DCA offer too good to be true?

Reduk054

I have been sent a letter from DCA who have offered that they will match and double any payments I make towards my o/s debt. There does not appear to be any small print or t&c's. Any advice as to how to proceed? I know it's Christmas, but am dubious, as sounds very generous.....and I don't normally accept gifts from strangers ;-)
Any advice welcome, thanks!

Tixy

Sounds very odd

-Do you currently have a debt with this DCA?
-Are you paying them a regular monthly amount at the moment? Have you paid them anything at all? (if not they may be trying to get you to reset the statute barred clock)
-Did you ask for proof of the debt originally?
-What was the debt for? (if applicable have you ever asked for the CCA - consumer credit agreement?)
-Have you done anything recently that may have made them make this offer? (such as make a full & final settlment offer?)

DarkConvict

Tixy is right, we need to know the circumstances more.
Also who is the DCA and who was the original creditor.

Reduk054

Thanks for replies so far. Here is more info...

I do have a debt with this company, and did CCA them. OC (Barclaycard) sold the debt. So DCA are now owners of debt. Had this confirmed by FOS (and all charges removed by OC).

Am making payments per month to DCA (1st Credit) as is not SB'd. This is not yet a formal agreement with them, but am (in the first week of Jan, as have a CAB meeting about this) sending an I&E along with an offer of a monthly payment.

I have not asked for any F&F.

Any more info can be supplied to help!... thanks again

DarkConvict

Well if they own the debt they will probably have paid >20% of its value for it, so they make a profit on it quite easily. if they match payments, then when it is paid off you will have paid 50%. At which point, 30%+ is probably profit.

With payments been made it is definetly not statute barred. By the way what is an OC, is this a credit card?
If it was not an overdraft, what happened to the CCA request?

Ames

OC= Original Creditor.

Reduk054

Thanks DarkConvict, OC - original creditor - Barclaycard credit card.
CCA was supplied following request. So debt not disputed, and have been making payments for years, and it was definitely not statute barred.
Its just that i have never come across such an offer, although with the potential amount that DCA paid for the debt, it still seems generous, and am very suprised! As in theory, if I could get my hands on the money (lol) then I could clear the debt?!

DarkConvict

Sounds legit, but i am still like yourself puzzled by the offer, maybe they are hoping for you to increase payments so they can profit sooner? If you have a scanner can you upload it and blank out personal details.

Have you asked 1st credit for a statement on the debt to ensure they are keeping track of the amount correctly?

p.s. thanks to you both for explaining OC So simple really

Reduk054

HI Thanks again, do not have a scanner, so can't upload.
Spoke to the CAB who felt that if I am being made this offer, then 1st c must be open to negotiation in the future so not to rush into making a decision. It is a tempting offer tho, even tho i dont have the money. Shame! One debt down would be a fab feeling!
I think that you are correct Dark Convict, that if they bought the debt cheaply, then me giving them a lump sum would mean that they are quids in! And still chase me for the remainder.
unlikely to have the money tho, so it is all hypothetical really!