Cabot Financial
Received a letter or call from Cabot Financial? This guide explains who they are, why they’re contacting you, your legal rights, and what options you have.
Who Are Cabot Financial?
Cabot Financial is one of the largest debt purchasing companies in the United Kingdom, and part of Cabot Credit Management Group Limited. They are headquartered in London and employ thousands of staff across multiple UK locations.
Unlike debt collectors who simply chase debts on behalf of others, Cabot Financial purchases debts outright from original creditors. This means they now legally own the debt - you owe the money directly to Cabot, not the original company.
Cabot may contact you because:
- They have purchased your debt from the original creditor (most common)
- Your account was sold after it went into default
- They are collecting on behalf of Cabot Credit Management or associated companies
FCA Registration: Cabot Financial (UK) Limited is authorised and regulated by the Financial Conduct Authority. Their firm reference number is 431460.
Companies House: Company number 04820954, registered in England and Wales.
Who Does Cabot Financial Collect Debts For?
As a major debt purchaser, Cabot buys debt portfolios from numerous creditors. They commonly own debts originally owed to:
- Banks: Barclays, HSBC, Lloyds Banking Group, RBS, Santander
- Credit cards: Barclaycard, MBNA, Capital One, Vanquis
- Catalogue companies: Very, Littlewoods, JD Williams
- Store cards: Various high street retailers
- Mobile phone providers: O2, Vodafone, EE, Three
- Utility companies: Various energy and water suppliers
- Personal loans: Various unsecured lending providers
Because Cabot purchases debts - sometimes years after the original default - you may receive a letter about a debt you’d forgotten or didn’t realise was outstanding.
Contact Details
Cabot Financial (UK) Limited
1 Kings Hill Avenue Kings Hill West Malling Kent ME19 4UA
Telephone: 0344 556 0263
Alternative numbers:
- 0800 310 1402 (freephone)
- 0330 123 0250
Website: www.cabotfinancial.co.uk
Your Legal Rights When Dealing With Cabot
You have important legal protections under the Consumer Credit Act 1974 and FCA regulations:
Cabot Must:
- Prove they own the debt - provide documentation showing legal assignment
- Supply the original credit agreement if you request it (Section 78 request)
- Provide a statement of account showing how the balance was calculated
- Treat you fairly and not use aggressive practices
- Accept reasonable payment offers based on your financial situation
- Communicate in writing only if you request this
Cabot Cannot:
- Harass you with excessive phone calls
- Contact you at unreasonable times (before 8am or after 9pm)
- Discuss your debt with family, friends, or employers
- Threaten legal action they don’t intend to take
- Pretend to be bailiffs or claim they can seize property
- Add unreasonable charges or excessive interest
- Pressure you into unaffordable payment arrangements
How to Respond to a Cabot Financial Letter
Step 1: Don’t Panic, But Don’t Ignore It
A letter from Cabot doesn’t mean bailiffs are coming. However, ignoring it could lead to:
- A County Court Judgment (CCJ) registered against you
- Damage to your credit file for 6 years
- Potential enforcement action
Step 2: Verify the Debt
Before paying anything, confirm the debt is legitimate. Write to Cabot requesting:
- The name of the original creditor
- A copy of the original signed credit agreement
- Proof the debt was legally assigned to Cabot (Deed of Assignment)
- A full statement showing how the current balance was calculated
Send this by recorded delivery. They should respond within 12 working days.
Step 3: Check If the Debt Is Statute Barred
In England and Wales, a debt may become unenforceable if:
- 6 years have passed since your last payment or written acknowledgment
- You haven’t made any payments in that time
- You haven’t admitted to the debt in writing
Important: Don’t make any payment (even £1) or acknowledge the debt in writing - this restarts the 6-year clock.
Step 4: Respond Based on Your Situation
If you can afford to pay: Contact Cabot to arrange payment. Consider negotiating a full and final settlement for less than the total owed - debt purchasers often accept 50-70% of the balance.
