Moorcroft Debt Recovery is one of the U.K.'s biggest debt recovery companies. They buy debt from companies and then take it on themselves to collect it from consumers. Here is more information on how they work:
How Moorcroft Debt recovery works
Companies do not like to be saddled with debt. When people do not pay debts, their collection becomes unprofitable for many companies. This is where Moorcroft steps in. It buys debt from finance companies, telecommunication service suppliers and other consumer finance companies at a discount and collects it from the defaulting customers, and pockets the difference between the buying price and the amount actually recovered. Companies which sell debt to Moorcroft sell it for a pittance – maybe even as low as 10% to 25% of the debt due for old debts and debts riddled with legal problems. Moorcroft therefore enjoys a high profit margin. Moorcroft then lets its new debtors know that Moorcroft is now the new creditor and starts typical collection proceedings. Many customers have complained of feeling threatened while dealing with Moorcroft while some customers find them okay to deal with.
How to work the Moorcroft site
Moorcroft has a website (Mdrl.co.uk) where the debtor has to enter a 12-digit reference number given to him by Moorcroft. Once he enters the website, he is presented with the following sections:
How to make a payment
This section presents the user with a “Make Payment by Credit Card” button. If the debtor wishes to make the payment by credit card, he has to choose “Moorcroft Group” as the payee. This section also contains contact phone numbers and addresses. Offer of repayment
This is a helpful section for folks who cannot repay in full and want to repay a reasonable amount in monthly instalments. They can make an offer and state reasons using this section. Account query
Debtors can use this section is used to ask questions and clear doubts about accounts. Account administration
This section is used to request for documents like account statement, settlement of claims letter and payment book. Assistance
This section provides help to people who cannot manage their debt and are therefore unable to repay. Moorcroft provides such people with professional debt counselling help. Income and expenditure This section features a personal budget using which the debtors can calculate their income and expenses and allocate the savings to different liabilities. Debtors can use change their contact details and there is a FAQ section as well. Final word
Owing money and not repaying it is bad for the reputation. Companies like Moorcroft take over debts and it is reasonable to expect them to try and coax the debtors to payup. However, strong arm tactics should be avoided.