Claim form/letter received from Lowell (PayPal) – help and advice needed please

[NatthajakH]

Hi all,

First-time poster here. A quick background on my situation: a few years ago, being young and financially illiterate, I unfortunately got myself into default with PayPal. I started to repay this debt over the past few years and have now reached the point where I only have around £662.64 left to pay off. I was scheduled to repay the final outstanding balance in March 2026.

PayPal has a system where they schedule repayments every six months and I have to reach out to them, asking the usual questions—whether I’m in a good financial position and if the repayment is still affordable. After answering yes, they confirm the repayment schedule for the next six months. I have an email chain with the PayPal Credit Team discussing this.

My last conversation with the PayPal Credit Team via email was on 8 September 2025, where the scheduled payment was confirmed. In the same email chain, I asked about the remaining balance, and on 9 September 2025, they responded stating I had £962.64 left to pay. Payments normally come out on the 1st of every month.

However, today, Wednesday 26 November 2025, I received a letter from Lowell stating that they bought my debt from PayPal on 30/10/2025, and that the outstanding balance is £1,009.97 and the usual information on how to pay... The letter, dated 20/11/2025, read:

“We just wanted to let you know that on 30/10/2025 we bought your Pay in 3 Loan account(s) from PayPal UK Ltd and PayPal (Europe) S.A.R.L. et Cie, S.C.A.”

They also attached two separate papers containing what appear to be details of the agreements that make up this former PayPal account. The agreement dates for the two were 06/05/22 with a balance sold of £476.64, and 04/05/22 with £533.33, totalling £1,009.97, which they state I owe.

The final document, which looks to be from PayPal, is addressed to me the letter, dated 20/11/2025, read::

“As there remains an outstanding debt in relation to your Pay in 3 Loan account(s) referenced above, we’re writing to let you know that your account(s) have now been sold to Lowell Portfolio I Ltd (LPI). The total balance sold was £1,009.97. The individual agreements included in your account(s) are detailed in the enclosed letter from LPI. LPI have instructed Lowell Financial Ltd (Lowell) to manage your account.

In the past you have been contacted by PayPal or one of our partners in relation to your outstanding balance. PayPal UK Ltd and PayPal (Europe) S.A.R.L. et Cie, S.C.A. have now sold your Pay in 3 Loan account(s) to Lowell. All contact regarding your account(s) will now be with Lowell.

To make a payment or discuss your account(s), please contact Lowell using the details below.”

I am hoping to see if any had experienced this and what to do in this situation? Any advice would be greatly appreciated!

Best,

Nat

[NatthajakH]

Hi all,

First-time poster here. A quick background on my situation: a few years ago, being young and financially illiterate, I unfortunately got myself into default with PayPal. I started to repay this debt over the past few years and have now reached the point where I only have around £662.64 left to pay off. I was scheduled to repay the final outstanding balance in March 2026.

PayPal has a system where they schedule repayments every six months and I have to reach out to them, asking the usual questions—whether I’m in a good financial position and if the repayment is still affordable. After answering yes, they confirm the repayment schedule for the next six months. I have an email chain with the PayPal Credit Team discussing this.

My last conversation with the PayPal Credit Team via email was on 8 September 2025, where the scheduled payment was confirmed. In the same email chain, I asked about the remaining balance, and on 9 September 2025, they responded stating I had £962.64 left to pay. Payments normally come out on the 1st of every month.

However, today, Wednesday 26 November 2025, I received a letter from Lowell stating that they bought my debt from PayPal on 30/10/2025, and that the outstanding balance is £1,009.97 and the usual information on how to pay... The letter, dated 20/11/2025, read:

“We just wanted to let you know that on 30/10/2025 we bought your Pay in 3 Loan account(s) from PayPal UK Ltd and PayPal (Europe) S.A.R.L. et Cie, S.C.A.”

They also attached two separate papers containing what appear to be details of the agreements that make up this former PayPal account. The agreement dates for the two were 06/05/22 with a balance sold of £476.64, and 04/05/22 with £533.33, totalling £1,009.97, which they state I owe.

