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PRA Group (UK): Debt Buyer Guide & Your Rights | 2026

·7089 words·34 mins

You’ve received a letter from “PRA Group (UK) Limited” demanding money for a debt you don’t recognize, or from a bank you haven’t dealt with in years. Don’t panic - and don’t ignore it.

PRA Group is a debt purchaser. They bought your defaulted debt from your original bank (Barclaycard, Lloyds, MBNA, whoever) for pennies on the pound. They now own that debt and they’re contacting you as the new legal owner.

They’re NOT bailiffs - they can’t knock on your door and take your belongings. But they CAN take you to court for a County Court Judgment (CCJ), and that can lead to serious enforcement action.

Here’s everything you need to know about PRA Group, how they operate, and how to protect yourself.

Quick answers
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Is PRA Group legitimate or a scam? PRA Group (UK) Limited is completely legitimate. They’re a debt purchaser authorized and regulated by the Financial Conduct Authority (FCA reference number 718645). They’re not a scam - but they ARE a company you’ve likely never heard of because they bought your debt from your original lender after you stopped paying.

Can PRA Group send bailiffs to my home? No - not directly. PRA Group are debt collectors, not bailiffs. They cannot force entry to your home, seize your belongings, or clamp your car. However, if they take you to court and obtain a County Court Judgment (CCJ) against you, they can then apply for bailiff enforcement or other legal remedies.

Can an IVA include PRA Group debts? Yes - and this is where it gets interesting. PRA Group debts are unsecured and can be included in an Individual Voluntary Arrangement. But here’s the unique angle: PRA Group owns the IVA Master Servicing Platform (acquired in 2014). They don’t just participate in IVAs - they run the infrastructure. This makes them sophisticated, efficient, and often more willing to accept IVA proposals than original banks because their cost basis is so low.

Table of contents
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Who are PRA Group (UK) Limited?
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PRA Group (UK) Limited is a debt purchaser - not a bailiff, not a collection agency working on commission, and not your original lender.

They’re one of the largest debt buyers in the UK, specializing in purchasing defaulted consumer credit accounts from banks, credit card companies, and other lenders, then collecting those debts as the new legal owner.

Company details
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  • Full name: PRA Group (UK) Limited
  • Company number: 04267803
  • Incorporated: 7 August 2001
  • Status: Active
  • SIC code: 64999 (Financial intermediation not elsewhere classified)
  • FCA reference: 718645 (fully authorized and regulated)
  • Registered office: Level 11 Riverside House, 2a Southwark Bridge Road, London, SE1 9HA
  • Operational headquarters: Halo Enterprise & Innovation Centre, Hill Street, Kilmarnock, KA3 1HA

Name history - why you might recognize “Aktiv Kapital”
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If you search Companies House for PRA Group (UK) Limited (Company 04267803), you’ll see they’ve operated under several names:

  1. Sharpbranch Limited (original incorporation)
  2. Active Capital (UK) Limited
  3. Aktiv Kapital (UK) Limited (Norwegian-owned phase)
  4. PRA Group (UK) Limited (current name since 2014 acquisition)

If you remember receiving letters from “Aktiv Kapital” years ago and now you’re getting letters from “PRA Group,” this is why - it’s the same company operating under a new name following the US acquisition.

Regulatory status - this confirms they’re legitimate
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PRA Group (UK) Limited is fully authorized by the Financial Conduct Authority (FCA reference 718645) to:

  • Exercise lender’s rights and duties under regulated credit agreements
  • Perform debt collection activities

They’re also a member of the Credit Services Association (CSA), the UK trade body for debt purchasers and collectors, and they’re registered with the Information Commissioner’s Office (ICO) for data protection.

This regulatory status confirms they’re a legitimate operation - not a scam. But it doesn’t make them any less aggressive in pursuing debts they’ve purchased.

Why do PRA Group say I owe them money?
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The most common question people ask is: “I’ve never dealt with PRA Group - why are they contacting me about a debt?”

The answer lies in the debt buying model.

How debt buying works
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When you default on a credit card, loan, or other credit agreement, your original lender (let’s say Barclaycard) will try to collect the debt through their internal recovery team. After several months of non-payment, the bank makes a commercial decision:

Rather than continue expensive internal collection efforts on a debt that may never be paid, they sell the debt to a specialist debt buyer like PRA Group.

What PRA Group pays for your debt
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This is the critical piece of intelligence: PRA Group purchases these defaulted debts in massive portfolios containing thousands of individual accounts.

The purchase price is a small fraction of the face value - typically 5p to 15p for every £1 of debt.

