Debt collectors may not have rights at all

[keith501]

I received a letter say that my debt had been assigned back to the original credit card supplier.
Is this because a debt collector may not have a contract with me. Unless the debt collector was expressed in the original contract. I assume if no contract I may ignore them.

http://www.legislation.gov.uk/ukpga/1999/31/section/1

Right of third party to enforce contractual term.

(1)

Subject to the provisions of this Act, a person who is not a party to a contract (a “third party”) may in his own right enforce a term of the contract if—

(a)

the contract expressly provides that he may, or

(b)

subject to subsection (2), the term purports to confer a benefit on him.

(2)

Subsection (1)(b) does not apply if on a proper construction of the contract it appears that the parties did not intend the term to be enforceable by the third party.

(3)

The third party must be expressly identified in the contract by name, as a member of a class or as answering a particular description but need not be in existence when the contract is entered into.

(4)

This section does not confer a right on a third party to enforce a term of a contract otherwise than subject to and in accordance with any other relevant terms of the contract.

(5)

For the purpose of exercising his right to enforce a term of the contract, there shall be available to the third party any remedy that would have been available to him in an action for breach of contract if he had been a party to the contract (and the rules relating to damages, injunctions, specific performance and other relief shall apply accordingly).

(6)

Where a term of a contract excludes or limits liability in relation to any matter references in this Act to the third party enforcing the term shall be construed as references to his availing himself of the exclusion or limitation.

(7)

In this Act, in relation to a term of a contract which is enforceable by a third party—

• “the promisor” means the party to the contract against whom the term is enforceable by the third party, and
• “the promisee” means the party to the contract by whom the term is enforceable against the promisor.

[FlamingParrot]

Re: Debt collectors may not have rights at all

I received a letter say that my debt had been assigned back to the original credit card supplier.
Is this because a debt collector may not have a contract with me. Unless the debt collector was expressed in the original contract. I assume if no contract I may ignore them.

Ignore them at your peril. :ohwell:

If you look around our court claims area, you'll see how virtually every claim issued against a debtor is issued by a debt purchaser as opposed to the original creditor. You will also see a number of arguments can be used to defend a claim, 'no contract' isn't one of them.

[Kafka]

Re: Debt collectors may not have rights at all

I expect that if you check the wording of any regulated credit agreement there will be a statement somewhere about their right to transfer their rights and responsibilities in the agreement to another party.

[keith501]

Re: Debt collectors may not have rights at all

The UK legislation says 3rd party cannot enforce unless the 3rd party is named on the contract.

[keith501]

Re: Debt collectors may not have rights at all

I see. The 3rd party is named on the contract by class normally.
I do not think the lender can sell the debt if the DCA is not named on the T & C

[Amethyst]

Re: Debt collectors may not have rights at all

No they don't need to name the DCA in the terms.


It's usually something like ''we may transfer to any other person any or all of our rights and duties under this agreement at any time...............''

They must send you a notice of assignment if they do this.