Debt Collection UK, Help and Advice, Personal Collection Proceedings

Do I have any rights when it comes to debt collection?

"There is a process that every personal debt must go through if followed compliantly by the respective Debt Collection Company"

With regard to debt collection you do have rights but remember you are also bound by terms and conditions of business set out by your particular creditors at point of sale of your finance / credit agreement.

Why does it feel like I'm being bullied?

With regards to phone calls from creditors, they are training their staff every day to get as much money in as possible. This process can not always be a pleasant one, they do not know you, have never met you, nor are they likely to. In fact, you mean nothing to them, possibly a bonus if they get some money from you over the phone!

What can I do about my situation?

Debt collection advice is available from a debt specialist who can assess your current situation for you and advise you impartially. What ever you decide, DO NOT pay for debt advice or debt help along the way!

It is imperative that you understand that the credit companies are limited businesses that are reporting outstanding profits year after year. This is due to people just like you, borrowing money that one day has to be paid back. The rates of interest and periods of contracts are worked out well in advance of the banks and credit companies launching their products for sale.

What can be done about rogue debt collectors?

The Office of Fair Trading has recently adopted a tough new approach to rogue debt collectors, describing it as much needed and long overdue action to protect vulnerable people in debt.

Citizens Advice Head of Social Policy Teresa Perchard said;

“In our experience unfair and heavy-handed debt collection practices are the most persistent and most damaging area of malpractice in the consumer credit field. The regularity with which they occur and the human suffering they cause are difficult to overstate. These practices are not confined to small collection companies, but are widespread throughout the credit industry."

“All too often, vulnerable people on very low incomes with problem debts face a barrage of threats designed to bully, frighten and intimidate. Incessant letters, phone calls and sometimes visits are all designed to persuade borrowers to prioritise a particular account over and above everything else. This does nothing to encourage a sensible resolution of multiple debt problems and often leads to further borrowing and an increase in indebtedness."

The OFT warns any debt collectors ignoring guidance they discover using dishonest tactics and harassment risk losing their licence.

If you need help or advice about debt collection, submit your details or call our free helpline now and one of our trained advisors will call you back at your convenience.