Example:

  • Your original Barclaycard debt: £5,000
  • PRA Group’s purchase price: approximately £500-£750 (10-15%)
  • They’re now entitled to collect: £5,000 (100%)
  • Their profit potential: £4,250-£4,500 if they collect in full

This massive margin explains why:

  • They’re willing to negotiate and offer settlements
  • They can afford to be patient (they’ve already made a profit if they collect more than they paid)
  • They’re often more flexible than your original bank

Legal transfer - Absolute Assignment
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The transfer of debt from your original lender to PRA Group is executed through an Absolute Assignment under Section 136 of the Law of Property Act 1925.

For this transfer to be legally effective and for PRA Group to have the right to take court action, you must be sent a “Notice of Assignment” in writing. This notice informs you that:

  • Your debt has been sold
  • PRA Group is now the legal owner
  • You should make payments to PRA Group, not the original lender

If PRA Group cannot prove they properly notified you, or if they cannot demonstrate the “chain of title” (proof of legal ownership from the original lender through to them), they may struggle to enforce the debt in court.

The portfolio company structure
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In October 2023, PRA Group created a separate entity: PRA Group UK Portfolios Ltd (Company Number 15236812).

This entity typically holds the actual debt portfolios, while PRA Group (UK) Limited acts as the “servicer” - managing the accounts, contacting customers, and executing collection strategies.

This structure is a risk management technique: it insulates the main trading entity from the underlying asset risks while maintaining control over customer relationships.

Who owns PRA Group? The US connection
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PRA Group (UK) Limited is a wholly owned subsidiary of PRA Group, Inc., a massive publicly-traded debt buyer headquartered in Norfolk, Virginia, USA.

NASDAQ listing and financial scale
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PRA Group, Inc. is listed on the NASDAQ Global Select Market under the ticker symbol PRAA.

As a NASDAQ-listed company, they’re subject to rigorous reporting requirements under the US Securities and Exchange Commission (SEC), which provides a level of financial transparency rare among UK debt collectors.

Key financial metrics:

  • $1.3 billion: Cost of acquiring Aktiv Kapital in 2014 (the deal that brought PRA Group to the UK)
  • $8.4 billion: Estimated Remaining Collections (ERC) globally as of late 2025
  • $1.4 billion: Record portfolio purchases in 2024 (a 22% increase year-over-year)

The UK operations contribute to the “Europe Core” segment of the global business, which is a major revenue driver for the parent company.

Leadership and strategic direction
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Recent leadership appointments signal PRA Group’s commitment to the UK market:

  • Martin Sjolund: Promoted from President of PRA Group Europe to global President and CEO in June 2025. His European background suggests the UK market will remain central to global strategy.
  • Timothy David Kirk: UK Country Operations Director (appointed 29 May 2019)
  • Steven Edward Daws: Finance and Compliance Oversight (appointed 9 October 2018)
  • Laura Hendrey: Strategic Management (appointed 1 January 2026)
  • Bo Christopher Hagberg: International Operations (appointed 1 January 2026)

This leadership structure indicates significant investment in UK operations and a long-term commitment to the market.

What this means for you
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The US parent company’s financial health directly influences how aggressive the UK subsidiary is in collection efforts.

Following a net loss in 2023, PRA Group, Inc. focused on a “transformational turnaround” throughout 2024-2025, returning to profitability through increased portfolio acquisitions and operational efficiency.

This turnaround pressure means the UK arm is under pressure to hit recovery targets - which translates to:

  • Increased litigation volume
  • More frequent contact
  • Aggressive pursuit of debts (though still within FCA regulations)

What debts does PRA Group own?
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PRA Group’s portfolios are diverse, covering nearly all forms of unsecured consumer credit. Understanding which lenders they typically buy from helps you verify whether a PRA Group letter is legitimate.

Banks and credit card companies
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PRA Group is known to purchase significant volumes of debt from:

  • Barclaycard
  • Lloyds Bank
  • TSB
  • Halifax
  • MBNA
  • Bank of Scotland

Specialist and defunct lenders
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They also acquire portfolios from lenders that have gone out of business or restructured:

  • Wonga (defunct payday lender)
  • Instant Cash Loans
  • Various other payday loan companies
  • Store cards from high-street retailers
  • Catalogue accounts (Shop Direct and similar)

What they focus on - “Core” unsecured debt
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PRA Group generally specializes in:

  • Credit cards (the largest category)
  • Personal loans
  • Overdrafts
  • Catalogue and store card debt

They’re less active in:

  • Secured debt (mortgages)
  • Utility bills (though these occasionally appear in broader portfolio acquisitions)
  • Telecommunications debt
  • Council tax or parking fines (these are typically handled by bailiff firms, not debt purchasers)

If you receive a letter from PRA Group about council tax or parking penalties, this is likely a mistake - those debts aren’t typically sold to debt purchasers in the UK.

Can PRA Group send bailiffs to my home?
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This is one of the most common sources of fear and confusion. The short answer: No - PRA Group cannot directly send bailiffs to your home.

