If its been four or five years since you stopped making payments to a debt and you haven’t had any phone calls or letters for a long while, you may be hoping your debt has got lost or the debt collector has forgotten about it.
This article looks at what is likely to happen as debt collectors are taking more people to court for CCJs than they used to. There are fewer cases right at the moment because of Coronovirus but this is expected to increase later in 2020.
If you have been making payments, even very small ones, to an old debt this article isn’t relevant for you – instead read Should I keep paying an old debt?
Mr H has a typical situation:
I stopped paying a loan in 2015 when I lost my job. I have a Default on my credit file for June 2015. The bank sold it to a debt collector after a couple of years. But I was never contacted by the debt collector. I know in 2021 it will fall off my credit history altogether.
Do you think there is a chance after 5 years of a Debt Collector contacting me this year or next year? What is the best thing for me to do?
Becoming “statute barred”
When a debt is statute barred, the creditor won’t be able to get a County Court Judgment (CCJ) for the debt. In general a debt becomes statute barred six years after you missed a payment if the creditor had the right to start court action at that point. But if you made any payments during that six year period, the 6 years would start again.
I’ve written another post that looks in details at questions people ask about statute barred debt because it can be complicated for different types of debt.
Mr H hasn’t been making any payments. But if a debt collector gets in contact with him before this six-year period is up, they can still take him to court for the debt and he would get a CCJ.
It’s natural for Mr H to think that after five years he has probably been forgotten… but it’s common for people to be contacted by a debt collector with only a few months left before that statute barred point.
If you are contacted, can you ignore the letters?
Another reader wrote
I have just received a letter from a debt collector threatening court action. My debt will be statute barred in December, only 6 weeks away, surely I can tough it out until then? It must take a few weeks to get a CCJ?
It does take a few weeks to get a CCJ – indeed it will be months if you defend the case. But debt collector only has to start court action before the statute barred point, not complete the case before then.
Also you have to be absolutely sure your debt will be statute barred. This is especially important now as a 2019 court case has made it more difficult for some loans and credit cards to become statute barred.
If you ignore the letters there is a chance the debt collector won’t go to court. This probably depends on how certain the debt collector is that you are the debtor.
But in many cases they will go to court if you don’t respond to them.
In the first quarter of 2019, there were more than 320,000 CCJs. A lot more than there were a few years ago.
And debt collectors are taking more people to court about small debts than they used to. So don’t think “it’s only £230, they won’t go to court for that” – because they might!
So ignoring letters isn’t a good idea because you could end up with a CCJ.
If you get one headed Letter Before Action (or sometimes Letter Before Claim or Letter Before Court), then this is your last chance to make a monthly agreement to pay the debt and not get a CCJ.
It is also the point at which you can ask for more information about the debt – sometimes the debt collector doesn’t have the right documentation to get a CCJ! For some debts the creditor has to be able to produce the CCA agreement for the debt and if they can’t the debt is unenforceable and they should not go to court at all.
Read How to reply to a letter before action which suggests how to complete the Reply Form that you have been sent.
What happens to your credit file
When a default date has been added to a debt on your credit file, the whole debt will disappear after six years. This is going to happen whatever you – or a debt collector – does.
If the debt collector suddenly springs into life you are likely to see them add the debt to your credit record under their name with the same default date as the original record does. If the debt collector “makes a mistake” with this and uses a later date, you should get the default date corrected.
But if you get a CCJ, this is then added to your credit record and will remain for another six years. A CCJ is worse for your credit score than a default is.
So what is the best thing to do?
That depends on your financial situation. Here are a few cases:
Much improved, hoping to get a mortgage
This old debt needs to be sorted, the last thing you want if you are making a mortgage application is the possibility of getting a CCJ. If you want to get a mortgage soon, whilst the old default is still on your file, I suggest you contact the debt collector yourself and pay the debt in full. If you won’t be applying until afterwards, then have a go at getting a Full and Final Settlement offer.
OK, could start clearing this debt
I suggest you work out how much you could pay each month and start saving this amount up in a separate account, where you won’t be tempted to dip into it. If the debt collector contacts you, you then have an amount you could offer in a full and final settlement. If time goes on, the debt drops off your credit file and you are sure it is well over six years since you made a payment, then read up about statute barring. At some point you will feel comfortable to use the little nest egg you have saved for something else.
Not good, could only afford a token monthly payment
In this case there isn’t anything sensible you can do now except wait. If the debt collector does contact you, don’t ignore the letter but offer a token payment and give details of your income and expenditure, showing why you can’t afford any more.
Dreadful, lots of other problem debts as well
You need to look at your whole situation, not just firefight individual debts. Although this particular old debt could potentially disappear, it’s best to assume that it won’t. Have a look at this overview of possible debt options then consider talking to StepChange about your options.
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Sam says
Hi Sara,
In late 2014 I lived in a shared house with tenants who dodged paying the last £50 bill before moving out. We had a joint contract. A few debt agencies + 5 years later I have not made any contact with anyone regarding this debt. I doubt any of the previous tenants have as well.
Fast forward to 12/2019, my British Gas account was transferred to Lowell. British Gas wrote saying ‘this letter is formal notice of assignment of your debt to Lowell … we’ve closed your British Gas account … Lowell is now the Data controller’.
Shortly after this, Lowell wrote ‘Your British Gas account was sold to Lowell in 12/2019 … Please call us to talk about paying your account … Where appropriate, as part of the transfer, Lowell will take over the REPORTING of information against your credit file’.
British Gas never registered a default on any of the three CRAs (which is odd).
