I know this is a home repo's site - as i've used it myself in the past.

But with regards to the 6 & 12 year debt rules - does anyone know if a social fund loan ( ie an interest free loan from the social services) would come under the 6 or 12 year rule.

Someone I know has just received a letter for such a loan that was taken out in 1994 after their house was repo'd, and i'm trying to help, as they cannot afford to pay it back.

thanks

-- Julie (Julierogers@btinternet.com), February 15, 2003

Answers

If there has been no contact for 6 years then it should be statute barred, I would post to www.debtquestions.co.uk as the chap there is a qualified debt advisor with fairly good knowledge of the debt law.

-- Sue (bradfordandbingley_suck@yahoo.co.uk), February 15, 2003.

The 12 year period only applies to secured lending e.g. mortgages. Whilst the creditor (in this case the DSS) has only 6 years to start court proceedings in respect of an unsecured debt, it can be enforced, but after 6 years from the date of judgment (not the date the money became due) the court's permission is required.

-- Jenny Russell (jenny@andersonrussell.freeserve.co.uk), February 17, 2003.