Debt Collection After Years of No Contact With a Creditor By Jim Oneil

Would there ever be a time when the creditor would no longer be able to pursue debt payments? This must be a question that must arise every time you get a call reminding you of your payment schedule. When you get annoyed at such calls, you would really wish for a time when you are left at peace without being forced to repay. If you live in the UK, then you are fortunate. This is because there are laws in the country that actually deprives creditors to make use of legal avenues in order to make you pay after a certain period of time.
The provision is that if the creditor does not have any contact with the debtor after six years, it would no longer have the right to employ legal remedies that would compel the latter to repay. Of course, this does not mean that the creditor could just forget about the debt and label it as a mere loss. It is still a debt and it still should be paid. The creditor could still make use of different avenues and techniques just to make sure that the debtor pays. However, the main advantage that the debtor can enjoy is that he can no longer be charged.
This is the reason why creditors do their best to establish communications with the debtor always. If they were not able to connect with the debtor in a span of six years, they would no longer be backed by the law in pursuing the payment. Because of this, it is no rare for creditors to simply sell the debts to debt collection companies. Once this is done, the problem of contacting and dealing with errant debtors would no longer be the problem of the creditors but of the debt collection agencies. Apparently, this is the more convenient option for the creditors.

As the debtor, you would certainly think that this is something that you could take advantage of. However, you must also realize that six years is quite a long time. It would just seem impossible for the creditor not to establish communication lines with you during that time. Unless you leave the country or to actually go incognito for that length of time, the creditors could still compel you to pay. This becomes even more possible if the debt has been sold to the debt collection agency. Because it is their specialty, debt collection agencies never seem to run out of methods to make debtors pay.

The key here is to consider paying your debts and you could live without anyone hassling you afterwards. Although they may no longer be able to sue you after the 6-year no contact period, the creditors could still call you for as many times as they want after they have located you. You may not have the trouble of going to the courts but you would certainly have to deal with the annoying calls that you would get from the creditors every now and then.

Jim Oneil is a writer with a special interest in debt issues and personal finance. He has written for small local newspapers in the past and now devotes part of his time writing about debt consolidation and management and other UK based financial products.

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