Given that I – and the other joint tenants – have not made any contact/payment to British Gas or Lowell, can they still register a default on my credit file even after 5 years? More importantly, can they threaten with a CCJ if there is no default for the account beforehand?
Thanks in advance!
Sara (Debt Camel) says
You may know this but in case you don’t: If you were sharing a house, then you are probably jointly and severally liable to pay this bill. The fact the other tenants dodged it doesn’t mean you are not liable.
British Gas’s credit reporting isn’t reliable.
If a default is added it should be back a few years.
Defaults on a credit record have NOTHING to do with taking you to court for a CCJ. Anyone you owe money to can take you to court for a CCJ. A friend you owe money to can.
For £50 you agree is owed, is this worth the hassle?
Sam says
Really appreciate the quick reply Sara.
Yes, we are jointly and severally responsible. I’m a bit confused how a default isn’t connected with taking me to court. When I read Citizensadvice’s topic it suggests there are three steps that must always be followed (https://www.citizensadvice.org.uk/debt-and-money/action-your-creditor-can-take/if-youre-being-taken-to-court-for-debt/ )
“If your agreement is covered by the Consumer Credit Act, your creditor must follow all 3 steps of the process before taking you to court for debt. Your creditor must send you a:
1. default notice
2. letter of claim
3. claim pack
Am I in the wrong here (I probably am xD)?
And what do you mean that British Gas’ credit reporting isn’t reliable? Surely if they were meant to register a default and did not (or delayed it), then they and/or Lowell couldn’t just backdate it to a random date? If they wanted to do this it would have to be backdated within 6 months of last paymebt, right?
Thanks again in advance.
Sara (Debt Camel) says
a) this debt is a utility bill, it is not a debt that is covered by a CCA agreement
b) if it was a CCA agreement (which it isn’t) then the creditor has to send a Default Notice. This is a letter in a set format. But it, confusingly, has nothing to do with a default being added to your credit record.
The date of the default will relate to the date of the bill, not your last payment which settled the previous bill.
debs666 says
hi sara , looking for a bit advice , ive had a letter from hmrc to say they have contacted my employer to have money taken off my wages for a £2213 debt , i had no clue what this debt was so phoned them and they said it was an over payment of working tax credits in 2011 ,ive not claimed wtc in a long time and dont understand how or when i could of had an overpayment without knowing about this , the person i spoke to couldnt really say much more than that as it was soo long ago , can this be upheld or can i refuse to pay it as ive never had any communication before now , ive wrote to them and ask if all details of payments and claims can be sent out to me , thanks
Sara (Debt Camel) says
Can you go to your Citizens Advice for help with this? They will have seen this before :(
debs666 says
thanks for replying, i will make an appointment
Nat says
Hi Sara,
A bit of advice, an apologies as I know this is probably something you’ve got before and something I’ve let myself get out of control. Many years ago I racked up a bad debt with Capital One after getting very ill and losing a job, and defaulted on the payment. I’m now trying to get back on my feet again, and recently bit the bullet and checked my credit report. I defaulted back in August 2014, and I haven’t heard from them since, my address is up to date with everyone so I assume they would be able to find me. After reading your post I’m a bit petrified that they’ll just serve me a CCJ now as it comes up to the Stature Barred cut off, which I definitely couldn’t pay off and that would ruin me for the future. Should I reach out to them and try and find a way to pay it off in instalments, and would that wipe the debt off my credit score after the default date in August 2020 or reset it for another six years? Hope that’s clear, I’m trying really hard to mend my credit and I think this is the thing that’s ruining it.
Sara (Debt Camel) says
Well… first are you sure Capital One hasn’t sold your debt? because they normally would with old defaults? Have you looked at your credit record with all three credit reference agencies (see https://debtcamel.co.uk/best-way-to-check-credit-score/), is the Cap One debt marked as having an open balance? Or satisfied? And are they any debts with debt collectors you didn’t know about for what looks like roughly the same amount?
Lenders such as capital One almost never go to court for a CCJ. Very few lenders, mostly guarantor lenders like Amigo, actually take a customer to court for a consumer debts, not a large business loan.
Nat says
Hi Sara, thank you for your swift reply. On my credit report it just says that I have an open account with Capital One, with the amount, and the default date as August 2014 and then a series of defaults since that date. There isn’t any other company with the amount or an amount similar on my file either, just them. I’ve checked this against two other credit reports too (ClearScore, Credit Karma, TotallyMoney).
Sara (Debt Camel) says
So TotallyMoney reports on TransUnion data, just the same as Credit Karma. I would expect them to show the same. It’s not worth your time looking at both of them.
You haven’t yet checked Experian data – use MSE Credit Club to do this. It may well be the same, but why cross your fingers when you can check and make sure?
Nat says
Hi Sara, just checked MSE Credit Club (thanks for this, I had no idea!). It says ‘Default/Ended’ and Account Settled, and a ‘Gone Away’ status. There’s no other information and no other place where it has been transferred or another company with the balance. Is this anything to worry about?
Sara (Debt Camel) says
ok! I suggest you contact Capital One and ask who they sold the ALLEDGED debt to.
Gina says
Hi looking for some advice please.
I got a CCJ issued against me in October 2014. I tried to contact the debt collection agencies that obtained the order to set up a payment method to be told they had sold the debt after the order and the new debt collector would be in contact with me to arrange payment. Ive not recieved anything since so as was unsure what to do just waited on them contacting me.
