How do debt collecting agencies work?

MicheH

The only dealings with DCA was when Powergen very kindly decided I was a customer of theirs and insisted I owed them money. The DCA I was ultimately passed onto were very very harsh to deal with.

We've not had to deal with DCA re BR because we faced up to it before we had to go down that road.

I was wondering how it works though. Does the debt get bought by the DCA who then have get the money which is why they can come across as hard? If so who loses out in the end, the creditors or the DCA.

Sorry, I've read this post and I don't think i'm being concise enough. I'll post anyway and see if any one gets my jist! lol

mustbedebtfree

MicheH wrote: »

The only dealings with DCA was when Powergen very kindly decided I was a customer of theirs and insisted I owed them money. The DCA I was ultimately passed onto were very very harsh to deal with.

We've not had to deal with DCA re BR because we faced up to it before we had to go down that road.

I was wondering how it works though. Does the debt get bought by the DCA who then have get the money which is why they can come across as hard? If so who loses out in the end, the creditors or the DCA.

Sorry, I've read this post and I don't think i'm being concise enough. I'll post anyway and see if any one gets my jist! lol

A DCA buys your debt from a bank or supplier etc for a fraction of the cost EG 30p for every £1

Any money they get back is then theirs i believe so i would have thought that they would loose out, which is why they are so determined to get the money back