Kapama Debt Collectors – Should You Pay?

If you’ve received a letter in the post or a phone call from Kapama Debt Collectors, telling you that you owe them money, then you may have some concerns or questions on what steps to take next. Read on to find out more about who Kapama are, and what you should do when they get in touch with you.

Who are Kapama Debt Collectors?

Kapama are a debt collection agency. They work by either being employed by a business to chase a debt on their behalf, or by purchasing debts from creditors, usually at a heavily discounted rate, and then working to reclaim that debt from the person who borrowed it for a profit. Their debt is often placed with their sister company Opos Limited – if you get any communication from Kapama or Opos, be aware it’s the same company.


If you owe £1,000 on a credit card that you haven’t made payments on, the credit card provider may choose to sell that debt to Kapama for a massively reduced amount, sometimes as low as 20%. It’ll depend on the terms of your credit agreement but usually this is completely legal.

The credit card company will do this to guarantee they get a return on the debt, even if it’s small. The debt collection agency like Kapama will then try to claim the full £1,000 back from you in order to make a profit, which they’re entitled to do by law. Just because they bought the debt for a reduced amount doesn’t mean you can get away with repaying a smaller amount to them.

Why have Kapama got in touch?

If you’ve received a letter from Kapama, or they’ve called you, this means you likely owe a debt to a company. Kapama will have been asked to take on this debt to get the money back that you owe.

However, there can be mistakes – it may be a debt you’ve paid off, or it could be a case of mistaken identity. Don’t pay instantly, but don’t ignore it either. You should identify whether the debt is valid, and it belongs to you as your first steps.

Is Kapama a legitimate debt collector?

Yes, Kapama is a legitimate organisation, and a member of the Credit Services Association. This means they’ve passed the CSA’s Collection Accreditation Initiative, which means that they will only work to collect debts in a way that complies with the law and is fair.

That’s why you shouldn’t ever ignore letters from Kapama, as you need to take some action to resolve things, even if you don’t think you owe the debt.

Which companies use Kapama?

Kapama takes on debts for a number of clients, including various utility companies, councils seeking council tax, catalogue debts, mobile phone providers such as EE and O2, and Virgin Media. They’re also employed by HMRC to chase up any unpaid tax if you’re self-employed, or to recover any overpaid tax credits.

However, this list isn’t extensive and there are many creditors who choose to sell their debts to Kapama. When they get in touch with you, they should make it clear who they’ve purchased the debt from and why you owe them money.

Should you repay Kapama?

If you can afford to repay your debt, and you’re sure that it’s money you do owe, then you should absolutely pay your debt to Kapama. However, it’s important that you check that the debt is yours, and that you can reasonably make the repayment without putting yourself into further financial difficulty.

If you’re confident that you’re secure enough to pay the debt and it’s valid, the fastest way to do it is my calling Kapama with your card details. The sooner you can pay the debt off, the sooner they’ll stop calling or sending you letters, and you can move on with improving your financial situation.

What action can Kapama take?

Kapama is not empowered by the courts or any other legal process, so they’ve only got the same rights as the original creditor to chase you for the money. This means they’re entitled to get in touch, but they can’t harass you, and if they want to do anything like recovering your possessions, they’d need to go through the courts and employ bailiffs in order to do so.

What can’t Kapama do?

The Financial Conduct Authority puts strict rules in place for what a debt collection agency can and cannot do. These are designed to protect you, but at the same time give the agency the right to try and reclaim the money they are owed.

This means there are a number of behaviours and practices they shouldn’t be using. This includes:

  • calling you excessively or at unreasonable times
  • calling you at all if you’ve expressed a preference to communicate via letter
  • pressuring you into taking out more debt to pay off the money you owe
  • attempting to confuse you with legal or technical jargon
  • discussing your debts with family members or your employer.

If you feel that Kapama are harassing you, then you can write a complaint to the Financial Ombudsman who will take action on your behalf.

