Dealing with debt can be a challenging and often confusing journey. This comprehensive guide delves into the intricacies of Metropolitan Collection Services and the complexities of handling debt collectors.
Whether you’re grappling with understanding your debt obligations or seeking ways to manage them, this article provides clear, straightforward advice to navigate these waters in 2023.
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Who are Metropolitan Collection Services?
Registered and regulated in the UK, Metropolitan Collection Services is a debt collection company. But apart from debt collection, they also provide services in professional debt management and advisory services to various clients such as HSBC.
Why Have You Been Contacted by Metropolitan Collection Services Debt Collectors?
If you’re getting calls or letters from Metropolitan Collection Services Debt Collectors, it’s likely due to a debt you owe. Even though you might not have directly borrowed from them, they might be working on behalf of a company you owe money to, such as a credit card company, bank, or loan company.
There are many types of debt collectors. Some are sole traders, and others are independent debt collectors. They work as follows:
- Metropolitan Collection buys your debt from the original creditor, like a bank, an energy bill you have failed to pay, or even a credit card company.
- They often pay about 20% of the debt’s value, aiming to profit by collecting the full amount from you.
- If they can’t collect, they face a loss, driving their determination to get payment. Due to this, many debt collectors use unfair tactics to get debtors to pay.
In summary:
- Type of Collectors: They can be large companies or even individual traders.
- Profit Motive: Their goal is to make a profit by collecting more than they paid for your debt.
- Your Recognition: You might not recognise them since they’re not who you initially owed.
Do I Really Owe This Money to Metropolitan Collection?
If you don’t recognise the debt, before you pay, it is crucial that you first validate if the debt is yours. You can do this by sending a ‘Prove the Debt’ letter’. In this case, they should send you the original credit agreement. If they don’t provide you proof, don’t pay the debt. They don’t have the right to chase you for a debt that they cannot prove is yours.
But if the value is different, then it is most probably because of added fees and interest. So, by the time they contact you, the amount will be higher than the original amount.
Is My Debt Statute-Barred?
Time plays a crucial role in debt collection. In the UK, if six years have passed without payment or acknowledgement of the debt, it might be ‘statute-barred.’ This means the debt cannot be legally enforced. Despite this, your debt still exists, and you owe the money. But if you decide not to pay, they cannot go to court against you.
But this does not happen for certain debts. For example, HMRC debts are enforceable for a very long time. Also, debt with a County Court Judgement (CCJ) attached to it during the 5-6 year period can be enforced for the duration of the judgement.
If you want to know if your debt is statute-barred, feel free to reach out to a debt charity such as Citizens Advice. They will guide you regarding your debt issue and provide advice.
Can Pay Metropolitan Collection, But Should I?
If Metropolitan Collection proves that you owe the debt and if you are able to pay, it’s wise to clear out the debt. But if you want to pay and don’t have the funds, you might be able to get a repayment plan that will help you to pay off the debt without any hassle.
If you want a repayment plan, reach out to Metropolitan Collection and request one based on your income and expenditure.
Are Debt Collectors Affecting Your Mental Well-being?
Dealing with debt collectors can be stressful. If Metropolitan Collection Services’ actions are impacting your mental health, it’s crucial to acknowledge this and seek support.
Some debt collectors use unfair tactics to collect debt, such as:
- Bullying
- Harassment
- Threats
This has a negative impact on the mental health of debtors. Some debtors even claim that they feel suicidal due to this. However, the government has introduced certain legislation over the past to protect debtors.
Metropolitan Collection Services Debt Collectors and the Legislation Changes
According to the Financial Conduct Authority (FCA), there are certain guidelines that debt collectors should follow. This includes:
- Debt collectors should treat debtors in a fair manner. They should not be aggressive or oppressive towards them.
- Debt collectors should always be transparent when providing information to debtors.
- Debt collectors should consider the situation of the debtor before they take any action.
- Debt collectors should be empathetic towards debtors and respect their financial situation.
