When does prescription start running
The legislation does not define the date prescription starts, rather it states that ‘after the appropriate date’ prescription is started. The issue of when prescription begins has been argued in court many times. Caselaw exists and can be useful.1See, for example, PRA Group Ltd v MacPherson [2023] SC EDIN 21, available at In general, for credit cards, loans and other consumer credit debts, the appropiate date is the date a default notice is served under the Consumer Credit Act 1974 (CCA 1974).
Where the debt is not covered by the CCA 1974, it is when the creditor makes a demand for the total sum owed.
For rent arrears, it is usually when the last instalment was due or appropriate legal action commences.
Establishing when prescription begins to run can be complex. It is often not straightforward and can depend on a number of factors, including the type of debt and the terms of the contract the client entered into.