>I might buy the debt at $50,000 in return for the hassle of collecting it. Is there something wrong with that? Many would argue there is something inherently

>I might buy the debt at $50,000 in return for the hassle of collecting it. Is there something wrong with that? Many would argue there is something inherently wrong (evil) with any interest bearing debt. Moving past that...yes, there is something wrong with reselling bad debt (maybe even reselling good debt). The only reason people buy bad debt is they have bad intentions, either they are trying to resell it themselves to a less savvy buyer (usually employing various means of fraud and misrepresentation) - even the biggest banks in the world engaged in this with their toxic loans - or they plan to employ unlawful collection methods. If you are an original creditor and you are going to resell a debt for pennies on the dollar, the at a minimum the debtor should have an option to buy out their own debt for the same price as a 3rd party. I know the original creditors would object, but as someone who seems to support the current system of buying/selling bad debt to 3rd party collection agencies would you object to the creditor having to give the original debtor an option to buyout their own debt at the same price offered by a 3rd party collection agency?