Information to help you deal with your CRF's

Moderators: TalbotWoods, JaneClack

By shea2k
#249523 Good evening, this is my first posting with you guys.

I recently accessed my credit file through Experian and gained my Credit Score.

My report shows two outstanding balances as follows:

04/04/2005 for £1129
19/05/2006 for £1934

Neither of the above accounts have received any payments since their default dates and so are listed with their current balances (i.e. Not Satisfied).

As it is my understanding that defaults are removed from credit files after 6 years, so this means that on the 04/04/2011, the £1129 default is no longer recorded and the same on the 19/05/2012 for the £1934, should I simply allow these two debts to drop off or should I attempt to make a payment arrangement?

I ask this as I heard that after 6 years, if a default payment is not satisfied, it is THEN applied as a CCJ?

The rest of my credit file is in very good condition and I have a credit score (through Experian) of 808 points (Fair) and I don't want to tarnish this by having a CCJ applied (I have none at present).

Ultimately, what should I do about these two outstanding debts?

Many thanks for your input, I look forward to your advice!
User avatar
By JaneClack
#249993 In a word, NO!

If no court action has been taken re a debt and it has had no payment or acknowledgement in writing for 6 years then the debt becomes statute barred which means it still exists and can still be collected (ie you can still get phone calls and letters about it!) but they cannot pursue you through the courts.

If you want to make a full and final offer AFTER the six years are up then that is up to you but at the moment I would let sleeping dogs lie as you are so close to the six year period.

If the debt is acknowledged now by a payment or in writing the clock stops and another six years would have to run. However a creditor could still go for court action between now and then - using the last known address they have for you.
By shea2k
#250413 Thank you for the reply. It sounds like good news!

So, shortly after the 4th April this year, I will simply see one of these old debts vanish and no longer affect my credit rating?

And unless I contact them or make an arrangement with them of some kind, they can not affect or update my credit file again in the future through the courts or otherwise?

What happens if they sell the debt to another company, can they then update my credit file, marking it for another 6 years etc?

Sorry for all the questions, I just want to be completely clear about my position.

Many thanks again, I greatly appreciate your input!
User avatar
By JaneClack
#250423 That should be the case, yes.

But do remember they can still chase you and anyone who they sell the debt onto can too - just they cannot take you to court.

When these things fall off you will have to rebuild your credit rating again - and you do that by getting credit remember and maintain it by paying at least the minimum payments.