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Re: Credit Report
Hi folks,
I was wondering if someone could advise me. I have an old debt to HFC bank, the last payment was made March 2008, It went to to status 6 in September 2008 and has shown late payment markers 6 ever since this date. It shows the debt is for £1928 however It was less than this, I'm sure it was £1700. Please dont judge me on why I did not pay it as it was a very tough time personally. I have had no contact to the debtor at all during this period. They have sent a few letters which I have not responded to. the last one advise that the debt was being transferred to someone else. I live in Scotland and was going to respond to the debt last year but my friend who words for debt collection advised that as its five years for statute limitation in Scotland I would be as well leaving it.
Despite no contact with my the debt has not defaulted and continues to show as late payment.
My question is, after the 5 year period can I contact the lender and tell them to remove the debt as it is no longer valid or will this reset the debt period as it has not defaulted?
I have heard that the markers wont come off my account until the debt shows as settled but as I said no contact in nearly 5 years.
May I thank you for any assistance you can give me.
llolli
Originally posted by FlamingParrot
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I realise this is an old question that apparently didn't get answered. As it is a question very frequently asked, I'll answer it anyway for the benefit of others.
A default drops off 6 years after it was recorded on your credit file, although it may not be exactly on the same day, could be up to a month later.
Defaults have nothing to do with the Statute of Limitations, Statute Barred is 6 years after last payment or written acknowledgment (5 years in Scotland). Many people keep making reduced or token payments for years after defaulting, in which case the debt may well still be live and not SBd even after it's dropped off the credit file.
Any offer of repayment or settlement it also likely to reset the clock as it constitutes acknowledgment, even when no payment is made. Similarly any court action, even if stayed or discontinued, can reset the clock. :clock:
On the other hand, defaults are usually recorded 3 to 6 months after the first missed contractual payment (as per OFT guidance), but it can be later than that, in which case the debt will be SBd before it drops off the credit file, even more so if the debtor is in Scotland.
The advice often given on other forums of checking your credit file to see if a debt is SBd or not can be highly misleading for the reasons stated above. They are 2 totally separate issues, the confusion arises due to the 6 year period applying to both, but it's not the same 6 year period.
A default drops off 6 years after it was recorded on your credit file, although it may not be exactly on the same day, could be up to a month later.
Defaults have nothing to do with the Statute of Limitations, Statute Barred is 6 years after last payment or written acknowledgment (5 years in Scotland). Many people keep making reduced or token payments for years after defaulting, in which case the debt may well still be live and not SBd even after it's dropped off the credit file.
Any offer of repayment or settlement it also likely to reset the clock as it constitutes acknowledgment, even when no payment is made. Similarly any court action, even if stayed or discontinued, can reset the clock. :clock:
On the other hand, defaults are usually recorded 3 to 6 months after the first missed contractual payment (as per OFT guidance), but it can be later than that, in which case the debt will be SBd before it drops off the credit file, even more so if the debtor is in Scotland.
The advice often given on other forums of checking your credit file to see if a debt is SBd or not can be highly misleading for the reasons stated above. They are 2 totally separate issues, the confusion arises due to the 6 year period applying to both, but it's not the same 6 year period.
I was wondering if someone could advise me. I have an old debt to HFC bank, the last payment was made March 2008, It went to to status 6 in September 2008 and has shown late payment markers 6 ever since this date. It shows the debt is for £1928 however It was less than this, I'm sure it was £1700. Please dont judge me on why I did not pay it as it was a very tough time personally. I have had no contact to the debtor at all during this period. They have sent a few letters which I have not responded to. the last one advise that the debt was being transferred to someone else. I live in Scotland and was going to respond to the debt last year but my friend who words for debt collection advised that as its five years for statute limitation in Scotland I would be as well leaving it.
Despite no contact with my the debt has not defaulted and continues to show as late payment.
My question is, after the 5 year period can I contact the lender and tell them to remove the debt as it is no longer valid or will this reset the debt period as it has not defaulted?
I have heard that the markers wont come off my account until the debt shows as settled but as I said no contact in nearly 5 years.
May I thank you for any assistance you can give me.
llolli
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