PRAC Financial Limited Debt Collection – Should You Pay?

Are you worried about a letter from PRAC Financial Limited Debt Collection? Are you unsure if you should pay? If so, this article is here to help.

Every month, over 170,000 people come to our website for advice on debt matters. You are not alone in this journey.

In this article, we’ll guide you on:

•  Who PRAC Financial Limited are and what they do.
•  How to confirm if the debt they claim is truly yours.
•  Ways to stop PRAC from bothering you too much.
•  Your choices to set up ways to pay the debt or even have the debt written off.

Our team is made up of people who have been in your shoes. We know how it feels to be chased by debt collectors.

We’re here to help you understand and deal with PRAC Financial Limited.

Do PRAC Financial Debt Collection Ever Make Mistakes?

Debt collection groups have a difficult task at locating the people who owe them or their clients the debt. For this reason, they often revert to scattergun tactics by sending debt notification letters to lots of people in the hope that someone will owe up and pay.

This can work, but it also leaves people who do not owe the debt with threatening and scary letters. You may have received a PRAC Financial Debt Collection by mistake if:

• You have the same or a similar name to the real debtor
• You now live or used to live at the same address as the real debtor
• Administration errors occurred

» TAKE ACTION NOW: Fill out the short debt form

The Best Way to Reply to PRAC Financial Debt Collection

There is no one best way to reply to PRAC Financial Debt Collection. The way you need to respond will depend on the circumstance of your debt.

Send PRAC Financial Limited a Prove the Debt Letter

PRAC Financial Debt Collection must provide concrete proof of your debt. It is their bonus to do this, and without proof you will have a much better chance of winning in court (if it goes that far).

Sometimes debt collection agencies will not provide proof because they are using the scattergun approach to find the real debtor mentioned earlier. And because most people do not know their rights in these situations.

So, if your letter from PRAC Financial Debt Collection did not include proof, it’s time to ask for it!

How to Request Proof of Your Debt

To request proof, you must reply to their letter and ask for proof. You can use prove the debt letter templates from debt charities and respected debt blogs like MoneyNerd. When using these, you just have to add a few details to make the letter applicable to your situation.

A letter of this kind should specifically state that without proof all future communications are harassment and will be reported.

Tell PRAC Financial Debt Collection Your Debt Is Statute Barred

You should never send a prove the debt letter if your debt is statute barred. These types of debts do not have to be paid back, so you would tell PRAC Financial Debt Collection that the debt is statute barred instead, using a different type of letter.

But What Even Is a Statute Barred Debt?

Statute Barred debts are the older debts that the courts won’t entertain because they are too busy with more recent cases. As a result, you never have to pay a statute barred debt back because it can never receive a court order.

For your PRAC Financial debt to be statute barred, it must be:

1. At least six years old
2. Not have been paid in the last six years
3. Not have been acknowledged by the debtor in the last six years
4. Without a court order issued on it during the whole debt’s existence

Sending PRAC Financial Ltd a Statute Barred Letter

The same debt forums, blogs and charities also provide templates for these types of letters. You can easily find professional statute barred letter templates online.

Keep a copy of any letter you send to PRAC Financial Ltd.

What Happens If PRAC Financial Prove My debt?

If your debt does not meet the criteria to be statute barred and PRAC Financial Debt Collection has proved the debt, now is not the time to start ignoring them.

You will have to agree a way to pay off the debt. Thankfully, many options are available for most people.

Should I Pay PRAC Financial Debt Collection?

But reacting to your debt letter does not mean having to pay the money they are asking for now. You can use your rights and the debt collection process to delay having to pay, and in some cases, even avoid having to pay at all.

Ways to Pay Your Debt

Make an Agreement with PRAC Financial Debt Collection

The easiest debt solution is to agree on a payment plan directly with PRAC Financial Debt Collection. On their website, they have some words that may make you feel more comfortable:

“Your debt has been sold to us. We now have the authority to agree a repayment arrangement which is fair and takes into account all of your circumstances. This is an opportunity to resolve matters.”

Whatever you decide, never agree to more than you can afford. Doing so may create even more debts down the road.

To avoid this, you should work out how much disposable income you have left each month and inform PRAC Financial Debt Collection if your situation changes, such as gaining or losing employment. Debt charities – mentioned at the end of this guide – can help you calculate your disposable income.

Explore Other Debt Solutions

Just because a payment plan is the easiest option, does not mean it is the best debt solution for you. Some debtors, usually those with multiple debts, could save money and stress by using another method.

One of the best alternative methods is an Individual Voluntary Arrangement (IVA). These are similar to payment plans but are professionally made by a third party to consolidate multiple larger debts. You will have to pay more each month, but after five years all your debt is cleared no matter what.

Learn more about the benefits of an IVA to see if it is right for you!

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.

Is It Okay to Ignore PRAC Financial Debt Collection?

You may believe you have fallen victim to these scattergun-type methods, but even in this case, it is not okay to ignore the debt letter from PRAC Financial Debt Collection.

In fact, nobody should ever ignore a debt letter. Taking action is always the best option.

That also is the case if you know you cannot pay the amount that PRAC Financial Debt Collection is asking for. We’ll tell you why shortly.

Will I Lose My Home or Possessions to PRAC Financial Ltd?

The process mentioned above means you could lose your possessions, and in exceptionally rare cases, lose your home.

However, you should also know that any worker for PRAC Financial Debt Collection or BW Legal does not have the right to come into your home, even if a CCJ has been issued from the courts. Only enforcement agents have this power after legal proceedings have taken place.

But there are even things that enforcement agents won’t take from you. Learn what those things are in this enforcement agent guide.

How to Stop PRAC Financial Debt Collection from Calling

You cannot completely stop all letters and calls from PRAC Financial Limited. They must have some way of contacting you if you owe money to them or their client.

But you are able to request their communications at certain times of the day. And they are not allowed to call you repeatedly or at your place of work.

You should contact PRAC Financial Debt Collection to make your preferences known.

They Keep Calling, Can I Report PRAC Financial Debt Collection?

If they ignore your references and continue to call repeatedly or during hours you asked them not to, you could report PRAC Financial Debt Collection to the Financial Conduct Authority (FCA).

The FCA will then investigate the matter and PRAC Financial Debt Collection could end up with a hefty fine or other type of punishment.

PRAC Financial Limited Contact Information