Are Global Debt Management Services Debt Collectors hassling you about outstanding debt you have? Are you worried about being unable to repay the debt you owe, or do you think you don’t even owe the money? Are they saying they might think about taking you to court over the outstanding debt? If these sound familiar, help is at hand, read on to find out more.
It’s not your fault. Complaints to the Financial Ombudsman have risen this year from 830 to 2,006, so it’s safe to say that you’re not alone.
Deal with your debt today and feel better tomorrow.
Why do Global Debt Management Services Debt Collectors keeping contacting you?
The debt collection business is a massive industry, and there are many different types of debt management companies you may come across. There are the debt collection companies who work as independent businesses, those which are part of the company you owe the debt too – such as a credit card company, and you may even come across debt collectors who work as sole traders. The way they deal with your debt will vary, but they all work on the same premise, and that is to get you to pay back the money you owe.
The way the business model works is that these debt collection companies will buy up the debt from another organisation. For instance, if you owe money to a loan company or credit card company, they may purchase the debt at a fraction of the face value. Therefore, they must get payment from you, otherwise they are losing money, never mind making a profit! As a result, they may try a number of underhand tactics to try to get you to pay the money back, and some of these may feel extremely intrusive, bordering on harassment.
Read what to do if you can’t pay back your debt.
Don’t worry, here’s what to do
You could get rid of debt collectors by writing off your debt. I’ve put together a 4 question debt calculator which will tell you if you’re eligible:
Is this my debt?
If you don’t recognise the debt, you may be wondering if it is in fact, your debt. It may be that you don’t recognise the original credit company or the value of the debt looks a bit more extreme than you remember. If this is the case, you should ask Global Debt Management Services Debt Collectors to send you a copy of the original credit agreement, and then you can determine whether this is actually your debt.
To get a copy of your original credit agreement, you can write to Global Debt Management Services Debt Collectors, and ask them for it. If they refuse or say they don’t have it, you are not under any obligation to pay the debt back to them.
Can pay but don’t want to
Of course, if you owe the money, and you can pay it, the best response to the debt collectors is to make the payment. Not only will this get rid of the debt, it will also help get them off your back! However, you may have other commitments which would suffer if you paid the debt back, for instance, your rent/mortgage or utility bills. In this case, you should take care of your urgent bills, before you consider paying any debt.
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.
Debt collectors can cause a great deal of misery
Debt collectors have one thing on their mind, and one thing only! That is to reclaim the debt you owe. In some cases, they will even go to extreme lengths to reclaim the debt, including threatening behaviour and harassment. If they are doing this to you, you don’t need to just accept it, you have every right to be treated fairly and appropriately, regardless of your financial situation.
There is no doubt that debt collectors like Global Debt Management Services Debt Collectors can cause a great deal of misery. No one wants to be constantly contacted about their debt, and this is what these organisations tend to do. In some cases, those suffering from debt problems have even been known to end up with depression, and in worst cases, suicidal thoughts. Worryingly, the debt support trust reported that almost 50% of those with debt issues will consider suicide. This is an alarming statistic. If you feel that you are being hounded or harassed by debt collectors, you should seek help. The government have brought in a number of new rules and regulations to tackle this issue, and debt collection agencies must be prepared to follow the guidelines. If they don’t, it could have consequences for them, and could result in them losing their ability to continue operating.
Global Debt Management Services Debt Collectors and what the law states
The Office for Fair Trading (OFT, 2012) published guidelines which have been designed to help protect those who are in debt. In summary, Global Debt Management Services Debt Collectors and other debt collection agencies, should abide by the following:
- Treating debtors fairly, without using any aggressive practices, or practices which result in the debtor being deceived in any way.
- Being transparent at all times, and providing clear, concise information, which the debtor can understand. No jargon that they will be unable to interpret.
- Be considerate and empathetic towards debtors. Show understanding to their situation.
- Take the debtors circumstances into account before determining the most appropriate action to take, as every situation is different.
If you feel that Global Debt Management Services Debt Collectors are intimidating you, or just generally failing to abide by these guidelines, you will have a case for reporting them to OFT. If it is deemed appropriate, they will have the power to remove their license.
If you feel it is appropriate to make a complaint about Global Debt Management Services Debt Collectors, you can use this online complaint form.
It is worth bearing in mind that debt collectors may say they are working as an external agency when they are actually working as part of the company you owe the money to. Although this is clearly a form of deceit, they will probably deny it and say that you have failed to read the small print.
Why you need to understand how Global Debt Management Services Debt Collectors operates
If you have never encountered debt collectors before, you may be completely unaware of how they operate and why. This should help give you a better understanding.
You pay, they get paid
Global Debt Management Services Debt Collectors agents will be persistent in their contact, as they need to get payment from you, otherwise the company is losing money. As they purchase the debt, they only start to make money when you start paying, and this is why they will stop at nothing to try and get you to pay up, or at the very least, to make an arrangement to pay. On top of this, they also have incentives, such as bonuses, which they won’t get unless you start to make payments. If you understand this, it will put you in a much better position to know how to deal with the debt collectors.
