When is 6 years actually 6 years?

greenspun.com : LUSENET : Repossession : One Thread

When is 6 years actually 6 years? Is it- A)from the date of reposession to the date of first contact.(you reply to the first letter they send) Or B)from the date the BS sell the property to the date of first contact. C)from the date of reposession to the date the BS/solicitors file a claim in the County Court. Or D)from the date the BS sell the property to the date they file aclaim in the County Court.

I have seen so many different postings on this board on the 6 year rule that i am a little unsure. Recieved my summary judgement hearing date today. Need some good advice soon. Regards,

-- Daren Otsay (darenotsay@blueyonder.co.uk), October 08, 2001


lenders have six years to chase you,it really depends on the lender who is chasing you for the shortfall,they say the clock starts ticking from the date of sale to the first contact.This according to the CAB is when you are contacted and then acknowledge the shortfall e.g when they send a letter to your current address or contact you by phone.This all came into effect on FEB 11th 2000. some barristers say that the six years starts from the time you default on the mortgage this is when the lender could sue you and take you to court, it is at this tome that the contract has been broken.some lenders try it on by saying the they have sent you letters to an old address. try the CML web site it's all explained there.

-- boyz (boyz.boz@virgin.net), October 08, 2001.

But as I understand it it's a rolling 6 years, isn't it? So they only have to 'make contact' once every 6 years to keep the thing alive for the rest of your life. True?

-- Melody (mbc109@york.ac.uk), October 09, 2001.

It does seem that way,especially if the lender claims it's a speciality debt( a debt arising from property and mortgage deed)in which they have twelve years to chase you,but If they made contact after FEB 11th and six years have lapsed then they should'nt be asking you for the debt. The other argument regarding the twelve years which have come from barristers is that if the lender has been paid out by the MIG then the debt should become a unsecured debt ( think that the right word) and so they have only six years to chase you. I am not a lawyer but its info that i have gathered which makes sense.hope this helps.

-- boz (boyz.boz@virgin.net), October 09, 2001.

The six year start date is questionable. As previuously said it could be from 1st default, from repossession or from date of sale. With MIG payment, which is a simple debt as it is contract based, it is 6 years from the insurance payout.

As to the 'rolling' period. It is my understanding that whilst you do not accept the debt, i.e. in all letters say that you dispute it, then a new period cannot begin. If you have been contacted and admit liability then I beleive that a new period MAY beginbut I could be wrong. If as said before they can keep harrassing you forever as new 6 year periods begin just because they make contact then I cannot see any court NOT chucking out their case after 12, 18 24 etc years. There is such a thing as taking the pi**.

-- Matt (Mattyc@ntlworld.com), October 09, 2001.

I agree with the above,there is also the limitations act period(1980 I think) to consider if it is just a contract debt i.e the MIG has been paid out then they have to take it to court within six years.As matty said I am sure the Judge would throw it out if it looked like they had just been messing you about i.e dragging it on for years. I am sure somewhere in the human rights act must deal with this type of thing.

-- boz (boyz.boz@virgin.net), October 09, 2001.

Moderation questions? read the FAQ