Debts over 6 years old

[cresponi3]

i have been sent a sttutory demand under section 268(1)(a)of the insolvency act 1986.
�2600 debt is over 6 years old. Do i have to pay?

[Ethel]

When did you last have contact with the lender?

Have you moved house and not informed the lender?

[DaisyMae]

The six years dates from the last contact with the lender - so if he has asked for his money at regular intervals during that time then you are obliged to pay up I'm afraid.

[cresponi3]

Over 6 years ago

[Ethel]

You haven't answered the vital question.

Have you moved house and failed to inform the lender?

[Eve]

The statute-barred rule comes into play from

in simple contracts, 6 years
in contracts under seal, 12 years.

when you last acknowledged the debt in writing, or made a payment towards it.

Was that over 6 years ago?

[Ethel]

Jenna, if he has moved house and failed to inform the lender, that does not apply

[Barmaid]

I agree with Ethel - if cresponi has moved and not informed the lender s32(1)(b) (I think) Limitation Act means that the 6 year rule will not apply.

Also, it depends on what sort of debt it is - if it is a cumulative debt which has kept accrueing (as in the old type assumptit cases) limitation may not apply in any event.

May be worth taking legal advice - the test is not "contact" with the creditor, the test is "acknowledgement" of the debt.

[kempie]

As per the notes on the form:

If you dispute the demand in whole or in part you should:
� contact the individual (or one of the individuals) named in part B immediately

If you consider that you have grounds to have this demand set aside or if you do not quickly receive a satisfactory written reply from the individual named in part B whom you have contacted you should apply within 18 days from the date of service of this demand on you to the appropriate court shown in part A to have the demand set aside.

Any application to set aside the demand (Form 6.4 in Schedule 4 to the Insolvency Rules 1986) should be made within 18 days from the date of service upon you and be supported by an affidavit (Form 6.5 in Schedule 4 to those Rules) stating the grounds on which the demand should
be set aside. The forms may be obtained from the appropriate court when you attend to make the application.

Remember! � From the date of service on you of this document
(a) you have only 18 days to apply to the court to have the demand set aside, and
(b) you have only 21 days before the creditor may present a bankruptcy petition

[Eve]

This is a good thread for you to read...

These may help with some types of debt...

http://www.insolvencyhelpline.co.uk/debt_facts heets/liability_for_debts_and_the_limitation_a ct.php

http://www.payplan.com/debt-library/joint-and- several-liability-the-limitation-act-1980.php

[keithlbw]

If you have not acknowledged this debt or paid anything off it in the past six years (five in Scotland) then it is almost certainly "STATUTE BARRED".
This does not mean that the debt simply goes away but it cannot be legaly enforced.
Check this link out for full details --http://www.nationaldebtline.co.uk/
Give them a ring they are really helpful and not judgemental.

[Ethel]

keith - that is not true if he has moved house and not informed the loan company of his new address.

[keithlbw]

Ethel --- It is true-- who is to say he didn't inform them six years ago.
They CANNOT prove he did not send a letter and he does NOT need to prove he did .

[redcrx]

all this statute barred stuff aside, if you owe the money then really you ought to pay it!

People are always looking for way to not pay what they owe

[Oneeyedvic]

Ethel --- It is true-- who is to say he didn't inform them six years ago.
They CANNOT prove he did not send a letter and he does NOT need to prove he did .

Ah, good old fashion Fraud!