How to Survive Debt Collection Calls
The phone rings for the hundredth time today. Of course, you already know who it is; it's that dreaded debt collector. Why won't they stop? Don't they take the hint?
Dealing with debt collectors is a very scary and nerve-racking ordeal, sometimes even unfathomable. Debt collectors can be tough, hard nosed and, at times, ruthless. Their job is to collect your debt and some will pull out every trick in the book to get you to pay. From non-stop phone calls to threats of litigation, debt collectors mean business so you need to be prepared for the next time they call.
Here are some tips to survive your next debt collection phone call:
- Know Your Rights as a Debtor
Third party debt collectors are generally bound by the Fair Debt Collection Practices Act (FDCPA). This law affords protection from abusive, deceptive, and unfair practices by debt collectors. The law applies to third-party debt collectors, not the original creditor (e.g. Bank of America, Chase, Capital One, etc), but many states have consumer protection laws that cover the debt collection practices of the original creditor. Among other important distinctions, the FDCPA generally applies to personal debts and not business debts.
Most people do not know their rights as a debtor and would not even realize if a debt collector has actually violated their rights. Not all debt collectors play fair, so keep on the lookout for potential violations.
- Keep Track of All Collection Letters and Collection Calls
Get into the habit of filing away all collection letters. Debt collection harassment doesn't just come in the form of phone calls. Sending paperwork that resembles a legal document is just one of the ways a debt collector may try to scare you.
Also, it is a good practice to keep detailed notes of every collection call you receive. Jot down the day, time, the full name of the caller, and precise details about what was talked about. Keeping a record is vital.
- Get Everything in Writing
Sometimes debt collectors will agree to settlements over the phone. Make them put it in writing first. Without proof, it is your word against the collection agency.
Also, it may be a good idea to request the debt collector to remove all negative information they may have put on your credit history. You want your account to be listed as paid in fullĀ rather than paid in settlementĀ if possible. They are not required to do this, but it can't hurt to ask. Again, get this is writing.
- Don't Talk About Your Personal Life or Private Information
Debt collectors are on the phone all day long trying to collect debts from hundreds of people. They have heard millions of sob stories about why people can't pay. They generally could not care less about what just happened to you.
Do not give them any private information such as your work information, banking information, etc. You don't want to start receiving debt collection calls at work, do you?
- Stay Calm and Collected
The more emotional you get, the more control you give to the debt collector. They want to scare and intimidate you. If they didn't, would you be in such a hurry to pay the debt back?
- Seek Professional Help
If you believe your rights were violated, speak with an attorney. All the records you've been keeping will help the attorney determine what options you have and what actions, if any, to take. A good place to start is http://www.myfairdebt.com/.
These are just a few tips that will help you get through those debt collection calls.