What PRA Group CANNOT do
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As a debt collector (not a bailiff), PRA Group has no special legal powers. They cannot:

  • Force entry to your home
  • Seize your belongings (car, television, furniture)
  • Clamp or remove your vehicle
  • Arrest you or threaten imprisonment
  • Contact your employer about the debt without your permission
  • Speak to your neighbors, friends, or family about the debt

In their capacity as debt collectors, they have exactly the same rights as your original bank - which is to say, they can write letters and make phone calls, but they cannot take physical enforcement action.

The court pathway - how bailiffs get involved
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However, there’s an important caveat: PRA Group can take you to court.

If they obtain a County Court Judgment (CCJ) against you, and you fail to pay what the court orders, then they can apply for enforcement methods that involve bailiffs:

  1. Warrant of Control: Allows bailiffs to visit your property to collect the debt
  2. Attachment of Earnings: Court orders your employer to deduct money directly from your wages
  3. Charging Order: The debt is secured against your home, meaning it must be paid if you sell or remortgage

But these enforcement powers only become available after a CCJ has been obtained and after you’ve failed to comply with the court order.

The litigation pathway
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PRA Group is a highly litigious debt buyer. Court action is one of their primary collection strategies. The typical process is:

  1. Letter Before Claim: Formal warning giving you 30 days to respond with a financial statement or payment offer
  2. County Court claim form: If no agreement is reached, they’ll issue a claim through the County Court Business Centre
  3. Default Judgment: If you ignore the claim form, the court issues a CCJ by default (this is recorded on your credit file for 6 years)
  4. Enforcement application: Only then can they apply for bailiff enforcement

The critical point: do not ignore court papers. If you receive a claim form, you must respond even if you dispute the debt or can’t afford to pay. Ignoring it guarantees a CCJ.

Can PRA Group take me to court?
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Yes - and they frequently do. Court action is PRA Group’s primary “power” as a debt collector.

The Letter Before Claim
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Before taking court action, PRA Group is required to send you a Letter Before Claim (sometimes called a “Letter of Claim” or “LBC”).

This formal notice must:

  • Give you 30 days to respond
  • Provide details of the debt (amount, original creditor, account number)
  • Invite you to submit a financial statement showing your income and expenses
  • Warn that court action will follow if you don’t respond

This is your critical window to act. If you respond with evidence that you can only afford, say, £5 per month due to your financial circumstances, PRA Group must consider this before issuing court proceedings.

The County Court claim
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If the 30-day period expires without a resolution, PRA Group will issue a claim through the County Court Business Centre.

You’ll receive:

  • A Claim Form (N1) stating the amount owed
  • Particulars of Claim detailing the debt
  • A Response Pack explaining your options

You have 14 days from the date the form is deemed “served” (usually the date it’s posted plus 2 days) to respond.

Your response options
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When you receive a claim form, you have three main options:

1. Admit the claim and offer payment If you accept you owe the money but can’t pay in full, you can admit the claim and propose a monthly payment based on what you can afford. The court will consider your offer.

2. Dispute the claim If you believe you don’t owe the money, the debt is statute-barred, or PRA Group can’t prove ownership, you can file a Defence. This forces PRA Group to prove their case.

3. Ignore it (worst option) If you do nothing, the court will issue a Default Judgment in PRA Group’s favor automatically. This CCJ will be registered on your credit file for 6 years, even if you pay it off immediately afterward.

The impact of a CCJ
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A County Court Judgment has serious consequences:

  • Credit file damage: The CCJ stays on your file for 6 years (unless you pay in full within 30 days of the judgment, in which case it can be removed)
  • Enforcement powers: PRA Group can now apply for bailiff action, attachment of earnings, or charging orders
  • Future credit: Banks and lenders will see the CCJ and are likely to refuse credit applications

This is why ignoring PRA Group letters - even if you don’t think you owe the money - is such a dangerous strategy.

Is my PRA Group debt statute-barred?
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This is one of the most powerful defenses against PRA Group - but it’s also one of the most misunderstood.

What “statute-barred” means
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In England and Wales, under the Limitation Act 1980, creditors have a limited time to use the court system to enforce a debt. This is usually 6 years from:

  • The date you last made a payment toward the debt, OR
  • The date you last acknowledged the debt in writing

In Scotland, the period is 5 years under the Prescription and Limitation (Scotland) Act 1973, and once this period expires, the debt is actually extinguished - it no longer legally exists.

If your debt is statute-barred, PRA Group cannot take you to court to enforce it. They can still contact you and ask for payment, but if you tell them you’re not paying because the debt is statute-barred, they must stop pursuing it under FCA rules.

Why PRA Group buys old debts
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PRA Group is known to purchase portfolios that include older debts, some of which may be approaching or have already passed the limitation period.

