Right to offset when debt passed to DCA?

BlondBoy

Hi there

Quick and (I hope) simple query - if a bank debt has been assigned to a DCA, does the bank still have the right to offset?

My situation - defaulted on a loan to Sainsbury's Bank and in the process of starting a DMP with Payplan, but have current account with the Halifax, with cheque book and debit card. Obviously would want to retain the latter if at all possible - credit report now probably looks gruesome and even basic accounts may be a trial.

Sainsbury's have pushed the debt out to Blair, Oliver and Scott, which I know is still an internal move within the HBOS group. But if they decide to sell it on to an external DCA, would the right to offset still apply, or does it disappear when the debt goes out of house?

Thanks all in advance


Chris

rog2

I think that they would try to offset the debt whilst it was still being handled by their internal dog-team.

BlondBoy

Thanks Rog2.

That's what I feared. Bizarrely, hoping against hope that they will sell it on to someone like Moorcroft. If they do, does the right of offset then disappear? ie can continue with the Halifax with no fear of a sudden smash and grab?