Reselling Debt?

[greendykes]

Does anybody know if banks can buy's back a debt from a DCA. How do we know who actually owns our debt? I only ask this as I think this has happened to me.

[spamheed]

there are two main ways these things seem to be done.

 

A debt is "sold" by a bank to a DCA, if the DCA has all of the required documents, then they have full control over the debt and will enforce it accordingly

 

or

A debt is collected on a commission basis by a DCA on the behalf of the bank. this seems likely to be what has happened.

 

The bank will notify you to deal with the DCA, but the bank never gives up the "full title" to the debt and is still the legal owner. If for whatever reason the DCA is eventually unsuccessful in its collection, then the debt would likely be returned to the bank.

 

what leads you to believe this has happened to you?

[Seahorse]

A bank (or other lender) may "take back" a debt that has been assigned. There is usually a time limit built into the agreement between lender and buyer which allows this to happen, after which time, it's tough luck Mr Debt Buyer.

 

The reasons can vary but will usually be down to a breach of the agreement, such as the lender sold a debt that was not a "benefit" but was rather, a "burden.".

 

I'm surprised this doesn't happen more often. An individual CCA's a debt buyer, the debt buyer can't get a copy of the CCA. Therefore the debt is unenforcable. Sounds like a burden to me. So why don't more buyers turn around to the lender and ask, "Can I get my money back, and here's your useless account, Mr Banker."

[greendykes]

I was being pestered by DCA for a debt they said I owed LLoyds. I disputed this debt and CCA the DCA. All went quiet. Whilst this was going on I was actually trying to get bank charges back from the bank. It went to FO, eventually I agreed a settlement figure...then I received a letter from the bank stating that the refund had been used to clear this debt. I complained to the FO again as I had document evidence that this was being disputed AND they had sold this debt to the DCA. The FO basically said I needed to talk to the bank as they may have bought the debt back.

 

I have a thread open at the moment regarding this, I just wanted to see if anybody had come across this before. I really need help with my next move. Thanks for your advice any further advice would be appreciated:D . The thread is

http://www.consumeractiongroup.co.uk/forum/lloyds-bank/123584-lloyds-buys-back-debt-new-post.html