Did you get a letter from Credit Limits International out of the blue and wondering if you should pay? Receiving a debt collection letter can be stressful and confusing. You might be asking yourself, ‘Do I really own this money’, or ‘what will happen if I don’t pay?’.
In this article, we’ll help you figure it all out. We’ll talk about why you might be getting these collection notices, how to check if the debt is real, and what your options are.
At the end of the article, you’ll be able to make the best solution to deal with the debt collection letter received. Let’s jump in.
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Who Are Credit Limits International Ltd?
Credit Limits International Ltd is a debt collection agency in the UK that offers services in more than 135 countries. It works with businesses to recover outstanding debts and is part of the TCM Group, the largest global independent international debt collection network.
With over 30 years of experience, they have built a reputation for efficient and ethical debt recovery. They provide a range of services, including international tracing and asset location, on-site visits to debtors, and cost-effective legal action.
Their operations are fully compliant with the EU General Data Protection Regulation (GDPR) and local laws across various jurisdictions.
What to do if you receive a letter from Credit Limits International asking you to pay debts? Should you pay straightaway or are there any procedures to follow?
Should You Pay Credit Limits International? Steps To Follow
If you receive a letter from Credit Limits International requesting you to pay your debts, you don’t have to settle them immediately. Instead, you must ask for proof of the debt first.
How do ask for proof? Write a prove-it letter requesting the agency to show evidence that you own the debt. You can get debt collection validation letter templates online.
Once you send the letter, Credit Limits International should send you a copy of an agreement or contract which shows you are responsible for the debt. If you don’t receive a reply to your letter or if they reply stating that your debt isn’t paid without proof you are not liable to pay the debt.
Keep copies and recordings of your communication with Credit Limits International as it can be useful if any legal action is taken against you.
Remember this step is crucial as many people mistakenly pay debts they do not owe.
What To Do If You Receive Proof Of Your Debt?
If Credit Limits International Ltd provides adequate proof of the debt, you need to take steps to pay it off. Ignoring the debt can lead to increased pressure, potential legal action, and additional fees.
If you’re unable to pay, there are various debt solutions which can help you to pay off your debts. Let’s discuss debt solutions later in the article.
If you need more assistance to pay your debts contact us. Our professional debt advisor team can help you.
Are you struggling with unaffordable debt?
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Before paying you must confirm the enforceability of your debt, Why and how? Read the next section to find out.
In the UK, most debts have a statute of limitations of six years, but some of them are enforceable for longer than 6 years and some are enforceable anytime.
If the statute limit of a debt is expired it’s no longer enforceable, which means you don’t have to pay it. If the creditor takes legal action the court won’t ask you to pay it.
Therefore, even if you receive proof of your debt, you must confirm whether it’s enforceable before you start to make any payments.
Consult a debt advisor or a debt charity to understand the statute of your debt. Having a clearer idea of your obligations and rights will help you to navigate your situation smoothly.
If your debt is time-barred you must inform Credit Limits International through a letter. You can use a statue-barred template sample found online to write this letter.
What will happen if you ignore the letters from Credit Limits International?
Consequences of Ignoring Credit Limits International
Ignoring letters from Credit Limits International can escalate the situation. Here’s what you can expect if you choose to ignore their correspondence:
- Reminders and Demands: Initially, you’ll receive reminders and demands for payment. These can become more frequent and urgent over time.
- Account Default: Failure to respond or pay can lead to your account being marked as default, which can severely impact your credit score.
- Debt Sale: The creditor might sell your debt to Credit Limits International or another agency, intensifying the collection efforts. This transfer can make the situation more stressful as new collectors might use different tactics.
- Legal Action: Persistent non-payment can result in legal actions, such as County Court Judgments (CCJs), attachment of earnings orders, or lawsuits. These actions can have long-term financial consequences and may affect your ability to obtain credit in the future.
Ignoring debt collection letters results in additional fees and interest, making your debt even more burdensome. Legal actions like CCJs can remain on your credit report for years, impacting your financial health. Hence, never ignore letters from Credit Limits International.
Tips To Deal With Credit Limits International Debt Collection Letters
Debt collection letters are often designed to prompt quick payment by stating about legal consequences if not paid. Hence it’s normal for you to panic when you get one. However, you don’t have to.
Below are some simple tips to follow:
- Stay calm and read the letter thoroughly. Understand what it’s saying.
- Send a letter requesting proof of your debt.
- If you receive the proof, confirm your debt is not time-barred.
- If it’s time-barred send a letter to Credit Limits International stating that your debt is not enforceable. If not, make arrangements to pay off your debt.
- Discuss with a professional debt advisor or a debt charity and find out a debt solution which fits your financial needs.
- Document all correspondence and maintain a record of your communication with Credit Limits International to protect yourself if any disputes arise in the future.
- Remember you have rights even if you are liable for debts and the debt collectors must adhere to specific regulations. So, if you feel harassed, you can file a complaint with the Financial Ombudsman Service (FOS).
What will happen if you miss debt payments?
What will happen if you acknowledge the letter from Credit Limits International and fail to make debt payments?
- If you miss one or two small payments, the collector will call you or send letters asking you to make the payment and enquire about the reason for missing the payment.
- When you miss large or multiple payments in a row, you may get more frequent calls, letters, and threats to take legal action.