Today I’ve recieved a letter from Arrow global saying the are sending the debt to resolvecall and await contact from them. I don’t understand why after so long when the CCJ was due to come off in 9 months they have decided to contact me. If I now set up a payment plan with Resolvecall (if and when they make contact) will it restart the time this will stay on my credit file?
Sara (Debt Camel) says
No this will drop off after 6 years from the date of the CCJ.
Elaine says
Hi, just looking for some advice please. I got refused a job due to my credit report in February 2020 and I noticed on my credit report a default from Npower back in February 2017. I called Npower and they said it was debt from 2009-2012 amounting to £1300. I remember in 2012 I got a prepayment meter installed to help pay for money outstanding but I don’t agree with the amount they say that i owed. As I only just recently found this out I requested a copy of my Sars report but was advised that they can only go back to when the meter was installed, I said but the debt in query is relating to 2009-2012 which you’ve added as collection in to my meter and I’m disputing this amount. I was advised they don’t have any information relating to this time as they only keep records for 6 years. She said they could take it to deadlock and before she done this what would I like to happen, I said I wanted the default of my cf and she said she was surprised it had happened as they had only sent out a final bill with no further correspondence. She advised she would pass it on to the relevant department and get back to me with regards on the default, I also said that I still need the information relating to the original debt but said we would discuss this next week. Really don’t know what to do now, any help would be appreciated thanks.
Sara (Debt Camel) says
when was the final bill for this debt? are you still living in that property?
Elaine says
I’m not living there but my daughter still lives there.
They said I’d left the property with £600 still in debt. That was 4years ago in March.
Sara (Debt Camel) says
OK, so when you say “in 2012 I got a prepayment meter installed to help pay for money outstanding but I don’t agree with the amount they say that I owed.” do you mean that in 20112 you didn’t agree with the amount owed?
Or that you agreed at that point but it was less than the £1300 they are now saying it was?
Elaine says
At the time I didn’t agree in 2012 and was told it would be rectified and I assumed that it was done automatically that’s why I thought my debt would have cleared from the prepayment meter but was left with £600 in debt, that’s why I was wanting a sar to confirm that I wasn’t due that amount.
Sara (Debt Camel) says
Do you have any record (letter? email?) of having said the amount in 2012 was wrong?
It is a shame you did not follow this up at the time.
Elaine says
Hi, Unfortunately I don’t. So it’s pretty much there word against mines now, just don’t understand why they wouldn’t keep any records of the debt. Thanks sara
Victoria says
Hi, I hope someone can offer me advice.
I have been in the process of paying off debt which was ran up when I was on the bread line but in a better position now.
Currently dealing with Lowell. They confirmed the amounts and what the original balance was for which I had to ask for as I have had no contact from them at all for years. I only knew because I went with my credit report. I paid one off with a full and final settlement and have another 2 on a payment plan.
However I received 2 letters last night saying they “forgot” to send out the Formal Letter of Assignment when they purchased the debt. Does this change my position at all? Or will I still need to pay? I do not dispute I owe the £ but now thinking they havn’t followed process.
Thank you in advance.
Sara (Debt Camel) says
How old are these debts? How long has it been since you made a payment? what sort of debts were they?
victoria says
Hi Sara.
The debt for the full and final was a credit card. I made a payment on this on the 25th Feb 2020. It was opened in Aug 2015 and defaulted Oct 2016 – I hadn’t paid anything on it until last week between these dates.
The 2 I have set a payment plan for is for British Gas. My first payment for these isn’t coming out until 25th March 2020. This was opened in Sept 2013 and defaulted in Aug 2015. Havn’t paid anything on this at all until the end of this month.
Sara (Debt Camel) says
OK, so those debts are not “statute barred” – you have to have not paid them for at least 6 years for that to be possible. That was why I was asking.
Setting up a payment plan is a good idea for these BG debts (unless you can offer a F&F settlement to them?) It doesn’t really matter they forgot to send you the letter of assignment.
victoria says
Great Thank you Sara.
I will just continue to go with the plan I have.
I can afford a Full and Final next month….I might contact them to see if they will accept this over the payment plan.
Thank you for your help! :)
P says
So… I have a debt that in August 2020 will be 6 years since the date of the default (Aug 2013)).
It’s just dropped off my credit file in the last couple of days so I’m expecting a letter (having read this post).
Am I correct in thinking that whether I settle the debt in full or make an agreement to pay off the debt in instalments, even if it is a token monthly payment, it’s not going to matter either way in terms of my credit rating because the debt will drop off in 6 months. The only problem would be if they decided to go for a CCJ, which would be added to my credit file.
In essence, unless there is a possibility of a CCJ, there’s no point paying it off in full in the hope of improving my credit rating?
Sara (Debt Camel) says
“the date of the default (Aug 2013)).”
was this the date on a Default Notice that you were sent?
E says
Hi I hope you can offer me some much needed advice. I had a debt with welcome finance in 2007. A CCJ was issued that expired and came off my credit file in 2015. However the debt was passed to various debt agencies over the years, all of which I ignored. Now Robinson way have sent a company called resolveCall to my door who left a note to contact them. Is this debt statute barred? I don’t know what to do or where I stand.
Sara (Debt Camel) says
CCJs never become statute barred.
But the good news is that if a creditor wants to enforce them (eg with bailiffs) after 6 years of you not paying anything, they have to apply to court for permission (see this fact sheet https://www.nationaldebtline.org/EW/factsheets/Pages/time-limits-for-recovering-debts/statute-barred-debt.aspx). And the courts will not often do that…
So if you are told that the debt is still legal, not statute barred and you need to make an arrangement o pay, I suggest you push back with “National Debtline says that because you have not tried to enforce the CCJ within 6 years, you have to go back to court to get permission to do this.”