Reviews of the service Kapama offer, in regard to harassment, are mixed on Trustpilot:

“They have been very considerate to my circumstances due to moving onto Universal Credit. I pay a little amount every month and I am not bugged into paying more. Excellent service. Better than any other debt collection agency I have dealt with.”
Adele Parsons – https://trstp.lt/LiRHtSqSZ

“Constant phone calls and texts throughout the day. Demanding money for a bill that I shouldn’t even be being charged for! The energy company in question owes me money yet I’m the one being harassed and left out of pocket after being over charged. They refuse to send a bill or breakdown in writing, which in itself seems highly suspect.”
Mo – https://trstp.lt/Vxy3MQRlL

How to check a debt with Kapama

The first thing you should do whenever you receive a debt letter or phone call from Kapama is to check the details of the debt. Firstly, is it definitely yours? In most cases you’ll know it is, but if you feel that it’s not, you should call them and seek clarification.

It’s not unheard of for people to receive a letter intended for someone else, whether that’s a previous occupant of your home, or someone who shares your name. Be mindful that Kapama, like many debt collection agencies, will require proof that you aren’t the debtor before agreeing to stop contacting you. But if you offer reasonable proof and they continue to chase you, this would be grounds for harassment, and you should complain.

Next, make sure the debt is valid. Have you already paid this debt off with the original debtor? Or is it statute barred? This means the debt has essentially expired – if it’s been at least six years in England, or five in Scotland, since you’ve acknowledged the debt (either in writing, or by making a payment) then it may be unenforceable.

If you don’t feel like you should be repaying this debt, either call or write to Kapama. But make sure you’re crystal clear in any letters to Kapama about why you think you shouldn’t repay the debt. If you look at reviews and examples online, you’ll find that Kapama take these issues very seriously and will not take it lightly if they feel they are being incorrectly challenged.

Case study

MoneySavingExpert Forum User TMO wrote to Kapama claiming that their debt was statute barred after 7 years, but they also tried to suggest that FCA guidance had been breached by them not investigating a dispute. As Kapama’s response highlighted, this was contradictory. Some extracts:

“I find (that you didn’t know of the debt) hard to believe; the matter is reported on your credit file as being owned by Kapama Limited…

… We do not acknowledge any breach of any FCA guidance. Unfortunately, copying a mass of information from the sourcebook (or another medium) into your email leaves me no closer to establishing a) what element you believe we have breached b) when this breach occurred and c) why you believe it to be a breach. Furthermore, I don’t believe you can on one hand claim the debt is not yours yet on the other hand claim we have breached guidance by not investigating a dispute – it has to be one or the other. You cannot dispute a debt that is not yours, you would deny it…

… For the sake of clarity; we deny the contents of your complaint as being factual. We do not recognise any breach of FCA guidance and we have no reason to close this account; your threats of involving other organisations is not something that phases me, Mr x. In fact, I would welcome the inclusion of the Financial Ombudsman Service in investigating this matter.”

Some may find this approach understandable, given that Kapama may be right. Yet arguably this communication is not professional in tone and is fairly argumentative and antagonising. Debt collection agencies should be professional and courteous, which can be done whilst still being firm. If you’re contacted by Kapama, be sure to make notes and keep copies of any communications where you feel they aren’t acting professionally and speak to the Financial Ombudsman if you feel you have a right to complain.

What to do if you can’t afford to repay Kapama

If Kapama get in touch with you, you acknowledge the debt is valid, but you can’t afford to pay, then you should get in touch with them ASAP and explain your situation. You may be asked to provide a breakdown of your monthly budget – your income and expenditure in a list – so that they can see evidence of why you can’t afford to pay. Then, you may be able to set up a payment plan.

The important thing is that it must be realistic. Make sure your expenditure includes everything you need to pay off. It can be tempting to try and pay off as much as possible, particularly if you feel pressured by a debt collector, but if you commit to a plan that you ultimately can’t afford, you will only cause more problems in future. A debt collection agency should be willing to accept a reasonable amount per month, and even if it ties you into making payments over a number of years, this is better than refinancing or facing court action.

If you have multiple debts that you’re struggling to manage, with Kapama just one of them, then it may be time to seek help with a debt solution such as a Debt Management Plan or an IVA. These will help you set up manageable monthly repayments to your creditors, and in the case of an IVA may even get some of your debt with Kapama written off.

You should still let Kapama know that you’re doing this as soon as possible. That way, they’ll give you time to set up a solution before they take any further action such as taking you to court to start legal proceedings against you.

