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Home>Glossary>Debt purchase

Debt purchase

Debt, arrears & collections
When a lender sells a debt to another company.

Overview

The new owner may collect the debt directly.

Your rights and obligations usually stay the same.

Why it matters

  • You may deal with a new company.
  • It can change how the debt is managed.
  • It may affect how settlements are negotiated.

FAQs

Can my debt be sold without my consent?

Yes. Debts can be assigned to another company under the original agreement.

Does a debt purchase affect my credit score?

The debt itself affects your credit, not the sale.

Related terms

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