Kasam ali says
Hi my friend was in violent relationship – the guy opened a few payday Loans on her name after 4 years we found out what can we do to get them removed or what is the best action ?
Sara (Debt Camel) says
Were these opened 4 years ago and she has only just found out? Or have they now been opened after they split up 4 years ago?
Kasam ali says
She only just found out but they split up 2/3 year ago ? One is with wonga and payday express this caused defaults on credit scores also he took two mobiles out on EE on her name which have not been paid all so have a default
Sara (Debt Camel) says
did he have access to her bank account?
Kasam says
Yeah he did – she no choice he controlled everything but what will best way to go by it ?
Sara (Debt Camel) says
Did she ever report him to the police at the time or soon after she left? If not, it is may be very hard to convince the creditors that she didn’t know about these debts.
Sophia says
Hi, I hope you can help.
I have a default on my file that should become statute barred on 6th November 2020. (This is 6 years after date of default).
I am in a position where I am preparing to apply for a mortgage and also in the position where I can pay the debt in full (it’s £431).
I have two issues though…
1. The debt is registered at an old address who does not have my forwarding address. (This means I have no idea what contact they have attempted to make)
2. My biggest question is… If I contact them now and make payment in full. Would that payment still be reflected on my file 6 years from now or would the whole account still drop off on 6th November 2020?
I just really want to avoid a ccj and also really want this off my file this year.
I hope my question makes sense.
Thanks!
Sara (Debt Camel) says
If there is a default on your credit record, it will drop off after 6 years. Whether you pay it ot not. But paying it now will stop the debt collector going for a CCJ over the next few months.
Sophia says
Hi Sara,
Thanks so much for your swift response. Super helpful! I will get that paid then.
Thank you!
Roger says
I had a series of defaults from around 6 years ago. Over the last couple (and next couple) of months they have dropped/will drop off, then I will have a default free credit report.
However, one of the debts was sold after a couple of years to Link. On Experian and Equifax they added new accounts with the original default dates, so I anticipate these dropping off next month.
With Transunion they have incorrectly added a new account with a new default date when they bought the account (several years after the default), therefore, it won’t automatically drop off for several years.
I’ve not had any contact with them for many years, so I have been waiting for the Experian and Equifax defaults to go, before then tackling getting them to change the Transunion one.
What is the best way to approach this?
Amy says
Hi there,
I’m wondering if you can give me some advice. I do not currently live in the UK, but I still have 2 credit card debts which I have been paying since I left. Unfortunately, with everything that has happened over the last few months, I have lost my work and had to spend all my savings on an emergency operation I had in January.
Technically, I am still a resident in the UK (I do not have residency anywhere else), but my cards are registered at my mum and dad’s address. I know I cannot keep up on payments, but I’m also not planning on coming back to the UK.
After reading various articles, I think I’m going to stop paying now and see if I can settle with a lump sum. My question is though if my parents can get implicated, either with bad credit or anything ccj related.
Thanks in advance!
Sara (Debt Camel) says
Your parents can not be affected by your bad credit even if the cards are registered at their address.
In theory they could get a bailiff coming round, but this would be after a very long while. First the credit card company would realise you had stopped paying, send puzzled then cross letters, default you, after a while (usually at least a year0 they may sell the debt to a debt collector who would then try to get in contact. It takes a long while for a debt collector to decide to go to court for a CCj, that takes a few months. bailiffs can’t be sent until after there is a CCJ.
If bailiffs do turn up, your parents just say you haven’t lived there for years. Bailiffs have no right of entry.
Edward says
Given the current situation, yu could well be in a much more powerful situation than may appear. You could negotiate this with the card provider. Firstly write to the service address, with copy to the e-mail address (don’t call). Explain the circumstances, and be clear that it is the recent job loss that removes any chance of continued, even minimum payment.
They will use every tool available, payment holidays, interest rate adjustment and even write-off of charges. At some point they will accept a repayment plan that writes off the debt at say 20% to 30% of value; this is much (much) higher than any debt could be sold for recovery.
The important point is to stay in touch, and to stress in the first letter that any further payment is now impossible due to circumstances beyond your control. Your UK credit history will be disrupted, and were you to return will have to be rebuilt based on your overseas credit rating. My guess is that you should do all you can to protect that.
Naz says
Hi there,
I have a debt from Aug 2019 for a car loan for £4141 I’ve only recently been contacted to say the debt has been sold to Debt Managers Services Ltd and i can settle with a full and final settlement of £3000. I don’t have that kind of money and i know from my credit report it will drop off in Aug 2020 (only 2 months away). If i put a payment plan in place would this restart the date and show as a new credit or shall i ignore and hope for the best? I’m stressing they might send a CCJ if i don’t respond by the end of june as they’ve highlighted. I’ve asked them for a copy of the credit agreement in the meantime. What do you suggest i do?
Sara (Debt Camel) says
If i put a payment plan in place would this restart the date and show as a new credit
It would restart the statute barred clock. But you may already have done that by asking for the CCA…
It will NOT show up as a new credit on your credit record.
Naz says
Thanks for your reply!
Oh no. I was recommended to do send the letter by a debt advisor :/ so does that mean the debt will stay on my file for another 6 years? Or will it disappear off my file in August and they’ll still be able to apply for a CCJ if it’s not statue barred?
Sara (Debt Camel) says
You may be OK, it depends on how the CCA request letter was worded.