If you can only afford small payments: Send a financial statement showing your income and expenses, and offer what you can realistically afford.
If you cannot afford any payments: You may qualify for a formal debt solution - see options below.
What If You Don’t Recognise the Debt?
If Cabot contacts you about a debt you don’t recognise:
- Don’t assume it’s a scam - it may be an old debt you’ve forgotten, or one in a previous name
- Check your credit report (free via Experian, Equifax, or ClearScore)
- Request full documentation from Cabot
- Consider identity theft - if you have no knowledge of the debt, report to Action Fraud (0300 123 2040)
If Cabot cannot provide adequate proof, they cannot enforce it through the courts.
Can Cabot Financial Send Bailiffs?
No. Cabot Financial are debt purchasers/collectors, not bailiffs. They cannot:
- Enter your property
- Seize your belongings
- Clamp your vehicle
- Force you to let them in
Only certificated Enforcement Agents (bailiffs) can take such action, and only after obtaining a County Court Judgment (CCJ) against you. If Cabot threatens bailiff action without a court judgment, this likely breaches FCA guidelines.
Can Cabot Take Me to Court?
Yes, Cabot can apply for a County Court Judgment if you don’t respond to their attempts to collect. If successful:
- The CCJ stays on your credit file for 6 years
- They can apply for further enforcement (attachment of earnings, charging order)
- Court costs may be added to your debt
However, court action costs money and takes time. Cabot often prefers to negotiate a payment plan.
How to Complain About Cabot Financial
If Cabot has treated you unfairly:
Complain to Cabot directly in writing. Keep copies of everything. They must respond within 8 weeks.
Contact the Financial Ombudsman Service if:
- Cabot doesn’t resolve your complaint satisfactorily
- They don’t respond within 8 weeks
Financial Ombudsman: 0800 023 4567 | www.financial-ombudsman.org.uk
Report serious misconduct to the FCA
Struggling With Cabot and Other Debts?
If Cabot Financial is one of several creditors chasing you, dealing with each separately can be overwhelming. Government-approved debt solutions can consolidate your debts into one payment and provide legal protection from creditors.
Your Debt Solution Options
Individual Voluntary Arrangement (IVA)
A legally binding agreement lasting 5-6 years:
- Write off up to 70% of unsecured debt
- One affordable monthly payment
- Legal protection - creditors including Cabot must stop contacting you
- Interest and charges frozen
Check if you qualify with our free IVA calculator
Suitable if you have:
- Debts under £30,000
- Little or no disposable income
- Assets worth less than £2,000
- Costs just £90 and debts are written off after 12 months
An informal arrangement where you:
- Make reduced monthly payments you can afford
- May get interest and charges frozen
- Keep flexibility (not legally binding)
For serious debt situations. Most debts written off but significant impact on assets and credit rating.
Frequently Asked Questions
Why has my debt been sold to Cabot?
Original creditors often sell debts they’ve struggled to collect, usually after the account has defaulted. Cabot purchases these debt portfolios, typically for a fraction of their face value, then has the same legal rights to collect as the original creditor.
Can I negotiate a settlement with Cabot?
Yes. As debt purchasers, Cabot typically paid less than the face value of your debt. They often accept a lump sum settlement of 50-70% of the balance. Always get any settlement agreement in writing before paying.
Will paying Cabot improve my credit score?
The debt will remain on your credit file for 6 years from the original default date, whether you pay or not. However, paying it will show as “satisfied” rather than “outstanding,” which looks better to future lenders.
What if Cabot keeps calling me?
You have the right to request communication in writing only. Send them a letter stating this preference. If they continue calling, this may constitute harassment and you can complain to the FCA.
Can Cabot take money from my wages?
Not without a court order. They would need to obtain a CCJ first, then apply for an Attachment of Earnings Order. You would receive court paperwork before this happens.
Take control of your debt situation. Use our free IVA calculator to see how much of your total debt you could write off.