Question:

Does debt get wiped automatically after 5 years?

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When I was 18 I got a credit card and when I was 20 I was about 10,000 in debt. I was having nightmares and felt suicidal. I was scared and I didnt have a job, the debt collecters were ringing all the time so I ran away to Spain to start a new life. Im now 25 and ive grown up and would like to face my problems. I just had a baby with my girlfriend and I take care of our son and she works to pay the rent. What can I do to resolve these debt issues? Someone told me that if you dont pay a debt at all fro 5years it gets completly wiped out,is this true?

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13 ANSWERS


  1. Well, usually it takes much less time for a company to write it off. It take less than 1 year, then they sell it and in some time you get CCJ on your credit report and no more harrassments. Although, it takes 6 years for CCJ to disapear from your credit file. So I assume you said 5 years but it refers to how long your CCJ will stay on the credit report and not before it gets wiped off.


  2. That would be nice for you wouldn't it?

    However I feel that the answer varies from one instance to another. There may be SOME instances where that is true, but in the main I think you'll find that they'll still be after you in another 5, 10 or even 20 years time. ( I know I would if you owed me - wouldn't you?)

    Hope you can face up to your past problems, sort them out and then move forward.  Bite the bullet and contact the creditors to find out.

  3. no

    legally you will owe the money forever, but after 6 years the credit company cannot get a court order forcing you to pay.  but that is 6 years after your last communication with them about it.  so if they ring up and say remeber that money you owe us and you say "yes" - bingo 6 years starts again.

  4. Get some money and pay off your debts.


  5. actually its six years, and sorry to hear about your problems, but im sure you will be fine.

  6. http://www.payplan.com/ talk to these. They'll take over paying your debts off for you.

  7. Some places will close the case for collecting after 5 years but it is still on your credit report.  I would try to contact anyone you owe money and work out a plan so that you can start building your credit back up.  It will be extremely hard to rent an apt, buy a car or buy a house after bailing on your payments like that.

  8. Depends where you are.  I think it stays on your credit record for 7 years.  But it still need to be paid.  I think you can declarre bankruptcy and reduce it.  I would talk with a credit counselor.

    Why don't you have a job though?

  9. No its a myth, the dept is wiped after 6 yrs if it isn't active. But a dept collecter adds interest on every week if not every day so it remains active and they will find you. The best thing you can do is call them and arrange an easy payment plan before they find you and you find out your in £50,000 rather than 10k because of the interest.

    You could always go bankrupt??

  10. UK after 6 years they sell it to collection agencies and then they try and find you. If it was a small amount they probably wouldn't bother but with £10,000 they will keep looking. they will find you through your national insurance number and tax details as its all put into a main computer.

  11. No it is NOT true.

  12. UK? Its 6 years from the last point of contact, unless you have contacted them, or responded to enquires from them. It starts the time ticking again. Contact CAB if you want to face these issues.  

  13. Details, please.  In what country?

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