Statute Barred mortgage

[richcufc]

My neighbours were repossessed in 1988 and up until 2004 were unaware of any shortfall.

In 2004 they were contacted by Asset Recoveries UK Limited regarding the shortfall and have since this time been paying roughly £100 per month.

Now forgive me for being wrong but this debt would have been statute barred from the 12th anniversary of repossession in 2000 as my neighbours had not heard anything relating to any shortfall. They have been pressured into paying a debt they did not need to do so.

If this is the case I believe it is not possible to un-statute bar a debt. Hence can my neighbours claim back every penny they have paid along with interest at 8%?

[Emerald]

Re: Statute Barred mortgage

I don't think they can claim any monies paid off a debt voluntarily. All SB means is that the debt cannot be enforced, not that it no longer exists.
I would SAR the mortgage company to be very sure of their dates and if it turns out to be SB at the time they started paying then stop paying it.

[Jelly]

Re: Statute Barred mortgage

I would agree - the debt still exists, but is unenforceable if SB, so they couldn't claim back any monies paid.

I would send a statute barred letter and see what they come up with.

[Paule]

Re: Statute Barred mortgage

In 2004 they were contacted by Asset Recoveries UK Limited regarding the shortfall and have since this time been paying roughly £100 per month.

As you acknowledged the debt 4 years ago, it isnt statue barred now

[Jelly]

Re: Statute Barred mortgage

That's not actually true - once a debt becomes statute barred, by acknowledging it you cannot "un" statute bar it. It remains unenforceable through the courts (as long as you defend any action on the grounds that it is statute barred). Any payments made cannot be recovered as the debt is still owed - it is simply unenforceable through the court system.

[richcufc]

Re: Statute Barred mortgage

Thank you all most helpful.

I have spoken to my neighbours and they will check their paperwork to make sure there was no contact in the interim period.