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sam2008
Junior Member
United Kingdom
186 Posts |
 Posted - 30 May 2008 : 17:50:51
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Please could you give me some advice on a query i have regarding an old catolouge account i had in 1998, i had a letter out of the blue the other day telling me i owe them over £700.00. the last payment and contact i had was in 2001 when i paid a payment. I had not heard any more from them and moved address in between then and now,i had truly forgotten about the catolouge. is it correct that a debt is automatically written off after six years if no contact for payments have been made?? i am in a mess anyway and can not afford any payments, i have also had a default letter from my bank yesterday regarding an overdraft which has got higher due to all the bank charges that have been put on the account monthly. i dont know where i stand with the default notice! could you tell me what that means when you recieve a default notice? also could you tell me if you make an offer of payments to creditors even if it is low £1.00 or £2.00 a month do they have to accept or not? i have no assets as i do not own my own home, i have a failed business which has left me with loads of debts in turn which has resulted in my own personel finance being affected as i have used money for the business which has left me owing on loans and credit cards, my total debt is around £25,000. but i felt really worried yesterday when i recieved the default notice as i do not know what this means? and i was shocked to open a letter with a debt from 2001, as i dont know where i stand with that! everything seems to be happening at once!! please help i just need some advice! i wake up with debts on my mind and go to bed with debts on my mind!
sam |
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WINCHESTER78
Junior Member
248 Posts |
Posted - 30 May 2008 : 20:51:48
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| Hi Sam , You are correct about after 6 years the debt can be written off.THIS ONLY APPLIES if you haven't acknowledged the debt in the 6 year period..ie making a payment.Seems as if the catologue company are trying their luck, they will know about the 6 year time .If they can get you to acknowledge the debt today the 6year clock starts again!!The offical term is 'Statued Barred'..whatever you do deny all knowledge of the debt!Write them a simple letter for now denying you owe them money , send by recorded delivery.If this becomes an issue come back here! |
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sam2008
Junior Member
United Kingdom
186 Posts |
Posted - 30 May 2008 : 21:06:58
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Thankyou winchester for your reply!! i was not sure how i stood with this but i feel alot better now! i have not heard anything or had any contact for over six years! so that should be one creditor i will not have to worry about!! thankyou!! i will write them a letter.
sam |
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JulianDonnelly
Junior Member
United Kingdom
325 Posts |
Posted - 31 May 2008 : 12:29:29
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Hi Sam,
You will find that the debt has been sold on to a debt collection company and they will be the ones trying on their luck.
Winchester is correct the debt is written off at the end of the six year term if no contact or payments have been made during this time scale.
As far as the default notice is concerned this is the document the bank issue you with when you have breached the terms of the original agreement it does not necessarily mean they will take further action at this point, but it is likely they will instruct a Debt Collection company to start pursuing the debt on their behalf.
I would send them a letter explaining your position and making an offer of payment until your circumstances improve there are some great template letters on our sister site www.iva.co.uk.
With your level of debt have you considered a debt management plan as this would take your disposable income and be split amongst all your creditors with you paying one payment per month to the debt management company.
Julian Donnelly
Spokesperson for www.Bankruptcyhelp.org.uk |
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sam2008
Junior Member
United Kingdom
186 Posts |
Posted - 31 May 2008 : 12:57:20
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Thank you julian for your reply! it was from a debt collection agency i recieved the letter about the catolouge debt from well over six years ago! i was not certain how i stood with it! but yet again this site has helped me with advice!! thankyou!! I am going to look up the template letters today and get writting to the bank! thankyou! and i think i may look for debt management help!! as its awful when things start getting out of control, everything seems to be happening all together! but at least i know if i need any advice i know i can ask here!! thankyou!!!!
sam |
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JulianDonnelly
Junior Member
United Kingdom
325 Posts |
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debts from over six years ago!!
