BW Legal - The Money Shop

Lauren212

Hi all

hoping for a bit of clarification!

My partner has a debt which originated from The Money Shop and payday Uk. He is currently paying this back via BW Legal. I have since heard these companies no longer exist. 

My question is should he still be repaying this debt?? Where is the money going to??

i queried this with BW Legal and got the following response - just want to check this is definitely correct!
‘I can see this balance is made up of two matters one originally for with the money shop and one with payday U.K. The client is PRAC as the debt was sold to them and so the trading status of the original creditor has no impact on the balance that remains outstanding.’

candiii

May need to be moved to the appropriate forum, but...

My understanding is your partner defaulted on the original loan agreement/agreements therefore the loans were sold onto a debt collection agency, either PRAC or BW Legal, to recover the monies owed. The company (ICL aka Instant Cash Loans traded as Payday UK, The Money Shop and Payday Express) have entered into liquidation, however, your partner is still liable to pay the debt

By what BW Legal have said, it would appear that PRAC own the debt now and the money should be going to them instead

mwarby

Even if there was no default, when a company goes into administration or liquidation the IP will look to sell the loan book, the debts aren’t simply wiped out