This debt is going to drop off your record whatever you do. Ignore it, pay in full, pay partially, set up a repayment plan for £1 a month or £200 a month. It will go.
But a debt dropping off your credit record has nothing to do with whether it is statute barred, talk to National Debtline on 0808 808 4000 about this debt and the CCA request you sent to them.
Of course if they can’t produce the CCA, then you can ignore the debt as they then can’t go to court. I have no idea how likely that is.
Carol W says
Hey there,
I’ve 2 utility debts: British Gas and Severn Trent (water). Last bill from BG was October 2014 and last bill from ST was February 2015. After checking all 3 CRAs I have: no registered default from BG but my debt has been transferred to a DCA (I know this from letters); registered default from ST on 2/2015 for £300. However, Experian shows another default entry for ST on 01/2016 for £0.
1. Do I have two defaults from ST?
2. Will they go away from my credit report after 6 years?
3. If I decide to pay the DCA my debt would that result in a default being added to my credit report on the day that I decide to pay (because I’m acknowledging it)?
Thanks a bunch Sara :)
Sara (Debt Camel) says
Does Experian show “both” ST defaults or just one?
All defaulted debts on a credit record drop off after 6 years.
BG’s credit reporting is odd and erratic. If you pay it and it isn’t on your credit record, it shouldn’t just appear. If it does, you can argue it should have been defaulted in 2015.
Carol W says
Blimey, I totally confused myself. Experian only shows one ST default – nice catch Sara!
The first entry for this debt is 02/2015 for £300 (Red ! – ‘Account is defaulted’).
I have the same entry for £300 for the next three months.
After that I have the next 7 months with no entries for £0 (Blue ? – ‘no information’).
And finally, I have the last entry on 01/2016 for £0 (Red ! – ‘Account is in default’).
Am I correct to think the latest update date of 01/2016 would be used when this defaulted debt drops from my credit report? I haven’t contacted anyone about this debt and haven’t acknowledged it, so I don’t know why it was updated in 2016. The last bill was issued on 02/2015.
Sara (Debt Camel) says
what report are you looking at?
Carol W says
Experian report? Sorry if my explanation wasn’t very clear. When they gave me the credit report copy they also include a small handy manual/legends leaflet. In the leaflet they explain what the exclamation and question mark mean; also next to every month they include a short explanation of what has been reported (hence the ? meaning ‘no information’ and ! meaning ‘account in default’).
Sara (Debt Camel) says
so is there a symbol for “missed payment”
Carol W says
I’ve uploaded my online Experian credit report’s defaulted account. I apologize if I haven’t explained very well beforehand. Please have a look here https://ibb.co/82qJ3cq and here https://ibb.co/YPjXpM2 All the info is on the pictures (except personal of course).
Sara (Debt Camel) says
So that report may look pretty but it’s lacking in an important detail – what the default date is – that is an actual day dd/mm/yy.
I suggest you ask for a copy of your free Experian statutory report – not nearly as pretty but it has all the data. See https://www.experian.co.uk/consumer/statutory-report.html#section-three-hp.
Also if you are paying for this Experian report, stop! You can get all the info for free, see https://debtcamel.co.uk/best-way-to-check-credit-score/
Carol W says
Hi Sara and thanks for the suggestions, I appreciate it.
I’ve actually ordered my free statutory Experian credit report a few months ago as you suggested. Are you ready to hear the crazy part? I have no defaults on my credit report from Experian :D
The images I supplied are from MSE’s free Credit Club which, as you know, uses data from Experian. There is a discrepancy between the two because as I mentioned, I DO have a defaulted account from ST. It’s really weird that it is not shown on my actual report from Experian but rather on the one from MSECC. You’d think it would be the other way around (i.e. Experian showing the defaulted account and MSE omitting it).
Do you know what the reason might be? Everything else seems to be the same and matches from both reports.
Sara (Debt Camel) says
Is the MSE CC report after the Experian statutory report?
Carol W says
No, it’s before it. I took a screenshot of the MSE CC on 23/01/2020, then requested and received my statutory report from Experian on 17/02/2020.
Sara (Debt Camel) says
then I suggest you get new reports and see if the problem persists. If it does, ask MSE CC to explain what is happening.
Thomas says
Hi Sara,
I have a Hire Purchase debt that defaulted in April 2019.
I have not heard anything from the company the agreement is with or a Debt Collection. I would like to go about paying for my Hire Purchase agreement again as before.
Is this still possible? Or will I have a chance to pay a Debt Collector in installments before a CCJ?
Sara (Debt Camel) says
has the debt been sold to the debt collector or are they just collecting on behalf of the finance company? Who was the original lender? That is a very long while for a HP lender to be silent.
Thomas says
Sarah,
To my knowledge this has not been sold to the debt collector. The original lender was Brighthouse / Caversham finance.
I had a direct debit setup with them Since i started the HP in June 2018 & was paying fine. I had 1 direct debit bounce due to a new job (Change of payday) in Feb 2019. They never reinstated the Direct Debit nor did they contact me to reinstate it or inform me that it had bounced. I only noticed it had bounced in April 2019.
They have not made any contact with me what-so-ever for payment or to setup a new agreement.
Sara (Debt Camel) says
how is this showing on your credit record at the moment?
Thomas says
It is showing as Defaulted since March 2019
Sara (Debt Camel) says
BrightHouse is now in administration – that may make it difficult to get complaints resolved. But if you phone them up I would expect they will be happy toset up a new DD for you
If your loan is sold you can come to an agreement with a debt collector.
