Advice on payments made by 'Set Off'

[Flasheart]

Hello,

Please can anyone advise me whether money taken from my bank account by way of 'Set Off' to pay an internal bank debt (credit card) would reset the limitation period.

I was under the impression that the debt was statute barred as no payment was made since 2008. But have subsequently been presented with information that the bank took various amounts from my current account up until 2011.

These payments were obviously without my consent and I stopped using the current account whilst I was disputing the credit card debt.

Thanks in advance.

[nemesis45]

Re: Advice on payments made by 'Set Off'

Hello,

Please can anyone advise me whether money taken from my bank account by way of 'Set Off' to pay an internal bank debt (credit card) would reset the limitation period.

I was under the impression that the debt was statute barred as no payment was made since 2008. But have subsequently been presented with information that the bank took various amounts from my current account up until 2011.

These payments were obviously without my consent and I stopped using the current account whilst I was disputing the credit card debt.

Thanks in advance.

Good afternoon welcome to LB,

It is my opinion that offsetting between a customers various accounts should not affect the provisions of section 5 of the Limitation Act 1980 as no personal authorisation is given at the time of the Offset.
However it is likely that one or both of the account has a clause specifying that offsetting to repay or partially repay another account with the bank is part of the terms and conditions of the relevant account.

Was the current account closed at the time the offset took place?

nem

[Flasheart]

Re: Advice on payments made by 'Set Off'

Thank you very much for the prompt reply!

Unfortunately I was not sensible enough to close the account as I had just started a new job and had my salary mandated to the account.

I believe that the terms of the credit card state that the bank were within their rights to recover debt by off set. But I no longer have a copy of the terms and conditions or a copy of the original agreement as the card was opened in 2004.

Unfortunately this has been taken to court and a preliminary hearing has taken place. The outcome was that it will go to a full hearing.

[nemesis45]

Re: Advice on payments made by 'Set Off'

Thank you very much for the prompt reply!

Unfortunately I was not sensible enough to close the account as I had just started a new job and had my salary mandated to the account.

I believe that the terms of the credit card state that the bank were within their rights to recover debt by off set. But I no longer have a copy of the terms and conditions or a copy of the original agreement as the card was opened in 2004.

Unfortunately this has been taken to court and a preliminary hearing has taken place. The outcome was that it will go to a full hearing.

I personally would fight this on the grounds that such transfers do not affect the provisions of LA 1980.

me,

- - - Updated - - -

Thank you very much for the prompt reply!

Unfortunately I was not sensible enough to close the account as I had just started a new job and had my salary mandated to the account.

I believe that the terms of the credit card state that the bank were within their rights to recover debt by off set. But I no longer have a copy of the terms and conditions or a copy of the original agreement as the card was opened in 2004.

Unfortunately this has been taken to court and a preliminary hearing has taken place. The outcome was that it will go to a full hearing.

I personally would fight this on the grounds that such transfers do not affect the provisions of LA 1980.

me,

[Flasheart]

Re: Advice on payments made by 'Set Off'

Thank you very much,

I will continue to defend this claim. The only problem was I never asked formally for the documentation from their solicitors and it has now been allocated on the small claims track. I take it I am too late to send the cpr request? I only made verbal requests for their evidence and received nothing until the hearing.

The other problem is that there appears to be a mystery payment for a token amount of £21 that would keep it within the six year period. Claim filed in Feb 2016 and payment made in August 2010. I have no evidence of this payment. I am still awaiting the banks investigation.

[nemesis45]

Re: Advice on payments made by 'Set Off'

Thank you very much,

I will continue to defend this claim. The only problem was I never asked formally for the documentation from their solicitors and it has now been allocated on the small claims track. I take it I am too late to send the cpr request? I only made verbal requests for their evidence and received nothing until the hearing.

The other problem is that there appears to be a mystery payment for a token amount of £21 that would keep it within the six year period. Claim filed in Feb 2016 and payment made in August 2011. I have no evidence of this payment. I am still awaiting the banks investigation.

No never too late before full trial, I take it there's no documentation provided so far.

nem

[Flasheart]

Re: Advice on payments made by 'Set Off'

The only document provided was a sheet of payments to the credit card account. Which has no details as to where the money came from.

The original credit agreement does not exist because I asked for this back in 2008 when I was in dispute with the bank directly and they could not provide it. I don't know how much of a benefit this is to me or not.

So as long as the trial has not taken place the six year period remains? Or is it when they started the claim with the county court business centre in February?

[Flasheart]

Re: Advice on payments made by 'Set Off'

Now that the claim has been allocated on the small claims track am I too late to send the Cpr 31.14 request?

Do I use CPR 18 instead?

Sorry getting confused with it all now.