Who is PRA Group / Portfolio Recovery Associates?

PRA Group (Portfolio Recovery Associates) is a large, publicly traded debt buyer with a Canadian office in London, Ontario. It purchases charged-off consumer accounts — credit cards, loans and similar — from original creditors at a discount, then collects on them, including by filing lawsuits.

Can a debt buyer like PRA sue me?

Yes. Unlike a collection agency, a debt buyer that has purchased your account becomes the creditor and can sue you through a law firm, obtain a judgment, and enforce it — including a writ against your home. That is why a claim from a debt buyer should never be ignored.

They are suing on an old debt — isn’t it too old?

Maybe, but the limitation period is a defence you must raise. In Ontario the basic limitation period is two years, but an expired limitation does not erase the debt — it gives you a defence that only works if you file it. If you do nothing, the court can grant a default judgment even on a statute-barred debt.

What is the strongest defence against a debt buyer?

Often it is proof of ownership. A debt buyer must be able to show an unbroken chain of assignment from the original creditor and that the amount is correct. Debt sold in bulk frequently comes with thin documentation, which is why making the buyer prove its case matters.

If a debt buyer has your account

PRA Group / Portfolio Recovery Bought Your Debt in Ontario?

Reviewed by Angelos Spingos, Principal Lawyer, Spingos Law · Licensed by the Law Society of Ontario · Last reviewed July 28, 2026

A debt buyer is different from a collection agency in one crucial way: it has purchased your account and can sue you. PRA Group (Portfolio Recovery Associates) is one of the largest. Here is how debt buyers work, why they sue even on older debt, and the one step that decides whether an old debt is actually defensible.

Who PRA Group is

PRA Group, which operates as Portfolio Recovery Associates, is a large publicly traded debt buyer with a Canadian office in London, Ontario. Its business model is to purchase charged-off consumer accounts — credit cards, loans and similar — from original creditors at a discount, and then collect on them at full value, in part through lawsuits.

Because a debt buyer owns your account, it stands in the shoes of the original creditor and can sue, obtain a judgment, and enforce it — including a writ against your home. Treat a claim from a debt buyer as seriously as one from a bank.

The two tiers of purchased debt — and why both get sued

Debt buyers price the portfolios they purchase according to how collectable the accounts are. In practice that splits into two tiers:

1. Within the limitation period (“within stat”). These accounts are still legally enforceable, so buyers pay more for them — and are very likely to sue, because a lawsuit can succeed on the merits.
2. Past the limitation period (“past stat”). These accounts are older, so buyers pay less for them — but they often sue anyway. Why? Because being out of time is a defence, not an automatic bar — and if the debtor never responds, the court can still grant a default judgment on a statute-barred debt.

The critical point: the limitation defence only works if you file it

In Ontario the basic limitation period is two years, but an expired limitation period does not erase the debt — it gives you a defence. A court will not apply that defence for you. It is incumbent on the defendant to respond to the claim and plead the limitation period. Ignore the lawsuit and you forfeit the very defence that would have defeated it — which is exactly what a debt buyer of “past-stat” paper is counting on.

Make the buyer prove it owns the debt

A debt buyer must be able to show an unbroken chain of assignment from the original creditor and that the amount is correct. Accounts sold in bulk often arrive with thin documentation, so requiring proof of ownership is frequently the strongest response — alongside the limitation period and any dispute over the amount.

Frequently asked questions

Who is PRA Group / Portfolio Recovery Associates?: PRA Group (Portfolio Recovery Associates) is a large, publicly traded debt buyer with a Canadian office in London, Ontario. It purchases charged-off consumer accounts — credit cards, loans and similar — from original creditors at a discount, then collects on them, including by filing lawsuits.
Can a debt buyer like PRA sue me?: Yes. Unlike a collection agency, a debt buyer that has purchased your account becomes the creditor and can sue you through a law firm, obtain a judgment, and enforce it — including a writ against your home. That is why a claim from a debt buyer should never be ignored.
They are suing on an old debt — isn’t it too old?: Maybe, but the limitation period is a defence you must raise. In Ontario the basic limitation period is two years, but an expired limitation does not erase the debt — it gives you a defence that only works if you file it. If you do nothing, the court can grant a default judgment even on a statute-barred debt.
What is the strongest defence against a debt buyer?: Often it is proof of ownership. A debt buyer must be able to show an unbroken chain of assignment from the original creditor and that the amount is correct. Debt sold in bulk frequently comes with thin documentation, which is why making the buyer prove its case matters.

Sources

Company profile: PRA Group (public record) · Ontario Limitations Act, 2002 · Rules of Civil Procedure · Execution Act. General information for Ontario, not legal advice; not affiliated with or endorsed by the company named.