How do debt collection agencies work?

Broken_hearted

Scarlett.1974 wrote: »

And your reply was a 'dig' pure and simple. Please don't insult anyone's intelligence by pretending otherwise.

If you want to take it as a dig thats up to you.

tight_jock

Broken_hearted wrote: »

They make money from those who do pay that don't take the easy way out.

Yet another totally judgemental post. I really don`t know why you continue to post on a bankruptcy board.

Are we all supposed to bow down to you because you have NOT gone BR.

There are people on here who have gone through your worst nightmare and have had no option but to use the system in place to help them. They are not breaking any laws , indeed they are using the law. That`s what it`s there for.

I suggest you go and play in the traffic................:D

Notgotapottoweein

PayPeanuts wrote: »

Most debt collection agencies make their money buy buying debts at a cut price from a bank or building society or other DCA and then collecting on them. As they buy them at a reduced price they are able to make a profit. From the banks perspective it is better to get some money from a DCA than spend time and resources collecting.

It is a highly profitable business, mostly propped up by using questionable tactics.

Questionable tactics?

tigerfeet2006

Notgotapottoweein wrote: »

Questionable tactics?

Yes the multiple phone calls, letters that are just this side of leagal, buying statute barred and unenforfable debts in the hope the person doesn't know the law and pays up etc. Check out some of the threads on DFW it's enlightening.

Notgotapottoweein

Thanks Tigerfeet

I will check them out.

Must also remember to put the gun near the front door

PayPeanuts_2

tigerfeet2006 wrote: »

Yes the multiple phone calls, letters that are just this side of leagal, buying statute barred and unenforfable debts in the hope the person doesn't know the law and pays up etc. Check out some of the threads on DFW it's enlightening.

Yep, and mostly claiming things that aren't true like you will have to appear in court, your neighbours will find out, we will come to your house - also bullying tactics like can't you borrow the money from your family and friends, pay it in three days or we'll take you to court. ETC>

In essence all banks are debt collecting agencies - they have the same rights and limitations.

Broken_hearted

Phoning neighbours to ask about you, telling the kids mum will go to jail for not paying, posing as delivery firms to get you to open the door and general bullying, have all been reported on the DFW boards.

fermi

The OFT guidance on debt collection describes what the OFT feel that debt collectors should not do.

Which means that if you read it the other way round, it's a fair description of the tactics of many DCA's.

See: OFT - Debt collection guidance

Notgotapottoweein

I shall look forward to them contacting me then.

If they haven't got a court order they are not having the car.

Notgotapottoweein

The only thing that concerns me slightly is how i tell the difference from an official document ( ie court orders etc ) to snide ones they may use?