Chased for 17 year old debt and worried sick

[memail]

Good Evening,

 

I am new to the forum and

have found some really useful information and

helpful people so

thought I would seek some advice if someone can point me in the right direction please.

 

I have received a couple of letters from Dryden Fairfax Solicitors chasing an old mortgage debt on behalf of Lloyds Banks.

 

 

I have not had a mortgage with this company since before 1998.

 

 

They are asking for over £7k shortfall in the sale of the property from 17 years ago

and are saying that I have made payments previously

and these payments are an admission of liability,

this is just not true.

 

I was declared bankrupt around this time and we lost our family home.

The mortgage debt was declared in the bankruptcy declarations and home was repossessed by Lloyds.

 

Should I be surprised that they are chasing me now after so long?

Am I under any legal obligation to pay of this amount after so long and the fact the mortgage was declared in bankruptcy proceedings?

 

The solicitors is threatening enforcement and court action including Charging Orders, Attachment of Earnings and Warrant of Control.

 

I have never received any contact from Llyods or any other company previously regarding this debt.

 

Any help or direction anyone could offer would be much appreciated.

 

 

This was a really hard time for us 17 years ago and this company dredging it up after so long has left me extremely anxious.

 

Thanks for any help.

[havinastella]

Hi and welcome to CAG.

 

You seem to have two fronts to defend this

 

1) It was in your bankruptcy

 

2)If you have not make a payment or acknowledgement of the debt, it is Statue Barred (12 years for a mortgage)

 

Send the idiots a short note explaining this to them, making sure to inform them that you will defend any action vigorously.

[citizenB]

As havinastella has said - this was

 

Either included in your bankruptcy,

 

or the fact that they have not contacted you for over 6 years, then, as members of the CML Lloyds should not be pursuing anyway..

 

 

We understand you are a member of The Council of Mortgage Lenders. As you will be aware, The Council of Mortgage Lenders has the following policy on obtaining repayment of shortfall debts. This applies to all Council of Mortgage Lenders members.

 

“Lenders are committed to fair and sympathetic treatment of people who have suffered repossession, and accept that individuals should not face long delays before lenders contact them to discuss repayment of the shortfall”.

 

“From 11th February 2000 lenders who are members of The Council of Mortgage Lenders have agreed voluntarily that they will begin all recovery action for the shortfall within the first six years following the sale of a property in repossession. Anyone whose property was taken into possession and sold more than 6 years ago, and who has not been contacted by their lender about recovering any outstanding debt will not now be asked to pay the shortfall”.

 

There is a draft letter in the CAG library - linked below that you could send or perhaps adapt to include the fact that the shortfall was included in your bankruptcy.. and aside from that, as members of the CML, blah, blah, blah.

 

 

http://www.consumeractiongroup.co.uk/forum/showthread.php?387506-Mortgage-shortfalls-Lender-should-not-pursue-under-CML-policy

[citizenB]

Do you now own another property? If not, they are obviously scrabbling if they mention a charging order ??

[dx100uk]

sounds like the usual drydens phishing trip

hoping to spoof a mug into lining their pockets

 

 

dx

[memail]

Thanks Stella, Citizen and DX,

 

Really quick response is much appreciated, and all supports the reading up I have have been doing on the matter.

 

Always great to get some real life views and thoughts on the matter.

 

And don't fret DX, I am certainly not going to get mugged off by this bunch. I was actually amazed to see any company who would be picking up such an old debt.

 

Have a fab evening all.

 

Out of interest, want me to PM on outcome when it is finally reached?

 

Cheers

[dx100uk]

no always in the open forum

 

 

we have enough threads wit no result already!!

 

 

dx

[memail]

Will Do, Thanks All