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VIC Owed Money - 10 Years Too Late to Collect Debt?

Discussion in 'Debt and Bankruptcy Law Forum' started by KATRINA DAROS, 5 September 2014.

  1. KATRINA DAROS

    KATRINA DAROS Member

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    I lent a friend money as a personal loan 10 years ago. Is it too late for legal action to collect the debt?
     
  2. Rod

    Rod Well-Known Member

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    Have any repayments been made in the meantime and can you prove it? If yes, when was the last payment made?
     
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  3. KATRINA DAROS

    KATRINA DAROS Member

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    Yes the last repayment was approx 8 years ago since then I have consolidated the debt to my mortgage
     
  4. Sarah J

    Sarah J Well-Known Member

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    During this time, have you send any demand notices? If yes, has the debtor responded confirming the debt owed?

    Generally, the statutory limitation for starting action for claiming a debt in court is 6 years from the date the debt falls due. This may be "refreshed" where you send the debtor a notice to claim and the debtor affirms the debt, or from when the debtor last made payment: Limitations of Actions Act 1958 (Vic) s 5.

    Read: "Do I have to pay an old debt" by the Consumer Action Law Centre.
     
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