But was this your first loan from them? Were the repayments difficult to manage?
Thomas says
Good morning Sara,
Okay thank you. Ill see what I can do by calling them.
Yes this was my first loan and yes, this was rather difficult to manage
Paul says
i have debts from 2009.
i have moved address and have had no correspondence at my new address.
Last year i searched for ccj online and found one from 2014 but repeated the search this year and it came back no records found.
I want to know what my next steps should be.
Do i send statute barred letters to the creditors?
Can i send the statute barred letters using a P,O box as return address?
Is the amount on the ccj from last year the total amount or can interest and costs be added to this?
I would like to try and sought out what i can but am concerned if i put my head above the parapet i could have lots of people knocking on the door.
Sara (Debt Camel) says
is there a reason you don’t just ignore them all until they contact you?
Paul says
Yes I think I want to address them and know that they are dealt with, so the bit of peace of mind can be replaced.
As I have been in denial about them and have been carefull as to what details I put into the public arena as I feel if all my creditors turn up at once it may be overwhelming.
But also I do not want to hide for the rest of my life fearfully of an unexpected knock on the door.
That’s why I asked if a PO box was a way of communicating.
I have read that a credit check is a good way of finding out what debts are actively being sought but also know that credit check firms are in the business of selling personal information.
Does that make Sense.
Sara (Debt Camel) says
The thing is, some debts may have been sold 3 or 4 times. It’s going to be a lot of work and stress to just find out who the creditors now are!
And read https://debtcamel.co.uk/statute-barred-debt/ -some creditors may even argue a debt isn’t statute barred.
Paul says
Thank you for your reply Sara, it has given me food for thought.
Natasha says
Hi,
When I was younger I had several credit cards and loans which became unaffordable – I was never questioned and credit limits were always increased with no reason given. I had a meeting with my bank and advised that I wouldn’t afford to repay the amounts and the only suggestion they gave me was a bigger loan to consolidate debts without looking at what was affordable.
I left my job for other reasons briefly but been working ever since and last made payments in early 2007. Since then I have not made any contact or payments. I committed to never using any finance service again after being that worried about money. I budget every month religiously.
Now I am a mother, I would eventually like to get a mortgage.
I am scared that if I check my credit file the companies will start to bombard me. Is this likely? It has been 13 years.
Sara (Debt Camel) says
After all this time it isn’t very likely. If they do, well most of the debts will be “statute barred”, see https://debtcamel.co.uk/statute-barred-debt/ which explains this. And the debt collectors may find it very difficult to produce copies of the debt documents. Most of the debts will have disappeared, possibly even all of them.
I think you need to be brave and look.
Do you have a bank account?
Natasha says
Thank you for the quick reply Sara. I will definitely look into this and the link you sent.
I do have an account. Not with a mainstream bank.
Natasha says
I followed the credit check links and completed this.
Surprise at the good outcome. I have let this be a thorn in my side for a long time. Will now start to build this up even more.
Thank you for telling me to be brave. Exactly the advice I needed.
Sara (Debt Camel) says
excellent!
Chris says
Hi I was served a default notice with Barclays for an overdraft and a loan in October and November 2014. These are due to go statute barred this year I believe.
I made no payments to them since the defaults, and I haven’t heard anything from them at all in this time (I did however send an SAR request last year which they requested I go the branch for but I didn’t)
I have moved house a few times since then, I’m worried that they will register a CCJ against me without my knowledge as I’ve moved address – but I’m also keeping my fingers crossed that it will just disappear in October/November.
Any advice would be appreciated! Thanks.
Sara (Debt Camel) says
If you had got the SAR you would be able to see if they had sold the debts.
Have you looked at your credit records and seen if a debt collector is now reporting owning these debts?
Harold says
Hi
I had a mortgage shortfall back in 1994 and the Halifax was still chasing in 2005 I’m too afraid to case they say we owe untold thousands. We had not contact since 2005 and there is still a charge on the property.
What we do sort this problem out we could possibly 100,000
Sara (Debt Camel) says
So Halifax got a CCJ and a charge over your current house in about 2005? And you don’t know if interest is being added to the debt? How large was the debt at the time?
Mary says
Good Morning
I have an old credit card debt, CCA taken out in 2015, last payment made on account 2016. It is with Capital One and has been passed to Lowell. I have asked for the CCA which has just been produced, what it the next step i can do with this debt please. The outstanding balance is £1125.78 and i cannot afford to pay the full amount. They have said if i do not contact them i will be subject to Court Action.
Sara (Debt Camel) says
Hi Mary,
do you have other problem debts you have been not paying? or are you struggling with some debts that you are paying?
Mary Taylor says
Yes i have other debts, two are currently with the Ombudsman for irresponsible lending. I believe this debt to be the same, i was not able to repay the debts i already had and they still gave me this credit card. I just dont know what to do next.
Sara (Debt Camel) says
Then I suggest you tell the debt collector about the FOS case and offer then £1 a month until the case is resolved.
Alyssa says
Hello, I was hoping someone could help me. I had 2 outstanding debts with Wescot relating to a credit card and loan and have been told today that the accounts are no longer live with them and were withdrawn by the original creditor in early 2019. I have not received any communication from the creditor or Wescot advising of this and am now unclear as to who I owe or whether I still owe anything. Thanks
Sara (Debt Camel) says
Have you been paying Westcot?
Alyssa says
Yes I have, as I had 3 outstanding debts with them but only one is still with them according to them which clears in September- these debts have been outstanding since 2009
Sara (Debt Camel) says
what sort of debt is the third debt? Who is the original creditor?
