Legal action - understanding the difference between companies?

booandboo

Hello, as the title says, Im a bit confused.

All but 2 of my debts are defaulted now and I have received a letter from Lowell who are dealing with my Shop direct debt - not defaulted yet and my Virgin money which is shown as defaulted on my credit report

As I have not acknowledged them yet the letter says they are considering legal action / CCJ, I want to start paying virgin but obviously want to wait for the shop direct to default so should I just hang on? I read on here Lowell cant legal action ?

sourcrates

Lowell are a debt purchasing company, they do not act as debt collectors for 3rd parties.

Lowell have multiple arms to their corporation, Overdales are their solicitors of choice, and yes, they can and do take legal action on occasion, if Lowell have your debt, it will have been sold to them, and will likely be defaulted already, because as far as I am aware, they only buy defaulted debts.

The letter they sent you initially should have explained the situation clearly.

booandboo

So I have had multiple letters about virgin money and its been defaulted etc, but the most recent letter has shop direct also and I cant recall anything from Lowell about shop direct. Its also not defaulted on my credit report, though I guess that could be delayed?

Should I call Lowell and ask them?

sourcrates

Lowell with always send an introductory letter to the debtor, explaining that they have now purchased your account, along with details on how to pay etc etc.

A debt does not have to default to be sold, but if the agreement is still in place, they would be charging you interest, are they still charging interest?

It would be most unusual if that were the case here.

You can write or email Lowell and ask about the accounts status, the call handler likely will not be able to answer that question for you.