How to get in touch with Kapama

If you need to get in touch with Kapama directly to either query a debt or to make a complaint to them, here are their details:

Phone: 0141 428 3441
Email: enquiries@kapamacredit.com
Address: 2nd Floor, 15 Meadowbank Street, Dumbarton, G82 1JR

Kapama claim that they will respond to any complaints within five working days, with a final response in no more than eight weeks after your initial contact.

If instead you need to complain about Kapama to the Financial Ombudsman, you can do so here:

Phone: 0300 1239 123
Email: complaint.info@financial-ombudsman.org.uk

Whether you’re repaying the debt you owe, or you want to query it, or you’re struggling to afford to make a repayment, make sure you speak to Kapama as soon as they’ve got in touch. Ignoring contact is the worse thing that you could do as it could lead to serious legal repercussions in future.

Read More…

4 Ways to Write Off Your Debt

There are 4 ways to write off your debts that lenders don't want you to know about. Most lenders insist ...
Read More
IVA debt write off

Write Off up to 90% of your Debt with an IVA

Find out in this article how an IVA can allow you to write off up to 90% of your debt ...
Read More
debt management plan

How a Debt Management Plan (DMP) can help

Most people in debt that can't afford the repayments use a Debt Management Plan (DMP). They help people who can ...
Read More
using bankruptcy to get out of debt

Using Bankruptcy to Get Out of Debt

Bankruptcy is the "nuclear" option when it comes to getting out of debt and it is not an option to ...
Read More
snowball debt method

The ‘snowball’ method will get you out of debt

The snowball method is by far my favourite method of getting out of debt. It's super simple to follow and ...
Read More
credit card debt trick

Use this credit card trick to clear your debt!

This little known credit card trick can clear your expensive debt. We tend to think that a credit card from ...
Read More

Helpful? Take 5 seconds to share:
  Secure Website

Standard Terms

These terms and conditions apply to all and anybody who uses the MoneyNerd Website or DebtNerd tool. By using the website and toll you agree to be bound by these terms. If you do not accept these terms, please do not use the website.

The term ‘you’ refers to the user or viewer of our website.




Privacy Policy

The Data Protection Act 1998 requires every data controller who is processing personal data to notify the Information Commissioner of any breaches no more than 72 hours after becoming aware of it unless they are exempt from doing so. Failure to notify is a criminal offence.  In addition, any FCA regulated firm must notify the FCA – ideally within 24hrs of discovery of a breach.

This document should be read in conjunction with our Acceptable Use policy and Information Security policy which form part of the Employee’s Handbook.  We are committed to protecting and respecting privacy.

This policy sets out the basis on which any personal data we collect from a consumer will be processed by us.

For the purpose of the Data Protection Act 1998 (“the Act”), the data controller is Nerd FS.

By visiting and using our website the consumer is consenting to the practices set out below.

If our firm needs to collect data for any purpose not stated above we should notify the Information Commissioner before collecting that data.

Whenever collecting information about people, our firm agrees to apply the Eight Data Protection Principles:

  1. Personal data should be processed fairly and lawfully
  2. Personal data should be obtained only for the purpose specified
  3. Data should be adequate, relevant and not excessive for the purposes required
  4. Data should be accurate and kept up-to-date
  5. Data should not be kept for longer than is necessary for purpose
  6. Data processed in accordance with the rights of data subjects under this act
  7. Security: appropriate technical and organisational measures should be taken unauthorised or unlawful processing of personal data and against accidental loss or destruction or damage to personal data
  8. Personal data shall not be transferred outside the EEA unless that country or territory ensures an adequate level of data protection


The same principles apply to when data is taken out of the office

Working at home

The use of data for marketing purposes

For marketing purposes, there are two types of data:

Data obtained in-house

Data obtained from third parties

Security Statement

We have taken measures to guard against unauthorised or unlawful processing of personal data and against accidental loss, destruction or damage.

This includes:

Customers Right to Withdraw Consent

The customer has the right to withdraw their consent at any time. The withdrawal of consent shall not affect the lawfulness of processing based on consent before it’s withdrawal. However, it does mean you can no longer rely on consent as your lawful basis for processing. They withdraw consent by either of the following; putting this in writing to address details, by calling telephone number or emailing email address.

As the right to withdraw is ‘at any time’, it’s not enough to provide an opt-out only by reply. The individual must be able to opt out at any time they choose, on their own initiative.

