Student Loan Statute Barred?

[Skankedbythebank]

I took out a student loan circa 1995.

 

I was entitled to deferment, due to low income but got sloppy and didn't file on time.

 

They did the old "you have lost entitlement to defer, pay it all now...." routine.

 

Way back in 2003 (the last time i contacted them) i wrote and asked how much i had borrowed, and when, because frankly i wouldn't have a clue!!

 

Nothing came back for months.

 

Even then it was just another pay all of it now or else its court action.

 

Anyway, i've heard little since. I think they sent a standard "ring us to sort this out letter" a couple of years ago, and thats it.

 

Is it statute barred?

[cerberusalert]

If a clear period of six years has passed (five in Scotland) where you made no written acknowledgement, deferment or payment it will be Statute Barred.

[gezwee]

I took out a student loan circa 1995.

 

I was entitled to deferment, due to low income but got sloppy and didn't file on time.

 

They did the old "you have lost entitlement to defer, pay it all now...." routine.

 

Way back in 2003 (the last time i contacted them) i wrote and asked how much i had borrowed, and when, because frankly i wouldn't have a clue!!

 

Nothing came back for months.

 

Even then it was just another pay all of it now or else its court action.

 

Anyway, i've heard little since. I think they sent a standard "ring us to sort this out letter" a couple of years ago, and thats it.

 

Is it statute barred?

 

AFAIK student loans fell within the CCA up until September 1998 so the limitations act would apply, anything after this date is regarded as 'income contingent' and does not become barred from enforcement.

 

Gez

[Skankedbythebank]

Thanks for that guys / girls.

 

I hoped it was so, but i knew there were some complexities regarding Student Loans ant the limitation laws.

 

Gezwee,

I'm sure thier was something about being outside the CCA on my form. It must have been pre -1998. I think they were between '92 - '95 or maybe '96, definitely pre- 98 what do you recon?

 

BTW - they never responded to my 2003 request to see the agreements.

[gezwee]

Trying to find the link I was thinking of, theres this one but as with all gov sites its pretty much the 'admit and pay your debts' type of advice.

 

Repaying student loans (courses starting before 1998) : Directgov - Education and learning

 

Gez

[kurvaface]

If you have a 6 year window at any time of no payment or no written acknowlegement then the account is certainly statute barred. There are some issues about SLC messing with credit files at the moment which is a feeble tactic on their part to coerce people into paying.

 

If you are sure of the 6 year window, doing a SAR will confirm the Statute Barred Status and draw a line under the whole thing by showing you everything they have on you.

 

May I ask if you are being chased for this at the moment?

[cerberusalert]

Send them this http://www.consumerforums.com/resources/templates-library/86-debt-collectors/599-letter-sent-when-debt-is-statute-barred the onus is then on them to prove otherwise.

[Skankedbythebank]

No i'm not being chased at the moment. I used to get one phone call per week (though i never spoke to them) and a nasty letter about once a month.

 

I got some 'court action immanent' letters, then after requesting my documents / agreements in 2003, the activity dropped off until now i get at worst one letter every six months.

 

In fact, the last one was so long ago i can't remember when it was.

[sigsoldboy]

I'm being harassed by CSL and Power to Contact. I have sent the statue barred letter and told them as the agent of SLC they need to pass those details on. CSL told me yesterday on a phone call that the SLC had not got back to them on the Stature Barred situation so they will keep pursuing the debt. I told them yesterday that I have made my position very clear, until I receive an official legal response to the 'statue barred' situation I do not need to contact them or engage in any phone calls and that it is illegal to turn up at my house and as such I will phone the police. Chap agreed, said that If I was unhappy I can contact trading standards.

 

I am trying to following the legal route but they just do not seem to want to play. I think its very simple. Company x creates a credit agreement under the 1980 act, customer x signs the agreement. Company x fails to pursue the debt and after 7years period they pass the debt to company A. Company A pursues customer x for the debt. Customer x informs Company A that under the credit consumer act 1980 he believes the debt is non-enforceable. Company A ignores the law and continues to pursue the debt.

 

Does anybody have any understanding of when legally they have to acknowledge statue barred ? I understood it to be 14 days ? Its been about a month for me ?

[cerberusalert]

According to OFT guidelines they must;

Statute barred debt

2.13 This guidance applies to the pursuit of debt regardless of its age. We will be

carrying out further work on this aspect of debt recovery including analysis of

relevant legislation and practice throughout the UK.

2.14 In the past we have dealt with a number of statute barred debt cases governed by

the Limitation Act 1980, which applies to England and Wales. Based on that

experience our position with regard to England and Wales remains:

a. we accept legally the debt exists

b. it is the methods by which the debt is collected that can be

unfair as follows:

• it is unfair to pursue the debt if the debtor has heard nothing from

the creditor during the relevant limitation period

• if a creditor has been in regular contact with a debtor before the debt

is statute barred, then we do not consider it unfair to continue to

attempt to recover the debt

• it is unfair to mislead debtors as to their rights and obligations, for

example, falsely stating or implying that the debt is still legally

recoverable and relying on consumers not knowing the relevant legal

provisions, and

• continuing to press for payment after a debtor has stated that they

will not be paying a debt because it is statute barred could amount to

harassment contrary to section 40 (1) of the Administration of

Justice Act 1970.

http://www.oft.gov.uk/shared_oft/business_leaflets/consumer_credit/oft664.pdf

[sigsoldboy]

Also interestingly using more than one debt collection business at the same time

resulting in repetitive and/or frequent contact by different parties !! Power to contact and CSL ! Kurvface will like that clause.

