Dealing with Debt and Creditors in the UK
If you are being pursued for a debt you dispute, cannot afford, or believe may be unenforceable — this guide explains your rights and how to respond effectively.
Disputing a debt
Before paying any debt, you have the right to request evidence that it exists and is yours. For debts regulated under the Consumer Credit Act 1974, you can request a copy of the original credit agreement. The creditor must respond within 12 working days — the debt is unenforceable until they do.
Statute barred debts
Most consumer debts in England and Wales become statute barred after six years under the Limitation Act 1980, provided you have not made a payment or given written acknowledgement in that time. A statute barred debt cannot be enforced through the courts. Write formally to notify the creditor, and they must stop collection action.
Warning: Making even a small payment, or writing to acknowledge the debt, can restart the six-year limitation period. Do not make any payment until you have confirmed the date of your last payment.
Requesting a payment plan
If you acknowledge a debt but cannot pay in full, propose a payment arrangement based on your realistic income and expenditure. FCA guidance requires creditors to consider reasonable proposals from customers in financial difficulty.
Requesting a debt write-off
If you are in severe financial hardship due to long-term illness, disability, or unemployment, some FCA-regulated creditors will consider writing off all or part of a debt. Provide a full income and expenditure statement and any supporting medical evidence.
Stopping unwanted contact
Write formally requesting all contact in writing only, or ceasing contact while a dispute is ongoing. Persistent unwanted contact may constitute harassment under the Protection from Harassment Act 1997. FCA-regulated collectors must follow fair debt collection rules.
Free debt advice services
- —StepChange Debt Charity — stepchange.org
- —National Debtline — nationaldebtline.org
- —Citizens Advice — citizensadvice.org.uk
- —MoneyHelper — moneyhelper.org.uk