In some cases you may need to keep a record of the withdrawal of consent for your own purposes – for example, to maintain suppression records so that you can comply with direct marketing rules. You don’t need consent for this, as long as you tell individuals that you will keep these records, why you need them, and your lawful basis for this processing (eg legal obligation or legitimate interests).

Subject Access Request (SAR)

One of the main rights which the Data Protection Act gives to individuals is the right of access to their personal information.  An individual is permitted to send us a subject access request (“SAR”) requiring that we tell them about the personal information we hold about them, and to provide them with a copy of that information.  In most cases we must respond to a valid subject access request within 40 calendar days of receipt.  Any business is able to charge a customer a reasonable charge of £10 for providing this data however it is not our companies policy to do so unless the request is excessive or unwarranted.  Any Subject Access Requests must be sent to a Senior Manager for processing purposes.

Third party requests are also permitted e.g. a friend or relative, a solicitor, a claims management company or other third party. Under the Data Protection Act 1998 and the Data Protection Principles, are not permitted to reveal such information to a third party without the authority of a customer. On this basis, for any third party SAR, we will ensure that we have a written record of authority held on file before we release any personal data.

Where there are two or more customers linked to one credit agreement and the request comes from one of these parties, we will provide the response to both parties

We are required to 'give' a copy of the executed agreement and any other document referred to in it and the required statement. In the FCA’s view, sending a copy of them by ordinary second class post will suffice. Guidance on what constitutes a ‘copy’ can be found in the case of Carey v HSBC Bank plc [2009] EWHC 3417 (QB).

The duty under the relevant section does not apply if no sum is, or will or may become, payable by customer under the agreement. This is irrespective of whether the agreement may have already been terminated.

We will promptly facilitate a SAR request, although we have up to 40 days to do so.  All staff are made aware of this during induction.  Refresher training will be provided on a regular basis.  Although the rules permit the Firm to charge a maximum of £10 for responding to the request for personal data, it is not the Firm’s own policy to do so.

Client consent to the application of the Act and their right to access to their records are included within the firm’s terms of business/client agreement.

Any data collected must not be excessive and must be relevant to the purpose and it must not be kept longer than is necessary.

Information Commissioner’s Office (ICO)

The ICO has the power to issue monetary penalty notices of up to £500,000 for serious breaches of the Data Protection Act occurring on or after 6 April 2010, and serious breaches of the Privacy and Electronic Communications Regulations.


Our Privacy policy is in full view on our website.  This section must be read in conjunction with the Privacy Policy.

It is the responsibility of the senior management of our firm to ensure this policy is effective through monitoring and complaints procedures.

All employees, affiliates and ARs dealing with customers have a responsibility to read, understand and implement this policy and to hold their own valid and appropriate Privacy policy where appropriate.

The Firm holds a valid Data Protection license and it is bound by the rules of the Data Protection Act 1998.  The full extent of the rules can be found at www.dataprotection.gov.uk.

The 8 principles that the 1984 Act introduced are as follows.  Data must be:

Criminal offences

A criminal offence is committed by the Firm or an individual member of staff if they knowingly or recklessly:

Uses of customer information

When submitting application forms to banks, insurance companies and other financial institutions, this means that personal data will, by default, also be submitted.  In these cases, clients will be informed that their personal data may be used.

The Firm will request client consent before any transfer of data takes place.  Clients will be asked to confirm that they are comfortable to have their personal data used in one or more of the following forms:

Post, telephone, email etc. subject to the conditions of the Data Protection Act.

Information Classification


The following definitions provide a summary of the information classification levels that have been adopted by our firm and which underpin the 8 principles of information security. These classification levels explicitly incorporate the Data Protection Act’s (“DPA”) definitions of Personal Data and Sensitive Personal Data, as laid out in our firm’s Data Protection Policy.

‘Confidential’ information has significant value for our firm, and unauthorised disclosure or dissemination could result in severe financial or reputational damage to us as an FCA authorised firm, including fines of up to £500,000 from the Information Commissioner’s Office.