 

Thanks cerberusalert great link. Also do you know, do I have to contact the SLC or by informing CSL of the situation are they now obliged to respond on their clients behalf ? I have only sent the Statue Barred to CSL not the SLC.

[cerberusalert]

You only have to send it to whoever is chasing now, if they're acting on behalf of anyone they have to pass it on.

[kurvaface]

Ring Trading Standards on:

 

08454 040506.

 

Ask to be put through to surrey trading standards. This company has been referred to the OFT for precisely this activity - trying to collect debt that they know to be time barred.

 

I would also make a particular complaint about Mr William Hugh Pierce. He is one of the directors of this circus and if he doesn't know that his companies behave in this manner then that's as credible as Gordon Brown being a man of courage and brilliance.

 

Don't speak to them on the phone unless you are recording the call. Keep a log of all their attempts to contact you because this is evidence of their law breaking.

 

 

 

Does anybody have any understanding of when legally they have to acknowledge statue barred ? I understood it to be 14 days ? Its been about a month for me ?

 

Time limit - I don't know. What they should be doing is proving it's not statute barred or slinging it. One or the other/.

Edited March 11, 2010 by kurvaface

[sigsoldboy]

Will be contacting Trading Standards today. Yesterday I was informed that the student loan was a government debt and therefore exempt from the provisions of the 1980 CCA. I asked the gentleman if he had a copy of my contract, which he did not. I asked him how he was therefore able to make such as a statement and was he aware he was engaging in 'Unfair business practice'. Also proceeded to discuss Section 2.14 of the OFT guidelines, which he dismissed as rubbish and that I can talk all the Legal jargon I want but it did not detract from the fact that I owed the money, had to pay and that he could not understand why I was trying to worm my way out of paying.

 

Today they stepped up a notch and sent the 72hrs or we advise our customer to take legal action.

[kurvaface]

Will be contacting Trading Standards today. Yesterday I was informed that the student loan was a government debt and therefore exempt from the provisions of the 1980 CCA. I asked the gentleman if he had a copy of my contract, which he did not. I asked him how he was therefore able to make such as a statement and was he aware he was engaging in 'Unfair business practice'. Also proceeded to discuss Section 2.14 of the OFT guidelines, which he dismissed as rubbish and that I can talk all the Legal jargon I want but it did not detract from the fact that I owed the money, had to pay and that he could not understand why I was trying to worm my way out of paying.

 

Today they stepped up a notch and sent the 72hrs or we advise our customer to take legal action.

 

72 hours lol....is that from when they posted it, you read it or they thaught about it? They are such idiots. Ask trading standards why CSL is still behaving this way when they have already been referred to the OFT>

[kurvaface]

BTW...

 

 

Once you have complained to trading standards, please email a breakdown of your complaint to the office of fair trading who police breaches of consumer protection regulations. As they are investigating this company at the moment any additional information will help build a clear picture of this company's breaches.

 

email:

 

enquires@oft.gov.uk

[sigsoldboy]

yup will email as well. Already spoke to Trading standards, but again these guys told me the Student Loans were not covered by the 1974 CCA due to section 16, which I have checked and not at all sure he is right. I told him if that if that was the case fine, but they still need to send me a legit copy of my contract to clarify a) ownership of the debt b) my rights c) confirm the debt with a full break down of all costs and all charges. I stressed to the guy that my compliant is purely about 'harassment' and that I have no legal complaint other then they are not biding by OFT regulations and ignoring my legal rights as outlined in section 5 and that the burden of proof is on the creditor to prove that the debt isn't statue barred. On those we did at least agree.

 

They have also whopped an extra £1000 odd pounds onto the debt now with Overdue and Arrears being different. So CCA request and a SAR request. Almost at the truth and glad I took a stand, the DCA are just a bunch of bullys that lie, cheat and misrepresent the law.

[cerberusalert]

yup will email as well. Already spoke to Trading standards, but again these guys told me the Student Loans were not covered by the 1974 CCA due to section 16

They are idiots and should know the 'Old Style' student loan is covered by CCA 1974

[kurvaface]

 

Idiots.

 

I thought trading standards officers were meant to be above educationally subnormal.

 

Pre '98 loans become statute barred if there is no payment or written acknowledgement for a six year period. (Deferral counts as acknowledgement)

 

No doubts whatsoever about it.

 

.

Edited March 12, 2010 by kurvaface
that red thing is a big full stop!!!

[bluenose11]

this morning recieved letter from bcw group ?.... saying that that are commencing proceedings on behalf of student loans plc.....they tell me that they are going to arrest monies in my bank account....

ARRESTMENT OF BANK ACCOUNT

the loan was before 1998...i have made no contact with student loans or this company ....can they do this..... thanks

p.s i live in England

[bluenose11]

this morning recieved letter from bcw group ?.... saying that that are commencing proceedings on behalf of student loans plc.....they tell me that they are going to arrest monies in my bank account....

ARRESTMENT OF BANK ACCOUNT

the loan was before 1998...i have made no contact with student loans or this company ....can they do this..... thanks

p.s i live in England

[cerberusalert]

Send them this; http://www.consumerforums.com/resources/templates-library/86-debt-collectors/573-general-debt-letter-if-you-know-nothing-of-the-debt

 

Unless they have a CCJ they can't 'Arrest' anything and if they have you could get it set-aside anyway.

[cerberusalert]

As you are probably aware 'Arrestment of Bank account' is a Scottish action as you live in England they're stuffed anyway. They would need to apply for a garnishee order here.

[cerberusalert]

I've merged your two threads together so people know the circumstances.

[bluenose11]

:Dmany thanks ....big help