Help please

[kezza2004]

Hi Everyone

 

I'm looking for some advise please on a loan that I took out over 10 years ago as a joint application.

 

I left him 10 years ago and moved on. I did not continue to make any contributions to the repayment of the loan. As I have never heard anything from the loan company I thought I would hear no more.

 

Imagine my surprise when a few weeks ago I got a letter from Paragon asking me to contact them. Well I never did. I googled Paragon and found they used to be Universal Credit.

 

Then a letter came through to my address for my ex. Curiousity got the better of me and I read it, it was from Paragon going on about payment agreements. I could only summise that he continued to pay but has since stopped.

 

A couple of days ago I got a letter from Excel saying that they wanted to send a counsellor to my address to sort out repayments of the debt. They turned up yesterday when I was at work and left a note asking me to contact them.

 

Can anyone advise me what my position is and what my next move should be. Can they start chasing me now for a loan that was taken out over 10 years ago since I've never had any correspondence from them until now.

 

Any help or advise would be greatly appreciated.

[jaocheu]

As I understand it they have had no contact with you for ten years and made no attempt to recover the loan.

 

As the law stands after six years it covered by the statute of limitations and they can pursue you for it no-longer.

 

However there is one exception, if you acknowledge it and request information about it from them. This is probably why they contacted you they were sneakily trying to get you to request information about it from them to reactivate it.

 

Most important thing is do not admit the debt, do not contact them and if they turn up on your door do not let them in, answer questions, simply say "I don't know of any debt and since you have not pursued the alleged debt for ten years it's well over the statute of limitations period, please don't contact me again or I will report you to the FSA" and close the door.

[kezza2004]

Thanks for the information Jaocheu.

[powelll]

Limitations won't apply if you ex has acknowledged the debt or made payments in the last 6 years ( or if they ever got a CCJ against either of you which sounds unlikely as they are still pursuing you themselves ).

 

It's still worth arguing that you believe the debt is stat. barred as the onus is on the creditor to prove it's NOT out of time ie they would have to provide evidence of payment or written acknowledgement.

[jaocheu]

Sounds like your ex-hasn't acknowledged it because they are trying to find him through you. It might be worth contacting him if you can and warning him not to acknowledge it, incase they find him independently at a later date.

 

Another possibility is your ex-paid it for another four years then ceased and the statute will come in shortly. Often loans companies make a last gasp effort to find people a few weeks before the statue comes into effect. I know a couple of weeks before my student loan hit the statute, all my old addresses and parents were contacted.