Lowell, can they track me?

sourcrates

Lensman wrote: »

The "unknown reason" is the Law of Property Act (1922 or 1925, the latter I think) which allows them to purchase the rights and duties to the debt. Not the debt itself.

It is well established practice and not something I would advocate banging your (or anyone else's) head against.

"Purchase of the debt for a reduced amount" is a misconception. That leads to a common misbelief that the amount paid for those rights is a true reflection of the value of the debt. It isn't.

The law is clear that someone possessing the rights to the debt can claim the full amount.

I truly wish it was not so. Someone who pays 20% of £1,000 should only be able to collect £200 in my opinion. But that is not the way the system works.

I understand the law regarding this matter, I just don't agree with it :wall:

eyeopener2

Lensman wrote: »

I truly wish it was not so. Someone who pays 20% of £1,000 should only be able to collect £200 in my opinion. But that is not the way the system works.

This is why I get so angry with the moral police saying "you borrowed the money, so pay it back".

Where's the morality in paying £200 for a £1000 debt but collecting (or trying to :cool: ) the £1000? There isn't any.

So to me, you fight them every step of the way. Be awkward, be a pain, use the law of statute, use whatever is in your Canon to win.

No morality in money, and no fairness.

Harumph.......back to Elbow at Glastonbury. :T

BillJones

sourcrates wrote: »

The fact they can buy your written off account for a few quid, then proceed to chase you for the full amount, does not sit right with me, although it is legal (for some unknown reason).

It's pretty obvious why it's the right thing, if you'd just give it a few moments thought.

Banks specialize in lending money, they do not specialize in spending their time chasing people who welch.

Having DCAs allows banks to lend to people cheaper than they otherwise would be able to.

This can only happen if DCAs are willing to buy the debts. They would not pay as much, and may pay nothing at all, if they could not then reclaim the full amount lent.

Why on earth would you get away with your debts just because someone came to he end of their tether, and decided to pass it to someone better able to collect?

BillJones

eyeopener2 wrote: »

Where's the morality in paying £200 for a £1000 debt but collecting (or trying to :cool: ) the £1000? There isn't any.

So, in your world, if they pay £200 for it, and they can at best collect their £200 back, but sometimes get less, then why would they pay £200 for it?

If it were not for DCAs ability to recover, then all of your loans would be far more expensive in the first place. You'd quite likely find credit denied entirely.