Debt Collection Mistakes Not to Make: Advice form Paul Mackenzie Debt Consultancy

The one thing most people fear is a phone call from the debt collectors. What then should you do or not do? Paul Mackenzie debt Consultancy is one of the highly successful debt collecting firms having been in operation since 2007. Based on years of experience, we give you a few do’s and don’ts when you receive a call from the debt collectors:

1. Do not ignore the calls

By ignoring the call from the debt collector does not mean that the debt or even the collectors will go away. It may be intimidating when the person on the other end of the phone call talks to you of his/her intention of collecting debt. If you persistently ignore the calls then the collectors will commence on sending you letters of collection and may even send you a legal notice of action. Don’t wait for it to get that far.

The step you need to take is to stay calm and know your rights. Get all your paper work in order prior to receiving any calls. If the letters have already been sent, read through them and seek for professional advice.

2. Get the Debt verification in writing

Always ask for the debt to be verified in writing and sent directly to your mail box. In an attempt to track a debtor down, some collectors use the phone director. The last thing you want is to be held accountable for another individual’s debt that happens to have a similar name as yours.

When the call is made, explain to the collector that you require a written evidence of the debt and that you cannot make any decisions via a phone call. Request that all details pertaining to the debt be mailed to you and should include the borrower’s name and address, the sum borrowed, date the money was borrowed, and where possible the original copy of the approval letter of the debt application.

3. Get of information on your debt’s legal status

Some debts fall under a statute of limitations which means that if the creditor has not contacted you within a specific time period then the debt can be struck off on legal grounds. The time limit varies and is typically between five and seven years.

Get information on the status of debt in your State to confirm the statute of limitations. Remember that the statute will only be applicable where the company whom you owe has not made any considerable efforts at recovering their money and not when you have deliberately ignored the calls from the creditor. The last date of activity on your account marks the time of application of the statute of limitation commences. In the case where the statute of limitations on your debt has already expired, put it in writing and mail to the debt collector. This will ensure that the debt collector has a written record.

Paul Mackenzie Praa is one of the finest places to seek out portfolio recovery service.