Debt collectors acting on behalf of the creditor
If a creditor is finding it difficult to collect a debt, they might pay debt collection agencies or debt collectors to contact you instead.
If they do not tell you the debt has been sold, then they are working for the original creditor. This means the original creditor still owns the debt.
Learn more about what creditors can and cannot do.
What's the difference between bailiffs and debt collectors?
The most important thing to know is that a debt collector does not have any special legal powers to collect a debt. But a bailiff does.
Read our guide to bailiffs and debt collectors to find out more.
How will I know if my debt has been sold to a debt purchaser?
Your original creditors need to tell you when they sell your debt.
You will also get a letter from the new owner of your debt.
This letter should:
- Explain who the new owners are
- Include the name of the original creditor
- Usually include the account number of original creditor
- Explain where your payments should now go
If you are not sure which debt has been sold, contact the debt purchaser to ask.
If you are not if you this is a real letter, call your original creditor to check.
You will probably get phone calls from the debt purchaser too.
- Make sure you tell them your situation and what you can afford to pay.
- Do not let them pressure you into making payments you cannot afford.
If you are contacted by debt collectors or told your debt will be sold, you should get debt advice as soon as you can.
Take two minutes to answer a few simple questions, so we can understand the best way to help you. Or you can contact us here.