What to do after paying a statute barred debt?

[Tommy]

Today on my travels I came across a couple who had sought advice from CAB, and were clearly paying all they could afford to clear there debt, but would never be enough.

It came to light that a large part of there debt (being collected by 1st credit or aktiv kapital) had remained unpaid for over 7 years at one point. However they started paying last year on the advice of the CAB. (i suspect they didnt look too much into payment history).

Obviously today i made these people aware of certain rights and pointed them in this direction. My question is, what can be done in relation to the DCA's persuing the unpaid debt after the time limit, now that they have started paying again? DCA's are not allowed to lead you to believe the debt is payable if it is not right?

Apparently there credit file doesnt look too bad, and i suspect the debts are not even showing on there anymore.

Awaiting CB's reply no doubt

Thanks, Tommy

[Curlyben]

Re: What to do after paying a statute barred debt?

It is perfectly acceptable for a DCA to demand payment on an SB'd debt, but once the barred status has been drawn to their attention then they MUST cease all collection activities.

While they cannot take legal action, alot incorrectly claim they can due to the nature of their templated demands.

Also once a debt becomes SB'd payments after that do NOT reset the clock.
Once barred it is barred for all time, unless of course the creditor can prove that the debtor has been actively avoiding payment on the debt.
that would more fall under fraud than anything else.

[Kafka]

Re: What to do after paying a statute barred debt?

There is further info in this guide I wrote for another forum. It also has links to the official views on this such as HMRC, Payplan and the OFT. These will provide authority for any approach made about this, but do not let them ever pay anything else to a statute-barred debt.
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