Hello Roseybike, thank you for joining us on Regulation Room. CFPB is thinking about whether to make a new rule about time-barred debts and other collection issues, and would like to know more about consumers’ experiences. This sounds like a situation where a collector tried to collect on a time-barred debt. Could you say a little more about your communication with the debt collector? What sort of information did they give you and what sort of information were you looking for when you left those messages?
The reason they can sell it for a fraction of what is owed is because the debt buyer is purchasing entire portfolios of bad debt. It spreads out the risk. If you can get a million other delinquent consumers to go in with you on a 10% offer, you could probably get them to take it. But it doesn't make financial sense for them to offer the same transaction to you as the debt buyer.
Moderator
1
Hello Roseybike, thank you for joining us on Regulation Room. CFPB is thinking about whether to make a new rule about time-barred debts and other collection issues, and would like to know more about consumers’ experiences. This sounds like a situation where a collector tried to collect on a time-barred debt. Could you say a little more about your communication with the debt collector? What sort of information did they give you and what sort of information were you looking for when you left those messages?
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RHN91362
2
The reason they can sell it for a fraction of what is owed is because the debt buyer is purchasing entire portfolios of bad debt. It spreads out the risk. If you can get a million other delinquent consumers to go in with you on a 10% offer, you could probably get them to take it. But it doesn't make financial sense for them to offer the same transaction to you as the debt buyer.
View this comment in the discussion thread