Loans

I can't believe that alleged debts can be reconstituted decades later. What about statutes of limitation? In Canada if a lender doesn't keep his debt alive by requesting payment every year then he loses the right to sue on that debt after six years. After all if you haven't bothered to ask for payment the debtor should have the right to think you have abandoned the claim and acquiesed in not being paid.

by Archie (0 articles, 0 quicklinks, 0 diaries, 972 comments) on Tuesday, July 31, 2007 at 1:16:27 AM
 

This Has Happened To Me

Heilig Meyers Furniture Company is doing this to me or actually a bunch of companies they've sold the "debt" to. I paid off my furniture loan in 2000. In 2001 I got a loan from Chrysler Financial. I went through my credit report with a lady and she indicated my Heilig Meyers account did show it was paid in full. I had my old records in a box in my basement not long after that and my water heater burst and got the box pretty wet. I went through it and threw out the things that were pretty wet and that I didn't think I needed. I threw out the Heilig Meyers paperwork and several other old loans that were paid off.  I made my payments in cash in store, all the proof I had was reciepts from the store, which I threw out when they got ruined. No one had ever contacted me saying it wasn't paid off and they wouldn't have because it was paid. Probably about a year later, maybe not that long, I got a bill from a collection agency for $1350 for the "remaining balance". Heilig Meyers had gone into bankruptcy some time before that. I wrote them back and told them I didn't owe that. I also got a letter for a class action lawsuit, I wasn't the only one they were doing this too, apparently, quite a few people. I joined the lawsuit, but I've never heard anything back about it. Since then, this "debt" has been resold to different companies probably at least five or six times. About every 9 months or so I get a letter from another company saying they have bought this "old debt" and I now owe them the money. I've never paid one red cent and it now shows on my credit report. I suspect it will end up in court someday and since I have no proof, I'm sure I will be the loser and end paying it to the lucky company in the end that finally gets something they don't have any right to. Moral of this story, don't pay your bills in cash even if you get a receipt for it. Pay with a check or a money order from a bank. And keep the receipts for everything forever. I've now put everything in plastic boxes and out of reach of broken water heaters and pipes.

by Eckfan (0 articles, 0 quicklinks, 0 diaries, 12 comments) on Tuesday, July 31, 2007 at 2:11:03 AM