-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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MIC-Info: RSA-MD5,RSA,
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<SEC-DOCUMENT>0001125282-06-007230.txt : 20061115
<SEC-HEADER>0001125282-06-007230.hdr.sgml : 20061115
<ACCEPTANCE-DATETIME>20061115154513
ACCESSION NUMBER:		0001125282-06-007230
CONFORMED SUBMISSION TYPE:	4
PUBLIC DOCUMENT COUNT:		1
CONFORMED PERIOD OF REPORT:	20061115
FILED AS OF DATE:		20061115
DATE AS OF CHANGE:		20061115

ISSUER:		

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			NCO GROUP INC
		CENTRAL INDEX KEY:			0001022608
		STANDARD INDUSTRIAL CLASSIFICATION:	SERVICES-CONSUMER CREDIT REPORTING, COLLECTION AGENCIES [7320]
		IRS NUMBER:				232858652
		STATE OF INCORPORATION:			PA
		FISCAL YEAR END:			1231

	BUSINESS ADDRESS:	
		STREET 1:		507 PRUDENTIAL ROAD
		CITY:			HORSHAM
		STATE:			PA
		ZIP:			19044
		BUSINESS PHONE:		215-441-3000

	MAIL ADDRESS:	
		STREET 1:		507 PRUDENTIAL ROAD
		CITY:			HORSHAM
		STATE:			PA
		ZIP:			19044

REPORTING-OWNER:	

	OWNER DATA:	
		COMPANY CONFORMED NAME:			ELLIOTT STEPHEN W
		CENTRAL INDEX KEY:			0001198449

	FILING VALUES:
		FORM TYPE:		4
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-21639
		FILM NUMBER:		061219888

	BUSINESS ADDRESS:	
		STREET 1:		NCO GROUP INC
		STREET 2:		507 PRUDENTIAL RD.
		CITY:			HORSHAM
		STATE:			PA
		ZIP:			19044
</SEC-HEADER>
<DOCUMENT>
<TYPE>4
<SEQUENCE>1
<FILENAME>form.xml
<TEXT>
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<ownershipDocument>

    <schemaVersion>X0202</schemaVersion>

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    <periodOfReport>2006-11-15</periodOfReport>

    <notSubjectToSection16>1</notSubjectToSection16>

    <issuer>
        <issuerCik>0001022608</issuerCik>
        <issuerName>NCO GROUP INC</issuerName>
        <issuerTradingSymbol>NCOG</issuerTradingSymbol>
    </issuer>

    <reportingOwner>
        <reportingOwnerId>
            <rptOwnerCik>0001198449</rptOwnerCik>
            <rptOwnerName>ELLIOTT STEPHEN W</rptOwnerName>
        </reportingOwnerId>
        <reportingOwnerAddress>
            <rptOwnerStreet1>C/O NCO GROUP INC.</rptOwnerStreet1>
            <rptOwnerStreet2>507 PRUDENTIAL RD.</rptOwnerStreet2>
            <rptOwnerCity>HORSHAM</rptOwnerCity>
            <rptOwnerState>PA</rptOwnerState>
            <rptOwnerZipCode>19044</rptOwnerZipCode>
            <rptOwnerStateDescription></rptOwnerStateDescription>
        </reportingOwnerAddress>
        <reportingOwnerRelationship>
            <isOfficer>1</isOfficer>
            <officerTitle>EVP, Info. Tech. &amp; CIO</officerTitle>
        </reportingOwnerRelationship>
    </reportingOwner>

    <nonDerivativeTable>
        <nonDerivativeTransaction>
            <securityTitle>
                <value>Common Stock</value>
            </securityTitle>
            <transactionDate>
                <value>2006-11-15</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>D</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
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            <transactionAmounts>
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                    <footnoteId id="F1"/>
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        </nonDerivativeTransaction>
    </nonDerivativeTable>

