Debt Collector Rights Explained

Summary

Debt collectors in Pennsylvania can sue for the full original debt amount due to the assignment of debt and contract law principles. The right to collect the full debt transfers to the new owner when a debt is sold, and the original contract remains valid.

Full Conversation

How can a debt collector sue for the original amount of decbt owed if debt collector paid much less
In Pennsylvania, debt collectors can sue for the full amount of the original debt because they purchase the legal right to collect the debt. Here’s why:
- Assignment of Debt: When a debt is sold, the right to collect the full amount transfers to the new owner.
- Contract Law: The original contract between the debtor and the creditor remains valid, regardless of the price paid by the collector.
Do you want to know how to defend yourself if sued by a debt collector?