ricgem2002 Posted January 3, 2016 Share Posted January 3, 2016 a mate of mine has just had a £1000 debt written off by the debt being "statute barred" . is this company now legally be able to sell the debt on to another debt collection agency?(knowing its being statute barred) Link to comment Share on other sites More sharing options...
unbeliever Posted January 3, 2016 Share Posted January 3, 2016 a mate of mine has just had a £1000 debt written off by the debt being "statute barred" . is this company now legally be able to sell the debt on to another debt collection agency?(knowing its being statute barred) The debt is not entirely gone. But under 1980 limitation act, there's not much anybody can do now to recover it other than ask nicely. https://www.nationaldebtline.org/EW/factsheets/Pages/25%20EW%20Time%20limits%20for%20recovering%20debts/Default.aspx#quicklink3 Your mate has damaged his/her credit rating, but other than that he/she shouldn't have any more trouble from this debt. Link to comment Share on other sites More sharing options...
ricgem2002 Posted January 3, 2016 Author Share Posted January 3, 2016 The debt is not entirely gone. But under 1980 limitation act, there's not much anybody can do now to recover it other than ask nicely. https://www.nationaldebtline.org/EW/factsheets/Pages/25%20EW%20Time%20limits%20for%20recovering%20debts/Default.aspx#quicklink3 Your mate has damaged his/her credit rating, but other than that he/she shouldn't have any more trouble from this debt. his credit rating is fine this debt was over 10 years ago. what im getting at is this debt company can now sell on this debt to another company knowing there is no chance it will ever be paid off. arnt they breaking some kind of miss selling laws? Link to comment Share on other sites More sharing options...
Janus Posted January 3, 2016 Share Posted January 3, 2016 Statute-barred does not mean the debt no longer exists. In some circumstances, the creditor, or a debt collection agency, can still try*and*recover*money from you. Link to comment Share on other sites More sharing options...
Quik Posted January 3, 2016 Share Posted January 3, 2016 his credit rating is fine this debt was over 10 years ago. what im getting at is this debt company can now sell on this debt to another company knowing there is no chance it will ever be paid off. arnt they breaking some kind of miss selling laws? Normally debts like these are sold off a few months before they become statute barred for a few pence in the pound. Thd buyers have a couple of months of legal recovery opportunity and can still legally ask for it to be repaid after it becomes statute barred. If the people asking as sufficiently intimidating then enough will pay up to make it a profitable business model, hence they buy the debts. Link to comment Share on other sites More sharing options...
JFKvsNixon Posted January 3, 2016 Share Posted January 3, 2016 his credit rating is fine this debt was over 10 years ago. what im getting at is this debt company can now sell on this debt to another company knowing there is no chance it will ever be paid off. arnt they breaking some kind of miss selling laws? The company buying the debt would have purchased for a tiny amount of what the debt was worth. It was probably purchased with a bundle of other debts in the hope that they can pursued some people to pay some of the debts back. Link to comment Share on other sites More sharing options...
999tigger Posted January 3, 2016 Share Posted January 3, 2016 The company buying the debt would have purchased for a tiny amount of what the debt was worth. It was probably purchased with a bundle of other debts in the hope that they can pursued some people to pay some of the debts back. This mostly. You need to look up what statute barred means for debt. A company buying old debts will be paying a few pennies. Debts can be collected indefinitely if the person admits to it. Link to comment Share on other sites More sharing options...
ricgem2002 Posted January 3, 2016 Author Share Posted January 3, 2016 This mostly. You need to look up what statute barred means for debt. A company buying old debts will be paying a few pennies. Debts can be collected indefinitely if the person admits to it. so the cycle carries on then and a new debt collection agency tries to recover it and he just says no thanks . Link to comment Share on other sites More sharing options...
Jeffrey Shaw Posted January 3, 2016 Share Posted January 3, 2016 Those posts are accurate. a debt is- legally- a chose in action. Being statute-barred does not cancel the debt; so it still exists. The 1980 Act is merely a procedural bar. Link to comment Share on other sites More sharing options...
mafya Posted January 3, 2016 Share Posted January 3, 2016 so the cycle carries on then and a new debt collection agency tries to recover it and he just says no thanks . He doesn't say anything at all, do not answer any letters or phone calls otherwise he is acknowledging the debt... Link to comment Share on other sites More sharing options...
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