How to Deal with Debt Collectors? Consider 3 Major Steps

Is a debt collector bullying you to give money you may not or may owe? The debt collection strategies can be quite annoying, and at times even illegal. You must know how to deal with debt collectors, proclaim your rights, and select the best way to be relieved of all your monetary obligations. Before you say anything or make the payments, please implement the below-mentioned steps.

Refrain from Surrendering to the Pressure to Pay on the First Contact

Just like you would not sign an agreement without understanding its terms, do not rush to pay immediately after the debt collector contacts you. Think about the available options.

The experts offering affordable debt counseling services said many people are ashamed of owing money, and that is what the collectors try to target.

The debt collectors create a sort of urgency and prey on the pain points to persuade you to pay. If you owe $100,000 or $50,000, they hardly care whether you pay all of it or not. If they can get a part of the total sum, they end up fulfilling their quota.

Do not pay or promise to pay, and do not give out any data that the collector can use against you. Ask for information about the debt and say you will call later to have a discussion. Making a single payment, even if it is $10, means you are acknowledging your debt, and that has serious consequences.

Gather Facts

When the actual creditor sells the debt to a third party, who may continue reselling the debt repeatedly, keeping a record becomes difficult. Many sold debts usually have errors regarding the amount owed or the person owing it.

Debt collection strategies are considered the biggest source of consumer complaints. According to a survey conducted in 2016, more than 90,000 people filed complaints saying they are forced to pay back a debt they did not even owe.

Gather records on the debt, if it is yours, including data on the first creditor and the entire history of payments. Ask the collector to send you a validation letter. The letter must include details on the sum owed, the collection company, and ways you may challenge the debt.

Keep an account of the conversations you had with the collector and the payments you have made in the past. Use certified email as they act as the best documentation.

Know the Rights and Use Them

The "Fair Debt Collection Practices Act" is your only ally. This law chalks down the rights you have as a consumer and keeps you safe from the collectors.

• Communication- You may state when and how the debt collectors can contact and that they stop communicating altogether. The collectors are asked not to threaten violence or use profane language.
• Honesty- The debt collectors cannot misinform you regarding who they are, how much money you have to pay, and the legal repercussions – for example, by threatening detention.
• Challenge- You have the right to challenge the debt within a month of the first contact. After 30 days, you can also challenge, but the collector then can seek payments while the dispute is investigated.

Whether it is sending emails to the debt collector and request for more information on the sum you are forced to pay or putting a permanent stop to the predatory practices, you must never be afraid to exercise your consumer rights. Be thoroughly acquainted with the state and federal protections in the debt collection procedure. Your attorney general seems like a good resource.

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