Should I pay PRAC Financial Limited Debt Collection?

For free & impartial money advice you can visit MoneyHelper. We work with The Debt Advice Service who provide information about your options. This isn’t a full fact-find, some debt solutions may not be suitable in all circumstances, ongoing fees might apply & your credit rating may be affected.

Did you get a letter from a debt collector out of the blue? Are you asking, ‘should I pay PRAC Financial Limited debt collection or not?’

If so, check out my post which is all about dealing with PRAC financial Debt Collection Limited so it doesn’t cost you more than it should!

Do you have to pay PRAC Financial Limited?

You might not have to pay PRAC Financial Limited.

If you genuinely can’t afford your debt repayments then looking into whether you could have your written off might be just what you need.

If you want to find out whether you qualify for having debt written off or payments lowered then fill out the short form below.

Who is PRAC Financial Limited?

If you’re wondering who PRAC Financial Limited is, the answer is they are a debt collection group that works alongside BW Legal!

So, in short, you could get a letter from PRAC or BW Legal when you’re being chased for an outstanding debt.

PRAC refers to itself as a ‘niche debt collector’. They buy debts from third parties and then chase people for payment. Their main core business involves purchasing:

Commercial debts
Corporate debts

That said, the company also recovers outstanding payday loans that have gone into default.

Take a look at what happened to one person who had taken out a payday loan!

Should I pay PRAC Financial Limited Debt Collection?

Source: Money Saving Expert

What is Prac debt?

A Prac debt could be the result of an unpaid payday loan you took out and then defaulted on. Or it could be because you defaulted on a commercial or corporate loan!

The original lender will sell the debt to PRAC who then chase you for payment!

Can you lower your repayments?

If you’re struggling to pay back your debt, then you might qualify for a debt solution.

Some solutions lower your monthly payments while others write off a portion of your debt.

To find out whether they could work in your situation, hit the button below.

Get Started

Can you ignore PRAC Financial Debt Collection?

No. You shouldn’t ignore their correspondence even when you feel PRAC is wrong to contact you. The situation would only get worse if court proceedings are taken out against you.

Moreover, when you ignore PRAC, you could be missing out on:

Finding out the debt isn’t yours
Discovering the debt is over six years old and therefore statute barred
Being offered an affordable repayment plan

Then, of course, ignoring PRAC could lead to:

PRAC starting legal proceedings to recover the debt
Having a CCJ on your credit history will ruin your credit rating

What is Prac on my credit score?

As mentioned, if you ignore correspondence from PRAC, you could end up with a default notice registered against you. In short, you’d get a CCJ recorded on your credit score which will ruin your credit rating!

Should you pay PRAC Financial Debt Collection?

Once you’re over the anger and you’re no longer panicked, you should get in touch with PRAC. Ask them for a ‘prove the debt’ letter. The debt collection agency must respect this request.

Plus, it not only buys you some time to get your finances sorted if needed but it also:

Establishes the debt is yours
Determines whether the debt is over six years old and therefore, statute barred

What happens if PRAC can’t prove the debt is yours?

You may get out of paying if PRAC can’t prove the debt is yours. Moreover, any proof they provide must be authenticated by the original creditor. Or a body that’s authorised to authenticate it!

What happens if PRAC proves the debt is yours?

You may have to pay if PRAC provides you with authenticated proof the debt is yours. That said, try to negotiate an affordable repayment plan with the debt collector.

PRAC must give you time to seek debt advice, so get in touch with one of the free debt advice charities before you agree, sign or pay anything!

What can PRAC Financial Debt Collection legally do?

PRAC must follow the law when contacting you over an unpaid debt. For example, there are things debt collectors can do and there are things they cannot legally do!

I’ve listed what they can legally do here:

Visit you at home
Discuss your debt politely and discreetly with you
Ask you to pay them directly

I’ve also listed what debt collectors can’t legally do here:

Apply pressure on you to pay the debt by taking out another loan
Threaten you or act aggressively
Force their way into your home
Clamp your vehicle or seize possessions
Visit you where you work
Threaten legal action when they know they won’t or can’t
Make you think they are enforcement agents (bailiffs) who break the law
Contact you at unsociable hours and when you asked them not to
Talk to your family, friends, employer or neighbours about your date which is in breach of your privacy
Confuse you with legal jargon

Find out your debt options

Can you stop PRAC Financial Debt Collection from calling you?

You can’t stop PRAC Financial Debt Collection from calling you unless they act unlawfully or unethically. That said, you can dictate how and when they can get in touch with you!

PRAC must respect your request! If they don’t, they’ll be acting unlawfully. You could report them. But first, file a complaint with PRAC.

Then lodge a complaint with the Financial Conduct Authority (FCA).

Is the debt statute-barred?

If the debt is over six years old, it’s statute barred and cannot be enforced. Furthermore, you won’t get a CCJ because courts won’t deal with debts that old.

However, for a debt to be statute barred, the following must apply:

It’s at least six years old
You didn’t pay anything towards the debt in six years
You never acknowledge the debt in six years
There are no existing orders relating to the debt in progress

How do you contact PRAC Financial Limited Contact?

I’ve included how you can contact PRAC Financial Limited here:

By phone	0113 487 0430
By email	[email protected] (General Enquiries)
Address:	PRAC Financial Limited F10 Longfields Court, Wharncliffe Business Park Middlewoods Way, Barnsley S71 3GN
Website:	http://www.pracfinancial.co.uk/

What debt help is available?

You should contact a debt advice charity if you’re unsure or confused when you get a letter from PRAC Financial Debt Collection. Don’t reply straight away, instead discuss things with a debt adviser.

I’ve listed some here:

Their advice could be invaluable when dealing with correspondence from PRAC Financial Limited Debt Collection!

“It will only get worse” 😩

It’s cliché to say, but with debt it’s true; the longer you leave it, the worse the problem gets.

There are straightforward and effective ways to deal with debt, but you have to know your options.

Fill out the short form to find out about the debt solutions that could reduce your monthly payments or even write off some of your debt.

Get Started

Lastly, should I pay PRAC Financial Limited Debt Collection?

You should try to remain calm when you get a letter from PRAC Financial Limited Debt Collection. Then seek debt advice if you’re at all confused. Then, get in touch with PRAC and ask them to prove the debt is yours.

Next, make certain the debt isn’t statute-barred because if it is, you could get out of paying!

That said if PRAC can prove the debt is yours, make sure you stay in touch with the debt collector. Otherwise, the situation could spiral out of control! Try to negotiate an affordable payment plan which could help get you out of trouble.

Thanks for taking the time to read my post. I hope the information helps answer the question, ‘should I pay PRAC Financial Limited Debt Collection, or not?’