Alyssa says
The original debt is a bank loan and was with the RBS
Tanya C says
Hi Sara – wondering if you could help
I have recently downloaded an Experian credit file which shows an ‘open’ NPower account with £900 owing for a property I moved out of in 2014. This doesn’t show on Equifax or any others I’ve used regularly over the last few years.
I’ve contacted npower and asked them what this is about, they’ve said they sent a final bill after I moved out and it has been with a DCA and now back with them. They confirmed they had a date for me moving out in April 2014.
I contacted them, they have not contacted Me. I’ve lived in two addresses since this property concerned and the last one for 24 months and I’ve had no contact whatsoever.
I’ve asked npower to removed the account, and mark it as closed as it is over 6 years old and they refuse to do this u less I pay in full they said the will reconsider. I can’t pay in full, but would pay instalments.
However, I really believe it should no longer be showing on my credit report. There’s no default, just an open account. We are hoping to get a mortgage, and this is really worrying me.
Sara (Debt Camel) says
So this debt is close to being statute barred. I am never prepared to say it is or isn’t, it needs someone to help you consider the paperwork and timeline in detail. I suggest you talk to National Debtline on 0808 808 4000 about this.
Whether the debt is statute barred or not, whether you have to pay it or not, there should have been a default added back in 2014. If that is done, the debt drops off your credit record 6 years after the default date. See https://debtcamel.co.uk/debt-default-date/ which looks at how to complain about this.
BUT If the debt is not statute barred, it can still be enforced even if it isn’t on your credit record ie you could get a CCJ. So you need to look at the statute barred issue urgently, not just see your credit record as the most important thing.
Tanya C says
Thanks Sara. That’s all really helpful.
They’ve come back to me to say they believe the markers on my file are correct and won’t remove them.
I’ve asked them to prove the debt is not statute barred and they are sending me a deadlock response in 10-14 days. I’ll escalate then if they do not agree to add a default in 2014. I’m happy to pay the debt if it’s proved I owe it, but as I’d be paying in instalments and they refuse to default the account I am concerned this will remain for 6 more years, unfairly!
Sara (Debt Camel) says
Talk to National Debtline!
Rocket says
Hi please help, I really need advice on this,
I’ve received a letter from a dept company to pay £559 for pitch licences fees and other charges money owed to a caravan site. Two of us (me and my Ex) was on the finance agreement to pay the finance, but years ago when I was still working back to 2015 to 2017 I made arrangements to pay them (half of the debt) to affordable amount and my direct debit was stopped as it was set up for my debt to be paid off.
The other person(my ex) who was on other finance agreement made some payments but stopped paying. Now, they sent a letter to my address to say that I need to arrange a payment to them and if I don’t they could add 4% interest per year to the debt. They debt was agreed (before i started paying the debt) to pay half each as my ex got restraining order from the police so we can’t contact each other for security reasons.
Now a different debt company has sent me a letter about the outstanding balance. I have no capacity to pay this as I have no work at the moment because of the covid and I’m student. Please give me an advice how to settle this.
Thank you
Sara (Debt Camel) says
I made arrangements to pay them (half of the debt) to affordable amount and my direct debit was stopped as it was set up for my debt to be paid off
did they say in writing that you only had to pay a half of the debt?
Rocket says
No, it was agreed over the phone and I’ve explained them the situations. But the new debt company sent the letter and it was named after me and my ex. I know it’s a joint agreement and I would make a minimum payment using my student loan but I’d like to get an advice. Thank you for fast response
Sara (Debt Camel) says
It is a shame you didn’t get it in writing. You can go back to the company and ask why your name is still on the debt when you paid half as per your agreement with them. But this may be difficult to prove if they haven’t kept phone records.
Rocket says
Hi Sara,
Thank you for all the advice and making this website to help people like us.
The agreement was only verbal(over the phone ) as i explained to them about the situation, but they seems like they’re not interested in that matter. I’m willing to pay the remaining balance using my student funds but wanted to get an advice regarding about this and if it’s the right thing to do. I’m just worried incase this will affect my credit scoring in the future if I plan to have a mortgage.
Sara (Debt Camel) says
is the debt currently showing on your credit record? if it is, is there a default date on it?
Rocket says
I haven’t checked my credit record and on the letter it said it needs to be paid no later than 18th of Aug.
Sara (Debt Camel) says
well you need to look at your credit records with all three credi reference agencies to know what is currently showing, See https://debtcamel.co.uk/best-way-to-check-credit-score/
Rocket says
Hi Sara
This is not showing on my credit scoring.
Sara (Debt Camel) says
in that case it will only affect your credit score if you are taken to court for a CCJ. If you make a payment arrangement that is possible but much less likely to happen.
Md. Sagor says
Hi, I would be glad if anyone can please get me the answers. I was living in UK since 2011 to Oct. 2012 in mean time I took two phone contracts one is from “Three” another is from “Vodafone”. In Nov. 2012 I moved to France, since then I never paid any of my bills. I don´t know whether I´ve got the CCJ from debt collector or not. Now in Aug. 2020 I returned to the UK but I don´t know whether do I still have the debt or not, or its became statude barred? I didn´t get any latter anything from them because I wasn´t in the UK past 8 years.
So, what can I do next. will those go off from my credit?
Thanks in advance!