Why? Because they buy these portfolios at rock-bottom prices (sometimes as low as 2-5p per £1 for very old debt), and they’re betting that many consumers don’t know about the limitation defense.

If even 10-20% of people pay on a statute-barred debt, PRA Group still makes a profit on that portfolio.

The “reset” trap - this is critical
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Here’s the danger: if you make any payment or send any written communication that acknowledges the debt, the 6-year clock resets from zero.

Examples of what resets the clock:

  • Paying even £1 toward the debt
  • Sending a letter saying “I owe this money but I can’t afford to pay”
  • Signing any agreement or payment plan
  • Filling in a financial statement admitting the debt

What doesn’t reset the clock:

  • Asking for proof of the debt (“Please send me the original credit agreement”)
  • Disputing the debt (“I don’t believe I owe this”)
  • Asking if the debt is statute-barred

Before you contact PRA Group or make any payment, check:

  • When did you last pay anything toward this debt?
  • When did you last write to the original lender or PRA Group acknowledging it?

If it’s been more than 6 years (5 in Scotland) and you’re confident you haven’t made any payments or acknowledgments, the debt may be statute-barred.

How to raise the statute-barred defense
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The court will not automatically check if a debt is statute-barred. If PRA Group takes you to court, you must raise this defense in your response.

In your Defense form, state:

  • The debt is statute-barred under the Limitation Act 1980 (or Prescription and Limitation (Scotland) Act 1973)
  • The last payment/acknowledgment was on [date]
  • More than 6 years (5 in Scotland) has passed
  • The claim should therefore be dismissed

If you can prove the debt is statute-barred, the court will throw out PRA Group’s claim.

Will PRA Group accept a settlement?
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Yes - and often for significantly less than the full amount. This is where understanding the debt buying model becomes your tactical advantage.

Why PRA Group can offer big discounts
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Remember: PRA Group bought your debt for 5p to 15p per £1.

If your original debt was £5,000 and they paid £750 for it, they need to recover only £751 to make a profit.

Any settlement above their purchase price is profitable. This gives them enormous room to negotiate.

Typical settlement offers
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Based on consumer reports and Financial Ombudsman Service (FOS) cases, PRA Group’s settlement patterns are:

Early settlement (first 6-12 months after purchase):

  • Discounts of 20-30% are common
  • Example: £5,000 debt settled for £3,500-£4,000

Older debts (2+ years in their portfolio):

  • Discounts of 50-65% have been reported
  • Example: £5,000 debt settled for £1,750-£2,500

If you mention IVA or bankruptcy:

  • PRA Group may offer a “Full and Final” settlement very quickly
  • They’d rather recover something now than wait 5-6 years for IVA dividends
  • Discounts of 40-60% to avoid insolvency proceedings

How to negotiate a settlement
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If you have access to a lump sum (savings, family loan, redundancy payment), follow these steps:

1. Don’t reveal your maximum amount Start low. If you can afford £2,000, offer £1,000 initially.

2. Emphasize your financial hardship “This is all I can raise. I’m considering bankruptcy/an IVA if we can’t agree.”

3. Request a “Full and Final Settlement” This must be in writing. It confirms that once you pay the agreed amount, the debt is completely cleared and they’ll update your credit file to show it as “satisfied.”

4. Get it in writing BEFORE you pay Never send money before you have written confirmation of the settlement terms.

5. Keep all evidence Save emails, letters, and bank transfer receipts showing you paid the agreed settlement.

Their online settlement portal
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PRA Group’s digital portal is one of the more advanced in the industry. Many customers report receiving automated settlement offers through the portal, often calculated based on:

  • The age of the debt
  • Your previous payment history
  • The original creditor

These automated offers are usually a starting point - you can often negotiate further by calling or writing.

How to stop PRA Group with an IVA - they own the platform
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For readers of this website, this is the most critical section. If you have multiple debts totaling £5,000+, an Individual Voluntary Arrangement (IVA) can stop PRA Group permanently.

But here’s the unique angle that sets PRA Group apart from other creditors:

PRA Group owns the IVA Master Servicing Platform
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In 2014, PRA Group acquired the IVA Master Servicing Platform from Pamplona Capital Management.

This isn’t just a footnote - it’s a fundamental strategic asset. It means PRA Group doesn’t just participate in IVAs; they run the infrastructure that processes and manages thousands of IVAs across the UK.

Why this matters for your IVA
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1. Efficiency PRA Group’s automated systems can process IVA notifications, vote on proposals, and stop collection activity much faster than creditors using manual processes.

When your Insolvency Practitioner (IP) notifies PRA Group that you’ve entered an IVA, their systems automatically:

  • Halt all collection activity
  • Stop interest and charges
  • Register the IVA on their systems
  • Process the voting electronically

2. Higher acceptance rates Because PRA Group’s “cost basis” is so low (they bought your debt at 5-15p per £1), an IVA that returns, say, 25p per £1 is still a 150%+ profit for them.

