At the begining of 1992 my partner (now husband)voluntary had his house repossessed. We were living there at the time and moved before the repossession. There was a shortfall of £29000. We were on benefit for a number of years and were sent forms to fill in. Then in July this year my husband received a letter from edwards Geldard requesting full payment or monthly instalments. He ignored these letters, and then the phone calls started from Justin Fowler. He was threating bankruptcy and sent threatening letters.(My husband is self employed.)He does not earn a lot of money, we live in rented accommodation and I do not work because our daughter has a mental disability. This was making us panic and we sought advice from a solicitor. Justin Fowler was demanding £50. On her avice (wrongly) we paid the £50 and sent in expence and income forms. We have had numerous phone calls from Justin Fowler, even to myself. I have since sent him a letter demanding that he puts all communication in writing to my husband. We have also sent sarns to mortgage trust and edwaerds geldard. In their last letter they were demanding £7500 or £250 per month. We have not heard anything for 10days now. What should be our next step? Thank you.

-- anon user (cwlittlechild@aol.com), October 27, 2004

Answers

Just a quick follow up. I forgot to mention that we ofered a payment of £20 per month which was declined. Had a letter today saying my husbands admitted liability. Can someone please tell me whether they should have pursued even after the twelve years was up and can this offer be withdrawn?

-- anon-user (cwlittlechild@aol.com), October 28, 2004.

It depends on what you sent them by means of correspondence over the past 12 years and whether you have made any part payment, you may have inadvertently acknowledged the debt this way and restarted the 12 year limitation period. Don't answer this question on site as lenders and debt collectors also read it. Hopefully, you should be able to get an idea from the info you received back on the Sarn, but you need a qualified lawyer to look at the paperwork to say ye or ne. You say your husband had his house repo'd in '92, don't forget that the 12 year limitation period usually runs from the 2nd or 3rd default on the mortgage repayments (subject to mortgage terms & conditions). If it was an endowment mortgage and there was a default on the endowment payments prior to that of the mortgage repayments there is case law to support the 12 years will run from the earlier date. If you haven't acknowledged the debt during those 12 years from the aforementioned 2nd/3rd default then you can tell them to get lost. Once the 12 years are up without acknowledging the debt, that's it, you cannot acknowledge it afterwards. You should also look into the CML 6 year voluntary code. Personally, I would write to the creditor stating that this debt is now statute barred under the 1980 Limitation Act and see what they come up with, the onus of proof is then with them. Make sure as I've said many times before that you always state in any correspondence that you deny liability and dispute the debt. Anyone operating on your behalf should also be told this in writing (recorded delivery) and keep a copy. If you have acknowledged the debt then put them to strict proof, all too often properties were sold for a song. It's too late to do anything legally, if that's the case, but it might help negotiate a low settlement. Please check all with a qualified lawyer CAB etc. Have to go now. Good Luck. email me if you like.

Mark.

-- M Amos (idgroms@hotmail.com), October 29, 2004.