Debt sold to collectors: is the bank authorized? What if the debt is sold to the collectors?



Frequently now in the event of default, it turns out that the debt is sold to collectors. In fact, this is a fairly common practice, especially in Russia. Applies indiscriminately to everyone. It is exactly this behavior that causes fear, panic, and apathy among the citizens. Why? Collection agencies are not always legal and human.

You are faced with a task: with all your might, no matter what, to free debt from the debtor. And everything, down to the last cent and even in a very short time. Can you sell the debt to collectors? How legal is that? What awaits you in such a case and how do you deal with this situation? All that further. 

Is there a right?

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It is worth starting with the legality of the process. Because if the bank does not act in accordance with the law, you can prove it and, as the saying goes, stay in the black. That means you can protect your rights. This is completely normal.

Sold debt to collectors? The legality of this lawsuit cannot be said exactly. If this is advisable, read the terms of your loan contract carefully. Why? Because all points are prescribed that can worry both the borrower and the lender. Therefore, read the document carefully before signing it.

Often you can see the point right, transferring debt to third parties. This is exactly what the legitimacy of action indicates. Can a bank sell debt collection agencies? In the presence of such a mention – easy. In addition, this type of event is considered legal. If the specified object is not contractually prescribed, it is simply impossible to transfer the debt to someone.

When

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Sorted out more or less by law. What’s next When, for example, are you afraid of a collision with collection agencies? After all, someone suffers from them, but someone doesn’t. At the same time, however, both the first and the second group of people are in debt.

Can you sell the debt to collectors? Easy and legal. Just take a close look at the contract terms. When exactly can I face this problem? There are certainly no algorithms and recommendations.

Ultimately, it depends on the bank. They usually start communicating with collectors after the debtor has already accumulated a decent debt. What? This is already decided by the bank alone. Someone collectors can come after the first month of delay and someone generally doesn’t pay for years and isn’t afraid of anything or anyone.

In principle, often with malicious offenders, start fighting overdue in about 2-3 months. No matter how much was accumulated. Collectors appear much less frequently 3 years after the occurrence of debt. Such cases are perhaps the most legitimate. But unfortunately, they are almost unreal. In practice, the banks only run to collection agencies after the first delay in payment.

Here is the news!

It’s true, not everything is as easy as it seems, at first glance. The main advantage of banks and credit institutions is that the transfer of debt to third parties does not require the borrower’s approval. That said, the news about this event may come as a surprise to you.

Does the bank have the right to sell the debt to collectors? If the contract contains a clause on the transfer of obligations to third parties, this is the case. And legal. Otherwise, your rights will be violated. But in practice, few people care about it. It often turns out that the debtors learn about the resale directly from the debt collection agency. That means the banks act as they see fit. Although it would be worth warning the citizens. And not just for their own sake, but to protect themselves from certain consequences. However, they do not do this on principle but surprise the debtors by communicating with the debt collection companies. 

I will not pay

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Bank sold debt to collectors? What to do? Don’t panic to begin with. The mere mention of debt collection agencies often leads to apathy for citizens. Do not do that. Calm down first and try to understand that not everything is as scary as it seems. Despite the fact that the bank has transferred the debt knock-out to third parties, you have your rights. And they can be edited.

First, you are entitled to a new lender requesting all documents confirming the transfer of debt as well as regulatory measures by a company. That means you have to provide proof of the transfer of collection rights.

Until the collectors do this, you cannot legally pay. In reality, such companies usually don’t care about paperwork. So it is likely that the bank and the collectors will act amicably without supporting documents. Just don’t pay in a similar situation. You have the right to do so.

Expectations

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What if the debt was sold to collectors? The second plea is to file claims. This is only relevant if you had this in relation to the bank organization. That means you can complain about the collectors. 

Remember, this behavior is scary for many. After all, debt collection companies are not bank employees at all, in Russia it is a real business that has its own unspoken rules of conduct. Often the usual complaint from the debtor can be a lot of trouble. And all of this is due to the fact that the work of collectors is not always legal. They are also starting to prove the illegality of this business in Russia more and more. So don’t be afraid to complain.

Easier to pay

Is your debt sold to collectors? Some citizens believe that in this situation it is easier and more logical to gather strength and pay off debts. And with everyone. So that everyone is behind you and you can live in peace.

This is basically an option. Especially if you have the option to pay bills. Why? Because only a lack of debt distracts collection agencies from you. In practice, however, this technique is used extremely rarely.

Why? It’s all about the activities of debt collection companies. Most of the time, debtors either have no real way to pay for one reason or another or simply want to protect themselves. At the same time, the collectors knock out money with all their might and violate their rights. Then why do you have to pay? How can you be in this situation? 

Is the camera with you?

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Is your debt sold to collectors? How should I be now Generally it’s up to you. In practice, however, debt collection agencies often act illegally to intimidate the debtor and clear his debt. Regardless of his life situation. This is wrong and illegal. You have to protect yourself.

Therefore, always carry a video/photo camera with you and a dictation machine. And generally, anything that can prove a violation of your rights. The main activity of collectors in debt collection is nothing more than damage to the property of others. Try to record all such violations and also provide witnesses. You never know you will need it.

The main thing – do not pay the bills immediately. If you break the law, you cannot pay. Instead, the remaining complaint is “where should” to assert their own rights. This practice was not as common a few years ago, but such events have been occurring more and more recently. 

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