debt collection agency

[jules78]

Hi,

Just some advice please - can a debt collection agency charge interest on the debt?

[Seahorse]

Not if you dispute the debt. Do you?

[jules78]

thanks

[allykat]

Hi Jules,

have the DCA already been applying the charges to your account? Or have they just threatened that they will?

I had something similar happen so before I sent out a CCA request, harrassment by telephone letter, etc, I gave them an income & expenditure report and they agreed to reduce the monthly payment to £30. (temporarily)

As long as you do things right and make token payments every month I'm sure it'll be fine. They shouldn't be damanding money though as long as the account is in dispute.

There's loads of info on this site including template letters for everything! Including the account in dispute letter you can send to the DCA to get them off your back for a bit

Please don't be rash in making a big decision like re-mortgaging your house, good luck

[dx100uk]

you have to sent an Subject Access Request to the CC co. then the a/c will be in dispute. tell the dca they should pass it back to the CC Co. unless they have brought the debt outright [which i doubt unless it is old]

what you need to do is look at the final balance on the a/c when you get the statements back, that should then tell you what the dca is adding themselves [though i doubt this - i think it is interest & late fees etc]

however if it is dca fees then Subject Access Request them as well and get that back.

but i would contact the oft as well, it is outrageous they are pressuring you to remortgage! its a civil debt!

get the Subject Access Request sent out to the CC NOW!
as soon as you do write & tell the DCA, & get them off your back.
advise the cc that you are going to make a token paymnet of £XX PCM [£25?] direct to them.

please remember they are a DCA, THEY HAVE NO POWERS!!!
treat them like human phone chasers

start a thread in the correct forum for the CC and have a read

dx100uk

[jules78]

Thanks very much for the advice.

[jules78]

Should have mentioned - I have already sent a Subject Access Request request to the CC company and I have recieved the statements. I have now sent them the letter to request my charges back I enclosed a list of all charges. I have recieved and acknowledgment letter from the CC company saying that they have recieved the letter but it may take up to 28 days to respond to me.

So should I be letting the DCA know that this is what is happening?

[pmhcfc]

Originally Posted by jules78

Should have mentioned - I have already sent a Subject Access Request request to the CC company and I have recieved the statements. I have now sent them the letter to request my charges back I enclosed a list of all charges. I have recieved and acknowledgment letter from the CC company saying that they have recieved the letter but it may take up to 28 days to respond to me.

So should I be letting the DCA know that this is what is happening?

Who's the DCA ?

[dx100uk]

Originally Posted by jules78

Should have mentioned - I have already sent a Subject Access Request request to the CC company and I have recieved the statements. I have now sent them the letter to request my charges back I enclosed a list of all charges. I have recieved and acknowledgment letter from the CC company saying that they have recieved the letter but it may take up to 28 days to respond to me.

So should I be letting the DCA know that this is what is happening?

yes.
write them and tell them it is in dispute.
tell them you will no longer be making payments to them, but direct to the CC. now what was the bal before it went DCA? and is the dca bal greater than that?
oh and stick to YOUR timetable for reclaiming!

40days from them getting list...
how long is it now....time for LBA yet ?

dx100uk

[fetsilva]

there's so much information on this site but i'm sure i read somewhere that a DCA is not allowed to add charges to your account as you havent signed anything with them and if they do you are entitled to ask them to remove them.

hopefully someone will come along and agree/ disagree with me asap

fet x

[Varangian3]

Hi folks

I have experience of perhaps 6 dealings with various DCAs. In no case has anyone tried to add interest, and I was even told once that "there would be no more charges added". They buy these debts at a shockingly low rate (perhaps under 20%) when they have been written off, and chance their hand that they can intimidate people into paying the full amount of the original quickly, so they make something like 400% profit for strong-arm tactics and lies. A nice little earner.

I always say to people that they should try to clear the debt by playing hardball. Thye rarely offer settlement of less than, say 75%, but in fact even a 50% quick settlement is good business, so start to haggle at no more than this and play hard. If they think they can settle quickly they will accept a lot less rather than risk dragging out the debt for years with a lot of hassle (well I give them a lot of hassle anyway!).

I recently had a charging order placed on my house by one, and the wording of the documents was ambiguous about the option for adding interest to the debt. They did not file for this, and it was not granted, so even though I will drag this out as long as possible, there was never any attempt to add interest on. I suspect that even if a court hearing was asked to consider adding interest, you could fight this easily by demonstarting the extra hardship and unjust nature of the request, given the other profit margins. Judges are generally in collusion with DCAs against the victims, but in this case I think they could be persuaded to strike an interest request out.

Hope this helps

Varangian Guard
take no prisoners

[pmhcfc]

Originally Posted by Varangian3

Hi folks

I have experience of perhaps 6 dealings with various DCAs. In no case has anyone tried to add interest, and I was even told once that "there would be no more charges added". They buy these debts at a shockingly low rate (perhaps under 20%)

Perhaps under 20%? There's no 'perhaps' about it...20% is a lot for a DCA to buy a debt for...I think you'll find the figure is between 1% and 10%.