You don’t have to tolerate any kind of negative behaviour from Metropolitan Collection debt collectors. If they break any rules, you have the right to make a complaint. The relevant authorities will look into the issue and take necessary action against them.
If you also find out that they are lying about anything to get you to pay, this also goes against the rules. So you can file a complaint.
Things You Should Know About Metropolitan Collection Services Debt Collectors
Dealing with Metropolitan Collection Services Debt Collectors can be daunting, but being informed is your first line of defence. Let’s break down the essentials:
Their main goal is to collect debts, and they might get bonuses for doing this well. This could lead to intense pressure on you, the debtor. Because of this bonus, they may use harsh tactics on debtors to get them to pay. This can even include threats and intimidation.
They will do whatever it takes to get you to pay on the spot. But note that if Metropolitan Collection Services has used any of these tricks on you, they are usually empty threats. You also have the right to take action against them if they do anything that breaks the rules.
Ignoring them won’t make them go away. They’re known for their persistence, which can feel like harassment. They will continue to call you until you agree to pay or take up a payment plan. This is also another tactic they use to pressure debtors into paying.
If they continue to call you like this, feel free to report them. But make sure to note down all the call details and times. You can use this as proof to support your complaint.
Some agents might turn abusive if they realise you can’t pay immediately. This can be distressing and is not acceptable. This is another tactic they use. When you first answer the call, they might seem friendly and supportive. But the moment they realise you’re unable to pay, they might sound aggressive and forceful.
Many debtors struggle to handle situations like this. So, in order to get off the phone with the agent, the debtor ends up paying. That is one reason why they use this tactic. But this is a very abusive tactic that they use as after paying you might find it hard to afford essentials like food.
They cannot discuss your debts with anyone else, even if it is your family or spouse. It’s your private matter. If they do this, they are breaching multiple guidelines, including privacy laws. If they breach your privacy by discussing your debt with another person, make sure to report them.
The Lies They Tell
Some debt collectors may resort to intimidation or misinformation. Be aware of these tactics, and don’t be swayed by false threats. They may do this moment they realise that you’re not willing to pay.
One of the most common lies that they may say is that they are bailiffs, and they will be visiting your home to seize your assets. Sometimes, they might even threaten you with criminal prosecution.
No matter how stressful it is, don’t let them pressure you into a decision that you’re not comfortable with. So take precautions and don’t let them into your house. You can also ask them to leave. But if they don’t listen to you, report them to the police.
Solving Debt Problems
Remember, there’s always a solution to debt problems. It may take courage and knowledge, but it’s possible to navigate through these challenges. Metropolitan Collection is only just one debt collection company out of many that use these tactics.
It’s not easy to stand up for yourself, but knowing your rights will be beneficial. Also, keep in mind to always look for a solution that will not worsen your situation or your mental health.
How Do I Make a Complaint Against Metropolitan Collection Services?
If you face unreasonable behaviour from Metropolitan Collection Services, there’s a process for lodging a complaint. This section guides you through it. First, reach out to Metropolitan Collection and inform them of the issue. This will give them the chance to resolve the issue on their own.
But if they don’t take your complaint seriously, escalate the complaint. You can make a secondary complaint to the Financial Ombudsman Service (FOS). They will look into it and take action if your complaint is upheld. They will either be fined or will have to pay you compensation.
Can I Write Off My Metropolitan Collection Debt?
Yes, you might be able to write off your debt, but you should be eligible. You can do this with a debt solution or a debt settlement offer. This means that they might agree to receive a portion of your debt instead of the full debt. Note that the more you offer, the more they will most likely accept it without a hassle.
If they accept your offer, it’s crucial that you keep all the documentation of this for a period of six years. So if they change their mind in the future, you have proof that they agreed to it.
Have You Considered a Debt Solution?
When facing serious financial challenges, exploring debt solutions is a wise step. Some debt solutions allow you to write off a portion of your debt. However, while the correct debt solution helps to write off debt, choosing the wrong one might worsen your situation.
