We will buy your debt

[The Major]

Advert in today's News of the World we will buy your debt, from an outfit The Trusted Group, Sell your debts on in a month, sounds iffy to me anyone heard of these, you have to pay them £250 for each debt they buy plus 10 per cent is this something new I did not think you could sell your debt without the creditors approval

[MelanieGiles]

My NOTW has not yet arrived this morning. Are they suggesting that people sell their debts and then the purchaser takes on all future payments for £250? What acceptance criteria are they quoting? It wouldn't work as you correctly assume that the agreement of the lender would be required.

[The Major]

It's on page 56 under loans and finance they have a web site and are looking for agents to promote the scheme if your debt is not taken on you get a refund, then why do you have to pay up front is my question

[MelanieGiles]

I'm just sending hubby to the paper shop and will read this later on. Thanks for sharing this with us - I might even mystery shop them tomorrow!

[plasticdaft]

Go get em Mel. Seriously who do these clowns think they are??

Paul

[Adam Davies]

Hi
Sounds the next unenforcable credit agreement style "scam"
No one can buy your debt and render you free of the liability.
I guess they may well collect many hundreds of thousands of pounds in fees, produce no successful cases and make no refunds.
Regards

[kallis3]

I'm sure they have had hundreds of calls already from people wanting to write their debts off.

[31101932]

Do not some creditors sell debts on to collection agencies aand the like for only a small percentage of the amopunt owed?

This organisation may buy such debts from the bank for 5% and fund this from the 10% the creditor pays.

However, I think that the collection agencies paid 10-20%, so this may not be a viable business model.

[kallis3]

This just sounds like a plan to fleece people out of several hundred pounds with no result to me.

You might be able to get a proportion of your debts written off but you can do that by direct negotiation with your creditors yourself for no charge.

[The Major]

The theory on their website says that the client pays up front £250 per creditor plus 10 per cent of the debt and can use existing credit to do so, so if a debtor owes £50000 to 8 creditors that's £7000 up front to the company I cannot imagine any debtors would be able to get their hands on that sort of money anyway, however it's in the News of the world do not they have some responsibility to their readers

[kallis3]

I suppose they are interested in the revenue from the advertising and I doubt they're bothered about their readers.

I'd be very surprised if anyone would manage to get anything written off and the company is several thousand pounds better off.

[MelanieGiles]

Given that Martin Lewis the moneysavingexpert is a feature writer in the NOTW - it will be interesting to see if he latches on to this. Could be embarrassing for the paper!

[plasticdaft]

The theory on their website says that the client pays up front £250 per creditor plus 10 per cent of the debt and can use existing credit to do so, so if a debtor owes £50000 to 8 creditors that's £7000 up front to the company I cannot imagine any debtors would be able to get their hands on that sort of money anyway, however it's in the News of the world do not they have some responsibility to their readers

You have to laugh,so they suggest that someone in debt takes on more debt to get out of debt!!!

Pity some folk are gullable enough to buy into it.

Paul

[kallis3]

So you'd need a loan to pay off your debts - isn't this how we all got into trouble in the first place?

[Adam Davies]

Hi
Yes you would think that the paper would take reasonable steps to ensure adverts are bona fida.
The debt will always belong to the debtor so I can't see how paying just ten percent of the balance to this company can help ? The creditor will surely not accept just ten percent of the balance without hundreds of letters,calls and legal action
Regards