Sara (Debt Camel) says
It’s hard to guess with so little information. You could try to check your old credit records by linking your old address to your new one. You could look on Registry Trust for CCJs (https://search.trustonline.org.uk/Search/Person) but you have to pay and to search by your old address. or you could cross your fingers and hope there is nothing that ever manages to catch up with you – after so long out of the country that is possible.
j s says
Just a quick question.
I had a vodafone mobile bill which I defaulted on a few years ago.
Debt was sold to Lawell Portfolio.
I changed address just over a month ago and have not gotten round to updating them with new address. Spoken to my ex who still lives at old address and she says she has definitely not told them my new address, or returned any letters as gone away/no longer at this address.
Today I have received a letter from them at new address.
I know I need to pay the debt, which I will as things have been hectic recently with going through move and breakup etc.
I am quite annoyed how they have got my new address.
Are they allowed to update my address without having spoke to them, and where would they have got it from?
Sara (Debt Camel) says
if you have updated your address with your bank, then the new address will be added to your credit record.
It’s better that a creditors knows where you live. It may be annoying to deal with their letters but it’s worse having to sort out a CCJ you ended up with because the court papers went to an old address.
Ella says
I have three accounts with one company. Last payment for each was in 2015. They no longer appear when I log into the company site. On Transunion report, they show as open but the balance is blank for each. My address and phone number are current and correct on file with the company but I have never been contacted by them or any collector. How should I find out what I owe and to who?
Sara (Debt Camel) says
Ask the company?
Kevin says
Hi
I have 5 creditors totalling £16k, default dates 2016. My parents have offered to give me around £5k to offer them a F&F settlement.
I have never contacted the creditors and haven’t paid anything towards the debt.
Should I phone them up and negotiate my ‘offer’ and follow up in writing, or just send a letter offering 30% and hope for the best?
Sara (Debt Camel) says
are you able to make any payments to the debts? If you aren’t, then an income & expenditure statement showing that you can’t may be an incentive for your creditors to accept the offered F&F.
Kevin says
Hi Sara
I’ve worked out I could pay around £50 a month, which will take years to pay back.
Have I anything to lose by contacting the creditors and how do you advise I do this – by phone or letter?
Should I also ask for the original paperwork?
Thank you
Sara (Debt Camel) says
Read https://debtcamel.co.uk/debt-options/less-common/full-final/ which looks at making F&F offers.
Jason says
Hi Sara,
I’ve recently signed up to clear score and seen on my report i have a default but i’m a bit confused by it.
It appears to be from a very account where i owe £1080.
the confusing bit is it say “opened 5th jan 2009” but also “updated 8th feb 2015”
I haven’t made any payments to Very in a decade. or spoken to anyone company about the debt in that time.
Also it seems the debt has been bought by a DCA known as Intrum in the last year or so who have sent letters but i have made no contact with.
I guess going by the last date shown, i assume this should be removed from my report feb 2021?
What would you suggest i do?
should i contact Intrum and try to pay off the debt? would this reset the 6 year period on my credit report?
Should i wait it out til feb 2021?
Thank you
Sara (Debt Camel) says
I suggest you look at your Equifax Statutory credit report. See https://www.equifax.co.uk/Products/credit/statutory-report.html.
You need to know if there is a “Default Date” listed against that debt.
jason says
Hi Sara,
Thanks for the speedy reply, so the default date is in fact November 2014.
How would you suggest i proceed?
Sara (Debt Camel) says
so it should drop off your credit record in Nov this year. This will happen whether you ignore it or pay it in full or start making monthly paymnets.
BUT if the debt is not statute barred, then Intrum can go to court and get a CCJ, which would be back on your credi record for another 6 years.
See https://debtcamel.co.uk/statute-barred-debt/ which looks at when a debt may be statute barred.
You could try to ignore it untill you get a letter from Intrum which looks like this one: https://debtcamel.co.uk/letter-before-claim-ccj/. If you get that you need to reply to it asking for all the information you can. If they cannot provide a copy of the CCA agreement when you have asked for it they should not proceed with court action.
Or you could reply to Intrum that the debt is statute barred. If you want to do this, I suggest you talk to National Debtline first on 0808 808 4000. if they deny it is statute barred, you could then ask for a copy of the CCA agreement. National Debtline can explain that too.
Roxanne says
Hi,
Apparently I owe a provident loan from 2016 for over 2 thousand pounds, it is now over 5 thousand pounds with interest. The problem is I have never had this loan. Capquest contacted me and i explained this, they emailed me the so called agreement, and told me to contact provident.. and they will put it on hold for 30 days
The agreement has no signatures, just my name typed out..it also had my old address and dated November 2016.. I had moved out of this adress in August 2016.. I never had or applied for this loan, and in fact at the time I had no income, I lived with my mother, I still do and I am her full time carer.. the thing is I’m at a lose on what to do now!! How can I prove I did not have this loan.
Sara (Debt Camel) says
I suggest you talk to Provident and explain this was not you and that you didn’t live there at the time.
Ask them what bank account the money was sent to.
Paula Swainston says
Hi Sara,
I have a debt that defaulted 24.09.14 with Sunny, it was assigned to motormile finance 29.10.14. I had an email from Lantern yesterday advising me to get in touch with them to discuss payment options, is it worth me contacting them to discuss or will the default drop off my credit report in 9 days? Would it then be statue barred as no payments have been made since July 2014. Thank you
Sara (Debt Camel) says
If the default date on your credi report os 24.09.14, it will drop off then whatever you. do.
Read https://debtcamel.co.uk/statute-barred-debt/ and talk to National Debtline on 0808 808 4000 about whether this may be statute barred.
Did you have other loans from Sunny before this one?