- If you don’t pay even then, you’ll receive a letter about a debt collector visit. Debt collectors won’t visit you without notifying you. Also, they won’t take anything from your home and will ask for the payment only.
- Suppose you ignore the debt collector’s visit and fail to pay, Credit Limits International may take legal action against you such as filing a CCJ, lawsuit or attachments of earning order.
You don’t have to escalate the situation until legal action. If you’re in a financial crisis and can’t afford to pay the debt, be transparent and inform the collecting agency about it.
Discuss with them and find out a solution like a monthly instalment plan. You can also opt for debt solutions.
What Are Your Debt Solutions?
There are several debt solutions available depending on your financial situation:
- Debt Management Plan (DMP): An agreement to pay back debts at an affordable rate. It allows you to consolidate multiple debts into a single, manageable payment.
- Debt Relief Order (DRO): Suitable for those with minimal assets and low income. It provides a temporary freeze on debt repayments and, after a year, may result in debt being forgiven.
- Individual Voluntary Arrangement (IVA): A formal agreement to pay off a portion of your debt over time. This legally binding agreement can help you avoid bankruptcy and make repayments based on what you can afford.
- Bankruptcy: A legal process that can discharge most debts but has serious consequences, including the potential loss of assets. It’s often considered a last resort due to its long-term impact on your financial status.
You can get free guidance to select the right debt solution from a debt charity. Below are some debt charities in the UK:
- StepChange.
- Citizens Advice.
- National Debtline.
Making A Complaint Against Credit Limits International
When researching Credit Limits International reviews, you’ll find mixed feedback. Positive reviews often come from clients who successfully recovered their money, while negative reviews typically involve debtors who felt harassed.
Source: Trustpilot
As a debtor, you have your rights and it’s important to understand them.
If you feel that Credit Limits International has acted inappropriately or violated any guidelines, you have the right to file a complaint.
Here’s how you do it. Start by addressing your concerns directly with Credit Limits International. If unsatisfied with their response, escalate your complaint to the Financial Ombudsman Service (FOS). They will investigate and, if your complaint is upheld, you might receive compensation.
Document your interactions and complaints properly to strengthen your case and lead to a more favourable outcome if any disputes arise.
Ready To Deal With Credit Limits International?
Credit Limits International Ltd is a UK-based debt collection agency. When you receive a letter from them to pay off your debts, first you must ask for proof that you own the debt. If you don’t receive proof you’re not liable to pay it.
In case you receive proof, check if your debt is time-barred. If not, take the necessary steps to pay off the debt. Never ignore letters or calls from Credit Limits International as they can escalate the situation resulting in legal actions.
Communicate proactively with the collectors to solve the issue without any stress. If you are unable to pay the debt opt for a debt solution. Do you need more guidance to pay off your debts? Fill out this online form and our Money advisor team will contact you.
Key Points
- Credit Limits International Ltd is a leading UK debt collection agency which is a part of the global TCM Group, specializing in both domestic and international debt recovery.
- When you receive a debt collection letter from Credit Limits International, you have the legal right to request proof of the debt before making any payments. Use a ‘prove-it’ letter to demand evidence such as a copy of the original agreement.
- If proof is provided, consider debt solutions like a Debt Management Plan, Debt Relief Order, or Individual Voluntary Arrangement. Consult a debt advisor or a debt charity to choose the solution best suited to your financial situation.
- Ignoring debt collection letters can lead to increased pressure, additional fees, account defaults, and legal actions like County Court Judgments (CCJs), attachment of earnings orders, or lawsuits.
- In the UK, most debts have a statute of limitations of six years. If this period has passed, the debt may no longer be enforceable. Verify the enforceability with a debt charity before paying.
- If Credit Limits International acts inappropriately, file a complaint with them first. If unresolved, escalate to the Financial Ombudsman Service for investigation and possible compensation.
- Engage proactively with Credit Limits International to resolve debt issues without unnecessary stress. Proactive communication can help avoid legal and financial repercussions.
FAQs
If you receive a letter from Credit Limits International, first read the letter carefully and understand the terms and conditions. Next, send a letter requesting proof that you own the debt. If you receive proof of your debt, make the necessary arrangements to pay it off. In case you can’t afford the debt, consider debt solutions. For more guidance contact a debt charity or a debt advisor.
To verify if a debt is legitimate, request proof from Credit Limits International Ltd. They must provide a copy of the original agreement or contract that ties you to the debt. Review the documents carefully to ensure they are accurate and correspond to your records. If you have any doubts, consult a debt advisor for assistance.
Credit Limits International can take several legal actions if you ignore their demands. County Court Judgment (CCJ), attachment of earnings order, or lawsuit are some of them. These can lower your credit score, affect your financial situation, and lead to long-term negative consequences.
Yes, you can make a complaint if you believe Credit Limits International has acted inappropriately or violated guidelines. Start by addressing your complaint directly with Credit Limits International. If they do not resolve your issue satisfactorily, escalate the complaint to the Financial Ombudsman Service (FOS). The FOS will investigate your complaint and, if upheld, you might receive compensation. Document all interactions to support your case.
Several debt solutions can help you manage and resolve your debts. These include a Debt Management Plan (DMP), Debt Relief Order (DRO), Individual Voluntary Arrangement (IVA), and bankruptcy. Consult a debt charity or a debt advisor to determine the best option for your circumstances and provide support throughout the process.