Compare this to your original bank, which would see a 75% loss on the same dividend. Original lenders often resist IVAs or demand higher returns. PRA Group’s acquisition model makes them more likely to accept your IVA proposal.

3. Protocol compliance PRA Group is a signatory to the IVA Protocol, which standardizes how creditors should behave during an IVA. They’re generally compliant with stopping collection activity and adhering to the terms once the IVA is approved.

How an IVA stops PRA Group
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Once your IVA proposal is approved by creditors holding 75% of your total debt (by value), it creates a legal stay on all enforcement for debts included in the arrangement.

For PRA Group, this means:

  • All collection activity stops immediately
  • No more phone calls, letters, or contact about the debt
  • No court action (if they were threatening litigation, it stops)
  • All interest and fees are frozen
  • They cannot pursue you for the debt outside the IVA

Your monthly IVA payment is distributed proportionally among all your creditors. If PRA Group is owed £5,000 out of your total £20,000 debt (25% of the total), they receive 25% of each monthly dividend.

At the end of the IVA (typically 5-6 years), any remaining balance is legally written off.

Example:

  • PRA Group debt included in IVA: £5,000
  • IVA dividends paid to them over 5 years: £1,500 (30p per £1)
  • Their original purchase price: £500 (10p per £1)
  • Their profit: £1,000 (200% return)
  • Debt written off: £3,500

For you, it’s a fresh start. For PRA Group, it’s still a significant profit on their original investment.

Check if you qualify: Use our IVA Calculator to see if an IVA is right for your circumstances.

Breathing Space - 60 days protection from PRA Group
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If you need immediate protection from PRA Group but aren’t ready to commit to an IVA, the government’s Debt Respite Scheme (commonly known as “Breathing Space”) provides a short-term legal shield.

What Breathing Space does
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Breathing Space gives you 60 days of protection from creditor action. During this period:

  • PRA Group must stop all collection activity
  • No phone calls
  • No letters about the debt
  • No court action (if they were planning to sue, they must pause)
  • All interest, penalties, and charges are frozen

Mental Health Crisis Breathing Space
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For those experiencing a mental health crisis, protection lasts for the duration of treatment plus 30 days - potentially much longer than the standard 60-day period.

There’s no limit on how many times you can enter a Mental Health Crisis Breathing Space, whereas standard Breathing Space is limited to once every 12 months.

How to apply
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You cannot apply for Breathing Space yourself. You must contact a qualified debt advisor from an authorized organization:

  • Citizens Advice
  • StepChange
  • National Debtline
  • A qualified IVA provider

The advisor will assess your situation and, if appropriate, submit the Breathing Space application on your behalf.

Once approved, all your creditors - including PRA Group - are legally notified and must comply immediately.

PRA Group’s compliance
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Because PRA Group has sophisticated systems and is FCA-regulated, they’re generally quicker to implement Breathing Space than smaller, less technology-driven debt collectors.

Their automated platforms can flag accounts in Breathing Space status and halt collection within 24-48 hours of notification.

What Breathing Space doesn’t do
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Breathing Space is a temporary pause, not a solution. It doesn’t:

  • Reduce the amount you owe
  • Write off any debt
  • Prevent collection from resuming after 60 days

It’s designed to give you breathing room to seek advice, understand your options (like an IVA), and arrange a long-term solution without the immediate pressure of calls and letters.

How to verify a PRA Group debt
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Before you pay anything or enter into any agreement with PRA Group, verify the debt is legitimate and that they have the legal right to collect it.

Request the original credit agreement
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Under the Consumer Credit Act 1974 (Section 77-79), PRA Group must provide a copy of the original credit agreement if you request it.

Send a written request (keep a copy) asking for:

  1. The original signed credit agreement (or a true copy)
  2. A statement of account showing all transactions
  3. Proof of assignment (the Notice of Assignment showing the debt was transferred to PRA Group)

PRA Group has 12 working days to respond with the agreement or explain why they can’t provide it.

If they cannot provide the agreement, they cannot enforce the debt through court (though the debt itself doesn’t disappear).

Common issues with documentation
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Analysis of Financial Ombudsman Service decisions reveals PRA Group frequently struggles with documentation:

  • Case DRN-5825165: It took PRA Group nearly 2 years to produce the required credit agreement
  • Multiple FOS complaints cite “slow response” or “failure to provide documents”

This documentation friction can work in your favor. If PRA Group cannot prove the debt, you have grounds to:

  • Refuse payment
  • Dispute any court claim
  • Ask for the debt to be removed from your credit file

Check the FCA register
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Verify PRA Group is legitimate by checking the FCA register:

  1. Go to: https://register.fca.org.uk/
  2. Search for: PRA Group (UK) Limited or reference number 718645
  3. Confirm they’re authorized for “Exercising or having the right to exercise the lender’s rights and duties under a regulated credit agreement”

This confirms the company is real and regulated.

