One thing you have the capacity to do is use the phone. Call a local credit counseling agency that is affiliated with the National Foundation for Credit Counseling, or the Association of Independent Consumer Credit Counseling Agencies. Or, you can contact your state attorney general’s office to figure out what your rights are and which assets you may own are protected in your state. Also, ask the collection company for its contact information and proof of the debt in writing.
The debt collection law mandates them to do so. Tell them that you want to receive the agency name, contact address and phone number, the original creditor, the debt amount, the date of the original debt, how and when the agency acquired the debt. It will not only aid you in your research, but it can buy you time. The last debt collection horror story is as follows:
A Pennsylvanian man found what sounded like a fantastic offer in his mailbox. Offering to take just $800 for his $1,100 debt, it was an automatic debt settlement from a collection company.
He threw it out, which was a smart move due to the fact that it was a disputed debt from years before. The original creditor had admitted already that it wasn’t this man’s debt. It isn’t uncommon for older debts to expire. They can also be settled or discharged in bankruptcy.
Additionally, states possess time limits on how long a bill collector can legally pursue old debt, so it is worth your while to see if that time has passed. If it has you cannot be forced to pay the debt. If you do not know if the debt is still collectible, ask the debt collection agency for proof of the debt and get in touch with the original creditor about its current status. For consumers, knowing what is happening is your best asset. If you understand what you can do to keep it from getting aggressive, and you’re savvy, you are in a better position as a consumer.
Mallory Megan works for a debt collection agency. She also composes stories on business, finance, consumer spending and collection agencies.