The final document, which looks to be from PayPal, is addressed to me the letter, dated 20/11/2025, read::

“As there remains an outstanding debt in relation to your Pay in 3 Loan account(s) referenced above, we’re writing to let you know that your account(s) have now been sold to Lowell Portfolio I Ltd (LPI). The total balance sold was £1,009.97. The individual agreements included in your account(s) are detailed in the enclosed letter from LPI. LPI have instructed Lowell Financial Ltd (Lowell) to manage your account.

In the past you have been contacted by PayPal or one of our partners in relation to your outstanding balance. PayPal UK Ltd and PayPal (Europe) S.A.R.L. et Cie, S.C.A. have now sold your Pay in 3 Loan account(s) to Lowell. All contact regarding your account(s) will now be with Lowell.

To make a payment or discuss your account(s), please contact Lowell using the details below.”

I am hoping to see if any had experienced this and what to do in this situation? Any advice would be greatly appreciated!

Best,

Nat

Also just to add, I've gone back to the PayPal Credit Team on the same email chain to confirm on this and awaiting their response - what I've written:

Dear PayPal Credit Team / Complaints Team,

I am writing regarding my PayPal Credit account (name on the account - xxxxx, email registered - xxxx)

On 8–9 September 2025 I contacted your team (as per standard to prior 6 months before) and agreed a formal repayment plan of £150 per month for six months and was advised by the team to reach out again in March 2026 to make the final repayment. This was confirmed in writing by your colleague Paddy on 8 September 2025 and the remaining balance was confirmed as £962.64 by Jason on 9 September 2025 (please see email chain).

I have honoured this agreement and £300 has already been paid (£150 on or around 1st October 2025 and £150 on or around 1st November 2025).

Despite this, I have today received a letter from Lowell Portfolio Ltd/Lowell Financial (whom I understand is debt collecting agency) dated 20/11/2025 stating that they purchased this debt from PayPal on 30 October 2025 and that the outstanding balance is now £1,009.97 – an increase of over £340 from the £662.64 I calculated after my recent payments. Now my question is, if they purchased the debt on 30 October 2025 then what happened to the recent money paid?

I was never informed that the account had been sold or was going to be sold, and I have continued to make the agreed payments in good faith.

Under the Consumer Credit Act 1974 and FCA rules (CONC 7.3), I am entitled to reasonable notice before my debt is sold while I am adhering to an agreed repayment plan.

Please treat this email as a formal complaint and provide the following within 14 days:

1. Full confirmation of the exact date the debt was sold/assigned to Lowell Portfolio Ltd/Lowell Financial.
2. Copies of any Notice of Assignment that was supposedly sent to me (I have received none).
3. A complete statement of account from 1 September 2025 to 26 November 2025 showing every single transaction, payment received, fee, and any other charge applied.
4. Written explanation of why the debt was sold while I was keeping to the agreed repayment plan.
5. Immediate confirmation that you will contact Lowell and place the account on hold until this matters is resolved (no further collection activity or credit file updates).
6. If any charges have been incorrectly applied, immediate correction of the balance and notification to Lowell.

For clarity, the emails confirming the repayment plan and balance are quoted below:

8 September 2025 – Paddy, PayPal: “We have now scheduled payments for 150.00 GBP on the 1st for the next 6 months.”

9 September 2025 – Jason, PayPal: “The balance left to pay is £962.64. Please contact us in March to schedule the final payment to clear your balance.”

I have continued to pay as agreed and expect PayPal to honour the arrangement made by your own staff.

I look forward to your full response and final resolution within 14 days. If I do not receive a satisfactory reply, I will escalate this matter to the Financial Ombudsman Service.

Thank you,

I am awaiting their response and thinking of giving them a call first thing tomorrow morning.

[echat11]

Hi NAT

Welcome to LB

Can you upload the Paypal agreement, the Default Notice and the Lowell letter, please remove personal details / reference numbers.

Then we can see how we can help you.