    <derivativeTable>
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                <value>Executive Stock Option (Right to Buy)</value>
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                <underlyingSecurityShares>
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            </underlyingSecurity>
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        <derivativeTransaction>
            <securityTitle>
                <value>Executive Stock Option (Right to Buy)</value>
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            <conversionOrExercisePrice>
                <value>25.19</value>
            </conversionOrExercisePrice>
            <transactionDate>
                <value>2006-11-15</value>
            </transactionDate>
            <transactionCoding>
                <transactionFormType>4</transactionFormType>
                <transactionCode>D</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
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            <transactionAmounts>
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            <expirationDate>
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            </expirationDate>
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            <securityTitle>
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            <conversionOrExercisePrice>
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            </conversionOrExercisePrice>
            <transactionDate>
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            <transactionCoding>
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                <equitySwapInvolved>0</equitySwapInvolved>
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            <transactionAmounts>
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            <expirationDate>
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            <underlyingSecurity>
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                </underlyingSecurityTitle>
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        <derivativeTransaction>
            <securityTitle>
                <value>Executive Stock Option (Right to Buy)</value>
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            <conversionOrExercisePrice>
                <value>15.98</value>
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            <transactionDate>
                <value>2006-11-15</value>
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                <transactionAcquiredDisposedCode>
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                    <value>11436</value>
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            <expirationDate>
                <value>2014-07-28</value>
            </expirationDate>
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                <underlyingSecurityTitle>
                    <value>Common Stock</value>
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                <underlyingSecurityShares>
                    <value>11436</value>
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                <directOrIndirectOwnership>
                    <value>D</value>
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        <derivativeTransaction>
            <securityTitle>
                <value>Executive Stock Option (Right to Buy)</value>
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            <conversionOrExercisePrice>
                <value>17.85</value>
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                <value>2006-11-15</value>
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                <transactionFormType>4</transactionFormType>
                <transactionCode>D</transactionCode>
                <equitySwapInvolved>0</equitySwapInvolved>
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            <transactionAmounts>
                <transactionShares>
                    <value>11913</value>
                </transactionShares>
                <transactionPricePerShare>
                    <footnoteId id="F3"/>
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                <transactionAcquiredDisposedCode>
                    <value>D</value>
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            <exerciseDate>
                <footnoteId id="F2"/>
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            <expirationDate>
                <value>2015-10-26</value>
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                <underlyingSecurityTitle>
                    <value>Common Stock</value>
                </underlyingSecurityTitle>
                <underlyingSecurityShares>
                    <value>11913</value>
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    <footnotes>
        <footnote id="F1">Pursuant to the merger agreement dated as of July 21, 2006 by and among NCO, Collect Holdings, Inc. and Collect Acquisition Corp. 14,628 restricted stock units (&quot;RSUs&quot;), which became fully vested upon consummation of the merger, were cancelled in exchange for a cash payment equal to $27.50 per RSU.</footnote>
        <footnote id="F2">Generally, options become exercisable in three equal annual installments beginning one year after the date of grant. Effective December 29, 2005, the board of directors accelerated unvested options with an exercise price equal to or greater than $17.25 per share.</footnote>
        <footnote id="F3">Pursuant to the merger agreement dated as of July 21, 2006 by and among NCO, Collect Holdings, Inc. and Collect Acquisition Corp., this option was cancelled in exchange for a cash payment equal to the product of (i) the number of shares of NCO common stock subject to the option multiplied by (ii) the excess of $27.50 over the per share exercise price.</footnote>
        <footnote id="F4">This option was cancelled pursuant to the merger agreement dated as of July 21, 2006 by and among NCO, Collect Holdings, Inc. and Collect Acquisition Corp.</footnote>
    </footnotes>

    <remarks>The filing of this Statement shall not be construed as an admission (a) that the person filing this Statement is, for the purposes of Section 16 of the Securities Exchange Act of 1934, as amended, the beneficial owner of any equity securities covered by this Statement, or (b) that this Statement is legally required to be filed by such person.</remarks>

    <ownerSignature>
        <signatureName>/s/ Steven L. Winokur, attorney-in-fact</signatureName>
        <signatureDate>2006-11-15</signatureDate>
    </ownerSignature>
</ownershipDocument>
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</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
-----END PRIVACY-ENHANCED MESSAGE-----