Indebted Platform Co UK Limited – Should You Pay?

When a letter from Indebted Platform lands on your doormat, it can be a bit scary. But don’t worry; we’re here to help you understand what’s happening and what you can do about it. 

Over 170,000 people visit us each month for advice on debt issues – so you’re not alone.

In this article, we’ll help you figure out:

• Why Indebted Platform are contacting you
• How to verify your debt
• What happens if you don’t pay
• Your rights when dealing with Indebted Platform
• What to do if you can’t afford to pay Indebted Platform
• How to make a complaint against Indebted Platform.

Why are Indebted Platform contacting me?

Indebted Platform will contact you because they think that you owe them money. You owe them money either because they’re being paid by one of your creditors to chase you or because they bought your debt.

Debt collection agencies regularly “buy” billions of debt annually at rock bottom prices – at an average of 10p to £1¹.

They buy debts from other organisations, so the money they claim you owe will be originally owed to a different company. So, just because you’ve never heard of Indebted Platform doesn’t mean you don’t owe them.

However, they could just be using scare tactics to try and get you to pay a debt that you aren’t liable for without realising. This is why we always recommend verifying the debt!

How do I verify Indebted Platform debt?

If you have received debt letters from Indebted Platform but aren’t sure if they’re legit, what do you do?

From our experience, the best thing to do is ask for proof that the debt is yours. We have a free ‘prove it’ letter template that you can use to help you write to Indebted Platform and request evidence that you are liable for the debt that they are chasing.

You are under no obligation to pay for a debt that can’t be proven to be yours.

It is crucial that you respond to legitimate debt collectors quickly. Responding quickly will help you avoid any extra charges or fees. Not ignoring debt collectors also means that you are less likely to face legal action, such as a CCJ.

Is my debt statute-barred?

When verifying your debt, think about how old it is.

If it has been 6 years – or 5 years in Scotland – since you last paid towards your unsecured debts and you have not written to your creditor about your debt during this time, it is statute-barred.

This means that the debt is not enforceable. It still technically exists, and you still technically owe the money, but there is no legal way for you to be forced to pay or for the debt to be enforced.

Keep in mind that not all debts become statute-barred!

Any HMRC debts, for example, will stay enforceable for decades. Any debt that had a County Court Judgement (CCJ) attached to it during the 5 or 6-year window will be enforceable for the duration of the CCJ. 

If your debt is statute-barred, you can use our free letter template to write to Indebted Platform and explain the situation.

If you are unsure about the status of your debt, you can contact a debt charity for some advice. Their advisors will be able to look at the debt in question, determine its status, and advise you on your next steps.

What Happens If I Don’t Pay My Debts?

We’ve all wondered – what exactly will happen if you stop paying off your debts? Well, the answer is a whole lot of bother.

1. Your creditor will send you reminders and then demands to get you to pay any missed payments
2. If you don’t pay, your account will default
3. If you still don’t pay your debts, your creditor can choose to sell your debt to a debt collection agency or employ an agency to chase you for the missed payments. This is where Indebted Platform will come in.

If you don’t pay the collectors, your creditor or the collection agency might be able to take legal action against you to get their money back. Legal action usually starts with a CCJ. You can read more about CCJs here.

What are my rights with debt collectors?

It’s important to know what Indebted Platform can and can’t do when it comes to demanding payment from you.

We’ve put together this table to give you a general overview. For a more detailed breakdown, make sure to check out our article on your rights with debt collectors.

What if I can’t afford to pay Indebted Platform?

Can’t afford to pay Indebted Platform? Now might be the time to look at a debt solution.

There are several different debt solutions available in the UK, so we recommend speaking to a debt charity as soon as possible. Their advisors will be able to look at your finances in detail and help you work out which debt solution will work best for you.

Debt Management Plan (DMP)

A DMP is an informal debt solution that lets you pay off your debts via a single monthly payment.

Because it is informal, it is not legally binding so you are not tied into a DMP for a minimum number of payments.

