Statute-Barred Debt Letter
A letter to a creditor or debt collector asserting that a debt is statute-barred and that no further payment will be made.
When to use this template
Use this letter when a debt collector or original creditor demands payment of a debt that you believe is statute-barred under the Limitation Act 1980. A simple contract debt (such as a credit card or unsecured loan) becomes statute-barred 6 years after the last payment, last written acknowledgement, or the date the debt became due. A debt under a deed is statute-barred after 12 years. Once statute-barred, the creditor cannot obtain a court judgment, though the debt still technically exists.
When NOT to use this template
Do not send this letter if you have made any payment or given any written acknowledgement of the debt within the relevant limitation period — doing so restarts the clock. Do not use for council tax (no limitation period), HMRC self-assessment tax debts, student loans, or secured debts. If a county court claim has already been issued, seek legal advice immediately — you need to defend the claim, not write a letter.
Legal Basis
Limitation Act 1980, s.5 (6-year limitation for simple contract debts); Limitation Act 1980, s.8 (12-year limitation for debts under a deed). FCA Consumer Credit sourcebook (CONC 7.15) — collectors must not pursue statute-barred debts after the debtor has raised the limitation defence in writing.
Common Mistakes to Avoid
- ✗Making even a token payment or written acknowledgement — this restarts the 6-year clock from scratch
- ✗Calling the creditor to discuss the debt — oral discussions may constitute acknowledgement in some circumstances
- ✗Sending the letter before you are certain the debt is statute-barred — if unsure, take debt advice first
- ✗Confusing statute-barred with written-off — the debt still exists; it is just unenforceable
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Letter preview
[YOUR FULL NAME] [YOUR ADDRESS] [YOUR EMAIL (OPTIONAL)] [DATE OF LETTER] [CREDITOR / DEBT COLLECTOR NAME] [CREDITOR'S ADDRESS] Your Reference: [CREDITOR'S ACCOUNT / REFERENCE NUMBER] --- Dear Sir or Madam, **STATUTE-BARRED DEBT — LIMITATION ACT 1980** I write in response to your recent correspondence demanding payment of the sum of £[AMOUNT BEING CLAIMED (£)] in respect of the above-referenced account. I do not admit that I owe this debt. However, I would in any event draw your attention to the following. **Limitation** The last payment or written acknowledgement in relation to this account was made on or about [APPROXIMATE DATE OF LAST PAYMENT OR ACKNOWLEDGEMENT]. No further payment or written acknowledgement has been made since that date. Accordingly, this debt is statute-barred under section 5 of the Limitation Act 1980. More than six years have elapsed since the last payment or acknowledgement, and you are therefore unable to obtain a county court judgment in relation to this debt. Pursuant to FCA Consumer Credit sourcebook (CONC 7.15.8 R), a debt collector must not pursue a statute-barred debt once the consumer has raised the limitation defence in writing. I am therefore formally asserting the limitation defence. **I will not be making any payment in respect of this account.** You should update your records accordingly and cease all further demands in relation to this matter. If you issue county court proceedings in respect of this debt, I will defend the claim on the grounds of limitation and seek costs if I am successful. Yours faithfully, [YOUR FULL NAME] **Important note:** Please be aware that this letter does not constitute an acknowledgement of the debt.
Unfilled fields appear as [FIELD NAME]. Review the letter carefully before sending. This template is a starting point — adapt it to your specific circumstances.