You Might Not Have to Pay Arrow Debt Collectors!
Are you being hassled by Arrow Debt Collectors? Do you owe money you are unable to repay? Are you being asked to repay debts you don’t owe? Are you being threatened with court action? If any of these questions relate to you, this article is designed to help you. You might not need to pay them back!
Who are Arrow Debt Collectors?
Arrow are a credit management company that deals with loans, specialist assets and debt purchasing too. They purchase their debt from a number of different companies, including retail banking stores, credit cards, and telecommunication companies. They also state that they are dedicated to working with people who owe the money, devising repayment plans that are going to work for them both.
Find your best debt solution (in 1 minute!)
Is all this information starting to feel overwhelming? Don’t panic! I’ve put together a 4 question debt calculator so you can quickly and easily find the best solution for you. If you’re eligible for the new government scheme, you could write off up to 85% of your debt! Answer the four questions now.
Are Arrow Debt Collectors Legit?
Arrow are a member of CSA and CIFAS, they are also subscribed to the Standards of Lending Practice. This means that you can safely assume that they are a legit company. However, just like any other debt management and collection companies. If you are advised that you owe money, then you might want to hold off paying back the money straight away.
See my most popular post on how to get a refund.
What does Arrow Debt Collectors Do?
Arrow, like other debt companies out there, purchase debt from lenders, which is then managed and collected solely by Arrow. This can be confusing for the consumer, as they may think that they owe money to one place, only to discover that it has been transferred elsewhere. In this case to Arrow.
What does Arrow Debt Collection Process look like?
Arrow looks like they deal with debt management in much the same way that other debt companies do. They will often get in touch with their customers via the phone and they may also write letters to them. It does not appear that there is any online portal that allows debtors to pay, however, there is usually the option to create a payment plan or to pay over the phone.
Don’t worry! You CAN get rid of debt collectors. Use my debt eligibility calculator to find the best debt solution for you:
(Farnborough office) Proper helpful ladies both times , I cannot fault the service received from them however they have failed in removing a debt which was not mine off my credit file and are now telling me that I have to contact Equifax or experian to get it removed off my file despite this debt being none of my doing . I was told it would be removed after 10 working days and it still has not
This is a debt company that buy debts for more or less nothing
they never send you any information except through a solicitor
you ask for evidence and they send you nothing
they totally breach the FCA guidelines and they are getting away with it
so far,they add incorrect information on your credit file at a touch
of a button,this will all change in due course,we are coming for you arrow global & from what we read many more too
Why you are being contacted by Arrow Debt Collectors?
Make no mistake – the debt collection business is huge. Debt collectors like Arrow Debt Collectors come in several forms…
Many debt collection agencies are independent businesses; some may also be a business arm of a creditor such as a credit card company (sometimes hiding their real identity – see below); there are even individual sole trader debt collectors.
The business model of these agencies relies on purchasing debt at a fraction of its face value, possibly for as little as 20% of the face value, and making a profit by collecting the debt at (or close to) its full value. There are few morals involved; as far as they are concerned it is you who ran up the debt and you who is responsible for repaying it. They care nothing about you and your personal circumstances. Simply put, they tend not to be nice people. The Office for Fair Trading (OFT, 2010) acknowledged that such poor practices “appear to be widespread”.
Check if you really owe the money
Are you sure you really owe the money? The first thing to establish is where the debt started and how much you really owe. It is quite likely that the original debt, if there was one, has been inflated by various charges and interest. It could be substantially more than you believe you owe.
You should write to Arrow Debt Collectors and demand a copy of your original credit agreement. If they are unable to provide this you have no obligation to make any payment to them.
Can pay but won’t pay?
If you really do owe the money, then the road of least resistance is to repay the debt if you are able to do so, but if you can’t afford to repay it, or if doing so would prevent you from servicing more important credit such as your rent or mortgage, then try to make some arrangement with Arrow Debt Collectors, perhaps offering them a partial repayment.
How debt collectors can ruin your life
It isn’t unusual for debt collectors to employ questionable tactics that may or may not fall foul of the law. This might include pressuring and bullying threats, frequent phone calls sometimes made to your workplace and empty threats.