There is no doubt that it is extremely difficult to stand up to behaviour which involves threats and harassment, but you should know that in most cases, the threats from Global Debt Management Services Debt Collectors are empty and mostly meaningless. They want you to feel under threat, as then you will be more likely to pay up, but be aware that what they say, might be very far from the truth of the situation.
They may be using technology
If you are wondering why your phone is ringing non-stop from Global Debt Management Services Debt Collectors, it probably isn’t the case that there is someone just phoning, hanging up, and calling again. The most likely reason for this is that they are using call technology, which means that your phone will just keep ringing. You might pick up and there isn’t even anyone on the other end, but you might feel intimidated enough just to speak to them.
If the frequency of the calls from Global Debt Management Services Debt Collectors is getting too much, you can seek help and advice. You can also report them if they are bordering on harassment, or even going way beyond harassment, and threatening you. In doing this, they are in breach of the OFT guidelines, which are there to protect you. If they do this, you can advise the agent that you will be reporting their behaviour to the Financial Ombudsman.
If you wish to contact the Financial Ombudsman, you can do so by calling them on 0800 023 4567 or 0300 123 9123
Understanding the tactics
Debt collection agencies have one thing on their mind, and that is to get you to pay up. They tend to employ some tried and tested tactics to get you to pay – and they often stop at nothing to get you to clear off the debt. This might even involve changing from being happy go-lucky and friendly on the initial call, to being harsh and threatening when they realise you can’t actually afford to pay the debt. Unfortunately, this is not unusual, it happens all the time. The change can happen on the same phone call, and it is imperative that you keep your cool, and refrain from getting angry or annoyed, as this will do nothing to remedy the situation. Don’t let them break you down, it is not worth it!
There is no doubt that it can be hard to take a stance on this behaviour, but it is important that you do. Stay strong, and whatever you do – don’t let them wear you down, this is what they want. If you are struggling to deal with debt collectors, and the harassment you are receiving, you can report them to the OFT using this online complaint form.
Can they speak to others about your debt?
If Global Debt Management Services Debt Collectors attempt to contact you, and they don’t get any response, they may, in some cases, try to speak to others about your debt. This can obviously be humiliating, and it goes against the OFT guidelines, as well as privacy laws. Debt collection agencies should not speak to anyone else about your debt, unless you have given them explicit permission to do so.Otherwise, it is illegal behaviour.
If you face these issues, you can report it to the Financial Ombudsman on 0800 023 4567 or 0300 123 9123
Why they may tell you lies
It is not unknown for debt collectors to tell lies here and there, especially when it comes to what they might do if you don’t pay the debt back. They may threaten to come to your door, and remove your possessions, or they may even pretend to be from the court. If they do this, they are being deceitful, as they cannot enter your premises and you should not allow them to do so.
Do not allow them to visit your premises, as they have no right to do so. If they do this, or they make you feel threatened in any way, you can contact the police and they will sort the situation for you.
Whatever you do – don’t let them get to you
Debt collection agencies like Global Debt Management Services Debt Collectors will often stop at nothing to get you to pay up. The distress this causes can lead to mental health issues and in some cases, it has even caused suicidal thoughts. It can be difficult to stand up to contact from these debt collectors, but it is important to stay strong and stick to your guns. Do not be forced into paying debt that you can’t afford, and will leave you in a bad position in terms of paying your other day to day expenses.
Debt help for free
If you are looking to get out of debt, and you are not sure where to turn, there are several organisations who can provide free debt support. There are also commercial debt management companies who will charge you for the privilege, so it is best if you can get the help for free. These are some of the most well known organisations who offer free support and advice. If you want to get help in managing your finances, these are the places to contact.
- Citizens Advice Bureau (CAB) a well know organisation who offer free debt advice and support. They also help with a range of other issues which may affect your day to day life.
- Christians Against Poverty (CAP) provide free debt advice and help when you need it.
- StepChange provide free online debt advice and help you take charge of your finances.
How to write off your debt
If you would like to write off your debt, you can do this by entering into an Individual Voluntary Arrangement (IVA). With this formal agreement, you will pay the debt collectors an amount you can afford, which may be a one-off sum or you may choose to pay in monthly installments. The rest of the debt can be wiped off, and this will usually happen within five years. If you choose to go down this path, the process must be undertaken by an insolvency practitioner.
Find a local licenced IVA insolvency practitioner here.
Another option is a Debt Relief Order (DRO). There is certain criteria with this. You must have less than £50 left each month after bills are paid, and you cannot be a homeowner, or have assets worth £1,000 or more.
To apply for a DRO you will must go through an authorised debt advisor. You can find a list of authorised debt advisors here.
Although there have been warnings from professional bodies, and the introduction of tighter government guidelines, there are still debt collection agencies who act in a way which makes debtors feel embarrassed, and even threatened in some cases. You can fight back though, and with the help of the organisations mentioned, you can get yourself out of debt. You can not refuse to pay the debt, but you can make repayments until the debt is cleared. You should certainly not put up with any harassment or bullying, and if Global Debt Management Services Debt Collectors are attempting to do this, you should contact Financial Ombudsman, who may even lose their licence.