Verify the amount
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Compare the amount PRA Group claims you owe with:

  • Your own records (bank statements, old letters from the original lender)
  • Your credit report (check Experian, Equifax, or TransUnion)

PRA Group can add interest and charges allowed under the original credit agreement, but they cannot add arbitrary fees. If the amount seems inflated, challenge it.

PRA Group complaints - what to expect
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If you have issues with PRA Group’s conduct - whether it’s excessive calls, rude staff, or failure to provide documentation - you have several complaint routes.

Common complaint themes
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Analysis of Trustpilot reviews and Financial Ombudsman Service (FOS) decisions reveals recurring issues:

1. Documentation delays PRA Group frequently takes weeks or months to provide requested credit agreements. In extreme cases (like DRN-5825165), it took nearly 2 years.

2. “Trace errors” PRA Group uses third-party trace companies to locate people who’ve moved. This sometimes leads to “mis-traces” where they contact the wrong person (someone with a similar name but no connection to the debt).

3. Excessive contact frequency Common complaints cite daily phone calls and frequent text messages. While this isn’t illegal, the FCA’s Consumer Credit Sourcebook (CONC) requires firms not to act in a way that’s oppressive or unfair.

4. Refusal to negotiate Some customers report PRA Group’s staff refusing to accept affordable payment offers, insisting on full payment or unrealistic monthly amounts.

How to complain to PRA Group
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Step 1: Complain directly to PRA Group

Email: complaints@pragroup.co.uk Post: 2 The Cross, Kilmarnock, KA1 1LR

Set out:

  • Your account reference number
  • The date and nature of the issue
  • What you want them to do (stop calling, provide documents, reduce the debt, etc.)

Keep copies of all correspondence.

PRA Group must acknowledge your complaint within 5 business days and provide a full response within 8 weeks.

Step 2: Escalate to the Financial Ombudsman Service

If PRA Group’s response doesn’t resolve your complaint, escalate to the Financial Ombudsman Service (FOS):

Website: www.financial-ombudsman.org.uk Phone: 0800 023 4567 Email: complaint.info@financial-ombudsman.org.uk

The FOS is free and independent. They’ll review your case and PRA Group’s conduct.

What the FOS typically awards
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Based on published FOS decisions, outcomes typically include:

  • £50-£300 compensation for distress and inconvenience caused by poor service
  • Direction to provide documents within a specific timeframe
  • Removal of charges if they were added incorrectly

However, the FOS rarely writes off a debt simply due to poor service. They focus on whether PRA Group has caused you distress through their conduct, not whether the debt itself is valid (that’s a separate legal question).

Requesting letter-only contact
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If phone calls are causing stress, you can request letter-only contact.

Write to PRA Group stating: “I request that all future contact regarding this debt is by letter only. Please do not call me.”

Under FCA rules (CONC 7.3), they must comply with this request. If they continue calling after you’ve made this request in writing, this is grounds for a complaint to the FOS.

PRA Group vs Lowell vs Cabot - how they compare
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To understand PRA Group’s approach, it helps to compare them with their main competitors in the UK debt buying market.

PRA Group (UK):

  • Aggression: Medium-High (litigation-focused)
  • In-house legal: Extensive partnerships
  • Settlements: Very flexible (up to 65% off)
  • IVA stance: Sophisticated (owns IVA platform)
  • Technology: Advanced automated portal
  • Contact style: Persistent calls and letters
  • Public image: “Rational actor”

Lowell Group:

  • Aggression: High (very litigation-heavy)
  • In-house legal: Massive (owns Lowell Solicitors)
  • Settlements: Moderate flexibility
  • IVA stance: Standard participation
  • Technology: Very advanced
  • Contact style: Very frequent contact
  • Public image: Aggressive reputation

Cabot Financial:

  • Aggression: Medium (focus on payment plans)
  • In-house legal: In-house legal team
  • Settlements: Moderate flexibility
  • IVA stance: Standard participation
  • Technology: Advanced
  • Contact style: Moderate contact
  • Public image: “Fair” positioning

Key differences
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PRA Group is generally seen as more flexible on settlements than Lowell, which has a reputation for pushing cases through court via its dedicated law firm (Lowell Solicitors).

However, PRA Group’s ownership of the IVA Master Servicing Platform makes them more sophisticated and “entrenched” in the insolvency space - they understand IVAs better than most creditors and process them efficiently.

Lowell is more aggressive with court action and is known for high-volume litigation. They’re less flexible on settlements but very efficient at processing claims.

Cabot positions itself as “fairer” and focuses more on long-term payment plans rather than immediate litigation.

