Pay it Forward UK

[Never-In-Doubt]

After the news of the Yanks offering to purchase debts, there's a group appeared on FB earlier. Literally, registered in the last couple of days.

Obviously based on the fact the domain and company name is already in use I can't see where these guys think they're going, and whilst I agree it could be a good concept, Rankine keeps ringing out to me along with other things - especially the main one the banks would not sell to a firm that absorbed consumer debts, why would then when they can part-assign to a mainstream DCA then get a higher return in the pound.

Anyway, I digress. See for yourself, and see my argument on the thread (unless he removes it)..

---> http://www.facebook.com/PayItForwardUk

[kilasuit]

Re: Pay it Forward UK

Certainly seemingly defensive thats for sure.

Especially as you were only trying to help point in the right direction

[Never-In-Doubt]

Re: Pay it Forward UK

I have received a message with the owners details, I will call him as I am sure we can give him some pointers and as I said on FB, it it works then great but sadly I see the banks clamming up and refusing to sell the debts.

Remember only a very small portion of debts are sold as absolute at the point of purchasing the toxic debt (from a DCA point of view).....

I do not want this to be a slagging off match, give the guy a break - if the plan works great, we'll back it 100%.

[kilasuit]

Re: Pay it Forward UK

Yeah if it can be beneficial at all to any of the users here and also the general public I'm all for it. Heck if I had a spare million I'd look at doing just this sorta thing.

I think it will definitely be a time will tell sort of thing though.
Maybe check back in 6 months and see how they've got on.

[ken100464]

Re: Pay it Forward UK

And the real problem with this is the banks wont play ball and indeed they dont have to.

They choose who they sell their debts too and someone openly trying to upset the cosy club will be as welcome as a fart in a spacesuit.

To start with as an unknown it may work but in a very short time he will be outed.

You only have to look at Cardiac Arrests diary to realise the banks never really let go of these debts even when selling them on.

Its the system and the only way to avoid the system is to not use it.

All the same good luck to him and I hope some lucky people use the chance to learn to avoid the banks as much as they can.

[Never-In-Doubt]

Re: Pay it Forward UK

Well I thought of this already.... the way around it is to set up a mainstream DCA and bid for the tender of accounts and then resell them to your charitable division that can write them off.

its a lot of work and means concealing one company from the other and actually creating a mainstream DCA (just as a guise) - but that's about the only way to realistically do it as the banks will not sell to a charitable foundation based on the fact they don't want people to pay their customers debts, certainly not when they sold the debt at a 90% loss....

Food for thought mind you...

[ken100464]

Re: Pay it Forward UK

Interesting concept. Suppose if you are good at hiding it then it could work.

But the idea of a charity attracting the significant funds in order for the DCA to purchase the debts in the first place surely would alert the banks to the fact something is up.

Doubt you could go wandering down to your local pub or shopping centre with a collecting bucket and just say its for a good cause so give us your dosh.

If the collections were wide ranging enough to really get the money in then the media/banks would be savy to this new charity/foundation. It wouldnt take to great a leap for them to finger an unreal DCA unless they were acting like a real one causing misery everywhere.

Obviously the rich could give but then again most of them are probably rich on the miserable system as it is now.

Probably a much better use of any money would be the mandatory teaching of money matters throughout life. The difference between need and want. Stop people getting in over their head before the life event kicks them to the kerb.

Saying that many would resent that as they think they can beat the system

[SXGuy]

Re: Pay it Forward UK

Cant see it working from a charity point of view. Not saying its not a good idea, of course it is, but as already said, i cant see them selling the debts to a charity.

Would def need to be a mainstream DCA set up which tenders for the debts, buys in absolute, then passes them on.

Good luck to the guy if it works, i wont knock it, prob take him up on it, but skeptical.