So, before deciding, it’s crucial to seek advice from a debt charity. Alternatively, feel free to fill out our online form, and our MoneyAdvisor Team will guide you.
Let’s dive into what options are available in the UK:
- Debt Management Plan (DMP): This informal approach allows you to consolidate debts into a single monthly payment. It’s flexible, with no minimum payment period.
- Individual Voluntary Arrangement (IVA): A formal arrangement where you pay a monthly sum distributed among your debts. IVAs last 5-6 years, after which remaining debts are cleared.
But what about other options?
- Trust Deed: In Scotland, instead of an IVA, you might consider a Trust Deed. It’s similar to an IVA but specific to Scottish law.
- Debt Relief Order (DRO): Suitable for those with minimal assets and income. It freezes debt for 12 months, potentially leading to debt write-off.
- Bankruptcy: A serious step for when debts are unmanageable. It carries a stigma but can offer a fresh financial start. It’s a serious financial situation, so avoid taking it lightly.
- Sequestration: The Scottish version of bankruptcy, with a streamlined process for those with limited assets and income.
Additional Help
If you want some advice regarding your debt issue, there are many organisations that you can reach out to. There are commercial debt management companies that will offer advice, but you will have to pay a fee for it. But if you want free advice, feel free to reach out to a debt charity.
A few debt charities that you can reach out to include:
- Citizens Advice
- National Debtline
- Debt Advice Foundation
- StepChange
Are You Struggling With Unaffordable Debt?
If your debts are overwhelming, it’s essential to explore all available options. Some options you can consider include:
- Affordable repayments
- Lower monthly repayments
- Reduce pressure from people you owe
Metropolitan Collection Services Contact Details
Having direct contact information for Metropolitan Collection Services can be crucial. This section provides their details for your convenience.
| Company Name: | Metropolitan Collection Services Ltd |
| Other Names: | MCS, Central Debt Recovery Unit, Payment Services Bureau |
| Address: | PO Box 5338, Coventry District Service Centre Binley Business Park, Harry Weston Road, Coventry CV3 9FR |
| Contact Number: | 0345 609 0545 |
| Fax: | 0121 4552997 |
| Numbers they call from: | 08456031256 |
Keep Up To Date With Your Debts
It’s crucial that you’re updated about your debt. So keep the following in mind:
- Debt Transfer: Debts can be sold to other collectors. For example, PRA Group Inc. sold debts to Moorcroft Debt Recovery. Lowell UK and Cabot Finance are also key players.
- Be Vigilant: Regularly check your mail and email. Your debt might be transferred without your notice.
But there’s a silver lining:
- Debt Breathing Space Scheme: This government initiative provides a respite for those struggling with debt. Introduced in May 2021, it offers two types of relief:
- Standard Breathing Space: This lasts 60 days and is available to anyone with debt issues.
- Mental Health Crisis Breathing Space: Duration depends on your mental health treatment, plus 30 days.
It’s a chance to pause, seek advice, and maybe start a debt solution without the pressure of increasing fees or enforcement actions.
Key Points
- Metropolitan Collection is a debt collection agency operating in the UK.
- They are officially registered and regulated, ensuring their operations comply with legal standards.
- Metropolitan Collection often purchases debts from original creditors like banks, credit card companies, or loan providers.
- They provide services not just in debt collection but also in professional debt management and advisory.
- Their clients typically include financial institutions such as HSBC.
- Debt Recovery Process: They use various methods to recover debts, including phone calls and letters to debtors.
- Metropolitan Collection might not be recognised immediately by debtors as they collect on behalf of the original creditor.
- Their business model includes purchasing debts at a fraction of their value and attempting to collect the full amount.
- As a regulated entity, they are bound by laws and guidelines regarding fair debt collection practices.
- Debtors have the right to lodge complaints against them, especially if they breach conduct guidelines set by financial authorities.