Individual Voluntary Arrangement (IVA)

An IVA is a formal agreement between you and your creditors. You agree to pay a monthly sum that is distributed amongst your debts, and your creditors agree not to contact you during your IVA.

IVAs typically last for 5 or 6 years, and any outstanding debt is wiped off when it ends.

Keep in mind that IVAs are not suitable for everyone. You need to owe several thousand pounds to more than one creditor to be eligible. You also need to demonstrate that you have some disposable income every month.

Trust Deed

IVAs are not available in Scotland. Instead, you will need to opt for a Trust Deed.

Trust Deeds work in the same way as an IVA – you pay an agreed sum each month that is shared amongst your creditors, they can’t contact you, and any leftover debt at the end of your Trust Deed term is written off.

Debt Relief Order (DRO)

A DRO is a good option for those facing financial hardship with no assets and little income.

For 12 months, you make no payments, but your creditors freeze your interest and don’t contact you.

If your finances haven’t improved during this year, you may be able to write off your unsecured debts.

Bankruptcy

If you have debts but no realistic possibility of ever paying them off, you may need to declare bankruptcy.

Bankruptcy has an unfair stigma attached to it as it may be your only way of getting a financial fresh start. That said, it is a serious financial situation that should not be taken lightly.

Sequestration

Sequestration is the Scottish version of bankruptcy.

If you have little income and no valuable assets, you may be able to apply for a minimal asset process bankruptcy (MAP). A MAP is a quicker, cheaper, and more straightforward version of sequestration, so worth considering.

Can I write off my debt without a debt solution?

If you don’t think that a debt solution is right for you – or if you are ineligible for one – what do you do?

From our experience, you might be able to negotiate with Indebted Platform and get an alternative payment plan sorted.

Negotiation often works in these circumstances for two reasons:

1. Indebted Platform didn’t pay 100% of the value of the debt when they bought it – debts are bought for much less than they are worth. This means that Indebted Platform doesn’t need to recover all of your debt to make a profit.
2. Legal action is expensive and can quickly eat into any potential profit that Indebted Platform would have made on your case. Getting some money off you is arguably better for them than spending lots of money to compel you to pay.

This all means that you can negotiate a reduced-cost repayment plan, or even lower your outstanding debt balance. We have a free final settlement letter template that you can use if you need some guidance – offering a one-off lump sum could appease Indebted Platform so they stop chasing you.

Keep in mind that your credit score might be affected if your settlement offer is accepted. Your account will be marked as ‘unsatisfied’ on your credit file which will most likely make you look like a potentially high-risk customer.

Thousands have already tackled their debt

Every day our partners, The Debt Advice Service, help people find out whether they can lower their repayments and finally tackle or write off some of their debt.

Natasha

I’d recommend this firm to anyone struggling with debt – my mind has been put to rest, all is getting sorted.

Get started

Reviews shown are for The Debt Advice Service.

How do I make a complaint about Indebted Platform?

Nearly half of all people chased by debt collectors have reported that they were threatened or harassed² – we think that’s far too high! This is why we think that everyone needs to know their rights. You can refer back to the table above or check out another of our articles here.

If you think that Indebted Platform has been unreasonable or behaved inappropriately, you can make a complaint. You can also complain if you feel they have broken any of the Financial Conduct Authority’s (FCA) guidelines.

Make your first complaint to Indebted Platform so that they have the chance to sort out the issue themselves. If you feel that they have not taken your complaint seriously enough or have not addressed your issue properly, you can escalate matters.

You can make any secondary complaint to the Financial Ombudsman Service (FOS). They will investigate and, if your complaint is upheld, Indebted Platform may be fined. You could even be owed compensation.

How do I contact Indebted Platform?

Below are the contact details for Indebted Platform. Keep in mind that some debt collection companies will have multiple ways to contact them, so you might have to try a few times before you can get through.

References

1. Jubilee Debt Campaign ↩︎
2. Indebted Debt Collectors Survey ↩︎