

    One small payment can stop it being SB, and the judge will consider this sufficient. I know one case where a creditor had started proceedings and the debtor defended from declaring S.B as defense, the creditor showed there was a single payment as part of a debt management plan and the defense was struck out.
    by initially writting to them to say its statute barred have i reset the clock?
    it depends what you put in the letter. If you used one of the templates that don't acknowledge the debt, then no.
    You may want to seek legal advice as to ascertain whether a 3rd party payment would be counted - this may depend on whether you can prove it was not on your behalf and without your knowledge.
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