Is the debt collection company legal

Legal analysis: it is illegal for debt collection companies to collect debts. There is no legal basis for debt collection companies to undertake agency accounts to collect debts, and they lack the authority and administrative coercive power given by law. The existence of debt collection companies not only disturbs the normal production, work and life order of enterprises, institutions and citizens, but also endangers social order, encourages illegal debt collection activities underground and causes adverse effects in society.

Legal basis: Article 680 of the Civil Code of People's Republic of China (PRC) prohibits high-interest loans, and the interest rate of loans shall not violate the relevant provisions of the state.

If there is no agreement on the payment of interest in the loan contract, it shall be deemed that there is no interest.

If the loan contract does not specify the method of interest payment, and the parties cannot reach a supplementary agreement, the interest shall be determined according to the local or the parties' trading methods, trading habits, market interest rates and other factors; Loans between natural persons are regarded as having no interest.