Which is “best” to deal with?
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For someone with multiple debts considering an IVA, PRA Group is often the easiest to work with because of their platform ownership and low cost basis.

For someone trying to negotiate a settlement, PRA Group offers the most flexibility due to their significant profit margins.

For someone who simply cannot pay, all three will eventually take court action - but Lowell tends to move to litigation fastest.

What should I do if PRA Group contacts me?
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If you’ve received a letter or call from PRA Group, here’s your step-by-step action plan:

Step 1: Don’t panic - they’re not bailiffs
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Remember: PRA Group cannot enter your home, seize your belongings, or send bailiffs without first obtaining a County Court Judgment.

Their letters may sound threatening, but at this stage they have no more power than any other company you owe money to.

Step 2: Don’t ignore it
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Ignoring PRA Group is the worst strategy. It leads to:

  • Escalating letters
  • Frequent phone calls
  • Eventually, court action and a CCJ

Even if you don’t think you owe the money, you need to respond.

Step 3: Check if the debt is statute-barred
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Before you do anything else, check the dates:

  • When did you last pay anything toward this debt?
  • When did you last acknowledge it in writing?

If it’s been more than 6 years in England/Wales (or 5 years in Scotland), the debt may be statute-barred.

Do NOT make any payment until you’ve confirmed the debt isn’t statute-barred, because any payment resets the clock.

Step 4: Request proof of the debt
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Send a written request asking for:

  • The original credit agreement
  • A statement of account
  • Proof of assignment (Notice of Assignment)

This is a standard request and PRA Group must respond within 12 working days.

If they can’t prove you owe the money, you have grounds to dispute it.

Step 5: Check if you can afford to pay
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If the debt is legitimate and not statute-barred, assess your finances:

Can you afford a lump sum settlement? If yes, negotiate a discount (start at 50% off and work up from there).

Can you afford monthly payments? Calculate your disposable income after essential bills. Even £5-£10 per month is better than nothing and shows willingness to pay.

Do you have multiple debts totaling £5,000+? If yes, consider an IVA. PRA Group is one of the better creditors to deal with in an IVA context.

Can you afford nothing? If you’re on benefits or in genuine hardship, apply for Breathing Space through a debt advisor to pause collection for 60 days while you get advice.

Step 6: Respond in writing
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Always communicate in writing where possible (email or post). This creates a documented record.

If PRA Group calls, it’s fine to talk to them, but follow up with an email confirming what was discussed.

Step 7: Consider professional advice
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If you’re overwhelmed or unsure what to do, contact a free debt advisor:

These charities can help you understand your options and negotiate with PRA Group on your behalf. If PRA Group is chasing you and you have other debts totalling £6,000+, an IVA could write off a portion and stop them contacting you. Check if you qualify in 2 minutes.

How to contact PRA Group
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Operational headquarters: Halo Enterprise & Innovation Centre Hill Street Kilmarnock KA3 1HA

Registered office: Level 11 Riverside House 2a Southwark Bridge Road London SE1 9HA

Email:

Online portal: PRA Group operates an online account portal at pragroup.co.uk where you can:

  • View your account balance
  • See details of the original creditor
  • Use their Income & Expenditure calculator
  • View and accept settlement offers

You’ll need your reference number and a password (this should be in your welcome letter from PRA Group).

Important note on phone contact: PRA Group’s collection strategy includes frequent phone calls. If this is causing stress, you have the right to request letter-only contact. Send an email stating you want all future contact to be in writing, and they must comply under FCA rules.

Frequently asked questions
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Who are PRA Group?
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PRA Group (UK) Limited is a debt purchaser that buys defaulted consumer credit accounts from banks and lenders. They’re not your original lender - they bought your debt after you stopped paying. They’re authorized by the FCA (reference 718645) and are one of the largest debt buyers in the UK, owned by NASDAQ-listed PRA Group, Inc. (ticker: PRAA).

Is PRA Group legitimate or a scam?
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PRA Group is completely legitimate. They’re authorized and regulated by the Financial Conduct Authority (reference number 718645) and are registered with Companies House (Company Number 04267803). They’re not a scam - but many people haven’t heard of them because they bought the debt from the original lender after it went into default.

Why is PRA Group contacting me?
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PRA Group bought your defaulted debt from your original lender (like Barclaycard, Lloyds, MBNA, etc.) for a fraction of the original value - typically 5-15p per £1. They now legally own the debt and are entitled to collect the full amount. You should have received a “Notice of Assignment” informing you of this transfer.

I don’t recognize PRA Group - is this a scam?
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It’s probably not a scam. PRA Group purchases debts from banks after accounts go into default. They may have bought your old Barclaycard, Lloyds loan, or MBNA credit card debt. Check the FCA register (search for reference 718645) to confirm they’re legitimate, then request proof of the debt including the original credit agreement and Notice of Assignment.

