can anybody tell me if the 6 and 12 year time limits for mortgage shortfall debt is the same in scotland as in england or is there a longer or shorter period of time for lenders to chase you.

-- gill jones (gillgirl4u@aol.com), April 17, 2002

Answers

Gill,

I have seen the following from the CML:

FSA currently finalizing rules to regulate the mortgage industry. These rules to be introduce during 2004 and will formally place a requirement on lenders to BEGIN recovery action for a shortfall debt within 6 years (5 years in Scotland) of the sale of a property following possession. (see,www.cml.org.uk/servlet/dycon/zt- cml/live/en/cml/pub_info_dept) I think I've typed the address OK.

However, I think you ought to check it with the Scottish Law Commission.

The UK Limitation Act 1980 states "an action upon a specialty shall not be brought AFTER the expiration of 12 years from the date on which the cause of action accrued".

I'm not sure if what the CML are saying is that they propose to make the "Voluntary 6 Year Code" law or whether they are talking about amending the limitation law.

I'll ask them.Mark.

-- m Amos (idgroms@hotmail.com), April 17, 2002.

Gill,

Further to my earlier message. If you go to "www.boltoncab.co.uk/factfiles/limitations.htm",you will find the answer under General Principles,Subject Area.It's a useful web page.

The Prescription & Limitation (Scotland) Act 1973 sets out which obligations prescribe after 5 years,but you may need to check for amendments(see Jim Wallace ""www.scottish.parliament.uk/official_report/wa99- 00/wa0218.htm" he gives a little more info.)

Hope this helps,Mark.

-- M Amos (idgroms@hotmail.com), April 17, 2002.