Debt Collection Agency often comes under scrutiny for employing questionable tactics when they pursue your outstanding debts. They usually come into the picture if you’ve defaulted or ignored several payments. They have purchased that debt from your creditor, allowing your creditor to regain some of the owed monies. After this, they will often inflate the cost of the debt and attempt to regain the monies and then some. There are certain things which debt collection agencies such as Moorcroft Debt Recovery can and cannot do, as laid out by the Financial Conduct Authority (FCA.)
Unfortunately for consumers and people who’ve found themselves in debt, the FCA have somewhat limited resources and it’s often unrealistic for them to get involved in individual cases where debt has become an issue, or a consumer expects that a Debt Collection Agency may be pushing the boundaries of what they’re legally allowed to do in order to get you to pay your debt.
In the past, we’ve heard many stories about ill practices being carried out by various debt collection agencies. One important thing to remember is that a debt collector is not the same as an enforcement agent or a bailiff. Debt Collectors have absolutely no special powers. The may contact people via phone, email, text or even in person at a person’s address.
If you’re worried about home visits, then it’s important to know what a debt collection agency can and cannot do.
What Debt Collection Agencies can do:
- Visit your home
- Speak in a discreet manner about your debt and attempt to establish a payment arrangement
- Ask you to make a payment to them
What Debt Collection Agencies cannot do:
- Visit you at work
- Act threatening or intimidate you, cause a disturbance
- Force their way into your home or refuse to leave
- Take your belongings or clamp your car
- Pretend they’re a bailiff or enforcement agent
- Speak to your family or friends about your debt
If you think that the debt collection agency which has been in contact with you has violated any of the above terms, you can submit a complaint against them. They will often be part of trade bodies such as the Credit Services Association where a code of conduct sets out the standards that their members are expected to meet.
If you are having problems with collection agencies find out here how to stop further action.
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