Figues show agencies recover nearly £6 million of debt every day
1 July 212

Levels of debt being collected by members of the Credit Services Association (CSA) have returned to pre-Christmas levels, according to the latest Quarterly figures. The gross total of consumer debts collected for the March 2012 stands at just over £172 million – a return to a level last seen in November 2011 (£172 million) following a dramatic fall in December (£147.476mn).

The CSA attributes this to an increase in debts being passed to members in November contrasting starkly with the consumers hanging on to their money in December to spend on Christmas.

At the end of the first quarter of 2012, the total value of unpaid consumer debt held by CSA members for collection stood at £58 billion (£58.316bn), comprising £31 billion (£31.264bn) placed by creditors with Debt Collection Agencies to collect, and a further £27 billion (£27bn) of purchased debt owned by Debt Buyers. This represents a slight increase on the total for the final quarter in 2011 (£58.179bn – a difference of £137 million).

The total volume (i.e. number) of consumer debts awaiting collection by CSA members remains at a staggering 32 million (31,781mn) as at the end of March 2012, a slight fall on the previous Quarter (32,130mn). Debts are being outsourced for collection by ‘new’ creditors within the private sector and parts of national government – including the Department for Work and Pensions (DWP) and the HMRC – who no longer see an issue with recovering monies vital to the public purse.

Full details of the report of the figures can be found at the CSA site.

Creditors may find themselves in direct competition with other creditors for limited funds. It is important to instruct agents at an early stage to obtain the best opportunity of recovery