Being pursued by Arrow Debt Collectors could have a devastating effect on your life, leading to emotional distress, mental illness, and even suicide. According to the debt support trust, almost half of people who struggle with debt at some point consider suicide, and it was recently reported that a coroner raised concerns over debt-collection agency’s practices following the suicide of a debt-ridden courier. In their report into mental health and the credit industry (Walker et al, 2012) researchers from Brighton University concluded: “Debt clients frequently feel humiliated, disconnected and entrapped, with the process of debt collection having a clear impact on people’s mental health”. They called upon the government to tackle the problem of irresponsible lending and intimidating collection tactics.
Arrow Debt Collectors and the law
The Office for Fair Trading (OFT, 2012) has published a set of guidelines for the debt collection business. To summarise these, Arrow Debt Collectors should:
- Treat debtors fairly and not use aggressive practices, coercion, deceit, or be oppressive, unfair, or improper
- Be transparent and provide clear information that is not confusing or misleading
- Be considerate towards debtors experiencing difficulty
- Act proportionately taking into account debtors’ circumstances.
If you are being intimidated by Arrow Debt Collectors who are not abiding by these guidelines, then you have a good case for reporting them to the OFT which has the power to remove their license.
To make a complaint about Arrow Debt Collectors, you can use this online complaint form.
Some debt collectors pretend to be an external agency when in fact they are a business arm of the company you owe money. That is a clear case of deceit, though they are likely to claim that this information appears in the small print.
Understanding how Arrow Debt Collectors operates
Understanding how debt collection agencies operate can help you defend yourself against them.
They are on a bonus
The Arrow Debt Collectors agents who phone you are likely highly incentivised and are expected to collect a specified minimum amount of money per hour. Usually, there are daily and monthly bonuses and each collection they make contribute to that bonus. Hence, they will do what they can to collect some money rather than record a “No Payment” call, including making intimidating and threatening behaviour.
The lesson here is if you are able to be strong and stand up to threats from Arrow Debt Collectors, knowing that their threats are empty, you can to some extent turn the tables. Keep them talking but just don’t pay. You will still owe the money, but at least you won’t have to pay that day.
Automated call technology
You might be tempted to simply not answer calls from Arrow Debt Collectors, but when this happens agencies often employ automated call technology that will attempt to phone you say every half hour until you do eventually answer. Sometimes if you do pick up the call is silent; the calls are simply being made to intimidate you.
If this happens to you make a note the frequency of the calls. Such behaviour on the part of the debt collectors is in clear breach of the OFT guidelines. Tell the agent that you will be reporting them to the Financial Ombudsman.
The best way to contact the Financial Ombudsman is by phone on 0800 023 4567 or 0300 123 9123
Bad cop, good cop
Bad cop, good cop is a tactic frequently employed, and often is highly effective. When subject to such an approach you are likely to be subject to relentless calls some of which are abusive and harassing, but with the occasional polite and friendly enquiry. This change in attitude can happen in a single phone call where the agent starts off politely but should you fail to make a payment their behaviour becomes abusive. Nor is it just relentless phone calls. Frequent threatening and sometimes sinister letters are another common practice. The total process is designed to eventually wear you down, to break your will so that eventually you will make a payment.
It is difficult to stand up to such behaviour, which is exactly why they use it. But again, you should try to stay strong if you possibly can. Report it to the OFT using this online complaint form.
Embarrassing you by talking to third parties
If someone apart from you answers the call then agents frequently attempt to embarrass you by discussing your debt and financial problems with whoever answers the call. This could be a family member at your home, or it could be someone at your workplace. This is certainly illegal behaviour and breaches not only OFT guidelines, but also other privacy laws.
Again, such behaviour should be reported to the Financial Ombudsman on 0800 023 4567 or 0300 123 9123
Deceit and lies
If everything else fails some debt collectors feel they are immune from the law and will apply some very nasty forms of leverage. They might pretend to be calling from the court, that they are a bailiff and will be visiting your home to remove your possessions, possibly even threatening you with criminal prosecution.
Never give them permission to visit you and if they do then never let them into your home and if you feel physically threatened then don’t hesitate to call the police.
Don’t let them wear you down
As we have seen, debt collectors such as Arrow Debt Collectors are relentless and their behaviour could be responsible for mental ill-health and even suicide. Standing up to Arrow Debt Collectors requires a degree of strength and courage few people possess. But there is help out there. Ultimately you need to get out of debt, but you need to do so in a controlled manner that will minimise your pain and distress. Ultimately all debt problems are solvable.
