Hold letter to creditors 

About sample letter A 

sampleletter_A_Hold_letter_to_creditors (docx)

When to send this letter 

Send this letter to each creditor when you need to: 

• Give yourself time to prepare a financial statement
• Get financial details about your debt and payments  

Always keep a copy for your records. 

When to get legal advice 

Get legal advice if you think: 

• You may not be liable (responsible) in full for a debt that is being claimed by a creditor  
• You think your debt may come under the statute of limitations law. 

Check you owe the debt 

• Read more about checking if you owe the debt. 

Each member of the couple should sign 

If you are writing as a couple, make sure you both sign the letter. 

Terms used in this letter 

You’ll notice towards the end of the letter that we use two technical terms.  

‘Statute barred’ and ‘without prejudice’. It’s important to use these term as they have legal meanings.  

Statute barred refers to the legal time limits a creditor has to pursue you through the courts for a debt. This is usually 6 years. This can be used as a defence in court but does not make the debt go away. 

We use the phrase ‘without prejudice’ to show that you are making this offer in a genuine attempt to tackle your debt. Using this phrase means that your creditor cannot then use this letter in any future court action if that occurs.