Are You Getting Calls From Debt Collectors

Category: Finance, Credit.

Are you getting calls from debt collectors? These are two commonly used approaches used by collection agencies to intimidate you into paying up.

Threatening letters in the mail perhaps? It is important to know what rights you have in such a situation. For example, they cannot call earlier than 8 AM Or after 9 PM. Fortunately something called The Fair Debt Collection Practices Act sets the guidelines what actions debt collection agencies can and cannot participate in while trying to collect a debt. They cannot claim that they ll be able to garnish wages. And, they cannot continue calling you if you ask them to stop. Of course, this is limited to states in which garnishment of wages is illegal.

The entire text is worth looking through if you are in this situation. In such situations you have multiple options. You can read it here- http: //www. ftc. gov/ os/ statutes/ fdcpa/ fdcpact. htm# 801. These range from simply not picking up the phone, screening calls via caller ID or even getting calls blocked if your phone has that feature. By law, they are obligated to stop pestering you. By any chance if you do pick up the phone, you can insist that you do not wish to be contacted any further. Of course, if you have sent the collectors a formal notice( such as cease and desist ) you can take legal action against them.

The fastest way to get them off your back is by paying off the debt. This could be your most expensive option so you might want to hold off on this one. If the debt is a valid one then you do owe them the money. Keeping track of your call history along with any terms that were renegotiated is a good idea in these cases. If money is really tight, you can try by renegotiating the terms of your agreement like lower rates of interest etc. This will help you keep tabs on your new debt obligations and in case they keep calling you after being told not to stop you can try recording calls if its legal and take action against them.

One key point to bear in mind is that collection agencies will accept amounts that are a lot lesser than their original claims. Pretty often the debt collectors will be more careful with their choice of words if they know that their call is being recorded. Of course, since they get a percentage of their collection amounts they will try to keep the amounts similar to the originating debt. Its always a good idea to remind them to report any payments you make. But they do know that 50% of$ 200 is a lot better than a 100% of$ If you do negotiate new terms on your payment, make certain that there aren t going to be any additional negative information placed on your credit history. One other tip- get the creditor to send you the terms in writing.

If you pay all of it upfront, they have little reason to honor their end of the bargain. If they are unwilling to do so, you can send them a small percentage of the amount to show good faith in keeping your end of the deal. In times like these be patient, keep your cool and be realistic about the outcomes. These attributes will be immensely beneficial while dealing with these stressful situations.

Read more...

Don T Rush Into Getting A Loan - Finance and Credit:

Student debt is generally thought of as a positive debt because it is taken for the purpose of furthering one s education with the ultimate aim of finding a career that will sustain your future.

When You Re Shopping Around For The Best Deal In Mortgages, You May Feel Very Overwhelmed - Hilda Shoals about Finance and Credit:

When you re shopping around for the best deal in mortgages, you may feel very overwhelmed. You have a better chance of finding this perfect mortgage if you know exactly what you are looking for, so be sure to understand that before you start shopping.

Applying For Balance Transfer - Althea Lazarski about Finance and Credit:

Many banks offer zero balance transfers from your old credit card to a new one. In certain cases, balance transfer also involves transfer of funds from a bank loan account to the credit card for a specified period of time.