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£86 phone bill debt becomes £766 in 4yrs. Is this fair?

Hi guys, Need some advise.
Had a phone bill outstanding which was passed on to a debt collection agency (Moorcroft). I was paying off this phone bill and was now left only to pay £86.48. This was in October 2005. By that time I had soo many financial problems that I sunk into a hole and hide away from the debt.(lesson learnt).I moved house quite often and forgot about the £86 debt. I am currently on a DMP and sort of managing. But just recently had a letter from a debt collection agency (Roxburghe) claiming the amount now to be £766.00. I spoke to the one call operator from the debt collecting agency who informed me that this had been sold on to them by 3G Hutchinson and on speaking to 3G they told me this was sold onto HFO(whom I have never heard from) and I am assuming sold it to on to Roxburghe.
My main thing is how it came to this humongous amount? Is this possible or fair at all? I know they have they fees and all that but a whole £680 profit?? I am also wondering if the payments I made to the 1st debt collecting agency, Moorcroft were even passed onto 3G?Any advise would be much appreciated guys.
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