What’s the statute of limitations on pay day loans

Business collection agencies – Old Debts

Do i need to pay a debt that is old? If your financial obligation collector has asked you to definitely spend a financial obligation this is certainly significantly more than six yrs. Old (or three years within the north Territory) it really is crucial to understand your rights.


You might not need to pay a debt that is old you have made your last re re payment a lot more than 6 years back (or three years ago within the Northern Territory). This really is called a statute barred debt. In case a financial obligation is statute banned this means you’ve got a defence if some body commences action that is legal one to recover your debt.

What you should do in the event that you owe your debt

May be the financial obligation statute barred?

  • You have got maybe perhaps not made a re payment
  • You’ve got not recognized your debt written down
  • No court judgment happens to be entered against your

Different rules submit an application for financial obligation secured by home financing over genuine home (for instance, a true mortgage). Ring us if you should be being financial obligation gathered for the old home loan debt.

Table of limitation durations by State or Territory

State/Territory Limitation period
Australian Capital Territory 6 years
brand brand New Southern Wales 6 years
north Territory 36 months
Queensland 6 years
South Australia 6 years
Tasmania 6 years
Victoria 6 years
Western Australia 6 years

How will you verify that there is certainly a court judgment?

How to proceed if your financial obligation collector states you need to pay an old financial obligation

Since you last made a payment or acknowledged the debt in writing then if you think it might be more than 6 years (or 3 years for Northern Territory:

  • Try not to make payment
  • Usually do not agree you borrowed from your debt (relate to the financial obligation given that “alleged” financial obligation)
  • Do ask your debt collector to supply copies associated with the agreement and also the account statements
  • Do ask your debt collector if a court is had by them judgment. When they do ask for details court that is including, date obtained, which court together with number of the judgment. Seek advice from the Court that the judgment happens to be acquired.
  • Do keep notes of all of the phone conversations and any letters/emails sent or received.
  • Get advice by calling us on 1800 007 007.

How to demand documents

You have got a right to request copies of this papers that your debt collector is counting on to show your debt a debt.

You need to use this page template to request documents in order to verify that your debt might be statute barred.

According to the debt being reported you might want to request other papers. Give us a call on 1800 007 007 in the event that you need help with this specific.

Let’s say i really believe your debt is statute banned together with debt collector will not concur?

Your debt collector should explain why it doesn’t concur your debt is statute banned. Ring us to obtain some advice as to if the financial obligation may be statute barred.

You could have your choice for the financial obligation collector evaluated through external dispute quality more Alabama payday loans laws often than not. This can be done at no cost in the event that financial obligation collector is a part of a Dispute that is external Resolution (EDR).

In the event that financial obligation collector does concur your debt is statute banned

Make sure it is had by you written down through the financial obligation collector. Should you not contain it in composing place it on paper into the debt collector. State “I concur that you’ve got agreed the debt that is alleged statute barred. ”

Let’s say your debt collector is threatening appropriate action or has commenced appropriate action?

  1. Lodge a dispute in a dispute quality scheme (in the event that financial obligation collector is just a known user). The dispute resolution scheme will then determine the dispute; or
  2. Give us a call to have a recommendation for legal counsel to get help lodge a defence in court (in the event that debt collector just isn’t a known person in a dispute quality scheme).

What do i actually do if your debt collector includes a court judgment?

Dining Table of limitation durations by State or Territory

State/Territory Limitation duration for court judgments
Australian Capital Territory 12 years
New Southern Wales 12 years
north Territory 12 years
Queensland 12 years
Southern Australia fifteen years
Tasmania 12 years
Victoria fifteen years
Western Australia 12 years

You might feel overrun, you have choices and you can find things you can do your self. But if you think you want a little more guidance or need help quickly, just give us a call.