Can PRA Group send bailiffs to my home?
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No - not directly. PRA Group are debt collectors, not bailiffs. They cannot force entry, seize belongings, or clamp your car. However, if they take you to court and obtain a County Court Judgment (CCJ) against you, and you then fail to pay, they can apply for bailiff enforcement. The key is to respond to any court papers you receive.

Can PRA Group take me to court?
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Yes - and they frequently do. Court action is one of PRA Group’s primary collection strategies. They’ll send a “Letter Before Claim” giving you 30 days to respond, then issue a County Court claim if you don’t engage. If you ignore the claim form, you’ll get a default CCJ which stays on your credit file for 6 years.

Is my PRA Group debt statute-barred?
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Your debt may be statute-barred if you haven’t made a payment or written acknowledgment in over 6 years in England/Wales (5 years in Scotland). Check your records carefully - when was the last payment or written communication? Warning: making ANY payment or acknowledging the debt in writing resets the 6-year clock from zero.

Will PRA Group accept a settlement?
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Yes - often for significantly less than the full amount. They bought your debt for 5-15p per £1, so they have huge room to negotiate. Early settlements might be 20-30% off. Older debts can settle for 50-65% off. Always ask for a “Full and Final Settlement” in writing before paying anything.

Can an IVA include PRA Group debt?
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Yes - and this is where PRA Group differs from other creditors. They’re often MORE willing to accept IVAs because: (1) they own the IVA Master Servicing Platform (acquired 2014), making them sophisticated and efficient at processing IVAs, and (2) their cost basis is so low that even a 25p per £1 dividend gives them 150%+ profit.

How do I stop PRA Group contacting me?
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You can request “letter-only contact” by writing to PRA Group stating you want all future communication in writing. They must comply under FCA rules. However, this doesn’t stop collection - it just changes how they contact you. To permanently stop collection, you need to either pay the debt, settle it, or enter an IVA/other insolvency arrangement.

Can I ignore PRA Group letters?
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No - ignoring PRA Group is dangerous. While they can’t send bailiffs directly, they WILL take you to court. If you ignore their letters and they issue a County Court claim, ignoring the claim form results in an automatic CCJ on your credit file for 6 years. Always respond, even if just to say you can’t afford to pay.

Who did PRA Group buy my debt from?
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PRA Group commonly buys debts from Barclaycard, Lloyds Bank, TSB, Halifax, MBNA, and various defunct lenders like Wonga. They purchase portfolios containing thousands of defaulted accounts. Check your PRA Group letter - it should state the original creditor. If it doesn’t, request this information in writing.

What is a Notice of Assignment?
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A Notice of Assignment is a legal document informing you that your debt has been sold. Under Section 136 of the Law of Property Act 1925, this notice must be sent in writing for the transfer to be legally effective. If PRA Group didn’t send you proper notice, they may not be able to enforce the debt in court.

Can PRA Group add interest to my debt?
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PRA Group can add interest and charges if these were part of your original credit agreement. However, they cannot add arbitrary fees. Request a full statement of account showing how the balance has been calculated. If charges seem excessive or unexplained, challenge them.

How do I complain about PRA Group?
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Email complaints@pragroup.co.uk or write to: 2 The Cross, Kilmarnock, KA1 1LR. PRA Group must respond within 8 weeks. If you’re not satisfied, escalate to the Financial Ombudsman Service (FOS) at www.financial-ombudsman.org.uk. The FOS typically awards £50-£300 compensation for poor service but rarely writes off debts.

Is PRA Group the same as Aktiv Kapital?
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Yes - Aktiv Kapital (UK) Limited was PRA Group’s previous name before the 2014 acquisition by US-based PRA Group, Inc. If you received letters from “Aktiv Kapital” years ago and now get letters from “PRA Group,” it’s the same company operating under a new name.

What is PRA Group’s FCA number?
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PRA Group (UK) Limited’s FCA reference number is 718645. You can verify this on the FCA register at register.fca.org.uk. This confirms they’re authorized to exercise lender’s rights under regulated credit agreements and perform debt collection.

Can PRA Group take money from my wages?
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Not directly. PRA Group can only deduct money from your wages if they first obtain a County Court Judgment (CCJ) against you, and then apply for an Attachment of Earnings Order. The court decides how much can be deducted based on your income and essential expenses. This only happens after court action.

How long will PRA Group chase me for a debt?
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In England and Wales, PRA Group can pursue court action for 6 years from your last payment or written acknowledgment (5 years in Scotland). After this, the debt becomes “statute-barred” and they cannot enforce it through court. However, they may still contact you to ask for payment. If you pay or acknowledge the debt, the 6-year clock resets.

Last updated: February 2026

If you’re facing PRA Group debt collection and have multiple debts totaling £5,000+, check if an IVA could stop the collection and write off your debt: IVA Calculator