Sales of Charged-off Debts: Key Issues and Practical Pointers for Sellers and Buyers to Consider

Summary: Key issues and practical pointers discussed include (1) seller due diligence to prepare for sales, such as identifying and creating policies/procedures and reviewing documentation for debts to be sold, (2) important contract issues for buyers and sellers negotiating sales agreements, such as debt repurchase rights, resales and assignments, buyer responsibility for its providers’ activities, and seller post-sale obligations regarding buyer information requests, and (3) seller monitoring of such requests.