Beware of letters reminding you of debt after several years

I read on Facebook the post of the Association Voice of Entrepreneurs by an ‘anonymous participant’ (as it is written) asking for advice due to a possible fraud against his parents. This concerns a potential practice known as ‘APP’, or ‘if it passes – it passes’, which has always existed and will always exist. Of course, no one can help him much, except with good-natured advice, so I will also join such advisors​.

The anonymous participant (that’s what we will call him) did not share any paperwork, which is why no one can give him valid advice, but he did mention which companies are involved. We will not name them precisely because we do not have insight into the documentation. As our Anonymous writes, his parents had a business that they properly closed five or six years ago. While they had it, they bought a car on leasing, and it was paid off even before the business was closed. A few days ago, the parents, as well as our concerned Anonymous, were disturbed by a letter that recently arrived at their address stating that the closed business owes 320 euros in principal and even 1100 euros in interest for that car.

Asking for help

Namely, the company from which the car was purchased on leasing has since gone bankrupt and has been liquidated, and the claims were sold to another company. Allegedly, the liquidated company did not close the claim against Anonymous’s parents, so the assignee sent them a letter requesting payment of the debt. The letter also stated that certain security instruments ensuring the complete and timely fulfillment of these rights and claims were also assigned along with the claims to the assignee company. Additionally, it states that this assignment does not place the car buyers in a worse position than they would have been in had the assignment not occurred, while the sender of the letter appeals that in case of any questions, they should contact the company that took over the claims.

Anonymous is asking for help because his ‘parents are distressed a hundred an hour’ and is asking how to proceed. He believes that there is a data leak because the correct leasing contract number is mentioned, but everything else in that letter is ‘if it passes – it passes’.

One of those who joined the discussion believes that if there really is a debt, they would not wait so long, but would immediately start collecting it. Since five years have passed and no one has contacted them, even if the debt existed, it is subject to limitation. Another participant advises that they should just invoke the statute of limitations if three years have passed. He had, he writes, a similar case with a leasing company (name known to the editorial staff). Namely, although all security documents were returned and a confirmation was issued that the car was paid off, after five years he received a letter stating that he owed three hundred euros for unpaid leasing. He emphasizes that the claim was also transferred to some agency through assignment, but he simply resolved everything with a letter to the company that was claiming money, stating that if the debt exists, it is subject to limitation.

Let them sue if they dare

These are good arguments; however, I would also advise, like some participants in the discussion, to check the complete documentation because you never know if you accidentally missed a payment. This happened to me a few months ago. I was convinced that I had paid the leasing until I received a reminder, when I realized that I had not done so. Anonymous’s parents can request documentation from the bank/institution that issued and closed the leasing, as one participant in the discussion states, adding that if they do not have it, they should contact Fina. It is essential to verify the authenticity of the documentation, so if it is a scam, as Anonymous claims, then there is nothing to fear. Let the company that took over the claims sue his parents, and everything will quickly collapse in court. Of course, if there is even going to be a lawsuit, because who is crazy enough to sue if they have no argument.

Despite everything, I feel sorry for the parents because, regardless of the empty gun with which they are threatened, it causes stress and anxiety in older people, and with such a letter about the alleged debt, the company that sent it has already caused damage. 

POST SCRIPTUM

Here we have written several times about how various companies offer new entrepreneurs services for registration in some of their registers. Allegedly, this has escalated. These registers are pure nonsense, serve no purpose, and invoices for inclusion in them are sent with a cover letter that is worded in such a way that the newly established entrepreneur cannot understand whether they are obligated to pay it or not. And this time I will say: use those letters to light the grill, peel potatoes, or simply crumple them up and throw them in the paper container.