PayPal credit default / advice

Fabian9

Hi, I was ill and fell behind with PayPal credit payments. I have the relevant letters and I believe it was two payments or so. The situation was a bit worse in that I couldn’t travel to collect some letters from my home address due to quarantine. I tried to pay off some of the balance, however the account had already been passed to a debt collection firm apparently, (Wescot). I spoke with Westcot and also PayPal. My direct debit is still in place and PayPal accepted payments of around £500 or so recently.  Paypal clarified over the phone that they have passed my account to a collection agency and that unless I pay the entire balance I cannot keep the account. 

I felt that they did act really quickly as I had usually kept the account in good order so to speak. I believe it will be difficult to challenge the fact that I had not paid the direct debit for around two months, although I fully intended to pay the remains balance. Can I take this any further and with whom ?! Thank you for any ideas ...

jonesMUFCforever

Do you have the funds to repay the outstanding balance?

[Deleted User]

If you have the funds make westcot an offer, start at around 40% of the outstanding debt and do it all in writing

adamp87

venison said:

If you have the funds make westcot an offer, start at around 40% of the outstanding debt and do it all in writing

I don’t see that working here, OP has only just had this happen very recently. Also Westcot haven’t brought the debt, it sounds as if PayPal are using them as a Debt Collection Agency to chase payment.

Ideally it would need to show a great deal of time to pay back, or been sold on for a 40% offer to be accepted at this stage.

OP you could ignore Wescot & deal with PayPal, just because they have passed it to Wescot doesn’t mean they can’t accept payment. 

If they have defaulted it, then chances are they won’t reopen your account - they’d have to remove that default which is very unlikely, a default shows a breakdown in the agreement, and will stay on your file for 6 years. You would probably have to offer to pay it outright ASAP to get that removed but it’s probably 98% unlikely to happen, legally they are doing the right thing reporting it if they have. (You need to find out if they’ve passed it on or sold it. Your situation changes slightly)

Failing that your other thing is to speak to Wescot or PayPal, state you can afford what you can (even £1) a month and get the details to make the payments to get them off your back a bit. They may turn up their nose at that, but that’s acceptable for you to offer & you are doing the right thing.