When the debt has been sold on, who to pay?

[Flughesy]

Re: When the debt has been sold on, who to pay?

Excuse me if this has been asked before, but how old are these debts ?

Well theres one defaulted from May 2007 for only 158 pounds. So that's due to be cleared this year in May?

Theres one for 620 and 488 which aren't as old.

Looks as if I missed the big one anyway with the time limit they give me.

[Halo_slip]

Re: When the debt has been sold on, who to pay?

Well theres one defaulted from May 2007 for only 158 pounds. So that's due to be cleared this year in May?

Theres one for 620 and 488 which aren't as old.

Looks as if I missed the big one anyway with the time limit they give me.

If I recall correctly defaulted debt becomes statue barred six years later.

So if the default occurred May 2007, it may become statute barred (SB) in May 2013 if you have made no payments or acknowledged ownership of the debt.

This means they cannot enforce it without going to court after the SB date and the debt itself should disappear from your credit file, as far as I understand it but I could be wrong.

[Deepie]

Re: When the debt has been sold on, who to pay?

What is statute barred debt?

Statute barred debt is debt which in certain circumstances becomes unenforceable in court. The piece of legislation which sets out these circumstances is the Limitations Act 1980. So when a creditor comes chasing you for an old debt you can use the following information to access whether or not your debt is time barred.
How long can a creditor chase a debt?

This is dependent on the type of debt you have. The most common form of debt which people ask about in our forum is unsecured debts eg credit cards, personal loans, store cards, catalogues, bank loans, finance company loans etc. The Limitations Act 1980 states that when the following conditions are met then the debt cannot be pursue through the courts.



The conditions are:-

• That the creditor has not taken court action against you, eg CCJ, AND
• You have not made any payments on the debt over the last 6 years,AND
• During the years, you haven't written to the creditor acknowledging that owe them money.

As you can see all three conditions must be met in order for the debt to be "time barred".

[gravytrain]

Re: When the debt has been sold on, who to pay?

I suppose it should also be noted that the rules differ in Scotland where the Prescription and Limitation (Scotland) Act 1973, Section 6 limits the timescale which a creditor can take legal action to recover their money to 5 years, provided the following conditions are met:-

There are no outstanding decrees against you, AND
No payments have been made towards the debt for the last 5 years, AND
No written communications with the creditors have taken place acknowledging the debt.

Also up there the debt is extinguished rather than just unenforceable so you must check your CRA to make sure it reflects this.