Data that is defined by the Data Protection Act as Sensitive Personal Data falls into this category. Only those who explicitly need access must be granted it, and only to the least degree in order to do their work (the ‘need to know’ and ‘least privilege’ principles).  When held outside our firm, on mobile devices such as laptops, tablets or phones, or in transit, ‘Confidential’ information must be protected behind an explicit logon and encryption at the device, drive or file level.

‘Restricted’ information is subject to controls on access, such as only allowing valid logons from a small group of staff. ‘Restricted’ information must be held in such a manner that prevents unauthorised access i.e. on a system that requires a valid and appropriate user to log in before access is granted. Information defined as Personal Data by the Data Protection Act falls into this category. Disclosure or dissemination of this information is not intended, and may incur some negative publicity, but is unlikely to cause severe financial or reputational damage to our firm.  Note that under the Data Protection Act large datasets (>1000 records) of ‘Restricted’ information may become classified as Confidential, thereby requiring a higher level of access control.

‘Internal use’ information can be disclosed or disseminated by its owner to appropriate members of our firm, partners and other individuals, as appropriate by information owners without any restrictions on content or time of publication.

‘Public’ information can be disclosed or disseminated without any restrictions on content, audience or time of publication. Disclosure or dissemination of the information must not violate any applicable laws or regulations, such as privacy rules.  Modification must be restricted to individuals who have been explicitly approved by information owners to modify that information, and who have successfully authenticated themselves to the appropriate computer system.

Designating information as ‘Confidential’ involves significant costs in terms of implementation, hardware and ongoing resources, and makes data less mobile. For this reason, information owners making classification decisions must balance the risk of damage that could result from unauthorised access to, or disclosure of, the information against the cost of additional hardware, software or services required to protect it.


Security Level



FOIA2000 / DPA1998 status

1. Confidential

Normally accessible only to specified and/or relevant members of our staff

DPA-defined Sensitive personal data:

·                     racial/ethnic origin

·                     political opinion

·                     religious beliefs

·                     trade union membership

·                     physical/mental health condition

·                     sexual life

·                     criminal record

·                     salary information

·                     individuals’ bank details

·                     passwords

·                     large aggregates of DPA-defined Personal Data (>1000 records) including elements such as name, address, telephone number.

·                     HR system data

Subject to significant scrutiny in relation to appropriate exemptions/ public interest and legal considerations.

2. Restricted

Normally accessible only to specified and/or relevant members of our staff

DPA-defined Personal Data (information that identifies living individuals including:

·                     home / work address

·                     age

·                     telephone number

·                     schools attended

·                     photographs

Subject to significant scrutiny in relation to appropriate exemptions/ public interest and legal considerations.

3. Internal Use

Normally accessible only to our staff

·                     Internal correspondence,

·                     internal group papers and minutes,

·                     information held under license company policy and procedures

Subject to scrutiny in relation to appropriate exemptions/ public interest and legal considerations

4.  Public

Accessible to all members of the public

·                     Company filed documents

·                     Company websites

Freely available on the website.

Explicit Information Ownership and Other Rights of Access to Information

We recommend that departments and functions within our business explicitly designate information owners.

Other users may have rights of access to data according to the terms of engagement under which the data was gained or created.

Granularity of Classification

The sets of information being classified should, in general, be large rather than small. Smaller units require more administrative effort, involve more decisions and add to complexity, thus decreasing the overall security.

 Information Retention

There may be minimum or maximum timescales for which information has to be kept. These may be mandated in a commercial contract. Other forms of information retention may be covered by environmental or financial regulations.


All ‘Users’ must obtain authorisation from their line manager before their classification request is submitted to Senior Managers. Nerd FS is responsible for assessing information and classifying its sensitivity.


A violation of our Information Security Policy and supporting policy documents will be investigated and consequentially may result in disciplinary action which could include the termination of employment contract for employees, the termination of contractual relations in the case of third parties, contractors or consultants.

A violation of this policy and misuse of the systems and applications within our firm may also be a breach of the Computer Misuse Act 1990; consequentially the company may at its discretion take legal action against an individual or organisation that is found to be in breach of its policies.

How we may use customer data

 We may as a result of a consumer or a third parties’ interaction with our website/s obtain their personal data and process their information on our computers and in any other way.

By “third parties” we mean any lender, broker or affiliate who interacts with us in enabling a consumer to make a loan application.