Getting help with debt
There are various kinds of help with debt available: there are not-for-profit agencies who exist to provide one-to-one help for you, and there are commercial debt management companies whose aim is to make money out of you. The former should be your first port of call. Some of the important agencies include:
- Citizens Advice Bureau (CAB) provides extensive help with debt and should help you stop debt collectors contacting you if you are able to show you are seeking help and are trying to repay your debts.
- Christians Against Poverty (CAP) provide free debt help.
- StepChange provides free online debt advice helping people take charge of their debt.
Writing off your debt entirely
It is possible to write off your debt entirely through an Individual Voluntary Arrangement (IVA). This is a formal agreement to pay the debt collectors an amount you can afford as a one-off sum or as monthly payments and the rest of the debt will be written off after a defined period, usually five years. This must be carried out by an insolvency practitioner.
Find a local licenced IVA insolvency practitioner here.
An alternative is a Debt Relief Order (DRO). This is only available if you are left with £50 or less each month after paying your household expenses and you don’t own your home or other assets worth over £1000.
To apply for a DRO you will need to go through an authorised debt advisor. You can find a list of authorised debt advisors here.
Despite warnings from professional bodies, government guidelines, and other measures the behaviour of many debt collecting agencies is atrocious, leading vulnerable debtors into mental illness and even suicide. However, it is possible to fight back, especially with some help from the agencies mentioned in this article. While it’s not as simple as just refusing to pay, you can reduce the amount you must repay and spread your repayments over a period you are comfortable with. Certainly, you can stop their bullying and by reporting them to the Financial Ombudsman they may even lose their licence.
Arrow are a debt collection agency like most others. They take on and purchase a number of different debts, which allows them to have the experience and knowledge of different forms of debt. They state that they work with people to ensure that their debt can be paid off at a rate that suits them. However, their website does not highlight the ways that debt is collected or can be paid, which means that we are not sure how they work and how easy this all important part of the process is either.
Arrow Global Limited is ultimately owned by Arrow Global Group PLC, a publicly listed global debt collection business which has Zach Lewy, the founder of the company, as its current chairman and CEO.
Arrow Global Limited is regulated by the Financial Conduct Authority. Its registration number is 718754 and its nominated contact is recorded as Suzanne Pearson.
Arrow Global Limited and the various companies in Arrow Global Group PLC do not collect debts on behalf of HMRC.
Arrow Global Limited buys debts from other businesses and organisations. It buys these debts at a discount hoping that when it collects the full amount owed, it can make a profit.
If you ignore debt collectors at first they may send doorstep collectors. Secondly, they may apply for a County Court Judgement, which if successful would force you to pay and would show on your credit report.
Arrow Global Limited can take you to court in order to claim the money owed. If you have been taken to court you will have received a County Court Judgement letter.
You cannot go to jail for debts owed to debt collection agencies.
If you ignore a CCJ you won’t get sent to prison, however, bailiffs may be sent to your house to collect items equal to the value of the money that owe.
Arrow Global Limited cannot issue an arrest warrant or have you sent to prison. At most they can request a CCJ and if successful send bailiffs to your property to recover items to cover the debt owed.
Arrow Global Limited are not bailiffs. They could, however, request a County Court Judgement which means that the courts could send bailiffs. You would have received a lot of warning letters if this was going to happen.
Arrow Global Limited have been known to send people to your house, however, they have no legal powers so you can ignore them or tell them to go away. If you have received a County Court Judgement then the courts could instruct bailiffs to come to your house.
Arrow Global Limited cannot force entry, they have no legal powers over you. However, if you have received a County Court Judgement then the courts could instruct bailiffs to come to your house.
Arrow Global Limited won’t give up chasing you for the debt until they’ve exhausted all of their legal options. This usually means being chased for up to 6 years.
A debt can be too old to collect from you. Under the Limitation Act 1980 they have a maximum of 6 years to chase a debt. This 6 years is counted from your last payment or the last time that you acknowledged the debt.
As per the Limitation action 1980, you can be legally chased for up to 6 years from your last payment or the last time that you acknowledged the debt. If a County Court Judgment is raised against you the Limitation Act no longer applies and you can be chased indefinitely.
Debts collectors are only likely to write off your debt if they are no longer legally allowed to chase you. This is typically six years since you last made a payment or last acknowledged the debt.
Arrow Global Limited trades under a variety of names, and how you contact them will depend on which part of the company you are dealing with. You should refer to the correspondence that you have received from them to find their contact details.
Arrow Global Limited trades under a variety of names. They accept a variety of payments, but you should check the correspondence that you have received from them to make sure you are paying the right company.