Portfolio Recovery Associates (PRA): How to Respond and Protect Your Rights
Portfolio Recovery Associates (PRA) is a debt buyer based in Norfolk, Virginia, and a subsidiary of PRA Group. It buys unpaid consumer accounts, often credit cards, and collects them, sometimes through lawsuits. If PRA contacts you, request validation in writing, check the dates on your credit report, and respond to any lawsuit on time.
Who is Portfolio Recovery Associates?
Portfolio Recovery Associates, LLC is one of the largest debt collectors in the United States. It is a wholly owned subsidiary of PRA Group, a publicly traded company. PRA buys defaulted debts from banks and other lenders, usually for much less than the balance, and then tries to collect.
The CFPB has described Encore and PRA together as buying the right to collect billions of dollars in defaulted debt on credit cards, phone bills, and other accounts. On your credit report, PRA may appear as “Portfolio Recovery,” “Portfolio Recovery Associates LLC,” or similar. The original creditor should also be listed.
PRA in the CFPB complaint database
PRA is one of the most complained-about collectors in the CFPB consumer complaint database, with 48,745 complaints as of September 2026. That ranks third among collectors. A complaint by itself is not proof that a company did anything wrong. But the database is free to search, and it can show you what problems other consumers reported.
CFPB enforcement actions against PRA
The CFPB has acted against PRA twice. Both actions are public.
| Date | Action | Main points from the CFPB |
|---|---|---|
| September 2015 | Consent order | PRA was ordered to pay $19 million in consumer refunds and an $8 million penalty, and to stop collecting on more than $3 million in debt. The CFPB said PRA collected debts without verifying them, used misleading statements, and sued on time-barred debt. |
| March 2023 | Proposed order, entered by the court in April 2023 | PRA agreed to pay at least $12.18 million in redress and a $12 million penalty, more than $24 million in total. The CFPB said PRA violated the 2015 order, including by collecting on disputed debts without reviewing documentation, threatening lawsuits without offering required documents, suing on time-barred debts, and handling credit report disputes poorly. |
These actions do not decide whether your account is valid. They do show why it matters to ask for proof and to check old debts carefully.
Your rights when PRA collects
As a third-party debt buyer, PRA must follow the Fair Debt Collection Practices Act (FDCPA) and Regulation F. It must also follow the Fair Credit Reporting Act (FCRA) when it reports to the credit bureaus.
| Situation | Your right | Deadline or rule |
|---|---|---|
| First contact | A validation notice with creditor, itemized balance, and dispute deadline | In the first message or within 5 days |
| You dispute in writing | Collection must pause until PRA mails verification | Within 30 days after you receive the notice |
| Dispute with a bureau | Free reinvestigation | Usually 30 days (up to 45 in some cases) |
| Dispute with PRA directly | PRA must investigate as the furnisher | FCRA §623 |
| Old debt | No lawsuit or threat of lawsuit on time-barred debt | Depends on your state’s statute of limitations |
| Calls | No calls before 8 a.m. or after 9 p.m.; 7-in-7 limit | Regulation F §1006.6 and §1006.14 |
How to respond to PRA, step by step
- Read the validation notice carefully. Note the original creditor, the itemization date, the amount, and the dispute deadline.
- Compare with your records. Look for old statements, settlement letters, or bankruptcy papers that cover the account.
- Pull your free reports. AnnualCreditReport.com gives you weekly reports from all three bureaus.
- Request validation in writing. Send it by certified mail before the deadline to the address on your notice.
- Check the age of the debt. Our statute of limitations tool shows the general limit in your state. Be careful: in many states, a payment or written promise to pay can restart the clock.
- Decide on next steps. Dispute errors, negotiate if the debt is yours, or get legal help if you are sued.
Sample dispute letter to PRA
[YOUR NAME]
[YOUR ADDRESS]
[DATE]Portfolio Recovery Associates, LLC
[ADDRESS FROM YOUR VALIDATION NOTICE]Re: Account [PRA ACCOUNT NUMBER], original creditor [ORIGINAL CREDITOR]
I dispute this debt and request verification under 15 U.S.C. §1692g(b) and 12 CFR §1006.38. Please send documents showing the original creditor, the account number, the date of default, and how the current balance was calculated. Please stop collection until you mail me verification.
Sincerely,
[SIGNATURE]
Make your PRA letter now. Our free letter generator builds a validation request or bureau dispute with the right citations.
PRA on your credit report
Most collections can stay on your report for up to 7 years. The clock starts 180 days after your first missed payment to the original creditor, and it does not restart when PRA buys the debt. If the “date of first delinquency” looks wrong, dispute it.
If a bureau says PRA “verified” the debt and you still believe it’s wrong, ask the bureau to describe how it verified the item. It must respond within 15 days of your request. Our method of verification guide explains how.
Only dispute what you honestly believe is wrong or incomplete. Disputing accurate information as false is not allowed. For a full walkthrough, read how to dispute a collection with all 3 bureaus.
If PRA files a lawsuit
PRA sometimes sues to collect, usually through a local law firm. Pew research found that more than 70% of debt lawsuits end in default judgment because the person didn’t respond. Do not let that happen to you.
- File your answer with the court before the deadline on the summons.
- Raise the statute of limitations if the debt is old.
- Ask PRA to prove it owns the debt and that the amount is correct.
- Talk to a consumer attorney or legal aid. Many consumer attorneys take FDCPA cases with no upfront fee. Use our attorney finder.
See our full guide: sued by a debt collector.
Settling with PRA
If the debt is yours and correct, PRA may accept less than the full amount. Get every offer in writing, and make payments you control. A forgiven balance of $600 or more may lead to a 1099-C tax form. Try our settlement calculator before you call.
If you have several debts and want help comparing options, you can check a debt relief option from our partner (partner link). Under the FTC’s rules, debt relief companies that sell by phone can’t charge fees before they settle at least one of your debts. A nonprofit credit counselor is another option: see our credit counselor finder.
FAQ
Is Portfolio Recovery Associates legit?
Yes. PRA is a real debt buyer owned by PRA Group. It has also been the subject of CFPB enforcement actions, so ask for proof before you pay.
Can PRA sue me for an old debt?
Not if the debt is past your state’s statute of limitations. Collectors cannot sue or threaten to sue on time-barred debt. But if you are sued anyway, you must still answer and raise that defense.
Did I get money from the CFPB’s PRA settlement?
The 2023 order required redress for harmed consumers. Check the CFPB’s enforcement page for PRA for updates on who qualified.
Can I stop PRA from calling me?
Yes. Send a written request to stop communication. They may still contact you to confirm they’re stopping or about a specific action like a lawsuit.
Sources
- CFPB: PRA ordered to pay more than $24 million (2023)
- CFPB enforcement page: Portfolio Recovery Associates, LLC
- CFPB: Action against the two largest debt buyers (2015)
- CFPB Consumer Complaint Database
- Regulation F, 12 CFR Part 1006
- 15 U.S.C. §1681i – FCRA reinvestigation
- AnnualCreditReport.com
Disclaimer: DisputeMatchPro is not a law firm or a credit repair organization, and this article is general information, not legal advice. Laws change and vary by state. Some links are sponsored; see our Advertiser Disclosure.