We will use the information to manage their account(s), give them statements and provide our services, for research, assessment and analysis (including credit and/or behaviour scoring, market and product analysis) and to develop and improve our services to the consumer and other consumers and protect our interests.

We, and other carefully selected third parties, will use their information to inform them by post, fax, telephone or other electronic means, about other products and services (including those of others) which we believe may be of interest to them.

If they contact us, we may keep a record of that correspondence.

We will keep details of transactions they carry out through our site and of the fulfilment of their applications and their loan history.

We will keep details of their visits to our site including, but not limited to, traffic data, location data, weblogs and other communication data and the resources that you access.

In order for us to be able to collect and use personal data and / or to pass If they do not want us to use their data in this way, or to pass their details on to third parties for marketing purposes, customers must manually opt in to this agreement (See CONC section of this Compliance Manual).

IP Addresses

 We may collect information about their computer, including where available their IP address, operating system and browser type, for system administration and to report aggregate information to our advertisers. This is statistical data about our users' browsing actions and patterns, and does not identify any individual.


 For the same reason, we may obtain information about a consumer’s general internet usage by using a cookie file which is stored on their browser or the hard drive of their computer. Cookies contain information that is transferred to their computer's hard drive. They help us to improve our site and to deliver a better and more personalised service. Some of the cookies we use are essential for the site to operate.

If they register with us or if they continue to use our site, they agree to our use of cookies.

Please note that our advertisers may also use cookies, over which we have no control.

Cookies can be blocked and a consumer may not be able to access all or parts of our site. Unless a consumer has adjusted their browser setting so that it will refuse cookies, our system will issue cookies as soon they visit our site.

Where we store data

The data that we collect from a consumer is stored within the European Economic Area ("EEA"). Such staff may be engaged in, among other things, the assessment and fulfilment of a consumer’s application, the processing of a consumer’s bank details and the provision of support services. By submitting their personal data, they agree to this transfer, storing or processing.  We will take all steps reasonably necessary to ensure that a consumer’s data is treated securely and in accordance with this privacy policy.

All information a consumer provides to us is stored on our secure servers. Any transactions will be encrypted. Where we have given (or where they have chosen) a password which enables you to access certain parts of our site, they are responsible for keeping this password confidential. We ask a consumer not to share a password with anyone.

The transmission of information via the internet is never completely secure. Although our systems exceed industry standards for security, and we will always do our best to protect a consumer’s personal data, we cannot guarantee the security of a consumer’s data transmitted to our site; any transmission is at their own risk. Once we have received their information, we will use strict procedures and security features to try to prevent unauthorised access.

Disclosure of information

We may disclose a consumer’s personal information to any member of our group, which means our subsidiaries, our ultimate holding company and its subsidiaries, as defined in section 1159 of the UK Companies Act 2006.

We may disclose a consumer’s personal information to third parties:

Credit Reference Agencies (CRAs)

When a customer makes an application for a credit, we will check whether they are likely to be able to meet the monthly payments and repay the loan.  However, we are limited in what we can actually do as we do not work directly with CRA’s as we are not eligible to do so.  We will work with what the applicant divulges on their fact find/application but we can only judge as accurately as the information given allows.

When we submit an application to a lender, it is normal practice for a lender to carry out a credit search with a CRA.  In the past, this would have left a search ‘footprint’ on the applicants’ credit file that may be seen by other lenders. Large numbers of applications made within a short period of time would adversely affect a customer’s ability to obtain credit, and they should always consider this before making an application for a loan.

However, the lenders that we have chosen to deal with offer a facility known as a ‘quotation’ search, which does not leave a footprint. This is in line with CONC 2.5.7 which suggests that during the ‘shopping around’ process of the customer, the lenders that we promote should only use a ‘quotation search’, which does not leave a footprint.

Access to information

The Act gives a consumer the right to access information held about them. Your right of access can be exercised in accordance with the Act. Any subject access request may be subject to a fee of £10 to meet our costs in providing them with details of the information we hold about them.

Changes to our Privacy Policy

 Any changes we may make to our privacy policy in the future will be posted on our web page, and, if appropriate, notified to consumers by e-mail.

Questions, comments and requests regarding this privacy policy are welcomed and should be addressed to moneynerduk (at) gmail.com.

My 5 Question Debt Write Off Assesment SEE IF YOU QUALIFY