Collection Agencies and Harassment

[jaredhutch]

Often times, while we are in the process of credit repair, we have to deal with floods of phone calls from the dreaded “Collection Agencies”. Collection agencies are persistent, over baring, and downright harassing. There are laws that where put into place to protect consumers from the bone chilling voice of a collection agent. I will share some very important tips that will equip you with the tools u need to stop the harassment. Responding the right way to collection agencies is a key element to successful credit repair.

The first thing you should know is that you do not have to except these phone calls. Screen your calls. If you accidentally pick up the phone, hang up on them. Whatever you do, do not at anytime offer to pay the debt. This action is the same as admitting that it is your debt, and gives them grounds to continue trying to collect. If they continue calling send them a “Cease and Desist Letter.” You can easily obtain a pre-written “Cease and Desist Letter” online. Just do a quick google search and you will have tons at your disposal. It is crucial that you mail this letter certified. It lets the agency know that you mean business, and it provides you with proof of the action taken.

Collection agents can authorize a reduction in the amount you paid verse the amount owed. If you decide to negotiate to pay a portion of the debt, make sure you get your agreement in writing. Once again, I would recommend communicating via certified mail. Make sure you document all communication. While in negotiation it is important to stand your ground. The collection agents are paid to stand theirs, and they will continue harassing you if you do not reach an agreement.

Before dealing with credit repairs and collections, make sure you educate yourself. Know your rights. Collection agencies have a job to do and they are willing to push the limits while doing it. The lines get blurry sometimes when dealing with credit laws. You can use them to your advantage if you take the time to obtain the knowledge. To get more information on credit laws go to the Federal Trade Commission (FTC) site.

[jjgross]

A cease and desist letter should be the last resort! Why? Because it leaves them no choice but to sue. The step should be to dispute the debt.:huh:

[jaredhutch]

You are right. I guess I needed to be a little more thorough. The main point I was trying to get across was "how to deal with harassing phone calls". I ended up getting a little deeper then I expected on the subject. lol. Thanks for your input. If anyone has any other suggestions, questions, or comments on the subject, that they would like to share , please do! Knowledge is power!